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Your Trusted Source for Green Products. Currently t here is not a market leader for green products. We think we can become the premier online destination for consumers. 1. The Problem.
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Your Trusted Source for Green Products Currently there is not a market leader for green products. We think we can become the premier online destination for consumers. 1 The information contained within is proprietary and confidential. Dissemination without permission is strictly prohibited.
The Problem We started the company because we could not find a single source that focused only on green products and provided easily understood, detailed and transparent product standards. • Consumers want safe, healthy and eco-friendly products. • They are challenged to know what to believe and who to trust. • Who has time to sift through an endless stream of information. • Consumers want a convenient source from passionate people, delivering great service. BuyGreen.com has been Trusted since 2007 2 The information contained within is proprietary and confidential. Dissemination without permission is strictly prohibited.
Solution One-Stop Shopping Every product sold is analyzed and tested with our proprietary life-cycle based standards. Each product is given: * A Rating Emblem applied to product picture * Two Page Report for details of Rating * Available to public creates Transparency Thousands of products for both Consumers and Business 3 The information contained within is proprietary and confidential. Dissemination without permission is strictly prohibited.
Business Model • Primary Revenue based on Sale of Products • 30.6% gross margins for 2011 • Our business requires scale, and as we grow; • Nearly Cash-Flow positive • Opportunity to generate revenue on a retail and wholesale basis • Additional revenue can be generated from Services and Advertisement • 51% margins on Warehoused products • 23% margins on Drop Shipped products • Margins should increase • Revenue will grow at higher rate than associated costs 4 The information contained within is proprietary and confidential. Dissemination without permission is strictly prohibited.
Market • 2010 the LOHAS market was $290 Billion * 40 million in US considered LOHAS Consumers and another 38 % expected to move into the LOHAS category by 2016 ** LOHAS is an acronym for Lifestyles of Health and Sustainability, a market segment focused on health and fitness, the environment, sustainable living, and social justice. eCommerce • US Online Retail projected $226 Billion, an increase of 12 % over 2011 ** • Global sales will reach $963 Billion by 2013, an annual growth rate of 19.4% *** * The Natural Marketing Institute ** Forrester *** Goldman Sachs The information contained within is proprietary and confidential. Dissemination without permission is strictly prohibited.
Growth Strategy • More of traditional Marketing + Advertising • Concentrate on growing customer base. To date we have done very limited advertising due to lack of funds. • Grow Affiliate Program • Increase spend on PPC • Start Traditional Advertising • Grow Blogger Marketing • Improve eMail marketing • Grow Social Media Marketing • Develop more strategic relationships • Grow International Customers • Develop Portfolio of Sites • We believe there is an opportunity to develop additional eCommerce sites that focus on a product and customer niche supported by a Certification system. • We receive many inquiries from other retailers requesting access to our portfolio of products and fulfillment services. • Develop our proprietary standards as a service and develop advertising revenue from AskGreen.com The information contained within is proprietary and confidential. Dissemination without permission is strictly prohibited.
Customers • Primary Demographic: Women, Age 25 to • 55, College Educated, Middle to Upper Income • FemaleTransactions = 69.4%, $ = 66.2% • Geography: Strong in Northeast, Upper • Midwest and West Coast – sales in all states • B2BTransactions = 17.8%, $ = 38.7% The information contained within is proprietary and confidential. Dissemination without permission is strictly prohibited.
Competitive Matrix Green Products Only Broad Selection Green Standards Commercial Products Customer Service Inventory Carbon Neutral Give Back to Planet 8 The information contained within is proprietary and confidential. Dissemination without permission is strictly prohibited.
Management Team Douglas Farquhar, CEO Passionate about the green economy. Significant corporate experience with emphasis in marketing and technology. Track record of successful and profitable business and technology product development. Spent six years with AIG division as CIO and Vice President. Founding member of Applied Underwriters acquired by Berkshire Hathaway. Nominated by Orange County Business Journal as Entrepreneur of Year 2010. • Company Milestones • 20,000+ Shipped Orders and 6,800+ Registered Customers • BuyGreen.com has a 5 Google Rating and First page organic search ranking for over 40 keywords • Alexa Rating has gone from 465,312 to 158,212 in 28 months • 8000+ emails for our Newsletter and Promotions • 4000+ Likes on Facebook and 7000+ followers on Twitter • BuyGreen.com and Green Standards Trademarked by USPTO • Green Standards granted Patent Pending status by USPTO. • Google Trusted Store, Stella Service Excellent Rating, Member of Green America, Green Maven Trust Providerand 1% for the Planet The information contained within is proprietary and confidential. Dissemination without permission is strictly prohibited.
Financials With an investment, we believe we have created a platform that can scale quickly and grow profitably. 10 The information contained within is proprietary and confidential. Dissemination without permission is strictly prohibited.
The Deal • Current Investment: $145,000 by principal • Request: $500,000 • Alternatives: Convertible Note with Warrants • Planned usage of Investment: • Team: emphasis on Sales, Site Development, Product Management • Advertising: comprehensive approach using several methods • Product: grow product selection and increase inventoried stock to reduce costs and improve speed of product delivery 11 The information contained within is proprietary and confidential. Dissemination without permission is strictly prohibited.
Exit Strategy • Acquisition– we believe that an acquisition by an established eCommerce site is most likely exit. • Growth- we believe that we can grow the company and generate good returns to our investors. • Public – while we do not believe this is a likely scenario, there is a precedent of a successful public company in this space. • GIAIM - $280M in revenue, Market Cap of $92M (GIAI on Nasdaq) • There have been recent IPO activity for eCommerce including NewEgg.com, CSN Stores and Café Press The information contained within is proprietary and confidential. Dissemination without permission is strictly prohibited.