www.ugift.com.ua www.angel.co/ugift

The Most Convenient Gifting Solution in Ukraine

Problem = Poor gifting solutions in Ukraine

Requires merchants to make a design, print many cards, purchase special software

Typically only sold inside the merchant’s own store (ie. attracts only current customers)

Gift Cards by Payment Systems

Not available in Russia/Ukraine due to legislation (not expected to change soon)

In-Store Gift Cards by Retailers

Online Gift Cards by Retailers

Mainly only promoted on company’s own website

Often not visibly appealing as a gift

www.ugift.com.ua

Online Gift Card Specialists

Only promoted online

Little / no personalization

Not promoted by partner

1 2

3 4

Our Solution = Maximum flexibility where you buy

On uGift Website On Partner’s Website using uGift API

At our Partner’s Shops

(just grab a card from stand and pay)

At Retail Partners (sell “universal” certificates for 3 denominations)

Our website has the simplest, best user experience of any gift certificate site on the

Ukrainian market. See for yourself!

Our Solution = Maximum flexibility where you use (over 70 partners signed in Kiev)

Restaurants

Salons

Sports Clubs / Dance Studios

Snow boarding lessons

Cooking Classes

Photo sessions

Bowling

Retail Stores

E-stores

Karting

Aqua Park

Our Solution = Maximum flexibility in how to deliver

Physical Card Delivered by Courier

Email

Facebook Wall SMS

How our product works?

www.ugift.com.ua

Customer sees ad for uGift on Google or sees our stand in his favorite restaurant or salon

1

Customer visits site and selects what merchant he wants to buy a gift for and amount to give

2

Customer makes personalized greeting card and uploads optional photo(s)

3

Customer choose delivery method and pays 4

Delivery Email SMS

Receiver gets uGift and uses at the store 5

Merchant checks security code to authenticate and accepts the uGift

6

How we get customers

Online Advertising / SEO Weekly Friends’ Birthday Reminders

Visibility in Retailers & at our Partner’s Outlets

Active Social Network Strategy

In top 1-2 pages of search results on all key search terms relating to gift certificates

A4 sized stand sits near cash register in 30+

partners and 4 retail partners

150 Likes on FB, 300+ on vKontakt and many

more on Google+

The main competition is from online gift specialists

Online Gift Certificate Sites (Bodo.com.ua, Originaloff.com.ua)

• Their strategy: Focus on selling online and target mainly fun activities (eg. skydiving).

• Their Strength: High search results, recognized online brand

• uGift’s Advantages: 1) No service fee 2) Ability to add greeting cards 3) Much more options (especially restaurants, beauty) 4) Better design/user experience 5) Ability to buy in partner’s store or site 6) Ability to buy in retail outlets

R www.ugift.com.ua

• Their strategy: Provide a choice of several different gift options and allow receiver to choose one. Sell in retail and online.

• Their Strength: Good retail presence, recognized brand

• uGift’s Advantages: 1) No service fee 2) Ability to add greeting cards 3) Instant delivery by SMS & email 4) Ability to choose any of uGift’s 60+ partners 5) Ability to buy in partner’s store or site

In-Store Certificates (Smile)

Right now there is no competition in retail… it is a land grab!!

Our Business Model generates strong gross profit!

www.ugift.com.ua

Payment to a merchant

Cost of a new customer

$4

$21

Average value of a card

Gross profit

$5

$25

Revenue per customer

$9 (35% margin)

• More than 50 partners signed at margin of 30-40%*

• Daily Deal sites take 75%+… uGift is an easy sell!

• Target conversion is 2% on combination of CPC/search engine results (current = 0.5%, reducing through user experience improvement)

• Target cost of 1 visitor = $0.10 (current = $0.15, reducing thru SEO strategy)

• Therefore new customer will cost ~$5 (or $0 if they find us in-store)

Voucher for

200uah

(65%)

16% of card value

Economics of Typical Transaction

*Standard margin is 40% but just 30% for those merchants that offer to place a uGift stand that we provide them at the cash register.

Validation of our model

www.ugift.com.ua

• We are already selling about 5 -10 certificates per week… or about $1000 of gross sales is forecasted for August

• This is with very little marketing budget and we are just launching our vastly improved new site

• We have invested in SEO and it is starting to show its results… uGift is in top 2 pages of search results on most popular search terms

• Retailers are eager to sell our certificates and are willing to do so for a margin of just 11%. We already have 4 retailers signed and are talking to numerous others.

• Our partners are willing to sell our certificates in their own stores and still give us 30% commission (about 40 of our 70 signed partners have agreed to this so far)

Our Team is one of the most experienced startup teams in Kiev

COO - Andrey Jivolovich • Formerly head of strategic projects at

Groupon UA • Previously was an equity trader at Phoenix

Capital

Team Board

CTO – Mark Magura • Formerly CTO of Vertigo • Graduated National Aviation University with

specialty in programming

Ken Leaver • CEO of Groupon Ukraine, the leading

daily deal site in the country • 7+ years of strategy consulting

experience (incl. BCG) + 3yrs at Visa Inc.

Hrish Lotlikar • Managing Partner, Eastlabs • As working as a VC at Spencer Trask

Ventures, invested in Innocentive, Cybersettle, LocalMatters.com, others

Daniel Tonkopiy • Co-founder and CEO of Best.ua, one

of the leading review portals in Ukraine

Alexey Orap • Co-founder and CEO of YouScan • 15+ years experience in Internet and

telecom (Yandex, Alcatel-Lucent)

www.ugift.com.ua

Mentors

Head of Sales – Andrey Tirel • 2 years at DSS Global Trading where Andrey

rose from Junior Specialist to Head of Dept.

Dmitry Havrylenko • Managing Partner of Investment

Banking, Pheonix Capital • Managing Partner at Concorde Capital

The Ask and Funding Uses

www.ugift.com.ua

• Looking to raise $80,000 of which we already have $40,000 as a soft commitment

• This will be used for: -$20,000 for marketing (SEO, Pay-per-Click) -$30,000 expansion of partner network & expansion of retail sales in Kiev -$30,000 expansion into 5 regional cities

• Milestones that we will reach: 1) Break-even by February 2013 (no further funding will be needed before achieving break-even) 2) $20,000 of monthly sales by end of year