Unlocking Your eCommerce Potential

Local eCommerce trends

$2.4 TRILLION IN ANNUAL GDP GCC is one of the highest GDP per capita in the world today

110 Million Internet users 40% Annual Growth Rate

30 Million Online Shoppers

Regional eCommerce

0.5B 0.9B

1.3B

1.8B

3.0B

2011 2012 2013 2014 2015

7

9 11.2

12.8 15

0

2

4

6

8

10

12

14

16

2011 2012 2013 2014 2015

MENA eCommerce Billions USD Mobile Commence trends in the region

6x Growth

in 5 years

$1,521M Travel

$250M Electronics

$248M Computers

$222M Jewelry

$133M Household

$192M Sports

$107M Fashion

What people are buying online?

80

15

5

60

25

15

0

20

40

60

80

100

How people pay? (%)

Regional purchase

Cash on Delivery

Payment Cards

E-wallet

Souq.com is a General Merchandiser Offering more than 400,000+ products and 13,000,000+ listings across multiple categories including Electronics, Fashion, Health & Beauty, Home, etc. to five million members.

Established in 2005, Souq.com is the leading e-commerce destination in the Arab world. Acquired fashion platform Sukar.com in 2012. Business Model

Third-Party Marketplace allow 3rd parties to sell

their products

First-Party Operations we source, promote, fulfill & deliver

products directly to consumers.

Merchant

Marketplace

Retail Operations

eCommerce Solution power select strategic partners online businesses

eCommerce Solution

Our model

Launched Stores and fixed price option

Expands into KSA

Expands into Egypt

Launched first auction service in the Arab world

Launch of new platform & acquired new fashion platform Sukar.com

Expands into Kuwait & started retail operations

Continue to aggressively expand operations & launched Q-TAB

Our journey

Set up Q Express (Own logistics service)

Jabbar Internet Group was spun

out of the 2009 Yahoo Maktoob

acquisition, The group is one of

the pioneers in the fields of IT

and eCommerce in the region

and offer local know-how along

with a solid track record.

Maktoob exit you Yahoo was @

$ 187 Million USD

Naspers is a leading

multinational media group,

based in South Africa. The

group’s principal operations are

in internet platforms, pay-

television (MultiChoice) and the

provision of related

technologies and print media.

Most of Naspers’s businesses

hold leading market positions. Market Cap: $42.63B.

Tiger Global is a fundamentally-

oriented, global investment firm.

The Firm deploys capital in two

businesses - private equity

partnerships and public equity

funds. Tiger Global private equity

partnerships have ten-year

horizons and invest in growth

companies in the global Internet

and technology sectors.

Market Cap: $ 6 billon (Public

portfolio)

20

Our shareholders

Our marketing

Our leadership

Employees Customer Support

Fulfillment Center

Tech Support

Q-Express

Our infrastructure

Our Brand

Our Payment

Own Technology

Own Fulfillment

Own Delivery

Customers perceive online shopping to be one continuous process. Owning the full stack end-to-end solution allows us to have full control of the entire customer experience to consistently deliver to our promise.

Our end-to-end solution

Network of fulfillment centers around the

region.

Adopting the latest supply chain technologies.

Local customer service. Own and 3rd party logistics network.

Mobile Commerce Represents 30% of Sales & continues to be a primary focus for us.

GPS Powered Logistics

Our innovation

TEAM & LEADER

SELECTION

LOCAL OPERATION

TRAFFIC

FULFILLMENT

MARKET PLACE

Marketing

BRAND

Localized own fulfillment infrastructure in all markets

Largest marketplace in region (number of sellers & items)

Extensive online and offline marketing campaigns

Highest brand awareness among e-commerce players

Highest local traffic & largest buyer base of eCommerce site in region (22M visits per month & 5M members)

Local operations in UAE, KSA, Egypt, and Kuwait

Largest online selection in region (400,000M+ live SKU’s)

World class diverse team & top strategic internet investors

Our competitive advantage

42

22

14

16

6

Electronics Fashion Lifestyle Health & Beauty Others 2011 2012 Act 2013 Fct

Souq.com Sales mix in quantity sold (%) Group Yearly GMV (yr. over yr.)

Our sales

Our traffic

Pageviews

Unique Users

Visits

0

5,000,000

10,000,000

15,000,000

20,000,000

25,000,000

30,000,000

0

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

6,000,000

7,000,000

Oct Nov Dec Jan Feb Mar Apr May June July Aug Sept

0

10,000,000

20,000,000

30,000,000

40,000,000

50,000,000

60,000,000

0

2,000,000

4,000,000

6,000,000

8,000,000

10,000,000

Oct Nov Dec Jan Feb Mar Apr May June July Aug Sept

0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

Oct Nov Dec Jan Feb Mar Apr May June July Aug Sept

0

5,000,000

10,000,000

15,000,000

20,000,000

25,000,000

0

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

Oct Nov Dec Jan Feb Mar Apr May June July Aug Sept

1 item sold every 5 seconds!

Building Webstore on Souq.com

How marketplace works?

Seller Lists Item on Souq.com

Buyer Places Order

Courier Pick-up item

Courier Ships item

Buyer Receive order

Seller Gets paid

Why sell on Souq.com?

Benefit from the REACH

100,000+ Daily buyers and customers

Increased product marketing for

liquidating inventory

A platform to learn and compare

products before shopping

Integrated payment solutions that are

localized

Full logistics & fulfillment support (Managed

Marketplace)

Localized customer support

Live dashboard including detailed

sales/customer trends

Business support

Account Manager

Inventory Management

& Shipping

Analytics & Accounting

Content Support

Marketing Support

First-Party Operations

Third-Party Managed Marketplace

B2C

Full Support

Stored and pack by Souq.com

Aramex/Q Express

Set by souq.com

Managed by Souq.com

Provided by Souq.com

Payment terms

Volume rebate incentive

B2B2C

Full Support

Packed by Seller/Merchant

Aramex/Q Express

Set by the seller/Business

Managed by Souq.com & seller

Provided by Souq.com

Available to seller 7 days after delivery

5-10% commission + AED 5 processing fees

Business Model Content Management Handling & Fulfillment Logistics/ Shipping Product Price Product Returns Customer Service Payment Timeline Souq.com fees

The different selling models on Souq.com

• Electronics retail giant Jacky’s Electronics joined Souq.com in 2010, with its entire catalog of top SKU’s under 1 month.

• Working closely with Souq.com Marketplace team, Jacky’s was able to integrate with Souq.com Marketplace platform seamlessly and efficiently at every step of the way, from onboarding, to content development, to inventory management, to marketing and promotions.

• Jacky’s dedicated Souq.com Marketplace account manager has been supporting Jacky’s ever since by providing timely information of the top selling SKU’s, where do they need improvement and ongoing support to ensure continuous efficiency growth.

Case study: Jacky’s webstore on Souq.com

Case study: du powered by Souq.com

• Helped du launch their own branded online store in a very short timeframe, powered by Souq.

• The store was an instant success and saved du the time, effort, and investment required to put the pieces together by capitalizing on Souq.com Marketplace infrastructure, payment integration, content support, account management, fulfillment, etc.

• Today, du’s online store continues to grow month over month, as du continues to expand its selection and reach new customers

Thank You!