The Lucrative World of Classifieds: Investment and Innovation - Presentation by Peter Zollman, Founding Principal and Katja Riefler, Principal & Director EMEA of AIM Group at the NOAH 2013 Conference in London, Old Billingsgate on the 14th of November 2013.

1. The lucrative world of
classified advertising:
Investment and
innovation
14 November 2013

2. Briefly …
• About the AIM Group
• Classifieds and margins
• The ‘Big Five’ global
classified companies
• Eight major investors
• Questions and answers
• Giveaway / wrap-up

3. About us
Consultants …
and publishers of

7. About us
We’re
‘consultants
who publish’…

8. About us
Peter M.
Zollman,
founding
principal
Katja Riefler,
principal /
director – EMEA
Global, virtual network
32 consultants / analysts
Many clients you know

9. About us

10. The lucrative world of
classified advertising:
Investment and
innovation
14 November 2013

11. What made
newspapers
so profitable?
It was the
classifieds!

12. 2004 recruitment advertising
revenue: $130 million
2009 recruitment advertising
revenue: $13 million

13. Now:
Three of the
most profitable
classified websites

14. 2012 revenue: €97.7 million
2012 net profit: €67.7 million
Margin: 69.2 percent
H1 ’13: Revenue +31 percent
Margin: Exceeds 70 percent

15. … and they’re
just
getting started!

16. 2012 revenue: $214 million
2012 net profit: $104 million
Margin: 49 percent
Q2 ’13: EBITDA hits 55 percent

17. … most mature
site at Schibsted

18. 2013 revenue: $166.5 million
Profit: $130 million
Margin: 78.6 percent *
Craigslist could quadruple
revenue and improve quality
… but it doesn’t want to!
Source: AIM Group estimates

19. The ‘Big Five’

21. •
•
•
•
•
Aggressive, determined, competitive
More than 40 brands – some ‘hidden’
Some profitable, many ‘investment’
Most based on Blocket (Sweden) model
Wants to be No. 1 everywhere

22. •
•
•
•
•
•
Big stakes in TenCent (China), Mail.ru
23 key countries identified as targets
Multiple brands in multiple countries
Olx, Avito.ru, Allegro Group, others
E-commerce and classifieds
Internet revenue overtook Pay TV

23. • All in ‘Marketplaces’ unit (revenue,
expenses impossible to determine)
• Major brands include Gumtree, Kijiji,
Marktplaats, Mobile.de
• 2013 ‘roller-coaster ride’
• Tying in to social media, auctions

24. • General Atlantic --- 30 percent stake
in A / S Digital Classifieds
• GA: €320 million investment (at least!)
• Stepstone, Immonet, SeLoger
• Added TotalJobs, Immoweb.be, more
• ‘If an opportunity shows up, we can
act fast --- as we have proven’
• Last week: Acquired SaonGroup

26. Investors *

29. Now for the
giveaways …

30. The free giveaway

31. The free giveaway

32. Conference discount
20 % discount
Two weeks only!
AIMGroup.com
Code:
20NOAH
Money-back
guarantee

33. Your turn ...
Q&A
… and then a
social media tip

35. Thanks to …
Jan Brandes
Marco Rodzynek
… and to all of you!

36. peterz@aimgroup.com
+1.407.788.2780
katjar@aimgroup.com
+49 (89) 6.214.6044