Ari network services inc annual shareholders meeting state of the business presentation
This presentation is the property of its rightful owner.
Sponsored Links
1 / 39

ARI Network Services, Inc. Annual Shareholders’ Meeting State of the Business Presentation PowerPoint PPT Presentation


  • 75 Views
  • Uploaded on
  • Presentation posted in: General

ARI Network Services, Inc. Annual Shareholders’ Meeting State of the Business Presentation. ARI Basics + Update on Recent Changes Financial Results Report Card Strategy Overview and Outlook. December 17, 2009.

Download Presentation

ARI Network Services, Inc. Annual Shareholders’ Meeting State of the Business Presentation

An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -

Presentation Transcript


Ari network services inc annual shareholders meeting state of the business presentation

ARI Network Services, Inc.Annual Shareholders’ MeetingState of the Business Presentation

ARI Basics + Update on Recent Changes

Financial Results

Report Card

Strategy Overview and Outlook

December 17, 2009

www.arinet.com


Ari basics update on recent changes financial results report card strategy overview and outlook

ARI Network Services, Inc.Annual Shareholders’ MeetingState of the Business Presentation

ARI Basics + Update on Recent Changes

Financial Results

Report Card

Strategy Overview and Outlook

www.arinet.com


Ari network services inc annual shareholders meeting state of the business presentation

Mission

“Be recognized as the leader in creating, marketing and supporting the best solutions that enhance revenue or reduce costs for our customers”

www.arinet.com


Ari network services inc annual shareholders meeting state of the business presentation

Brand Promise

Enhance your revenue

Reduceyour cost

Increase your customers’ satisfaction

www.arinet.com


Core values pride

Core Values - PRIDE

PEOPLE ORIENTED

  • We promote a fun, team oriented environment where people are invested in and respected

    RAPID INNOVATION

  • We expect to be known as the innovator in every market we serve. We expect all employees to be innovative in every aspect of their work

    INITIATIVE

  • We expect employees to make personal decisions to strive for something beyond the status quo

    DELIVERY AND EXECUTION

  • We take pride in doing what we say we are going to do

    EMBRACE THE CUSTOMER

  • We exist to serve our customers. We expect all employees to keep the customers’ interests central in every aspect of their work

www.arinet.com


Ari network services inc annual shareholders meeting state of the business presentation

ARI at a Glance

  • 1981 Founded to provide electronic publishing services to the agriculture industry

  • 1996Evolved to equipment industry focus providing parts and service catalogs

  • 2005Expanded to technology-enabled marketing services

  • 2007Expanded e-commerce and professional services business with OC-Net acquisition

  • 2009Acquired Channel Blade Technologies and Powersports Outsourcing Group

HeadquartersMilwaukee, Wisconsin

ARI F&I ServicesSchenectady, New York

Development & Marketing ServicesCypress, California

Intl. Sales/SupportThe Netherlands

  • 20,000+ dealers

  • 150+ distributors

  • 100+ manufacturers

  • 100+ catalogs

  • 9+ market segments

  • 100+ countries

  • Solid Financials

  • Public Company

Marine/RV Sales/Support

Virginia Beach, VA

www.arinet.com


Ari network services inc annual shareholders meeting state of the business presentation

Primary Markets

Powersports

Marine

RV

Outdoor Power

Agriculture

Appliance

www.arinet.com


Ari network services inc annual shareholders meeting state of the business presentation

Partial Manufacturer List

www.arinet.com


High level product categories

High Level Product Categories

SearchEngineSmart

MailSmart

ePro Mobile

WebsiteSmartPro

Lead Storm

eXceleratePro 2

Footsteps

www.arinet.com


Ari network services inc annual shareholders meeting state of the business presentation

ARI Product Solutions

www.arinet.com


Ari network services inc annual shareholders meeting state of the business presentation

  • Generates Parts Sales on any Website

  • Integrates with Existing Website Shopping Carts

  • Customizable Application Appearance to Match Website Branding

  • Search by Part Number or Model Hierarchy

  • Dynamic Presentation of Content

  • Over 75 Parts Catalogs Available

www.arinet.com


Ari network services inc annual shareholders meeting state of the business presentation

  • Full Featured CRM

  • Channel Lead Tool

  • Accepts Leads from Multiple Sources

  • Allows for Workflow by Role

  • Analytics and Full Reporting

  • Easily Generated Marketing Campaigns

  • Promotes Lead Nurturing throughout Customer Lifecycle

www.arinet.com


Ari network services inc annual shareholders meeting state of the business presentation

  • Ensures website is seen on all the major search engines

  • Customer chooses relevant keywords

  • Customer selects geographic coverage desired

  • ARI ensures site is advertised within those parameters

  • Numerous reports available to determine campaign effectiveness

  • Campaign can be changed at any time

  • Ad dollars are stretched based on results!

www.arinet.com


Ari network services inc annual shareholders meeting state of the business presentation

  • Brian Dearing, Board Chairman

  • Technology and Marketing Experience

  • GEIS, Sterling Commerce

  • Mike Tenpas, VP – Global Sales and Marketing

  • Management, Sales & Marketing Experience

  • Norlight Telecom, Dealership Mgt.

  • Robert Hipp, CTO

  • Technology Management Experience

  • OC-Net

  • Darin Janecek, VP - Finance

  • M&A and Public Accounting Experience

  • Johnson Controls, Deloitte & Touche

Experienced Management Team

  • Roy W. Olivier, President & CEO

  • Technology Management and Sales Experience

  • MSI, ProQuest, Pacific Telesis

www.arinet.com


Awards and honors

Awards and Honors

Dealers Choice Award for Footsteps - 2009Awarded by Power Equipment Trade Magazine

82 of Top 100 Marine Dealers use ARI services - 2009

As designated by Boating Industry Magazine

Editor's Choice Award for SearchEngineSmart - 2009

Awarded by Powersports Business Magazine

Best Dealer Website of the Year: MarineMax.com - 2009

Awarded by National Marine Manufacturers Association

Dealers Choice Award for WebsiteSmart Pro - 2007Awarded by Power Equipment Trade Magazine

Small Business Success Stories - 2006Awarded by Corporate Report Wisconsin

Editor's Choice Award for WebsiteSmart - 2006Awarded by Powersports Business Magazine

IQ Award Technology/Internet Category - 2005Awarded by The Small Business Times and Wisconsin Technology Council

e!nnovate’s Technical Knock-Out Award - 2005Awarded by e!nnovate, WE Energies and The Business Journal

www.arinet.com


Channel blade acquisition

Channel Blade Acquisition

  • #1 in OEM and dealer websites for marine industry

    • ~75 manufacturers

    • 1,600+ dealer locations

    • 4,400+ end users

  • Products Include:

    • Footsteps – CRM and Lead Generation Platform

    • E-Pro 1 – Dealer Website Platform

    • E-Pro 2 – OEM Website Platform

  • Historic Results

    • 5.8M leads managed for CBT dealers since inception

    • $189B retail sales by CBT dealers since inception

www.arinet.com


Psog acquisition

PSOG Acquisition

  • Outsourced F&I Services

  • Potential long-term opportunity for ARI

    • 52% of 2.8M Powersports units sold each year financed at dealership

    • About 50% of dealerships do not have an in-house F&I professional

    • Profit-sharing business model – dealer pays only if program is successful

www.arinet.com


Ari basics update on recent changes financial results report card strategy overview and outlook1

ARI Network Services, Inc.Annual Shareholders’ MeetingState of the Business Presentation

ARI Basics + Update on Recent Changes

Financial Results

Report Card

Strategy Overview and Outlook

www.arinet.com


Fy09 vs fy08

FY09 vs. FY08

Statement of Income

(dollars in thousands, except per share data)

  • Revenue up 4% in a down economy

  • Additional costs due to April acquisitions

  • Operating income held steady

www.arinet.com


Q1 2010 vs q1 2009

Q1-2010 vs. Q1-2009

Statement of Income

(dollars in thousands, except per share data)

  • Revenue up 31% in a down economy

    • Marketing services up 3x - acquisition + internal growth

    • Additional costs due to integrating April acquisitions

  • Operating income up 16%

www.arinet.com


Financial results revenue growth

Financial Results: Revenue Growth

FY2009: Revenue growth continued

10% Compounded Annual Growth Rate

www.arinet.com


Financial results operating income

Financial Results: Operating Income

6th Profitable Year in a Row

www.arinet.com


Financial results ebitda

Financial Results: EBITDA

EBITDA

* A reconciliation of EBITDA to net income is posted on our website, www.arinet.com, under “Company/Investors”

www.arinet.com


Financial results net income

Financial Results: Net Income

Net Income

www.arinet.com


Ari basics update on recent changes financial results report card strategy overview and outlook2

ARI Network Services, Inc.Annual Shareholders’ MeetingState of the Business Presentation

ARI Basics + Update on Recent Changes

Financial Results

Report Card

Strategy Overview and Outlook

www.arinet.com


Valuation

Valuation

$7 million Market Capitalization; 19.6 P-E Ratio; $12 million Enterprise value: 4.1 multiple of TTM EBITDA

Price as of December 15, 2009, Net Income & EBITDA as of October 31, 2009

www.arinet.com


Fy09 report card

FY09 Report Card

Key Initiatives for Last Year (FY09)

  • Simplify Business

  • Target our Development Efforts

  • Move the ARI Culture Forward

  • Product Road Maps

  • Improve Internal Processes

  • Define Sales Strategy

  • Acquisitions

  • Organic Revenue Initiatives

www.arinet.com


Key initiatives progress

Key Initiatives Progress

  • Simplify Business:

    • Outsourced CD Processing

    • Outsourced Manual Data Conversion

    • Consolidation of Publishing & Development

    • Organizational Structure – Clear lines of Reporting

  • Target our Development Efforts :

    • Clarified Development Team’s Focus

      • Four Teams:

        • ARI Products

        • Professional Services

        • Website Development

        • Application Development Support (Temp)

  • www.arinet.com


    Key initiatives progress1

    Key Initiatives Progress

    • Move the ARI Culture Forward :

      • Vision and Values (PRIDE)

      • Senior Leadership and Director Level

      • Creating a Culture of Accountability

      • Invested in People & Training

      • Headquarters Move

      • Renewed Excitement

      • Contemporary “feel”

      • Focus on Innovation (New Products)

    www.arinet.com


    Key initiatives progress2

    Key Initiatives Progress

    • Product Road Maps :

      • Product Steering Committee

        • Narrow/Deep Focus on current Verticals

        • Must help ARI customers move Products/Services

      • Product Management Team Formed

      • Launched New Product Development Process

      • Launched Two New Products

        • PartStream

        • Search Engine Smart

    www.arinet.com


    Key initiatives progress3

    Key Initiatives Progress

    • Improve Internal Processes :

      • New Product Steering Committee

      • New departmental budgeting process and accountability

      • Agile development process

      • Improved Order Processing

    www.arinet.com


    Key initiatives progress4

    Key Initiatives Progress

    • Sales Strategy :

      • Deployed New Sales Structure and Process

      • Account Manager Implementation

      • Dedicated Catalog Sales Team

      • Vertical Focus on Marine with Channel Blade Team

      • More Markets

      • Narrow/Deep Industry Focus

      • 18% NCV Growth over FY08

    www.arinet.com


    Key initiatives progress5

    Key Initiatives Progress

    7. Acquisitions:

    • Integrated Info Access Acquisition

    • Acquired and began integration of Channel Blade

    • Acquired F&I Business

    www.arinet.com


    Key initiatives progress6

    Key Initiatives Progress

    8 FY09 Revenue Initiatives

    • 4 out of the 8 Initiatives generated the following results:

      • $1.2M in NCV in FY09

      • $515K in Revenue in FY09

    • Resulting in additional focus on Organic Revenue Initiatives for FY10

    www.arinet.com


    Ari basics update on recent changes financial results report card strategy overview and outlook3

    ARI Network Services, Inc.Annual Shareholders’ MeetingState of the Business Presentation

    ARI Basics + Update on Recent Changes

    Financial Results

    Report Card

    Strategy Overview and Outlook

    www.arinet.com


    Strategy summary

    Strategy Summary

    Short Term (2010): Growth Initiatives

    Medium Term (2010-11): New products, markets

    Long Term (2011+):

    • Focus on organic growth initiatives to drive incremental growth

    • Integrate Channel Blade acquisition (Cross sell)

    • Develop F&I business

    • Refine organization and processes

    • Evaluate and enter new markets

    • Continue to develop new products and product extensions

    • Add additional acquisitions where they make sense to expand customer base, vertical markets, and/or product categories

    • Drive sustained long-term earnings growth from prior phases

    • Execute and deliver new revenue categories

    • Leverage additional capital capacity

    www.arinet.com


    Fy10 key performance indicators

    FY10 Key Performance Indicators

    • Achieve Sales Objectives

      • Increased Team Activity/Productivity

      • Cross Sell Channel Blade/ARI Products

      • Add new Customers

    • Products

      • Execute on Product Road Maps

      • Create scalable “global” platforms

    • Hire/Retain the Best People

      • Continue to invest in Training/Skill Development

      • Focus on recruiting leadership excellence at all levels

    • Customer Retention

      • Improve Customer Service/Satisfaction

      • Improve IT Infrastructure

      • Improved Average Revenue per Customer

    • Cost Control

      • Complete Acquisition Integration plan

      • Drive down overall cost structure

    www.arinet.com


    Ari network services inc annual shareholders meeting state of the business presentation

    Q & A

    www.arinet.com


    Thank you

    Thank You!

    www.arinet.com


  • Login