Upload
ebony-lakey
View
217
Download
2
Tags:
Embed Size (px)
Citation preview
© 2014 GuestLogix Inc.
RECAPPING GXI STRATEGYPresented by: Brett Proud – President & CEO
2013 / 2014 GuestLogix Annual & Special Meeting of Shareholders
© 2014 GuestLogix Inc.
© 2014 GuestLogix Inc.
DISCLAIMERThis presentation includes certain forward-looking statements that are based upon current expectations, which
involve risks and uncertainties associated with our business and the environment in which the business
operates. Any statements contained herein that are not statements of historical facts may be deemed to be
forward-looking, including those identified by the expressions “anticipate”, “believe”, “plan”, “estimate”, “expect”,
“intend”, and similar expressions to the extent they relate to the Company or its management. The forward-
looking statements are not historical facts, but reflect GuestLogix’ current expectations regarding future results
or events. These forward-looking statements are subject to a number of risks and uncertainties that could
cause actual results or events to differ materially from current expectations, including the matters discussed
under “Risks and Uncertainties” in the Filing Statement filed on May 12, 2014 with the regulatory
authorities. GuestLogix assumes no obligation to update the forward-looking statements, or to update the
reasons why actual results could differ from those reflected in the forward-looking statements.
© 2014 GuestLogix Inc.
GUESTLOGIX PROGRESS
© 2014 GuestLogix Inc.
GUESTLOGIX PROGRESS
Grow the Number of Transactions That We Process
12 months endingMarch 31, 2012
$572MAnnual GTV Run Rate
5New or Renewed
Customers
12 months endingMarch 31, 2013
$888MAnnual GTV Run Rate
8Additional New or
Renewed Customers
Acquired Initium Onboard Adding 250M PAX Trips
12 months endingMarch 31, 2014
$920MAnnual GTV Run Rate
10New or Renewed
Customers
© 2014 GuestLogix Inc.
GUESTLOGIX PROGRESS
Grow the Average Value of the Transactions That We Process
GuestLogix has seen a 30% Growth inAverage Transaction Value over past 2 Years
$11.66
$15.11
March 31, 2012 March 31, 2014
$12.74
March 31, 2013
© 2014 GuestLogix Inc.
GUESTLOGIX PROGRESS
Grow the Fees We Earn Per Transaction That We Process
GuestLogix has Grown the Amount of Accounts Incorporating Two or More GuestLogix Services by 180%
11
31
March 31, 2014March 31, 2012
16
March 31, 2013
© 2014 GuestLogix Inc.
GUESTLOGIX PROGRESS
Grow the Number of Transactions That We Process
Grow the Average Value of the Transactions That We Process
Grow the Fees We Earn per Transaction That We Process
• GTV Increased 61% over 2 Years• 45 New Customers Added in 2 Years
• 30% Growth in Average Transaction Value in 2 Years
• 180% Increase in Accounts with Two or More GXI Services
© 2014 GuestLogix Inc.
GUESTLOGIX PROGRESS
Over the past 6 quarters, GuestLogix is now back on a path of quarter over quarter revenue growth,
with a 37% increase in revenue from Q4 2012
Continued Q over Q Revenue Growth
$6.2M
Q4 ‘12
$7.0M
Q1 ‘13
$7.2M
Q2 ‘13
$8.0M
Q3 ‘13
$8.3M
Q4 ‘13
$8.5M
Q1 ‘14
© 2014 GuestLogix Inc.
STRATEGY REVIEW
© 2014 GuestLogix Inc.
STRATEGY REVIEW
HOME TRANSFER / AIRPORT
ONBOARD HOTEL
THE PASSENGER TRAVEL JOURNEY
AIRPORT / TRANSFER
© 2014 GuestLogix Inc.
STRATEGY REVIEW
THE PASSENGER TRAVEL JOURNEY
ONBOARD
© 2014 GuestLogix Inc.
STRATEGY REVIEWFOOD & BEVERAGE
DUTY FREE / DUTY PAID
ENTERTAINMENT / CONNECTIVITY
DESTINATION CONTENT
ANCILLARY TYPES ANCILLARY TYPES
© 2014 GuestLogix Inc.
STRATEGY REVIEWFOOD & BEVERAGE
DUTY FREE / DUTY PAID
ENTERTAINMENT / CONNECTIVITY
DESTINATION CONTENT
IN-FLIGHT CATERERS
DUTY FREE CONCESSIONAIRES
IFEC PROVIDERS
ONBOARD RETAIL TECH COMPANIES
ATTRACTION & TRANSPORT VENDORS
ANCILLARY TYPES
PROVISIONED BY
ANCILLARY TYPES
PROVISIONED BY
© 2014 GuestLogix Inc.
STRATEGY REVIEW
PREPAID BAGGAGE FEES
LOUNGE ACCESS
FREQUENT FLYER MILES
HOTEL & CAR
TRAVEL AGENCIES
GDS SYSTEMS
HOTEL & CAR RENTAL COMPANIES
BAGGAGE FEES
SEAT UPGRADES
PRIORITY BOARDING
GDS SYSTEMS
LOUNGE OPERATORS
AIPORT TECH VENDOR
RESTAURANT RESERVATION
GROUND TRANSPORT
RESTAURANT SYSTEMS & AGGREGATORS
ATTRACTION & TRANSPORT VENDORS
HOTEL CAR PICK UP
RETURN SEAT UPGRADES
DESTINATION CONTENT
GDS SYSTEMS
ATTRACTION & TRANSPORT VENDORS
LOCAL ATTRACTIONSLOUNGE ACCESS
LOUNGE ACCESS
GDS SYSTEMS
ANCILLARY TYPES
PROVISIONED BY
INSURANCE COMPANIES
© 2014 GuestLogix Inc.
STRATEGY GOAL
UNDERLYINGTRANSACTION PROCESSOR
FOR ALL ANCILLARIESAT ALL TOUCHPOINTS
OF THE TRAVEL JOURNEY
© 2014 GuestLogix Inc.
KEY STRATEGY ENABLERS
GLOBAL CHANNEL PARTNERSHIPS ONBOARD OFF BOARD
TODAYTODAY
© 2014 GuestLogix Inc.
KEY STRATEGY ENABLERS
GLOBAL CHANNEL PARTNERSHIPS
TARGETSTARGETS
ONBOARD OFF BOARDTODAYTODAY
© 2014 GuestLogix Inc.
KEY STRATEGY ENABLERS
GLOBAL PAYMENT TECHNOLOGIES
TRANSACTION PROCESSING
ENGINE® (TPE®)
Payment application developed to securely
capture payments in any region through any access point in any connectivity
scenario.
GLOBAL PAYMENT GATEWAY™
(GPG™)
Certified global network of payment service providers (PSPs) to enable merchants to process payments in any
country.
GLOBAL CERTIFICATIONS
82 payment industry & operational certifications that allow the GuestLogix TPE® & GPG™ to operate
in 114 countries today.
© 2014 GuestLogix Inc.
KEY STRATEGY ENABLERS
GLOBAL PAYMENT TECHNOLOGIES
TRANSACTION PROCESSING
ENGINE® (TPE®)
GLOBAL PAYMENT GATEWAY™
(GPG™)
GLOBAL CERTIFICATIONS
Enhance Global Reach Shortened Deployment Time Lower Support Costs
© 2014 GuestLogix Inc.
KEY STRATEGY ENABLERS
PEOPLE PROCESS TECHNOLOGY• Proven Global Operating
Capability
• Corp-wide Improvement Initiatives:
• Branding & Marcom
• Technology Innovation
• Internal Communication
• Knowledge Sharing
• Transition GXI from a Customized Solution company to a Product Company
• ‘Fenced-Off’ R&D resources in Moncton Product Innovation Lab
• Faster, more reliable deployment capability
• Significantly lower maintenance / support costs
• Employee Survey Highlights:
• Trust in the organization
• Positive work environment
• Teamwork
• Communication
• Voluntary Turnover is 18% below industry norms
© 2014 GuestLogix Inc.
BUSINESS MODEL TRANSITION
KEY STRATEGY ENABLERS ARETRANSITIONING GUESTLOGIX FROM
A HARDWARE-BASED TRANSACTION PROCESSORTO
A SOFTWARE-BASED TRANSACTION PROCESSOR
NOTE: SW-BASED TRANSATION PROCESSING LEVERAGES 3RD PARTY HARDWARE TO CAPTURE TRANSACTIONS
© 2014 GuestLogix Inc.
© 2014 GuestLogix Inc.
STRATEGIC OPPORTUNITIES
© 2014 GuestLogix Inc.
INDUSTRY / ANCILLARY TRENDS
• Ancillaries still critical to airlines– Forecast 2014: $50+ billion– Estimate 2015: $70+ billion
• Management of ancillaries across the travel journey is chaotic– Ancillaries are captured by various airline and third-party providers– Little to no standards in place– Airlines cannot properly measure ancillary revenues - no business intelligence
tools in place
• Industry lacks a comprehensive ancillary revenue management platform
© 2014 GuestLogix Inc.
NEED FOR ANCILLARY PLATFORM(S)
• One or more technology players will emerge soon to fill the gap in the market
• Airlines will move to a provider who can cover the entire travel journey
• Many players are currently positioning themselves to capitalize on this market gap
• There will be platform winners
© 2014 GuestLogix Inc.
ANCILLARY REVENUE MANAGEMENT
PRODUCT / SERVICE PROVISIONING
© 2014 GuestLogix Inc.
ANCILLARY REVENUE MANAGEMENT
PRODUCT / SERVICE PROVISIONING
AIRPORT / TRANSFER
RESTAURANT RESERVATION
GROUND TRANSPORT
LOCAL ATTRACTIONS
HOTEL
HOTEL CAR PICK UP
RETURN SEAT UPGRADES
DESTINATION CONTENT
LOUNGE ACCESS
TRANSFER / AIRPORT
BAGGAGE FEES
SEAT UPGRADES
PRIOIRITY BOARDING
LOUNGE ACCESS
ONBOARD
FOOD & BEVERAGE
DUTY FREE / DUTY PAID
ENTERTAINMENT / CONNECTIVITY
DESTINATION CONTENT
HOME
LOUNGE ACCESS
FREQUENT FLYER MILES
HOTEL & CAR
PREPAID BAGGAGE FEES
© 2014 GuestLogix Inc.
ANCILLARY REVENUE MANAGEMENT
PRODUCT / SERVICE PROVISIONING
AIRPORT / TRANSFER
RESTAURANT RESERVATION
GROUND TRANSPORT
LOCAL ATTRACTIONS
HOTEL
HOTEL CAR PICK UP
RETURN SEAT UPGRADES
DESTINATION CONTENT
LOUNGE ACCESS
TRANSFER / AIRPORT
BAGGAGE FEES
SEAT UPGRADES
PRIOIRITY BOARDING
LOUNGE ACCESS
ONBOARD
FOOD & BEVERAGE
DUTY FREE / DUTY PAID
ENTERTAINMENT / CONNECTIVITY
DESTINATION CONTENT
HOME
LOUNGE ACCESS
FREQUENT FLYER MILES
HOTEL & CAR
PREPAID BAGGAGE FEES
CONTENT & AD MANAGEMENT
© 2014 GuestLogix Inc.
ANCILLARY REVENUE MANAGEMENT
MULTI-ACCESS ENABLEMENT
PRODUCT / SERVICE PROVISIONING
AIRPORT / TRANSFER
RESTAURANT RESERVATION
GROUND TRANSPORT
LOCAL ATTRACTIONS
HOTEL
HOTEL CAR PICK UP
RETURN SEAT UPGRADES
DESTINATION CONTENT
LOUNGE ACCESS
TRANSFER / AIRPORT
BAGGAGE FEES
SEAT UPGRADES
PRIOIRITY BOARDING
LOUNGE ACCESS
ONBOARD
FOOD & BEVERAGE
DUTY FREE / DUTY PAID
ENTERTAINMENT / CONNECTIVITY
DESTINATION CONTENT
HOME
LOUNGE ACCESS
FREQUENT FLYER MILES
HOTEL & CAR
PREPAID BAGGAGE FEES
CONTENT & AD MANAGEMENT
© 2014 GuestLogix Inc.
ANCILLARY REVENUE MANAGEMENT
MULTI-ACCESS ENABLEMENT
PRODUCT / SERVICE PROVISIONING
AIRPORT / TRANSFER
RESTAURANT RESERVATION
GROUND TRANSPORT
LOCAL ATTRACTIONS
HOTEL
HOTEL CAR PICK UP
RETURN SEAT UPGRADES
DESTINATION CONTENT
LOUNGE ACCESS
TRANSFER / AIRPORT
BAGGAGE FEES
SEAT UPGRADES
PRIOIRITY BOARDING
LOUNGE ACCESS
ONBOARD
FOOD & BEVERAGE
DUTY FREE / DUTY PAID
ENTERTAINMENT / CONNECTIVITY
DESTINATION CONTENT
HOME
LOUNGE ACCESS
FREQUENT FLYER MILES
HOTEL & CAR
PREPAID BAGGAGE FEES
CONTENT & AD MANAGEMENT
ONLINE / OFFLINE TRANSACTION CAPTURE
© 2014 GuestLogix Inc.
ANCILLARY REVENUE MANAGEMENT
MULTI-ACCESS ENABLEMENT
PRODUCT / SERVICE PROVISIONING
AIRPORT / TRANSFER
RESTAURANT RESERVATION
GROUND TRANSPORT
LOCAL ATTRACTIONS
HOTEL
HOTEL CAR PICK UP
RETURN SEAT UPGRADES
DESTINATION CONTENT
LOUNGE ACCESS
TRANSFER / AIRPORT
BAGGAGE FEES
SEAT UPGRADES
PRIOIRITY BOARDING
LOUNGE ACCESS
ONBOARD
FOOD & BEVERAGE
DUTY FREE / DUTY PAID
ENTERTAINMENT / CONNECTIVITY
DESTINATION CONTENT
HOME
LOUNGE ACCESS
FREQUENT FLYER MILES
HOTEL & CAR
PREPAID BAGGAGE FEES
CONTENT & AD MANAGEMENT
ONLINE / OFFLINE TRANSACTION CAPTURE
GLOBAL PAYMENT PROCESSING
© 2014 GuestLogix Inc.
ANCILLARY REVENUE MANAGEMENT
MULTI-ACCESS ENABLEMENT
PRODUCT / SERVICE PROVISIONING
AIRPORT / TRANSFER
RESTAURANT RESERVATION
GROUND TRANSPORT
LOCAL ATTRACTIONS
HOTEL
HOTEL CAR PICK UP
RETURN SEAT UPGRADES
DESTINATION CONTENT
LOUNGE ACCESS
TRANSFER / AIRPORT
BAGGAGE FEES
SEAT UPGRADES
PRIOIRITY BOARDING
LOUNGE ACCESS
ONBOARD
FOOD & BEVERAGE
DUTY FREE / DUTY PAID
ENTERTAINMENT / CONNECTIVITY
DESTINATION CONTENT
HOME
LOUNGE ACCESS
FREQUENT FLYER MILES
HOTEL & CAR
PREPAID BAGGAGE FEES
CONTENT & AD MANAGEMENT
ONLINE / OFFLINE TRANSACTION CAPTURE
GLOBAL PAYMENT PROCESSING
ANALYTICS & BUSINESS INTELLIGENCE PLATFORM
© 2014 GuestLogix Inc.
ANCILLARY REVENUE MANAGEMENT
MULTI-ACCESS ENABLEMENT
PRODUCT / SERVICE PROVISIONING
AIRPORT / TRANSFER
RESTAURANT RESERVATION
GROUND TRANSPORT
LOCAL ATTRACTIONS
HOTEL
HOTEL CAR PICK UP
RETURN SEAT UPGRADES
DESTINATION CONTENT
LOUNGE ACCESS
TRANSFER / AIRPORT
BAGGAGE FEES
SEAT UPGRADES
PRIOIRITY BOARDING
LOUNGE ACCESS
ONBOARD
FOOD & BEVERAGE
DUTY FREE / DUTY PAID
ENTERTAINMENT / CONNECTIVITY
DESTINATION CONTENT
HOME
LOUNGE ACCESS
FREQUENT FLYER MILES
HOTEL & CAR
PREPAID BAGGAGE FEES
CONTENT & AD MANAGEMENT
ONLINE / OFFLINE TRANSACTION CAPTURE
GLOBAL PAYMENT PROCESSING
ANALYTICS & BUSINESS INTELLIGENCE PLATFORM
APIs FOR AIRLINE AND 3RD PARTY SYSTEMS
© 2014 GuestLogix Inc.
ANCILLARY REVENUE MANAGEMENT
PRODUCT / SERVICE PROVISIONING
ONLINE / OFFLINE TRANSACTION CAPTURE
GLOBAL PAYMENT PROCESSING
CONTENT & AD MANAGEMENT
ANALYTICS & BUSINESS INTELLIGENCE PLATFORM
APIs FOR AIRLINE AND 3RD PARTY SYSTEMS
MULTI-ACCESS ENABLEMENT
AIRPORT / TRANSFER
RESTAURANT RESERVATION
GROUND TRANSPORT
LOCAL ATTRACTIONS
HOTEL
HOTEL CAR PICK UP
RETURN SEAT UPGRADES
DESTINATION CONTENT
LOUNGE ACCESS
TRANSFER / AIRPORT
BAGGAGE FEES
SEAT UPGRADES
PRIOIRITY BOARDING
LOUNGE ACCESS
ONBOARD
FOOD & BEVERAGE
DUTY FREE / DUTY PAID
ENTERTAINMENT / CONNECTIVITY
DESTINATION CONTENT
HOME
LOUNGE ACCESS
FREQUENT FLYER MILES
HOTEL & CAR
PREPAID BAGGAGE FEES
© 2014 GuestLogix Inc.
ANCILLARIESAT ALL TOUCHPOINTS
OF THE TRAVEL JOURNEY
STRATEGY GOAL
UNDERLYINGTRANSACTION PROCESSOR
FOR ALL
© 2014 GuestLogix Inc.
STRATEGY GOAL – REDUX
UNDERLYINGTRANSACTION PROCESSOR
POTENTIALPLATFORM WINNERS
FOR ALL
© 2014 GuestLogix Inc.
CAN GXI BE A PLATFORM WINNER ?
Winning Ancillary PlatformsProduct / Service
Provisioning
Content & Ad
ManagementContent
Multi-Access Enablement
Transaction Capture
Payment Processing
Analytics / BI
APIs
SCORE 5 5 5 5 5 5 5 5
GXI 1 2 2 4 5 5 4 4
GuestLogix currently lacks sufficient scale and has certain capability gaps to become a platform winner as-is
© 2014 GuestLogix Inc.
STRATEGIC POSSIBILITIES
TRANSACTION PROCESSOR(s)(TO ENHANCE SCALE)
ANCILLARY PROVISIONER(s)(TO FILL GAPS)
PLATFORM WINNER
© 2014 GuestLogix Inc.
SUMMARY
© 2014 GuestLogix Inc.
SUMMARY
BEST POSITIONED COMPANY IN THIS SPACE
• SOUND STRATEGY
• ORGANIC GROWTH
• BUSINESS MODEL TRANSITION
• MARGIN EXPANSION
• STRATEGIC POSSIBILITIES