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B plan summarized pitch revised (1)

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Information about B plan summarized pitch revised (1)

Published on March 7, 2014

Author: gidimallng

Source: slideshare.net

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7 March 2014 Business Plan Osamede Evbakhavbokun …shopping just a click away!!!

vision  “Our Vision is to build the biggest Retail trade platform in Africa, linking consumers to suppliers and providing the best shopping experience ever” Confidential

E-COMMERCE IN NIGERIA IS A N255bn OPPORTUNITY…IN THE SHORT TERM Confidential

MEET KEMI & ALADE Alade the Seller Kemi the Professional Kemi is a frustrated professional living in Lagos, Alade is a frustrated distributor, his business she spends an average of 6hours daily going seems to have climaxed and he seems not to and fro work – i.e 30 hours (working week) to be able to get new cutovers other than which is more than a day on the road. the ones he currently has Due to stress, she develops a high blood pressure which is now a common occurrence in Lagos. Any free time she does have is for shopping and doing house hold chores. What a bore. He thought of taking his business online but the process of setting up, managing and selling a website in other to make money is too expensive. Solution • Offer customers like Kemi a convenient and • reliable online shopping platform that can be accessed on web and mobile devices. Solution Provide retailers like Alade – a managed, cost effective, scalable and stable platform to expand their reach. www.gidimall.com Confidential

EXISTING ALTERNATIVES • Customers commute long hours to and from brick and mortar stores to buy what they want. • Customers patronize some inefficient online platforms they know about to buy what they want. • Suppliers and retailers can build their website at a very high cost with the possibility of failing due to lack of experience in managing websites List on Gidimall Own website Confidential

UNIQUE VALUE PROPOSITION PER CUSTOMER SEGMENT Students & Tertiary Institutions Professionals Distributors & Small Businesses Convenient shopping online at a discounted rate and Commission on every referral sale respectively. Convenient shopping online with 24 hours delivery. Wider reach for supplier products to increase sales volume Platform to showcase products online Employees Corporate Partnerships Investors Stable, innovative and motivating work environment. Banks- Increased card usage & revenue, Present deals on their Internet banking page Return on Investment within 3 to 5 years Corporate Organizations – Leverage on their advertising budget to drive sales of their products, Provide deals and commission to others who have a Corporative structure that can drive this. Confidential

COMPETITIVE EDGE Jumia.com.ng & konga.com • High focus on retailing and not technology. Currently battling issues around  Inventory  Theft and  Order Fulfillment • Our focus Scalable, Shared Infrastructure Optimized Cost plus Added Revenue Streams Understanding of the African Market Confidential

ESTIMATED MARKET SIZE & COMPETITIVE ANALYSIS ****Est. Market size in excess of N255Bn Annually Statistics Number (“000) Nigerian population 169,000 Size of Nigerian internet Population 43,000 Internet population estimate - when a customer has access to the internet from at least 4 devices 10,750 Estimate if 60% of these people reside in Lagos, Port Harcourt and Abuja 6,450 Number of Household (with 5 persons per household) 1,290 Purchase Volume of N4,000/month for a year on everyday consumables (N) 61,920,000 Annual estimated purchase of Electronics/Gadgets with an item of N100,000 purchased at least 129,000,000 once a year (N) Budget for clothes per annum at N50,000 per household (N) 64,500,000 Estimated Market Size (N) 255,420,000 Competitive Analysis The competitive analysis below shows the amount of investment that has gone into our competitors business viz-a-viz their current turnover (from Interswitch processed transactions only). Interswitch typically processes 70% of cards transactions in Nigeria. This however represents around 20% of the total transactions dealt in since the ‘Payment on delivery’ payment method is still the preferred method used by Nigerians (typically 80% of transactions carried out are paid for on delivery - exception is Dealdey.com), it will interest you to note that these companies do an average monthly turnover in excess of N100 million monthly. This is a reflection of the potentials that exist in this market for companies just about a year old and the effect an investment will have in this business when properly utilized: Company Invested Amount Competition JP Morgan Kinnevik Investment Company Naspers – S.A Media Group 26 million USD 5 million USD 12 million USD Jumia.com.ng Dealdey.com Konga.com Avg. Monthly Turnover on Interswitch processed Cards 35,368,975.22 31,193,778.47 19,744,709.35 Confidential

PROJECTIONS & EXIT STRATEGIES Revenue from Ads • Revenue Streams Special Listings (Long Term) Exit Strategies Grow revenues to $5million within 12 months and have Venture Capitalist buy into the company while the angel investor cashes out - Recommended or Sales commission • Have a private placement done Confidential

MARKET PENETRATION STRATEGY • Identify and engage our competitor’s customers and offer our value proposition. • Personalize service delivery to identified busy professionals from our current customer base.. • Guerilla marketing – offline marketing - Campus campaigns by partnering with students, flyers in newspaper, Stickers in Cars, BRT placements, gamification, Road Shows at strategic locations, Banners strategically placed in front of key estates • Newspaper publications and online articles to drive SEO as well as event participation for increased brand awareness. • Soliciting referrals from satisfied customers using our affiliate programs and offering incentives for doing so. • Newsletters & email marketing campaigns to pre-qualified target market using strategic partnership as well as special offers - Pay Day Deals • Focus on cities which are economically exposed with high GDP • Viral Marketing -Massive social media engagement on Foreign and local social media platforms including our facebook store. Confidential

BRAND POSITIONING • A strong Pan Africa Brand that resonates across all Africans. This will help us compete with the likes of Amazon in the long run • Technology focused organization poised at ensuring that customers get the best value and experience when they sop Confidential

PROPOSED FUNDING & UTILIZATION Disbursement 1st Tranche Period Q1 Tranches N 24,387,500.00 2nd Tranche Q2 N 18,387,500.00 3rd Tranche Q3 N 18,387,500.00 4th Tranche Q4 N 18,387,500.00 5th Tranche Q5 N 18,387,500.00 6th Tranche Q6 7th Tranche Q7 N 18,387,500.00 8th Tranche Q8 N 18,387,500.00 N34,887,500.00 N169 (Mn) Line Items Marketing & Comm Misc. Salaries Opex Website Enhancement Unforseen Expenses Logistics One-off cost (Office work tools) Marketing & Comm Misc. Salaries Opex Unforseen Expenses Marketing & Comm Misc. Salaries Opex Unforseen Expenses Marketing & Comm Misc. Salaries Opex Unforseen Expenses Marketing & Comm Misc. Salaries Opex Unforseen Expenses Marketing & Comm Misc. Salaries Opex Website Enhancement Unforseen Expenses Logistics Marketing & Comm Misc. Salaries Opex Unforseen Expenses Marketing & Comm Misc. Salaries Opex Unforseen Expenses Amount 6,993,000.00 500,000.00 8,655,000.00 947,000.00 1,000,000.00 1,292,500.00 3,000,000.00 2,000,000.00 6,993,000.00 500,000.00 8,655,000.00 947,000.00 1,292,500.00 6,993,000.00 500,000.00 8,655,000.00 947,000.00 1,292,500.00 6,993,000.00 500,000.00 8,655,000.00 947,000.00 1,292,500.00 6,993,000.00 500,000.00 8,655,000.00 947,000.00 1,292,500.00 6,993,000.00 500,000.00 8,655,000.00 947,000.00 9,000,000.00 1,292,500.00 7,500,000.00 6,993,000.00 500,000.00 8,655,000.00 947,000.00 1,292,500.00 6,993,000.00 500,000.00 8,655,000.00 947,000.00 1,292,500.00 Confidential

MILESTONES Revenue 59,700,000.00 Revenue 114,600,000.00 Revenue203,700,000.00 Revenue 400,300,000.00 Daily Hits – 25,000 Daily Hits – 50,000 Daily Hits – 75,000 Daily Hits 100,000 Income (18,412,992.00) Income (8,530,995.00) Income 7,162,003.00 Income 35,264,234.00 Confidential

…ABOUT US www.gidimall.com is owned and managed by Medessy Enterprises Limited. Incorporated in 2010 by a Banker and IT Professionals. Gidimall’s strategic goal is to create alternative and convenient shopping solutions which will have a positive effect on the lives and business of our customers and partners respectively. We are strategically committed to 4 principal parties namely – Shareholders, Customers, Partners and Employees Shareholders Customers Value Employees Partneers Quick facts • Online retail mall with around 500 registered customers • Been in business for over 15 months now • Total revenue in excess of N18 million over the last 12 months • Funding required to take business to the next level www.gidimall.com Confidential

CURRENT POSITION – FROM OCT-2012 TO SEPT-2013 Customer Registration Transaction Count No formal Advert Experiment No formal Advert Experiment 277 197 213 138 150 97 71 26 Q1 Q2 Sales Volume Q3 Q1 Q4 No formal Advert Experiment 12,326,547.25  Q2 Q3 Q4 Customer registration grew by an average of 61% throughout the year this figure was particularly because we stopped advertising to adopt a different strategy due to financial constraints  7,094,331.56 Transaction count also grew by an average of 119.37% all through the year  However, Transaction volume has been trending upwards by an average of about 208.69% due to 3,283,711.68 repeat business from satisfied customers 612,328.21 Q1  Q2 Q3 Q4 www.gidimall.com We however know that increased funding will enable us expand our market share Confidential

COHORT ANALYSIS Visitors & Signups 70 12,000 Signups & Paying Customers 60 10,000 50 8,000 40 6,000 30 4,000 20 2,000 10 0 0 Visitors 1) Total new signups Visitor-to-Signup Conversion Rate m/m Growth Rate 500.00% 450.00% 400.00% 350.00% 300.00% 250.00% 200.00% 150.00% 100.00% 50.00% 0.00% Total new signups Conversion rate 4) New customers Churn rate m/m growth visitors m/m growth customers m/m growth new signups m/m growth MRR Definition of Terms • • • CAC = customer acquisition costs CLTV = customer lifetime value CAC 40,000.00 35,000.00 30,000.00 25,000.00 20,000.00 15,000.00 10,000.00 5,000.00 - ARPA (p.m.) ARPA = average revenue per account • ARPA 160,000.00 140,000.00 120,000.00 100,000.00 80,000.00 60,000.00 40,000.00 20,000.00 - MRR = monthly recurring revenue ARPA new customers (p.m.) Total CAC (blended) Total CAC (paid signups) 10) Confidential

Gidimall’s Management Team Has robust experience in ecommerce Confidential acquiring, Information technology and Process re-engineering Director, IT Infrastructure & Strategy Education: Master of Science, Computer Science, Clark Atlanta University, Atlanta, GA, US Professional Director – Gidimall.com Supports and manages our entire IT infrastructure and strategy as well as providing guidance and direction for Company. Founder, Zoomwit Corporation Founded ZoomWit to provide a rich content messaging platform with integrated support for video, audio and rich text messages. Responsible for securing investor funding, business development and product design. Director, Broad IQ Corporation – United States As part of a PMO led the Dealer Classics development work-stream as part of the Classics Cars platform integration project. Managed the dependencies and coordinated development efforts between 7 other work-stream. Manager, CIO Advisory practice - Financial Services Led the transformation efforts to develop and deploy a new core banking platform. Led the development of requirements, target operating model, architecture and design activities. Nationality – Nigerian Director, Sales & Marketing Director, Operations Education: Bachelor of Science (Second Class Honors - Upper) Sociology and Anthropology, University of Benin, Benin City, Nigeria Education: Bachelor of Engineering (Second Class Honors Upper) University of Benin, Benin City, Nigeria 2001 – 2005 Structural Engineering Professional Co-founder – Gidimall.com Manage Sales, marketing, vendor relationships, partner acquisitions an, brand and marketing units in ensuring that we drive sales at the lowest possible cost SAP Certified Application Associate – Financial Accounting, SAP ERP 6.0 EHP4 Head, In-bound Payments Manage All Acceptance/Collection channels across UBA Africa- (Bank Collect, Webpay(CIPG VISA, MasterCard Verve e-Transact) Managed heads of Electronic banking across UBA’s 19 subsidiary countries in delivering on set electronic collection targets. From Nigeria alone, Osamede currently manages a collection portfolio in excess of ($1.375bnUSD). Head Prepaid Cards Drove sales and partnership of VISA Prepaid Card for United Bank of Africa, managing heads of eBanking across 19 markets in Africa to deliver on set targets Account Manager – Access Bank Financed large corporations and managed an annual credit portfolio in excess of $220million USD Nationality - Nigerian Professional Co-founder, Gidimall.com Manage company’s entire operations from logistics, finance ad accounts, HR and all the functional processes that support sales and the smooth operations of the business Consulting Business Manager- C2G Consulting Senior finance consultant responsible for implementing SAP solution for large Corporates and Global brands like – UAC, Peugeot, Total etc. across Nigeria, East Africa – Kenya etc as well as defining best practice procedures for these compaies in increasing sales and optimizing cost Sales Consultant at Kon –X Led a team of sales men as well as installers in the sales, distribution and installation of Harvey roofing sheets across Nigeria Nationality - Nigerian Confidential

Our Long Term Vision 2014 Nigeria •. GDP ($bn) 262.61 GDP Growth 6.72% Population (mn) 166.21 Inflation Rate 8.40% Interest Rate 12.00% Debt-to-GDP Ratio 18.30% Exchange Rate 160.78 Foreign Reserve ($bn) 49.00 Internet Penetration 28.4% 2015 Nigeria GDP ($bn) 262.61 GDP Growth 6.72% Population (mn) 166.21 Inflation Rate 8.40% Interest Rate 12.00% Debt-to-GDP Ratio 18.30% Exchange Rate 160.78 Foreign Reserve ($bn) 49.00 Internet Penetration 28.4% 2016 Ghana GDP ($ bn) 40.71 GDP Growth 6.70% Population (mn) 25.37 Inflation Rate 11.20% Interest Rate 16.00% Debt-to-GDP Ratio 44.90% Exchange Rate 2.07 Foreign Reserve ($bn) 5.35 Internet Penetration 14.1% 2017 Kenya GDP ($bn) 37.23 GDP Growth 5.20% Population (mn) 43.18 Inflation Rate 6.02% Interest Rate 8.50% Debt-to-GDP Ratio 46.50% Exchange Rate 87.30 Internet Penetration 28% 2018 Zambia GDP ($bn) 20.67 GDP Growth 7.30% Population (mn) 14.08 Inflation Rate 7.30% Interest Rate 9.75% Debt-to-GDP Ratio 31.20% Exchange Rate 5.49 Internet Penetration 11.5% Uganda GDP ($bn) 19.80 GDP Growth 6.18% Population (mn) 36.35 Inflation Rate 5.10% Interest Rate 11.00% Debt-to-GDP Ratio 33.30% Exchange Rate 2,580.00 Internet Penetration 13% Tanzania GDP ($bn) 28.25 GDP Growth 6.80% Population (mn) 47.78 Inflation Rate 7.60% Interest Rate 12.00% Debt-to-GDP Ratio 47.70% Exchange Rate 1,617.50 Internet Penetration 12% Confidential

We will…..  Build Africa’s biggest online retail trade platform Are you in? www.gidimall.com Confidential

APPENDIX www.gidimall.com

PROFIT & LOSS STATEMENT FY2014 FY2015 FY2016 Revenue N778,300,000 N1,167,500,000 N1,751,300,000 Direct Cost N622,640,000 N934,000,000 N1,401,040,000 Gross Margin N155,660,000 N233,500,000 N350,260,000 20% 20% 20% N47,760,000 N57,312,000 N68,774,400 N9,480,000 N11,376,000 N13,651,200 Marketing & Promotions N31,224,000 N40,591,200 N52,768,560 Rent / Warehousing N10,000,000 N10,000,000 N10,000,000 Operating Expenses N7,576,000 N9,091,200 N10,909,440 Insurance N7,783,000 N11,675,000 N17,513,000 Platform Upgrades & Information Security N9,000,000 N9,900,000 N10,890,000 Branding and Packaging N7,783,000 N11,675,000 N17,513,000 N130,606,000 N161,620,400 N202,019,600 N25,054,000 N71,879,600 N148,240,400 N0 N0 N0 Depreciation and Amortization N2,285,985 N2,975,985 N2,975,985 Income Taxes N7,285,765 N22,049,157 N46,484,613 N762,817,750 N1,120,645,542 N1,652,520,198 N15,482,250 N46,854,458 N98,779,802 2% 4% 6% Gross Margin % Operating Expenses Salary Employee Related Expenses Total Operating Expenses Operating Income Interest Incurred Total Expenses Net Profit Net Profit / Sales www.gidimall.com Confidential

PROJECTED BALANCE SHEET As of Period's End Starting Balances FY2014 FY2015 FY2016 Cash N2,350,000 N137,331,830 N149,479,913 N223,395,909 Accounts Receivable N1,800,000 N0 N0 N0 Inventory N0 N77,760,000 N116,720,000 N116,800,000 Other Current Assets N0 N0 N0 N0 N4,150,000 N215,091,830 N266,199,913 N340,195,909 N4,379,927 N14,879,927 N14,879,927 N14,879,927 N0 (N2,285,985) (N5,261,970) (N8,237,955) Total Long-Term Assets N4,379,927 N12,593,942 N9,617,957 N6,641,972 Total Assets N8,529,927 N227,685,772 N275,817,870 N346,837,881 N1,512,000 N49,385,595 N50,663,235 N57,531,495 N200,000 N0 N0 N0 N0 N0 N0 N0 Total Current Liabilities N1,712,000 N49,385,595 N50,663,235 N57,531,495 Long-Term Debt N0 N0 N0 N0 N1,712,000 N49,385,595 N50,663,235 N57,531,495 N6,817,927 N162,817,927 N162,817,927 N162,817,927 Retained Earnings N0 N0 N15,482,250 N27,708,657 Earnings N0 N15,482,250 N46,854,458 N98,779,802 Total Owner's Equity N6,817,927 N178,300,177 N225,154,635 N289,306,386 Total Liabilities & Equity N8,529,927 N227,685,772 N275,817,870 N346,837,881 Total Current Assets Long-Term Assets Accumulated Depreciation Accounts Payable Sales Taxes Payable Short-Term Debt Total Liabilities Paid-In Capital www.gidimall.com Confidential

PROJECTED CASHFLOW STATEMENT FY2014 FY2015 FY2016 N15,482,250 N46,854,458 N98,779,802 Depreciation and Amortization N2,285,985 N2,975,985 N2,975,985 Change in Accounts Receivable N1,800,000 N0 N0 (N77,760,000) (N38,960,000) (N80,000) N47,873,595 N1,277,640 N6,868,260 (N200,000) N0 N0 (N10,518,170) N12,148,083 N108,544,047 Assets Purchased or Sold (N10,500,000) N0 N0 Investments Received N156,000,000 N0 N0 Change in Short-Term Debt N0 N0 N0 Change in Long-Term Debt N0 N0 N0 Dividends and Distributions N0 N0 (N34,628,051) N145,500,000 N0 (N34,628,051) N2,350,000 N137,331,830 N149,479,913 N134,981,830 N12,148,083 N73,915,996 N137,331,830 N149,479,913 N223,395,909 Operations Net Profit Change in Inventory Change in Accounts Payable Change in Sales Taxes Payable Net Cash Flow from Operations Investing & Financing Net Cash Flow from Investing & Financing Cash at Beginning of Period Net Change in Cash Cash at End of Period www.gidimall.com Confidential

COHORT ANALYSIS TABLE Oct-12 Nov-12 Dec-12 Jan-13 Feb-13 Mar-13 Apr-13 May-13 Jun-13 Jul-13 Aug-13 Sep-13 Oct-13 Nov-13 Dec-13 VISITORS & SIGNUPS Visitors 1) m/m growth visitors Signups beginning of the month 2) New signups Organic Paid Total new signups m/m growth new signups Visitor-to-Signup Conversion Rate Signups end of month 1,564 2,562 163.81% 36 4,993 194.89% 25 5,182 103.79% 36 4,319 83.35% 16 9,618 222.69% 27 4,969 51.66% 16 3,663 73.72% 21 3,904 106.58% 26 4,498 115.22% 24 4,245 94.38% 30 3,252 76.61% 10 3,768 115.87% 33 4,499 119.40% 39 7,920 176.04% 66 14 22 36 360.00% 1.41% 72 10 15 25 69.44% 0.50% 50 14 22 36 144.00% 0.69% 72 6 10 16 44.44% 0.37% 32 11 16 27 168.75% 0.28% 54 6 10 16 59.26% 0.32% 32 8 13 21 131.25% 0.57% 42 10 16 26 123.81% 0.67% 52 10 14 24 92.31% 0.53% 48 12 18 30 125.00% 0.71% 60 4 6 10 33.33% 0.31% 20 13 20 33 330.00% 0.88% 66 16 23 39 118.18% 0.87% 78 26 40 66 169.23% 0.83% 132 7 6 60.00% 16 13 36.11% 22 16 64.00% 26 24 66.67% 23 15 93.75% 9 7 25.93% 15 8 50.00% 15 8 38.10% 25 19 73.08% 27 23 95.83% 22 15 50.00% 20 11 110.00% 18 8 24.24% 17 7 17.95% 0.00% 6 13 216.67% 0.00% 13 29 223.08% 0.00% 16 38 131.03% 0.00% 24 50 131.58% 0.00% 15 38 76.00% 0.00% 7 16 42.11% 0.00% 8 23 143.75% 0.00% 8 23 100.00% 0.00% 19 44 191.30% 0.00% 23 50 113.64% 0.00% 15 37 74.00% 0.00% 11 31 83.78% 0.00% 8 26 83.87% 0.00% 7 24 92.31% MRR beginning of the month New MRR New MRR from new customers New MRR from account expansions 5) Total new MRR Lost MRR 6) MRR churn rate 7) Net new MRR MRR end of month m/m growth MRR 30,330.90 130,512.47 400,769.84 956,232.02 1,208,767.45 506,384.00 780,279.00 1,386,870.00 1,643,470.88 2,454,474.69 2,250,012.00 1,927,791.00 1,441,921.00 1,411,922.50 1,319,572.50 18,198.54 78,307.48 240,461.90 573,739.21 725,260.47 303,830.40 468,167.40 832,122.00 986,082.53 12,132.36 52,204.99 160,307.94 382,492.81 483,506.98 202,553.60 312,111.60 554,748.00 657,388.35 30,330.90 130,512.47 400,769.84 956,232.02 1,208,767.45 506,384.00 780,279.00 1,386,870.00 1,643,470.88 30,330.90 130,512.47 400,769.84 956,232.02 1,208,767.45 506,384.00 780,279.00 1,386,870.00 1,643,470.88 60,661.80 261,024.94 801,539.68 1,912,464.04 2,417,534.90 1,012,768.00 1,560,558.00 2,773,740.00 3,286,941.76 430.30% 307.07% 238.60% 126.41% 41.89% 154.09% 177.74% 118.50% 1,472,684.81 981,789.88 2,454,474.69 2,454,474.69 4,908,949.38 149.35% 1,350,007.20 900,004.80 2,250,012.00 2,250,012.00 4,500,024.00 91.67% 1,156,674.60 865,152.60 847,153.50 791,743.50 771,116.40 576,768.40 564,769.00 527,829.00 1,927,791.00 1,441,921.00 1,411,922.50 1,319,572.50 1,927,791.00 1,441,921.00 1,411,922.50 1,319,572.50 3,855,582.00 2,883,842.00 2,823,845.00 2,639,145.00 85.68% 74.80% 97.92% 93.46% ARPA (p.m.) ARPA new customers (p.m.) 10,110.30 6,066.18 20,078.84 13,051.25 27,639.30 18,497.07 50,328.00 35,858.70 48,350.70 30,219.19 26,651.79 20,255.36 97,534.88 66,881.06 120,597.39 104,015.25 142,910.51 123,260.32 111,567.03 77,509.73 90,000.48 58,695.97 104,204.92 77,111.64 93,027.16 78,650.24 108,609.42 105,894.19 109,964.38 113,106.21 49,133.33 4,913.33 8,188.89 20,000.00 6,666.67 23,044.44 33,962.96 49,133.33 1,364.81 2,274.69 20,000.00 3,333.33 11,522.22 16,981.48 49,133.33 1,965.33 3,275.56 20,000.00 1,538.46 5,317.95 7,837.61 49,133.33 1,364.81 2,274.69 20,000.00 1,250.00 4,320.83 6,368.06 49,133.33 3,070.83 5,118.06 20,000.00 833.33 2,880.56 4,245.37 49,133.33 1,819.75 3,032.92 20,000.00 1,333.33 4,608.89 6,792.59 49,133.33 3,070.83 5,118.06 20,000.00 2,857.14 9,876.19 14,555.56 49,133.33 2,339.68 3,899.47 20,000.00 2,500.00 8,641.67 12,736.11 49,133.33 1,889.74 3,149.57 20,000.00 2,500.00 8,641.67 12,736.11 49,133.33 2,047.22 3,412.04 20,000.00 1,052.63 3,638.60 5,362.57 49,133.33 1,637.78 2,729.63 20,000.00 869.57 3,005.80 4,429.95 49,133.33 4,913.33 8,188.89 20,000.00 1,333.33 4,608.89 6,792.59 49,133.33 1,488.89 2,481.48 20,000.00 1,818.18 6,284.85 9,262.63 49,133.33 1,259.83 2,099.72 20,000.00 2,500.00 8,641.67 12,736.11 49,133.33 744.44 1,240.74 20,000.00 2,857.14 9,876.19 14,555.56 10 4 6 10 0.64% 20 PAYING CUSTOMERS 3) Customers beginning of the month New customers Conversion rate 4) Lost customers Churn rate Net new customers Customers end of month m/m growth customers 3 3 3 6 MRR CAC Marketing spendings Marketing spendings per signup (blended) Marketing spendings per paid signup 8) Sales spendings Sales spendings per new paying customer 9) Total CAC (blended) Total CAC (paid signups) 10) www.gidimall.com Confidential

MARKET NEED & OPPORTUNITY MATRIX Needs • These include the need to: • Take the market to the people and not have them commute long distances to get what they truly want. • Bridge the retail gap by providing a wide variety Opportunity • The opportunity to bridge the retail gap of the economy by providing a web and mobile shopping channel for Nigeria’s growing population. • Changing customer behaviour in favour of eCommerce is an opportunity to expand market of products accessible from anywhere at any share to become one of the market leaders in online time. retailing across Africa. • Have alternative methods and platforms for shopping such as mobile and web . • Have nation-wide access to different markets and to find great offers at no stress. • Shop for quality products. • Reduce the level of stress faced by most working professionals in urban centres by giving them 24/7 access to favourite products. • An opportunity to grow and expand the retail sector of our economy with positive effect in reducing unemployment and building the right, sustainable retail infrastructure across the continent. • Customers can now have 24/7 access to different markets so they can make choices and have them delivered to their doorsteps. • To improve the quality of lives of urban professionals particularly in cities with heavy traffic congestion, (e.g. Lagos), by bringing the market straight to their homes via PC & mobile gadgets. Confidential

SECTORIAL GROWTH ARE STRONG INDICATORS FOR INJECTION IN ONLINE RETAILING 20.5 31 PoS Transactions Web Transactions 99.5 84.2 26 Mobile Transactions 58.0 16 11 13 50.4 8.3 6.7 25.1 0.7 2008 2009 2010 2011 Inadequacy of Retail Outlets 2008 2012H1 “The retail sector of the Nigerian economy has attracted over N200 billion worth of investments in the past two years.” Bismarck Rewane, CEO, Financial Derivatives Limited 2009 2010 2011 2012 H1 1.3 2008 2009 ..still there are not enough malls to cater for Nigeria growing population and changing consumer behaviour 28.4% Population 2011 2012 H1 143 Mobile Subscribers 113 2012 Internet Penetration 2010 China 2015(fcst) India United States 24.0% Indonesia 20.0% Brazil 15.8% Pakistan Nigeria Bangladesh Russia Japan 2008 2009 2010 2011 See Appendix for Data Sources & Breakdown Nigeria, 170 Rest of the World Confidential

MARKET STATISTICS AND OPPORTUNITY - NIGERIA – MASSIVE MARKET SIZE 2012 Population Nigeria, 170 2050 Expected Pop. China India United States Indonesia Brazil Pakistan Nigeria Bangladesh Russia Japan Rest of the World Nigeria, 264 China India United States Indonesia Brazil Pakistan Nigeria Bangladesh Russia Japan Rest of the World 55.29% growth forecast by 2050 Quick Facts  Current population in excess of N165m  Nigeria is 2.3% of the world’s population.  This means… …1 person in every 43 people on the planet is a resident of Nigeria  Nigeria’s annual population growth rate is 2.33% and the population  Median age of Nigeria's population is 19years and 3 months… Confidential

NIGERIA - LARGEST IN TERMS OF INTERNET POPULATION IN AFRICA Internet Penetration in Africa – (Population in Millions) 48.4 Global Internet Penetration – Q2, 2012 37.7% 34.3% 28.4% 29.8 16.5 15.6% 12 8.5 Nigeria Africa World Avg. Nigeria Rest of the World Egypt Morocco Kenya South Afrca 6.5 5.6 5.2 4.4 4.2 Sudan Tanzania Algeria Uganda Tunisia Quick Facts Internet Penetration  Nigeria has the largest internet population in Africa and is 11th in the world +21.6% 28.4% 24.0%  penetration...28.4%  20.0% Number of internet users in Nigeria… 48,366,179; Internet Between December 2011 and June 2012, Nigeria added 3,326,468 new internet users… 15.8%  There are more internet users in Nigeria than there are people in living in Tanzania  The average Nigerian Netizen spends around 3 hours on the internet daily Source: Internet World Stat 2008 2009 2010 2011 www.gidimall.com Confidential

NIGERIA – ONE OF THE FASTEST GROWING MOBILE MARKET IN THE WORLD Mobile subscriber Penetration in Nigeria +20.8% Mobile subscriber Penetration in Nigeria 58.6% 55.1% 59% 48.2% 41.8% 100% 27.5% 16% 25% 2007 2008 2009 2010 Smartphone 2011 Mobile subscribers in Nigeria (Mn Advanced feature phone Basic Phone Mobile Suscribers Quick Facts  Mobile penetration is 70% of the population as at 2012 Mobile subscribers grew by 18% between 2011 and 2012 Mobile handsets are the fastest selling consumer goods in Nigeria  113   143 Mobile Payments is a great opportunity for mCommerce  +27% Smartphone users in Nigeria are a significant number and the number is growing rapidly  Central Bank has been pushing mobile payments as a mechanism to address high rate of unbanked customers 2012 2015(fcst) Source: Source: National Population Commission 2012, NCC Dec’12, TNS – Navigation growth in Africa www.gidimall.com Confidential

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