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noon Marketplace Overview

noon Marketplace Overview

A deck detailing noon's marketplace model. Published as received on the 12th of July 2017.

If you're not in the know, this deck refers to noon.com, an upcoming marketplace e-commerce platform in the GCC and Middle East.

Omar Kassim

July 12, 2017
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Transcript

  1. marketplace
    overview

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  2. Foundation
    of noon

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  3. The Foundation of “noon”
    • noon is led by Founder Mohamed Alabbar, the Chairman of
    Emaar Properties, in a joint venture with Saudi Arabia’s
    Public Investment Fund and a group of prominent Gulf
    investors.
    • A game-changer. An innovator. A regional powerhouse.
    noon is all of these and more – it is an online retail
    experience that is set to revolutionize the shopping
    experience in the Middle East forever.
    • With initial investment of US$1 billion, noon will launch
    services initially in the UAE and Saudi Arabia, with plans to
    cover the rest of the GCC, before branching out to cover the
    whole of the Middle East and North Africa region in due
    course.
    • In the process, noon aims to help boost online sales in the
    region from 2 percent of the total retail market (US$3 billion)
    to 14 percent ( US$70 billion ) within a decade.

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  4. marketplace
    overview

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  5. regional
    e-commerce
    potential

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  6. Why sell online?
    With worldwide e-commerce sales expected to reach US $1.9 trillion this year, there is a significant
    opportunity for retailers to access new markets and sell online.
    65%
    Make purchases from out-of-country
    online retailers.
    54%
    Buy products online weekly or monthly.
    46%
    Are making purchases via mobile devices.
    MASSIVE GROWTH POTENTIAL

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  7. E-commerce in the GCC is ramping up. Fast
    E-Commerce in the UAE is expected to grow 25% to 35%
    annually over the next 5 years
    *Source: Euromonitor
    E-Commerce in KSA is expected to grow at 40% to 50%
    annually over the next 5 years
    *Source: Euromonitor

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  8. E-commerce is
    [email protected]. Confidential. Do not distribute.
    ..complicated..

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  9. about us

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  10. About Us
    Dubai
    Offices
    • noon pay secure payment gateway
    Riyadh
    • $1 billion investments
    • iOS and Android,
    responsive website
    • 3.5 million square foot
    fulfillment center

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  11. Extensive retail & ecommerce experience
    • Combined, the noon team has decades of experience in technology, retail and
    ecommerce, having worked for a variety of online and off-line retailers, brands and
    distributors.

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  12. There is a gap in the online retail market offering
    in the Middle East
    • High penetration of internet users
    • High adoption of mobile in other
    business sectors
    • Limited online product assortment
    • Slow delivery
    • Poor customer service
    • Lack of trust in product quality &
    authenticity
    High Demand Low Supply
    • Limited product assortment from
    brick & mortar shops
    • Super connected young population
    comfortable shopping online

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  13. +
    Local online shoppers
    buy from abroad
    § Higher costs
    § Longer delivery time
    INTERNATIONAL
    ECOMMERCE
    + +
    +
    +

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  14. How does noon ensure customer centricity?
    In-house Technology
    new and scalable
    In-house Payment
    fast and secure
    Warehousing
    focus on speed and quality
    Assortment
    breadth and depth that cannot be
    reached offline
    Customer Service & After Sales
    ease of use for customers and sellers
    Logistics
    excellence in service levels

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  15. noon
    marketplace

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  16. noon marketplace: the next big thing!
    • We have developed a beautiful e-commerce platform for the GCC. From early-stage ventures to
    large-scale enterprises, noon’s marketplace gives you the tools you need to grow your business
    through e-commerce channels.
    Fulfill Orders
    Schedule Shipping and Deliveries
    Connect with Buyers
    Sell More
    Analytics
    More Traffic
    Access to over Millions of Potential Customers
    Fulfilled by noon

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  17. noon offers multiple selling models to suit the
    needs of our customers and sellers
    Fulfilled by noon
    FBN
    Back to Back
    B2B
    noon
    Customer
    Fulfillment
    Center
    Seller
    Warehouse
    Customer
    Quality
    Control
    noon
    Customer
    Fulfillment
    Center
    Quality
    Control
    Customer
    3hrs+
    1day+

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  18. noon offers multiple selling models to suit the
    needs of our customers and sellers
    MARKETPLACE
    Fulfilled by noon Back 2 Back
    Price Control Seller Seller
    Payments Sellers paid weekly after sale of goods Sellers paid weekly after sale of goods
    Inventory Ownership Seller Seller
    Replenishment Control Seller Seller
    Storage noon CFC Seller
    Delivery & Packaging noon noon
    Delivery SLA 3 hours+ 1 – 3 days
    Commission Sales commission + storage + pick & pack fees + Closing
    Fees
    Sales commission + Closing Fees

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  19. Fulfilled by noon
    Higher conversion
    Higher traffic
    Easier access to customers
    Eligibility to run noon deals
    60%
    FBN
    Fulfilled by noon
    B2B
    Back to Back
    Fastest
    Moving
    Products

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  20. Marketplace category commissions
    Categories % of Selling Price
    Fashion 14%
    Electronics 3.5 - 5%
    Home & Kitchen 13%
    Grocery, Health & Beauty 4 - 14%
    Toys, Kids, & Baby 8 - 15%
    Books & Media 5 - 15%
    Sports & Outdoor 10 - 15%
    Cars & Automotive 10 - 14%

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  21. Fulfilled by noon fees
    Storage Fees
    Period Fees (AED) per cubic feet per month
    Up to 60 days 1.5
    60 to 180 2
    Long term (180 plus days) 8

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  22. Pick and pack fees
    Pick & Pack Fees Size Definition ( either condition met )
    Sizes Fees (AED) Max cubic cm
    Extra Small Size 2.5 152
    Small Size 5 975
    Medium Size 10 5121
    Oversize 15 12700
    Bulky (Special Handling) 20 12700+

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  23. Fulfilled by noon fees
    Storage Fees
    Period Fees (AED) per cubic feet per month
    Up to 60 days 1.5
    60 to 180 2
    Long term (180 plus days) 8

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  24. Launch promotion
    Category commission
    0%
    Pick and pack fees
    (excluding closing fees)
    0 AED
    Storage fees
    0 AED
    Limited time only

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  25. 25
    Thank you!

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  26. category
    commissions

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  27. Marketplace category commissions
    Categories % of Selling Price
    Fashion 14%
    Electronics & Electronics
    Accessories
    3.5 - 10%
    Home & Kitchen 13%
    Health & Beauty 8 - 14%
    Toys, Kids, & Baby 8 - 15%
    Books & Media 5 - 15%
    Sports & Outdoor 10– 15%

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  28. Marketplace category commissions
    Categories Variants % of Selling Price
    Apparel 14.00%
    Footwear 14.00%
    Bags& luggage 14.00%
    Watches 14.00%
    Eyewear 14.00%
    Jewelry
    Gold 10.00%
    Others 14.00%
    Apparel Accessories 14.00%
    Fashion

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  29. Marketplace category commissions
    Categories Variants % of Selling Price
    Mobiles 3.50%
    Laptops & Tablets 4.00%
    Cameras 4.00%
    Audio & Video 4.00%
    Appliances 4.00%
    Accessories
    Wearables & Storage 5.00%
    Other accessories 10.00%
    Electronics
    ( CCC )

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  30. Marketplace category commissions
    Categories Variants % of Selling Price
    Kitchen & Dining 13.00%
    Bedding & Bath 13.00%
    Home Décor 13.00%
    Furniture 13.00%
    Gardening 13.00%
    Home Improvements 13.00%
    Kitchen & Dining 13.00%
    Home & Kitchen

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  31. Marketplace category commissions
    Categories Variants % of Selling Price
    Color Cosmetics 8.00%
    Fragrances & Deodorants 14.00%
    Hair Care & Grooming 8.00%
    Personal Care (Skin, Oral, Sun) 8.00%
    Health &
    Beauty

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  32. Marketplace category commissions
    Categories Variants % of Selling Price
    Toys 10.00%
    Video Games 10.00%
    Baby Care
    Diapers 8.00%
    Other Baby Care 15.00%
    Baby Gear 10.00%
    Baby Clothing 15.00%
    Toys, Kids
    & Baby

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  33. Marketplace category commissions
    Categories Variants % of Selling Price
    Books 5.00%
    Music 15.00%
    Video 15.00%
    Books & Media

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  34. Marketplace category commissions
    Categories Variants % of Selling Price
    Sports Gear 10.00%
    Fitness Equipment 10.00%
    Sport Nutrition 15.00%
    Camping & Hiking 15.00%
    Sports Gear 10.00%
    Fitness Equipment 10.00%
    Sports &
    Outdoor

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  35. Marketplace category commissions
    Categories Variants % of Selling Price
    Automotive Accessories 14.00%
    Car Care Products 14.00%
    Automotive Electronics 10.00%
    Cars &
    Automotive

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