The Solution – Personalized Wine
4
An ecommerce business that delivers quality brand name wine matched to each consumer’s personal “Taste Profile” on a recurring basis
How We Make Money
7
!
“OneBox” – 6 Bottles in CA!
Wine $45.00
Shipping $24.00
Compliance $ 2.50
Credit Card Processing $ 2.50
WineSimple Margin ! $16.00!
Consumer Price! $89.99*!* Less than typical retail for same 6 bottles!
Market
• U.S. Market - 100M consumers will spend $40B in 2015!
!• Initial Target Market!– Women: Buy over 70% of wine for home – Retail price point: $8 to $19.99 - Fastest
growing market segment
8
Ecommerce Metrics
9
Digital ! $15.00
Referral! $10.00 - $20.00
“Worthy Cause”! $9.00
Influencer! $10.00 - $15.00
Organic/Viral! $0.00!
• Personalized Subscriptions!
• Engagement!• Help in stores and
restaurants!
Target Customer Acquisition Costs!
How To Increase Long Term Value!
Business Traction
• E&J Gallo chose WineSimple to create app to help retailers sell more wine & paid $90K !
• 85% of people who rated a wine recommended by WineSimple rated that wine a “4” or “5” on a 5 point scale (96% after rating 5 wines)!
• Strategic partnership with Step Up Women’s Network to promote WineSimple to 50,000 members!
• Ability to sell more than 70 quality brand name wines without the need to purchase the inventory!
• Strong experienced team in place!10
Projections
• Wine revenue - Grow from $860K to $50 Million over 4 years!
!• WineSimple revenue - 14% of wine
revenue growing to 18% or more!
• Cash flow positive in Year 3!!
11
Future Revenue Opportunities
• Increased profitability from lower wine cost!• Licensing!• Advertising!• Data sales!
12
Competition
13
Ecommerce Retailers!
True Personalized Selections!
Brand Name Wine!
No Inventory Cost!
Target Mass Market!
✔ ✔ ✔ ✔ −
− − −
− − − ✔
− ✔ ✔ ✔
− ✔ ✔ −
− ✔ ✔ ✔
Team
Founders/!Board/Management! Background!
Robert Miller
Dick Wollack
Richard Marcus
Amanda Richardson
Nick Halsey
Advisors!
Will Glaser
Paul Yanover
Camille Watson
14
Funding
• Raising $800K!– Secured convertible debt – 20% discount to next round (equity) with
$3 Million cap • Use!– 12+ months of operations – Validate CAC – Improve LTV
15