Embed Size (px)
DESCRIPTION
USEL Presentation
Citation preview
www.uSell.com
Cautionary Note Regarding Forward Looking Statements
Certain statements in this presentation and responses to various questions include forward-‐looking
statements, including statements regarding growth, opportunities for our business model, potential revenue
stream from data, and platform expansion. The words “believe,” “may,” “estimate,” “continue,” “anticipate,”
“intend,” “should,” “plan,” “could,” “target,” “potential,” “is likely,” “will,” “expect” and similar expressions, as
they relate to us, are intended to identify forward-‐looking statements. We have based these forward-‐looking
statements largely on our current expectations and projections about future events and financial trends that
we believe may affect our financial condition, results of operations, business strategy and financial needs.
Important factors that could cause actual results to differ from those in the forward-‐looking statements include
effective marketing campaigns, maintaining and establishing relationships with partners, our ability to
successfully replicate our platform for items other than phones and small consumer electronics and our
partners providing sufficient customer service to our customers. Further information on our risk factors is
contained in our filings with the SEC, including the Form 10-‐K for the year ended December 31, 2012. Any
forward-‐looking statement made by us herein speaks only as of the date on which it is made. Factors or events
that could cause our actual results to differ may emerge from time to time, and it is not possible for us to
predict all of them. We undertake no obligation to publicly update any forward-‐looking statement, whether as
a result of new information, future developments or otherwise, except as may be required by law.
WHO WE ARE
Daniel Brauser CEO
Founder of Health Benefits Direct
Disrupted traditional health insurance marketing/sales
Sold to eHealth
Nik Raman COO
Founder of EcoSquid (Finalist in HBS business plan competition)
Developed innovative marketplace model to reCommerce
IBM client sales executive prior to Harvard Business School
Direct Marketing Expertise
Entrepreneurial Passion
ROOTS OF RECOMMERCE
“ Your Personal Trading Community ”
“ Shop Victoriously ”
� eBay was the original “reCommerce” marketplace
� Due to fraud and customer experience concerns, eBay has become a shopping platform where less than 10% of sellers are individuals
� Power sellers must now find inventory elsewhere; in other words, they must become “Power Buyers”
� There is a need for a “Power Buyers” platform that enables power sellers to efficiently acquire inventory
Individual Sellers
eCommerce Market
Individual Buyers
Power sellers must locate individuals sellers or find inventory elsewhere
Individual Sellers
eCommerce Market
Individual Buyers
Power Sellers
Clothing
Electronics
A GOLD MINE OF DORMANT INVENTORY
Consumers have billions of dollars of used inventory that has a second life
Current consumer behavior is to buy, use, and hoard
“ At least $75 Billion of in home inventory has not been activated.”
$25B
$30B
Gift Cards
Textbooks + Video Games
$15B $6B
MOBILE IS THE CLEAR OPPORTUNITY
The mobile market is rapidly expanding on the high-‐end
Over 50 million iPhone 5 devices were sold in 2012
Samsung Galaxy S3 sales surpassed 30 million devices in 2012
An estimated 137.5MM smartphones will be shipped in 2013; growing to 185MM by 2017
Historically less than 10% of phones are recycled-‐ consumers need financial motivation
2011 2013 2012
$1.6 Billion
$9.2* Billion
$5.2 Billion
RAPID MARKET EXPANSION *Derived using annual churn data given current & projected sales volume and re-‐sale market
OUR SOLUTION: THE REVERSE AMAZON
The world’s first reCommerce marketplace where customers can sell high demand second hand goods for cash in sixty seconds or less
A simple back end platform that enables power buyers to bid on goods and access inventory in a just in time fashion.
A logistics and shipping system that is optimized to efficiently move devices from consumers’ homes to buyers’ warehouses.
Individual Sellers
eCommerce Market
Individual Buyers
WHERE WE FIT
Original eCommerce Model Evolved eCommerce Model eCommerce + reCommerce
Power sellers must locate individuals sellers or find inventory elsewhere
Individual Sellers
eCommerce Market
Individual Buyers
Power Sellers Re-‐Commerce Market
Individual Sellers
eCommerce & Wholesale Markets
Individual Buyers
Power Sellers
OFFLINE FLOW
HOW IT WORKS
ONLINE FLOW
Back End (uSell Buyer’s Platform)
Catalog and Pricing Mgmt.
Order Lifecycle Management
Data and Metrics Reporting
Order Lifecycle Management
Front End (uSell.com) Search for Product and Find Offers
uSell Fulfillment uSell Buyers Retail and wholesale Liquidation
Consumer
HOW WE ACTIVATE INVENTORY
• Codifying and commercializing a proprietary Inventory Activation model
• Combining the data-‐centric, ROI-‐driven discipline of online marketing with the reach and scale of traditional marketing to effectively activate new customers
DIGITAL/ONLINE MARKETING TRADITIONAL (TV) ADVERTISING
Wealth of User Data
Effective at Reaching Active Customers
Highly Scalable
Reach Inactive Customers
Creates Competitive Barrier to Entry
Highly Measurable
TV Spot attribution Data
Website Clickstream Data
Online Marketing Campaign Data
3rd Party Data
HOW WE DISTRIBUTE OUR TECHNOLOGY
uSell has leveraged its technology, marketplace and logistics platform to power online trade-‐in for Staples
Staples is the second largest e-‐tailer in the U.S. with 27M+ monthly visitors
The combination of uSell’s marketplace and technology leveraged by Staples brand and reach represents a tremendous opportunity
This model is highly scalable to roll-‐out across other major retailers
STAPLES: POWERING RETAIL TRADE-‐IN
400,000
500,000
600,000
700,000
800,000
900,000
1,000,000
1,100,000
1,200,000
Sep-12 Oct-12 Nov-12 Dec-12 Jan-13 Feb-13 Mar-13 Apr-13 May-13 Jun-13 Jul-13 Aug-13 Sep-13
UNIQUE VISITOR GROWTH
MONTHLY UNIQUE VISITORS Sep 2012 – Sep 2013
Seven straight quarters of unique visitor growth driven by rollout of online and offline media campaign
$0
$100,000
$200,000
$300,000
$400,000
$500,000
$600,000
Partner Lead Revenue Fulfillment Revenue Ad Revenue
REVENUE GROWTH
Jan 2012 – Jun 2013
Seven straight quarters of revenue expansion fueled by visitor growth and increased monetization of both partner and user base
MONTHLY REVENUE
0.00%
2.00%
4.00%
6.00%
8.00%
10.00%
12.00%
14.00%
REPEAT CUSTOMER GROWTH
REVENUE FROM REPEAT CUSTOMERS Jan 2012 – Sep 2013
Consistent growth in repeat users driven by improvements in customer experience; will continue to compound over time
100,000
105,000
110,000
115,000
120,000
125,000
130,000
135,000
140,000
145,000
150,000
Jun-13 Jul-13 Aug-13 Sep-13 Oct-13 Nov-13 Dec-13
BASELINE REPEAT VISITORS
BASELINE REPEAT VISITORS Jun 2013 – Dec 2013
$244,607
$591,432
$729,298
$818,130
$1,046,399
$1,224,340
$1,636,386
$327,770
$680,260
$779,681
$813,945 $834,692
$1,042,392
$1,270,998
$0
$200,000
$400,000
$600,000
$800,000
$1,000,000
$1,200,000
$1,400,000
$1,600,000
$1,800,000
Q1 - 2012 Q2 - 2012 Q3 - 2012 Q4 - 2012 Q1 - 2013 Q2 - 2013 Q3 - 2013
CONTRIBUTION GROWTH
Since Q01 2012, CPV has decreased from $0.61 to $0.51 while RPV has increased from $0.42 to $0.61
REVENUE VS. MEDIA SPEND
Revenue Media Spend
USELL GROWTH VS GAZELLE
$5MM INVESTED $50MM+ INVESTED
Vs.
! 467 unique reviews, largely since August 2013 ! 9.86/10 Average Rating
USELL MEDIA COVERAGE & TESTIMONIALS
“My favorite of the selling sites.” -‐ Jean Chatzky | NBC Today Show
“Find the best prices for your used tech.” -‐ Roy Furchgott | The NYT
“There are countless other services out there for reselling used electronics, but uSell's new approach is to search multiple buyer companies and find the one that's willing to pay the most for what you have.” -‐ Katherine Noyes | Discovery
“Eco-‐friendly uSell buys back your old devices while protecting the planet.” -‐ Clayton Morris | FoxNews.com
“uSell is to other recycling sites what Kayak is to other travel reservation sites.” -‐ Jacqueline Emigh | Notebook Review
“You can skip the cellphone contracts ... bring your own device is now an option.” -‐ Sean Capitain | MSN
• Management has a combined 30+ years in Direct to Consumer Marketing
• Insiders have invested over $5M
• Business model proven in cell phone vertical • Five quarters of sequential revenue growth
• Five quarters of sequential marketing efficiency improvements
• Consistent 90%+ gross margins
• Targeted expansion into new categories
• Comparable company business models • Kayak.com-‐ acquired for $1.8B, 8X Revenue
• Pricegrabber-‐ acquired for $500M, 9x Revenue
• Shopping.com-‐ acquired for $630M, 6.5x Revenue
INVESTMENT HIGHLIGHTS
SNAPSHOT OF COMPANY AND STOCK
Symbol:
Stock Price:
High/Low (since 1/1/12)
Average Daily Volume:
Shares Outstanding:
Inside Ownership:
Market Cap:
Q3 Revenue:
OTC Bulletin Board: USEL
$0.20
$.07-‐ $0.39
90,000 shares
75.9 million
53%
$15 million
$1.64 million vs. $729K year-‐over-‐year; +125% growth
![Capabilities Deck - Customer Presentation [03-12-15] - reduced](https://img.dokumen.tips/doc/110x75/55cdea0dbb61ebca048b4650/capabilities-deck-customer-presentation-03-12-15-reduced.jpg)
