S T A Y I N G A H E A D OF T H E G A M E C A P I T A L M A R K E T S D A Y 2 0 1 6 R U B I N R I T T E R 22-03- 2 0 1 6
W E A R E I N A N E X C I T I N G I N D U S T R Y : F A S H I O N + O N L I N E + E U R O P E 2
F A S H I O N I S O N E O F T H E M O S T A T T R A C T I V E C O N S U M E R C A T E G O R I E S L A R G E C O N S U M E R M A R K E T H I G H G R O S S M A R G I N S 2 E M O T I O N A L P R O D U C T S W I T H H I G H E N G A G E M E N T 46bn online 40-60% Z A L A N D O C O M M E R C I A L 420bn total fashion market 1 Fashion Beauty Food & Drink Books Electronics 3 Source: Company filings. (1) Euromonitor International, January 2016, 2015 values based on actuals and estimates; fixed exchange rates. Data for Europe (excl. Russia) incl. apparel and footwear, bags and luggage, jewellery and watches. All market figures inclusive of sales tax. Company information. (2) Segment gross margins based on average of industry players; LTM figures as per the most recent published company filings.fashion: Asos, Yoox and Boohoo; Beauty: Jumei; Food and Drink: Ocado; Books: Amazon; Electronics: Amazon, Dangdang, JD.com.
O N L I N E A L L O W S U S T O S C A L E F A S T A N D E F F I C I E N T L Y CAGR 2013 2015: 37% Online fashion 15% Total fashion 1% 4 Source: Euromonitor International, January 2016, 2015 values based on actuals and estimates; fixed exchange rates. Data for Europe (excl. Russia) incl. apparel and footwear, bags and luggage, jewellery and watches. All market figures inclusive of sales tax. Company information.
E U R O P E I S A L A R G E A N D A T T R A C T I V E M A R K E T W H I C H I S S T R U C T U R A L L Y W E L L S U I T E D F O R O N L I N E F A S H I O N 100 Density of fashion spend in 1 75 50 25 0 Middle East Asia Pacific Eastern Europe Latin America 0 200 400 600 800 1,000 1,200 Fashion spend per capita in Western Europe Australasia North America 5 Source: Euromonitor International. Data for Eastern Europe excluding Russia. (1) Fashion spend in 000 per square km.
O V E R T H E L A S T 8 Y E A R S, W E H A V E B U I L T S U S T A I N A B L E C O M P E T I T I V E A D V A N T A G E A N D S T R O N G B A R R I E R S T O E N T R Y
O N L I N E S C A L E : W E A R E T H E L A R G E S T F A S H I O N D E S T I N A T I O N T R A F F I C ( Q 4 / 1 5 ) B R A N D A W A R E N E S S 2 0 1 5 R E V E N U E Z A L A N D O C O M M E R C I A L 3.0bn ~2x ~450,000,000 1.7bn 1.2bn visits ~90% Zalando 2015 Asos 2015 1 brand awareness Asos: Group / Europe only 7 (1) LTM revenue as per Dec-2015 for total traffic of Asos as per respective public filing.
S T R O N G F A S H I O N F O C U S A N D E X P E R T I S E T O W A R D S C U S T O M E R S T O W A R D S B R A N D P A R T N E R S T O P S H O P C A M P A I G N C A L V I N K L E I N C A M P A I G N 8
B E S T - IN- C L A S S E C O M M E R C E I N F R A S T R U C T U R E A N D C A P A B I L I T I E S O P E R A T I O N S T E C H N O L O G Y 9
L O C A L M A R K E T L E A D E R S H I P D R I V E N B Y H I G H D E G R E E O F L O C A L I Z A T I O N L O C A L C O N S U M E R F A C I N G F R O N T E N D L O C A L A S S O R T M E N T L O C A L P A Y M E N T M E T H O D S L O C A L L O G I S T I C S P R O V I D E R S 10
W E A R E T H E P U R E P L A Y O N L I N E F A S H I O N L E A D E R I N E U R O P E W I T H S U S T A I N A B L E C O M P E T I T I V E A D V A N T A G E GENERAL E-COMMERCE FASHION E-COMMERCE VERTICAL FASHION PLAYERS EXAMPLES ONLINE SCALE a FASHION FOCUS/ EXPERTISE a BUY-IN FROM BRANDS n/m E-COMMERCE INFRASTRUCTURE/ TECHNOLOGY a LOCALIZATION a 11
W E D O N O T T A K E T H E F O O T O F F T H E G A S, B U T C O N T I N U E T O I N V E S T T O G A I N M A R K E T S H A R E
W E W I L L C O N T I N U E T O I N V E S T I N O R D E R T O R E A C H O U R G R O W T H A M B I T I O N WILLINGNESS TO INVEST ILLUSTRATIVE EXAMPLE In percent of revenue ~2.0 8.0-9.5 3.0-4.5 ~3.0 Adj. EBIT margin Commercial Platform Pro forma adj. EBIT guidance 2016 growth margin 2016 INVESTMENTS INTO COMMERCIAL GROWTH OF CORE Increasing customer satisfaction around assortment, mobile, convenience and brand PLATFORM STRATEGY Grow beyond wholesale New customer-facing speed boats Invest in tech and R&D 13
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P L A T F O R M : C O N S U M E R F O C U S P L A T F O R M : C U S T O M E R F O C U S [ I N S E R T V I D E O ] 16
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18 P L A T F O R M : B R A N D F O C U S
T E C H N O L O G Y C O R E 19
O P E R A T I O N S. C O R E 20
Z A L A N D O F A S H I O N S T O R E 21
Z A L A N D O L O U N G E 22
23 Z A L O N
Z A L A N D O M E D I A S O L U T I O N S 24
25 M O V M N T
D I S T R I B U T E D C O M M E R C E 26
O F F L I N E S T O C K I N T E G R A T I O N 27
28 T H E F I N A N C I A L P E R S P E C T I V E.
29 Q U E S T I O N S?
D I S C L A I M E R These materials do not constitute an offer of securities for sale or a solicitation of an offer to purchase securities of Zal ando SE (together with its subsidiaries, the Company ) in any jurisdiction. The distribution of this presentation may be restricted by law in certain jurisdictions and p ersons into whose possession any document or other information referred to herein comes should inform themselves about and observe any such restrictions. Any failure to comply with these restrictions may constitute a violation of the securities laws of any such jurisdiction. This presentation contains certain forward-looking statements relating to the business, financial performance and results of the Company and/or the industry in which the Company operates. Forward-looking statements concern future circumstances and results and other statements that are no t historical facts, sometimes identified by the words believes, expects, predicts, intends, projects, plans, estimates, aims, foresees, anticipates, targets, and similar expressions. The forward-looking statements contained in this presentation, including assumptions, opinions and views of the Com pany or cited from third party sources, are solely opinions and forecasts which are uncertain and subject to risks. Actual events may differ significantly f rom any anticipated development due to a number of factors, including without limitation, changes in general economic conditions, in particular economic conditions in Germany, changes affecting interest rate levels, changes in competition levels, changes in laws and regulations, environmental damages, the potential impact of l egal proceedings and actions and the Group s ability to achieve operational synergies from past or future acquisitions. The Company does not guarantee that the as sumptions underlying the forwardlooking statements in this presentation are free from errors nor does it accept any responsibility for the future accuracy of the opinions expressed in this presentation or any obligation to update the statements in this presentation to reflect subsequent events. The forward -looking statements in this presentation are made only as of the date hereof. Neither the delivery of this presentation nor any further discussions of the Company with an y of the recipients thereof shall, under any circumstances, create any implication that there has been no change in the affairs of the Company since such date. Conseq uently, the Company does not undertake any obligation to review, update or confirm investors' expectations or estimates or to release publicly any revisio ns to any forward-looking statements to reflect events that occur or circumstances that arise in relation to the content of the presentation. This presentation contains summary information only and does not purport to be comprehensive and is not intended to be (and s hould not be used as) the basis of any analysis or other evaluation. In addition, the information in this presentation is subject to change. No representation o r warranty (express or implied) is made as to, and no reliance should be placed on, any information, including projections, estimates, targets and opinions, contained h erein, and no liability whatsoever is accepted as to any errors, omissions or misstatements contained herein. 30
I N V E S T O R R E L A T I O N S i n v e s t o r. r e l a t i o n s @ z a l a n d o. d e 22-03- 2016