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FiveStars Loyalty
Automation Platform
                      1
What FiveStars can do for you
                         !


•  Get your customers to come back more frequently
   (average is 20% increase)

•  Encourage customers to spend more per visit

•  Turn your customers into social media advocates

•  Provide powerful automated tools for ongoing
   customer engagement after the sale

•  Use simple technology that every customer
   understands
                                                     2
Why does loyalty matter?
                      !
       We all know that loyalty is critical


  Customer loyalty is the single most important driver
  of growth and profitability.
  HARVARD BUSINESS REVIEW


  Retailers with loyalty programs, on average,
  are 88% more profitable than competitors
  who do not.
  DELOITTE RESEARCH SURVEY




With the rise of mobile and
social, loyalty drives amplified
word-of-mouth and natural
customer acquisition.
                                                         3
But developing an effective program is
             challenging

           Fortune 500s spend millions per year
           because they know a well-executed program is
           extremely profitable !


           Paper punch cards
           are messy, prone to fraud, and offer no tracking




           Smart phone apps
           are not yet worth the time—10% usage at best—and make
           many of your customers feel alienated


           Store-branded cards from POS vendors are                5
           the worst of all worlds
           antiquated, disconnected from email and social media,
           and are completely overpriced

                                                                   4
Loyalty has multiple dimensions




 In-Store Experience           Attractive Rewards          Ongoing Engagement

•  Great products and staff   •  Multiple reward options   •  Segment customers

•  Personalized service       •  Perceived value           •  Multi-channel delivery

•  Customer appreciation      •  Spend-based points        •  Automated notifications

•  Fast lines                 •  Bonus opportunities       •  Social media integration




                                                                                       5
We are pioneering loyalty automation


       FIVESTARS LOYALTY AUTOMATION PLATFORM
                We take care of everything



         Point-of-Sale                                          Merchant
                                           FiveStars
         Relationship                                           Toolkit
                                           Card
         Manager

•  Customer information     •  Simple technology       •  Simple customer
   right on the POS            everyone can use           segmentation

•  Never slow down your     •  Impossible to lose      •  Text message & email
   line                                                   campaigns

•  Built in fraud control   •  Hundreds of thousands   •  Social media integration
                               of card members

                                                                                 6
Improve your in-store customer
             experience


                                 INSTANTLY KNOW
                                 YOUR CUSTOMERS
                                 INFORMATION.


NAME &         HOW CLOSE THEY      WHEN IT S        ANY OTHER INFO ABOUT YOUR
PHONE NUMBER   ARE TO A REWARD     THEIR BIRTHDAY   CUSTOMERS OF CHOICE




                                                                                7
Engage your customers after the sale
   Engage customers after the sale


                  Talk to your customers
                  when they want, how
                  they want, about what
                  they want.

                                           8
We customize programs for every business


                           10 Points = Free Coffee
  Buy 10 subs,            20 Points = Free Sandwich
  get one free!




        Spend $100 on               50% off every
        stationary, get               5th visit
            $5 off!                   $20 MINIMUM



                                                      9
We stand out from the competition



                                                 &
Who can                                 Smartphone users that
                    EVERYONE
participate?                            download the app

Integration
                    YES                 None – separate device (Phone or iPad)
with POS?

Customer
                    YOUR EMPLOYEE       iPad
Interacts with...

Avg
                    500+                50-150
Users/store

                    VISITS
Data                TRANSACTION VALUE   Visits
                    SKU DATA



                                                                            10
We get great feedback from our customers




                                      11
We are co-founded by loyalty experts




         Victor Ho                   Matt Doka
         CEO, Co-founder             CPO, Co-founder

          Advised industry-leading Fortune 500 brands on
          customer engagement and loyalty
          Clients include the largest department store chain
          in the US and a $25 billion CPG conglomerate
          Awarded rating of Distinctive at McKinsey (top
          5 of 100 in nation)
         Rated #1 in group at        Fixed Income Analyst
         Goldman Sachs (FIG          at AVM (Global Macro
         Investment Banking)         Hedge Fund)
         3 degrees in 4 years at     UPenn M&T program
         UC Berkeley. CFA            as Magna Cum Laude




                                                               12
We have an all-star team




Kilian Koepsell              Chris Luo               Patrick Eastburn       Jingsong Wang          Melissa Hajj
Software                     Marketing               Sales                  Web                    Design

Lead Scientist at Cal        Global Head of SMB      Built AT&Ti to 600     CTO and Co-founder     Led design for iBooks
(led project mapping         Marketing at Facebook   reps and $144M in      at InciteBot (YC 08)   and Compressor at
the human brain!)                                    revenue over 5 years                          Apple
                             Head of Acquisition                            Technical lead at
Postgrad Mathematics         Marketing, APAC at      Experience running     LOOKBOOK.nu (grew      14 years of experience
Lecturer (King s College     Google                  outside sales, call    to 4.5M uniques/mo.,   designing media
London)                                              centers, and sales     $1M+ annual revenue)   editing apps,
                                                     training                                      electronic medical
Neural Computation                                                          CS + Econ double at    records, corporate
Lecturer (Cal)                                                              Cal                    identities, and print
Ph.D., Neuroscience
Ph.D., Theoretical Physics
M.A., Mathematics




                                                                                                                            13
We’re backed by leading Silicon Valley
             investors

                Chamath Palihapitiya - SVP of Growth and Mobile Facebook
                Vince Monical - Emerging Platforms Google, Benchmark EIR

Technology

                Jason Whitt - SVP of Corporate Development Reach Local
                Eric Stein - Local Markets Google, EVP of Digital Strategy Epsilon
      Local     Jake Winebaum - CEO Business.com,!Founder eCompanies




                Peter Nieh - Lightspeed Venture Partners
                David Chao + Jason Krikorian - Doll Capital Management
                Raj Kapoor - Mayfield Fund
Institutional   Start Fund - SV Angel & Yuri Milner




                                                                                     14
FiveStars Loyalty Automation Overview

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FiveStars Loyalty Automation Overview

  • 2. What FiveStars can do for you ! •  Get your customers to come back more frequently (average is 20% increase) •  Encourage customers to spend more per visit •  Turn your customers into social media advocates •  Provide powerful automated tools for ongoing customer engagement after the sale •  Use simple technology that every customer understands 2
  • 3. Why does loyalty matter? ! We all know that loyalty is critical Customer loyalty is the single most important driver of growth and profitability. HARVARD BUSINESS REVIEW Retailers with loyalty programs, on average, are 88% more profitable than competitors who do not. DELOITTE RESEARCH SURVEY With the rise of mobile and social, loyalty drives amplified word-of-mouth and natural customer acquisition. 3
  • 4. But developing an effective program is challenging Fortune 500s spend millions per year because they know a well-executed program is extremely profitable ! Paper punch cards are messy, prone to fraud, and offer no tracking Smart phone apps are not yet worth the time—10% usage at best—and make many of your customers feel alienated Store-branded cards from POS vendors are 5 the worst of all worlds antiquated, disconnected from email and social media, and are completely overpriced 4
  • 5. Loyalty has multiple dimensions In-Store Experience Attractive Rewards Ongoing Engagement •  Great products and staff •  Multiple reward options •  Segment customers •  Personalized service •  Perceived value •  Multi-channel delivery •  Customer appreciation •  Spend-based points •  Automated notifications •  Fast lines •  Bonus opportunities •  Social media integration 5
  • 6. We are pioneering loyalty automation FIVESTARS LOYALTY AUTOMATION PLATFORM We take care of everything Point-of-Sale Merchant FiveStars Relationship Toolkit Card Manager •  Customer information •  Simple technology •  Simple customer right on the POS everyone can use segmentation •  Never slow down your •  Impossible to lose •  Text message & email line campaigns •  Built in fraud control •  Hundreds of thousands •  Social media integration of card members 6
  • 7. Improve your in-store customer experience INSTANTLY KNOW YOUR CUSTOMERS INFORMATION. NAME & HOW CLOSE THEY WHEN IT S ANY OTHER INFO ABOUT YOUR PHONE NUMBER ARE TO A REWARD THEIR BIRTHDAY CUSTOMERS OF CHOICE 7
  • 8. Engage your customers after the sale Engage customers after the sale Talk to your customers when they want, how they want, about what they want. 8
  • 9. We customize programs for every business 10 Points = Free Coffee Buy 10 subs, 20 Points = Free Sandwich get one free! Spend $100 on 50% off every stationary, get 5th visit $5 off! $20 MINIMUM 9
  • 10. We stand out from the competition & Who can Smartphone users that EVERYONE participate? download the app Integration YES None – separate device (Phone or iPad) with POS? Customer YOUR EMPLOYEE iPad Interacts with... Avg 500+ 50-150 Users/store VISITS Data TRANSACTION VALUE Visits SKU DATA 10
  • 11. We get great feedback from our customers 11
  • 12. We are co-founded by loyalty experts Victor Ho Matt Doka CEO, Co-founder CPO, Co-founder Advised industry-leading Fortune 500 brands on customer engagement and loyalty Clients include the largest department store chain in the US and a $25 billion CPG conglomerate Awarded rating of Distinctive at McKinsey (top 5 of 100 in nation) Rated #1 in group at Fixed Income Analyst Goldman Sachs (FIG at AVM (Global Macro Investment Banking) Hedge Fund) 3 degrees in 4 years at UPenn M&T program UC Berkeley. CFA as Magna Cum Laude 12
  • 13. We have an all-star team Kilian Koepsell Chris Luo Patrick Eastburn Jingsong Wang Melissa Hajj Software Marketing Sales Web Design Lead Scientist at Cal Global Head of SMB Built AT&Ti to 600 CTO and Co-founder Led design for iBooks (led project mapping Marketing at Facebook reps and $144M in at InciteBot (YC 08) and Compressor at the human brain!) revenue over 5 years Apple Head of Acquisition Technical lead at Postgrad Mathematics Marketing, APAC at Experience running LOOKBOOK.nu (grew 14 years of experience Lecturer (King s College Google outside sales, call to 4.5M uniques/mo., designing media London) centers, and sales $1M+ annual revenue) editing apps, training electronic medical Neural Computation CS + Econ double at records, corporate Lecturer (Cal) Cal identities, and print Ph.D., Neuroscience Ph.D., Theoretical Physics M.A., Mathematics 13
  • 14. We’re backed by leading Silicon Valley investors Chamath Palihapitiya - SVP of Growth and Mobile Facebook Vince Monical - Emerging Platforms Google, Benchmark EIR Technology Jason Whitt - SVP of Corporate Development Reach Local Eric Stein - Local Markets Google, EVP of Digital Strategy Epsilon Local Jake Winebaum - CEO Business.com,!Founder eCompanies Peter Nieh - Lightspeed Venture Partners David Chao + Jason Krikorian - Doll Capital Management Raj Kapoor - Mayfield Fund Institutional Start Fund - SV Angel & Yuri Milner 14