Guvenc Donmez Delivery Club
1 Russian food delivery market remains underdeveloped
Share of online food delivery users in 2019 Online food delivery market per capita in 2019, USD (% of employed population)
63% 73 60% 59% 68 67
49% 49% 44% 42%
33% 32% 36 26% 29 23
13 12 8
6
UK UK
USA USA
India India
Brazil Brazil
China China
Russia Russia
Turkey Turkey
France France
Austria Austria
Netherlands Netherlands Source: Statista, tradingeconomics.com Source: Statista, tradingeconomics.com 2 Food delivery market is expected to show strong growth, driven by online aggregators, where DC is the leader
Russian food services market in 2018… …and in 2022E
Food service market Food delivery, 132 RUB bn Food service market Food delivery, 242 RUB bn CAGR 16%
45% 1,498 83% 91% 9% RUB bn 1,683 86% 14% RUB bn 17% 55%
Dining at restaurants
Delivery by restaurant Delivery by aggregator
Source: Sberbank CIB 3 Delivery Club is the food delivery market leader in terms of users… 3.5 Monthly active users, mln
3.0
2.5
2.0
1.5
1.0
0.5
0.0 2018 2018 2018 2018 2018 2018 2018 2018 2018 2018 2018 2018 2019 2019 2019 2019 2019 2019 2019 2019 2019 -01 -02 -03 -04 -05 -06 -07 -08 -09 -10 -11 -12 -01 -02 -03 -04 -05 -06 -07 -08 -09
Delivery-club Dodo Pizza Dominos Pizza Papajohns Яндекс Еда Source: Mediascope, Russia, desktop and mobile, cities 100k+, age 12-64. 4 …and downloads
Downloads, iOS and Android combined, ths 800
700
600
500
400
300
200
100
0 2018 2018 2018 2018 2018 2018 2018 2018 2018 2018 2018 2018 2019 2019 2019 2019 2019 2019 2019 2019 2019 -01 -02 -03 -04 -05 -06 -07 -08 -09 -10 -11 -12 -01 -02 -03 -04 -05 -06 -07 -08 -09
Delivery club Dodo Pizza Dominos Pizza Papajohns Яндекс Еда
Source: AppAnnie. Delivery Club includes ZakaZaka. 5 New benchmark of 3m monthly orders achieved in September, with a balance between 3P and 1P
1P orders 1P/3P orders split 7.1x
3P 1P
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2017 2017 2017 2017 2018 2018 2018 2018 2019 2019 2019 2017 2017 2017 2017 2018 2018 2018 2018 2019 2019 2019
6 Strong network effect
1 2
Marketing New customers More More orders customers per customer
#1 market positions supported by powerful network effect 4 3
New More restaurants More orders Retention restaurants
7 Available in 120+ cities. 1P covers 30 cities with a combined population of 42m (30% of RU total)
RUSSIA Tver’ Perm Saint-Petersburg Nizhniy Novgorod Novosibirsk Kazan Ekaterinburg Moscow Krasnoyarsk Khabarovsk Omsk Samara Ufa Irkutsk Belgorod Ryazan Chelyabinsk Voronezh Tolyatti Vladivostok Rostov-on-Don Saratov Orenburg Volgograd Krasnodar Sochi
Note: as of September 2019 8 Orders are driven by new customers as well as improving previous years’ cohorts
Orders by year of customer acquisition 12-month retention rate
2019 2018 2017 2016 2015 2014
2014 2015 2016 2017 2018 2019
05 09 10 11 12 01 02 03 04 06 07 08 09
------
2019 2018 2018 2018 2018 2019 2019 2019 2019 2019 2019 2019 2019 9 With further acceleration in Q3 2019 business is firmly on track to more than double revenues in 2019
Revenue, RUB mln 2.9x 1 244
881 865
646
424 433 427
Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019 10 1P unit economics improvement
Balance 1P and 3P models for sustainable growth • 1P for better service and better choice • 3P for better margins
↘ Optimization of logistic costs per order ↗ Auto-assigned orders share
Q1 2019 Q1 2019
Q3 2019 Q3 2019
11 Addressing food needs of customers 24/7
Food delivery B2B Marketplace delivery Catering Own couriers delivery Group orders Coffee delivery Canteens: food allowance QSR
New retail Dark kitchens Users Prepared food kiosks Standard dark kitchens Self-service minimarkets Established brands Decentralized model Hyperlocal model Food subscription Ready-to-eat Mealkits E-Groceries In-restaurant experience Payment services Online hypermarket Order via app inside Corner shop Meal pre-ordering POS integration 12