ShangPin the Leading Fashion Luxury Platform in China Company Profile In 3 years, ShangPin Becomes Fashion Online Benchmark in China ! ! First online retailer to sell “in-season” and full priced in China Online shopping mall with curated brand mix Highest online average sales with VIP customer base Sales & delivery to 400 cities across China, from 1st tier to 4th tier cities ShangPin History In 2004, ShangPin’s CEO, David Zhao, returned to China after working in the USA determined to launch a new e-commerce business model to sell high-end “branded” goods ! David’s idea was to launch e-commerce stores on the websites of Chinese banks that could leverage off their customer base that trusted in the products that the banks sold. ! ShangPin was launched in 2010 as a private members shopping for the VIP credit card customers of our banking partners that is now called Aolai.com ! We made fashion history in China in2012 by being the 1st online retailer to sell in-season contemporary and designer brands ! ShangPin still operates the e-stores of Chinese banks and has 10 years experience in serving VIP customers online- a track record that is unmatched in China ShangPin Milestones 12 ep t: -la RE sC an Br rie e,R Se M d ts by by en ei Ca VC Le un ij en Ev rs at bo gw m d be an em VC M ea Ch e e St sid ng at iv Pr d d en Ev de de as ni or ed n fu n fu de by ch sB d un de La ie er ,S un ,F y ul -J ct -O y ul -J ug -A -S 12 11 10 10 09 tS es al to n Ba ks VI PS es ic rv n vi Se an ce :L er m el m od Co m p r ile hi ile ob gs a M ta ca i Fl h re er Enc e m w A au lin of of Ne :L on h er s r 14 nc ed tn e 20 ic au ar gn i s P pr :L e ll se D ov fu ne on :N st om hi hi s 13 e” fir i.c tC a F 20 s a ric ’ l rs f lp ao na Fi o l ul hi t : ci as “f ep un sC te a go - S Co Si s ch 12 ( to e 20 DA un l: al S ta CF pi 20 20 20 20 20 20 Investors $60 Million in Venture Capital to be China’s leading online shopping platform for fashion and lifestyle World’s Most Exciting Online Marketplace CAGR: 500% Previous 3 years: Projected 300% Next 3 years 2015 RMB 4.0B ! 2015 2014 RMB 1.4 B 2014 2013 RMB 500M 2013 2012 RMB 120 M 2012 2011 RMB 30M 2011 2010 RMB 3M 2010 Launched in July ,2010 2010 ShangPin Customer Base Customers in every province with deliveries into 400 cities across China ! 85% of customers are between 20 – 45 years old 60% Female vs 40% Male ! 51% of customers in 1st tier cities 49% of customers are located in 2nd and 3rd tier cities ShangPin Group Retail Platform Online Shopping Mall ◆Multi-brand retailer with curated mix of trendy brands ! ◆ International Brand’s E-Flagship Stores ! ◆AoLai Members-Only Private Event Sales Mobile Commerce ◆WeChat ◆MicroBlog Services for Brands China All Online Partnership ◆Manage Brand’s multiple online e-stores ◆Manage Brands digital marketing & PR ◆Monitor brand’s pricing across e-channels ShangPin Online Shopping Mall E-Store Multibrand ▪ ▪ ▪ ▪ Full price 3 million customers In-season Average sale RMB 2000 E-Flagship Shop-in-Shop ▪ ▪ ▪ ▪ Full price 3 million customers In-season Average sale RMB 5000 Aolai.com Event Sales ▪ ▪ ▪ ▪ Off-season 5 million customers Membership Only Average sale RMB1000 ShangPin.com China’s Leading Online Shopping Mall for Fashion & Lifestyle ! ShangPin.com E-Flagship “Shop-in-Shop” Online Concession for International Brands LANVIN E-Flagship LA PERLA E-Flagship Aolai.com Members Only Flash Sales on ShangPin.com Platform Why ShangPin Is Unique in China China’s Only B2C Site with High End Customers Highest Average Online Sale Price in China: x10 Multiple of China Average Highest Average Sale Price RMB 2000 High conversion rate 5% We Invest in VIP Customer Acquisition Target premium credit card users via Bank Partnerships to reach affluent customers in 400 cities across China 10 Year Track Record Serving VIP Customers of Banks Since 2004, operating the e-stores of 3 leading Chinese banks with ability to run banner ads, direct marketing, and other cross marketing opportunities Partnership with Brand Marketing Investment ShangPin invests in building your brand’s awareness in China The First Chinese Partner of CFDA ShangPin as Marketing Partner ShangPin Invest in Building Your Brand in China Strategic Partnership with Top Women’s Fashion Media ShangPin Invest in Building Your Brand in China Strategic Partnerships with Top Finance & Mens Magazines Brand Building with Top Key Opinion Leaders and Celebrities 贾静雯 Jia Jingwen 孙茜 Sun Qian 李东学 Li DongXue 周韦彤 Zhou Weitong ShangPin Mobile Commerce China is World’s Largest Mobile Market China’s Booming Mobile Commerce Market 27 Engage & Educate & Convert Customers by Mobile Mix & Match Styling Campaign with QR codes to convert to mobile sales ShangPin Mobile Sales Multibrand & Mobile Flagship stores available on mobile platform for brand partners ShangPin Average Transaction more than desktop shopping ¥3,000+ tablet PC/ APP Over 30% sales from Mobile Aolai.com Mobile Sales Outlet Shopping App for Flash Sales Aolai Flash Sales Average Transaction ¥1200 65 % repeat customer ShangPin Services for Brands China All Online Partnership Online Management Across Multiple Platforms Centralized ERP with mix of SKUs selling on the most appropriate online store Brand Basic Tmall.com Basic Trendy Banks platform Old stock Aolai.com Fashion forward most updated ShangPin.com ShangPin Services for Brands Mobile Commerce by ShangPin ShangPin Mobile Services Brand’s M-Flagship Store on ShangPin Mobile Platform • M-Flagship on our Multi brand Mobile Commerce Platform on ShangPin APP & WeChat ! • Turn key solution from marketing, to fulfilment, to customer service. ! ! • In-store promotions & nearest store locator for OSO integration ! • Payment via WeChat, Alipay, etc ShangPin Strategic Partners Provide Brand Partners Special Synergies within our Network ShangPin International Media Women’s Wear Daily ! ! ! ! ! ! ! ! ! ! ! ! Please visit our media room @ http://as.shangpin.com/static/about/media.htm ShangPin International Media Forbes Asia Feb 2013 Magazine Feature Story ! ! ! ! ! ! ! ! ! Please visit our media room @ http://as.shangpin.com/static/about/media.htm ShangPin International Media Financial Times ! Please visit our media room @ http://as.shangpin.com/static/about/media.htm ShangPin International Media Channel News Asia Perspectives: How Do Brands Enter China ! ! Please visit our media room @ http://as.shangpin.com/static/about/media.htm ShangPin International Media South China Morning Post ! Please visit our media room @ http://as.shangpin.com/static/about/media.htm ShangPin Management Team David Zhao CEO Jacky Zhang PRESIDENT M. Claire Chung VP OF GLOBAL BUSINESS DEVELOPMENT Winnie Foon VP OF GLOBAL MERCHANDISING Li Ming VP OF MERCHANDISING Joanna Zeng VP OF MARKETING ShangPin Awards GIECF ▪Awarded 2012 Most Trusted E-Commerce Sites in China @ GIECF (Global Internet E-Commerce Forum) ! ! CCEI ▪Awarded The Top 10 Most Innovative Enterprises of 2012 @2012 Chinese Consumer Electronics Industry Forum ! ! AA ! ! ▪AA Credit Evaluation issued by Internet Society of China ! ! ! ! ! Join Us ! Let’s Make Fashion Online History in China Together ! www.shangpin.com