Primi sui Motori S.p.A.

Transcription

1 Primi sui Motori S.p.A. We help companies use the Internet to communicate May 2013

2 Notices and disclosures Confidentiality This document (herein the "Document") was created by Primi sui Motori S.p.A. (herein "PSM" or the "Company"). This Document is strictly confidential. Therefore, neither the Document nor any part thereof may be disclosed to third parties or used for purposes other than those listed in the Document. Furthermore, the Document may not be copied or reproduced in any way, in whole or in part, without the written permission of PSM. Therefore, it is expressly understood that acceptance of this presentation implies that consent is bound by the restrictions contained therein. If at any time the recipient should disagree with this constraint, they should immediately return the Document, including its attachments, if any, to the Company. Information The Document in its entirety represents neither the Company nor the project the Company aims to carry out and, therefore, some information related to it may have been omitted. The Company is under no obligation to provide the recipient with any updates or additions to the document regardless of whether errors, omissions or inaccuracies should come to the fore. Although the Document was carefully and diligently drafted, the Company does not guarantee the completeness, accuracy and correctness of the information, projections or opinions expressed therein. Some parts of the Document contain statements that are long-term forecasts, which represent estimates that are subject to risks and uncertainties and, therefore, may differ, even substantially, from any future results. Neither the Company nor its employees and contractors assume any responsibility for the document's content, even in cases where the recipient may suffer, even implicitly, any damages or losses arising from the omission of information, data and analyses. Primi sui Motori Strictly confidential - All rights reserved - No reproduction or diffusion without written authorization 2

3 The playlist The target market History and organisation The offer The Business model The Business plan Primi sui Motori Strictly confidential - All rights reserved - No reproduction or diffusion without written authorization 3

4 The size of the Internet market in Italy Total Internet users/month: 29,600,000 (+7% compared to January 2012) on an average day: 14,700,000 (+10.2% compared to January 2012) Average time spent on the Internet daily: 1 hour and 28 minutes (+5.6% compared to January 2012) Average number of page views per person: million users of online videos 24 million registered in Social Networks 13.5 million registered in Forums 6.5 million continuously follow Blogs Smartphone + 32 million Tablet 2.9 million Internet TV 2.5 million. Mobile Content +17% Source ComScore: Europe Digital Future in Focus 2013 Apr 2013 Nielsen Internet Audience in January 2013 and Observatory of the Milan Polytechnic Primi sui Motori Strictly confidential - All rights reserved - No reproduction or diffusion without written authorization 4

5 Overview of Web marketing and Online Advertising Despite an overall decline in advertising spending in the Jan/Aug 2012 period (-10.5% compared to the same period in 2011), the Internet channel recorded an increase of about 11% in advertising investment compared to the Jan/Aug 2011 period. Source: Nielsen The acquisition cost of a customer with Web Marketing tools is the lowest on the market. Maximum return on advertising investment. Accurate segmentation and targeting Motori di ricerca Acquisition cost of customer by channel ($) 20 Pagine Gialle Banner Mailing Source : Jupiter Primi sui Motori Strictly confidential - All rights reserved - No reproduction or diffusion without written authorization 5

7 The history of Primi sui Motori: 15 years and many satisfied customers 1998 Alessandro Reggiani founded a software company named Syner.it Informatica aimed at SME customers. The company evolved over time from a system integrator to a web agency. In 1998, Google was also born, and anticipating the market needs, Syner.it invested in the development of know-how in the field of Search Engine Optimization (SEO) In 2004, the brand Primi Sui Motori, the positioning service created by the company, was founded. Various web-agencies began to use it, distributing it to their customers nationwide In 2007 Primi sui Motori S.p.A. was born as a spin-off of Syner.it Informatica s "internet and positioning" branch. Providing SEO services became the core business A project was started for the national expansion of the direct sales network, offering Search Engine Marketing (SEM) services, and Search Engine Optimization (SEO) for positioning on search engines Primi sui Motori expanded its range of Web Marketing services and further expanded the sales network and the number of employees to support the business' fast growth. Equilybra Capital Partners acquired 20% of Primi sui Motori. The company continued to develop new services and expand its network of agents over SMEs, consolidating trade policy and strengthening its organisational structure. The skills acquired also enabled Primi sui Motori to serve medium-to-large businesses. Primi sui Motori Strictly confidential - All rights reserved - No reproduction or diffusion without written authorization 7

8 Corporate structure Primi sui Motori was born in 2007, as a spin-off of the "internet and positioning" branch of the software company Syner.it Informatica Srl Around 20% is currently traded on the market Equilybra Capital Partners 14,9% Shareholding structure Giuseppe Marmo 6% Managers 2,74% Equilybra Capital Partners is an investment company established by Matteo Gatti and Paolo Prati. It became a 20% shareholder of PSM in 2009 Float 19,6% Syner.it Informatica Srl 56,8% The share capital of Syner.it Informatica is as follows: - Alessandro Reggiani 92.5% - Daniele Mariano 7.5% Primi sui Motori Strictly confidential - All rights reserved - No reproduction or diffusion without written authorization 8

10 SEO Search Engine Optimization The Core Business: Primi sui Motori is an Italian leader in search engine optimization service for natural positioning. SEO (Search Engine Optimization): Natural Positioning is the positioning generated by the search engine algorithms based on the best match between the research carried out and content available on the web. It is the most reliable result and the one most highly respected by web surfers. PSM helps SMEs to improve their natural positioning. Primi sui Motori Strictly confidential - All rights reserved - No reproduction or diffusion without written authorization 10

11 Case History Company Faraone is a producer of steel and aluminum frames. Report Report produced by the technological platform. Notes: * The current client portfolio consists of approximately 5,000 customers. The positioning of each customer is estimated based on the series of keywords chosen (between 5 and 25 keywords). NUMBER OF OVERALL RESULTS ACHIEVED FOR CUSTOMERS ON SEARCH ENGINES (15 search engines) *: - Position 1: 207,021 - Page 1 (2 nd to 10th place ): 204,530 - Page 2 (11 th to 20 th place ): 74,593 Primi sui Motori Strictly confidential - All rights reserved - No reproduction or diffusion without written authorization 11

12 The offer Siti Internet Sales Break down by products 3,40% 2,05% 0,95% 2,96% Positioning Web Sites 13,84% Social Networks Social PSM Panel 76,80% E-commerce Various PPV Primi sui Motori Strictly confidential - All rights reserved - No reproduction or diffusion without written authorization 12

13 WEB REPUTATION Primi sui Motori designed and developed "DICONO DI ME", a solution for Monitoring, Analysis and Measurement of Online Reputation. APPS The new services 2013 Together with its subsidiary 3Ding Consulting, Primi sui Motori is building a platform to create standard APPs for the Italian SMEs. In fact, the advent of Smartphones and tablets has led to the disruption of the traditional advertising/promotional channels and made the Mobile Apps into successful advertising tools encouraging customer loyalty (user engagement) - The market for Mobile Apps is not mature yet and still has potential to be explored. In 2013 the growth of this market should be around 62% reaching a market share of $25bn- Primi sui Motori aims to spread this service by creating a solution that is easy to use but also customizable depending on the preferences and needs of the individual customer (development by 2013) Primi sui Motori Strictly confidential - All rights reserved - No reproduction or diffusion without written authorization 13

15 Business model Reporting First contact The first approach with the customer can take place in different ways: Call center Appointment by the potential customer via the website Pre-sales The pre-sale call is made by the agents or a qualified internal employee to understand the customer's needs Meeting The agents meet the customer to further examine needs and to plan positioning on search engines The services offered by Primi sui Motori are then described Stipulation Contract The agent handles the signing of the contract with the new customer The Customer Care Office contacts the customer to define the terms and conditions of the contract Providing service Production handles project development and provides the service The customer is updated regularly (every 3 months) with an report that shows the improvements in positioning Cross Selling Word of mouth between customers Primi sui Motori Strictly confidential - All rights reserved - No reproduction or diffusion without written authorization 15

16 Customer type Primi sui Motori has a very diversified client portfolio that covers all sectors. The Company's business clientele is very fragmented, and consists of over 5,000 companies. The Company s business clientele is concentrated mainly in the North, with almost a third of the customers located in Lombardy and Emilia Romagna Primi sui Motori Strictly confidential - All rights reserved - No reproduction or diffusion without written authorization 16

17 Sales network The company has three sales networks which guarantee wide coverage across the country: 1. A network of over 80 external agents with regional offices 2. An internal network of 12 managers/agents 3. As of April 2013, the company is implementing a new network, PrimiCom, which currently involves 20 agents dedicated to selling online advertising. Primi sui Motori Strictly confidential - All rights reserved - No reproduction or diffusion without written authorization 17

18 Internet perception Medium low Medium high The Customers and the "4 quadrants" The Primi sui Motori market can be segmented into 4 areas depending on the level of technical skills and the level of perception with respect to the Internet channel. Medium low The Curious: about 3,500 customers, and this is PSM's main segment, with no competitors. This segment has a large customer potential THE CURIOUS They have a website with poor visibility or that they do not actively use Average expenditure Technical skill Medium high Experts: segment in which PSM is not yet present, but plans to enter. The average expenditure is very high and the services are highly customized. Average expenditure over 50 thousand EXPERTS Medium to large companies willing to invest in online marketing Average expenditure less than BEGINNERS Those who do not have a website or have a web page on sites operated by third parties PROACTIVE Those very likely to use the internet Average expenditure 10/20 thousand 3 The Curious: about 1,000 customers, and this is the second target segment of PSM, with a large number of potential customers, but characterized by greater competition. Proactive: about 500 customers, mainly SMEs. Although there is a high potential in terms of customers, the segment provides high profit margins thanks to the customization of the services offered. Primi sui Motori Strictly confidential - All rights reserved - No reproduction or diffusion without written authorization 18

20 Strengths Critical success factors COMPANY LISTED ON AIM, ALTERNATIVE INVESTMENT MARKET ABILITY TO BE AHEAD OF THE MARKET TRENDS WIDESPREAD DISTRIBUTION NETWORK WIDE RANGE OF SERVICES SIGNIFICANT TRACK RECORD FRAGMENTED CLIENTELE FIRST MOVER CUSTOMERS Primi sui Motori Strictly confidential - All rights reserved - No reproduction or diffusion without written authorization 20

21 The past 10 months July July Giorgio Valerio Primi sui Motori listed on AIM in the Italian Stock Exchange. Since September 2012 is a member of the Board of Directors at Primi sui Motori Since July 2012 Investor & Advisor at Primi sui Motori Former CEO of RCS Digital, RCS Quotidiani and Unidad Editorial Graduated in Business Administration, University of San Francisco Enrico Berlingieri Giorgio Avanzi Since April 2013 is a member of the Board of Directors at Primi sui Motori Since July 2012 Investor & Advisor at Primi sui Motori Former General Manager at CartaSì Graduated in Economics at Bocconi University Since July 2012 Investor & Advisor at Primi sui Motori 2007 Business&Project manager at Lottomatica 1995 Participated in the operational start up of Omnitel Graduated in Business Studies, London November Luca Giorgerini Since November 2012 is the Chief Financial Officer at Primi sui Motori May 2012: CFO at Erg Renew S.p.A. and concurrently Managing Director and Tax Manager at Erg Power&Gas S.p.A : CFO at EnerTard S.p.A. (listed on the Milan Stock Exchange) : Director of Corporate Administration later CFO at Tecnosistemi S.p.A Graduated in Business Administration at Bocconi University in Milan December Carlo Fornaro Since December 2012 Investor & Advisor at Primi sui Motori Director of External and Institutional Relations at Telecom Italia Corporate Communications Director at Luxottica Group Director of External and Institutional Relations at such Groups as: Vodafone Italia and RCS Media Group Graduated in Modern Literature at La Sapienza University in Rome Primi sui Motori Strictly confidential - All rights reserved - No reproduction or diffusion without written authorization 21

22 February Cesare De Giorgi Since February 2013 he is Marketing Director at Primi sui Motori : Xtension, consulting firm, co-founder & partner : Wopps (Omnia Network S.p.A. Group ) Partner : Fiat Group, Ciaoweb, Head of Partner & Customer relationship management The past 10 months : Participated in the development and launch of Omnitel Vodafone with different roles in Sales & Marketing Graduated in Business Administration from Bocconi University in Milan He is Topic Leader, Innovation & Bocconi Alumni Association March Primi sui Motori reached an agreement for the acquisition of a 51% stake in 3Ding Consulting Srl, an operator specialized in APPs for mobile devices, web applications and advanced visual communication (digital signage) Primicom was born, Primi sui Motori's On Line ADV division April Primi sui Motori launched DiconoDiMe, the brand new platform for selfmade Web Reputation, which will allow our customers to monitor the Buzz and sentiment on the major search engines and social networks. May Capital increase due to acquisitions Capital increase due to growth Primi sui Motori Strictly confidential - All rights reserved - No reproduction or diffusion without written authorization 22

23 Strategies The launch of new businesses: Web Reputation services and Apps (included in the plan from 2014) The creation of the PrimiCom advertising network (included in the plan from 2014) Strengthening the brand Cross-selling and customer care, thanks to the creation of the internal Marketing and Business Development division Strategic Joint Ventures External growth Primi sui Motori Strictly confidential - All rights reserved - No reproduction or diffusion without written authorization 23

24 The Business plan Revenue by sales network / REVENUES Act RICAVI Ebitda / EBITDA Act EBITDA 2015 The business plan was developed taking into account: - The target sector and leadership position that provide ample room for growth - The pursuit of strategies In the business plan, the following have NOT been considered: - The strategic Joint Ventures - External growth Primi sui Motori Strictly confidential - All rights reserved - No reproduction or diffusion without written authorization 24