CHIPPING IN THE FOR THE HEALTH & HAPPINESS OF PETS & THEIR PLANET

chippinsnacks.com | Haley Russell: Haley@chippinsnacks.com 301-801-0588 | Laura Colagrande: Laura@chippinsnacks.com 434-409-1144

AS SEEN IN:

If all U.S. pets established a sovereign nation, they would rank 5th

in global meat consumption.#1 CHINA #2 USA (PEOPLE)#3 RUSSIA #4 BRAZIL #5 USA (PETS!)

THE PROBLEM

Sources: See Appendix. 3

THE OPPORTUNITY

95%of pet parents believe “all natural” nutrition is essential to their pet’s health.

70%of people are reducing meat intake.

73%of millennials will pay a premium for sustainable

4

THE OPPORTUNITY

IS THE BEYOND MEAT OF PET FOOD.

Pet food powered by crickets & other alternative & underutilized proteins.

THE SOLUTION

Superior Nutrition

Delicious taste

Eco-Friendly

Better price for quality

• Size: 60M U.S. households with 90M dogs

• Growth: 5% CAGR for dog food; 6% CAGR for dog treats

• Customers: 35% millennials, now the primary pet parent demographic

• Channels: online sales 10% of the market and fastest growth area

$91 B

6Sources: See Appendix.

Global Pet FoodDog & cat food and snacks

U.S. Pet FoodDog & cat food and snacks

$33 B $9 B U.S. Premium Pet FoodNatural & organic food and snacks

KEY FACTS

THE GLOBAL MARKET

7

THE CHIPPIN EDGE

INSTAGRAM-WORTHY BRAND & COMMUNITYPet parents want to “be seen” with Chippin.

REDUCE THE CARBON PAWPRINTPet parents feel empowered by the tangible & timely mission.

COST COMPETITIVECost-advantaged ingredients à accessible price.

TOP NUTRITION & TASTE Add protein variety to a dog diet with cleaner ingredients, and dogs LOVE it!

Healthy

SustainableSustainable

8Unhealthy

Recent FDA Recall for heart disease

THE COMPETITION

Chippin: better ingredients, more variety, delicious taste AND planet friendly.

X

Climate change: Will insect-eating dogs help?By Roger Harrabin, BBC environment analyst

Chippin a key player in global sustainable pet food; the only USA company featured in BBCarticle.

BUZZ & BIG IMPACT

By Leigh Buchanan, Editor at large

Front page full feature of Chippin origins and the company path forward as “They Beyond Meat of Pet Food.”

Fast Company 2019 World Changing

Idea

9

By Cameron Albert-Deitch, assistant editor

Chippin as sole startup example of successful model for building an alternative protein product, differentiated with a new pet food.

By Amy Fleming, Staff Writer

Chippin featured as smart alternative to plant-based and traditional meat pet foods that have significant environmental impact.

Haley Russell Co-Founder

Wharton, MBANorthwestern, BA

Laura ColagrandeCo-Founder

UPenn, Master of Architecture Virginia Commonwealth University, Design

Project Lead, UberEATS

Strategic Designer, Starbucks Global Innovation

Human-Center Designer, Peek Vision

Financial Analyst, Goldman, Sachs & Co. Project Lead, Blaise, health-tech startup at UPenn

Consultant, Boston Consulting Group

First employee, JRINK, DNVB juice startup

10

THE TEAM

Art Director, Abiby, first beauty box subscription in Italy

chippinsnacks.com | Haley Russell: Haley@chippinsnacks.com 301-801-0588 | Laura Colagrande: Laura@chippinsnacks.com 434-409-1144

AS SEEN IN:

CHIPPING IN THE FOR THE HEALTH & HAPPINESS OF PETS & THEIR PLANET

SLIDE: PROBLEM• USA PETS RANK 5th IN GLOBAL MEAT CONSUMPTION: “America’s 180 million or so Rovers and Fluffies…” – supported by American Pet Products Association. 2015–2016

APPA National Pet Owners Survey. Greenwich, CT: American Pet Products Association, 2016; “If these pets established a sovereign nation, it would rank 5th in global meat consumption.” Gregory Okin, UCLA.

• CLIMATE: “1 / 4 of global greenhouse gas emissions are caused by agriculture & land use.” – IPCC 5th Assessment Report, Summary for Policy Makers. SPM.4.2.4. www.ipcc.ch/pdf/assessment-report/ar5/wg3/ipcc_wg3_ar5_summary-for-policymakers.pdf

• DEFORESTATION: “Cattle ranching is the largest driver of deforestation in every Amazon country, accounting for 80% of current deforestation rates.” Yale. Global Forest Atlas. https://globalforestatlas.yale.edu/amazon/land-use/cattle-ranching

• World Population to Reach 9.6B by 2050. United Nations. http://www.un.org/en/development/desa/news/population/un-report-world-population-projected-to-reach-9-6-billion-by-2050.html

• WATER: “Agriculture looks set to remain the biggest user of water.” United Nations. www.unwater.org/water-facts/water-food-and-energy/; 80% of US water consumption from agriculture – USDA, https://www.ers.usda.gov/topics/farm-practices-management/irrigation-water-use/

• “Pressures driving biodiversity loss as Mean Species Abundance in the “business-as-usual” scenario over the next 40 years,” Figure 1. FAO. Biodiversity for Food and Agriculture. http://www.fao.org/fileadmin/templates/biodiversity_paia/PAR-FAO-book_lr.pdf

• OECD-FAO Agricultural Outlook. Meat Consumption, in tons. https://data.oecd.org/agroutput/meat-consumption.htm• “Reducing your meat intake can actually offset the emissions from all of our cars” - Maya Almaraz, UC Davis, 2017. http://johnmuir.ucdavis.edu/2017/12/11/vox-

placeholder/• The demand for meat products is expected to increase from current levels by more than 75% in 2050 due to population growth and rising incomes.” – Arnold van Huis and

Dennis Oonincx, “The environmental sustainability of insects as food and feed,” Agron. Sustain. Dev. (2017) 37: 43• CONFUSING PROCESS: https://about.petco.com/2018-11-13-Petco-First-and-Only-Major-Retailer-of-Pet-Food-to-Not-Sell-Food-and-Treats-with-Artificial-

Ingredients?mobile=No• WASTEFUL PRODUCT: https://journals.plos.org/plosone/article?id=10.1371/journal.pone.0181301• FDA RECALLS: https://www.fda.gov/animal-veterinary/news-events/fda-investigation-potential-link-between-certain-diets-and-canine-dilated-cardiomyopathy

SLIDE: MARKET OPPORTUNITY• Pet food largest center of store category: https://www.prnewswire.com/news-releases/the-j-m-smucker-company-to-acquire-ainsworth-pet-nutrition-llc-maker-of-rachael-

ray-nutrish-pet-food-company-to-explore-strategic-options-for-us-baking-business-300624569.html• Market Size: IBISWorld Industry Report OD4347. « Pet Food Production in the US. » August 2018; Pet Food Industry 2018 recap:

https://www.petfoodindustry.com/articles/7738-us-spent-nearly-us33-billion-on-pet-food-treats-in-2018?v=preview• Key Trends in Pet Food: Packaged Facts. US Pet Market Outlook 2018 – 2019. August 2018.• Global pet food: Global pet food sales hit $91B. https://www.petfoodindustry.com/articles/7899-global-pet-food-sales-hit-91-billion-in-2018• Households & dogs: American Pet Products Association (APPA). “Pet Industry Market Size & Ownership.” For spend, household and cat and dog quantity data.

https://www.americanpetproducts.org/press_industrytrends.asp• Customers: “North American Pet Ownership Demographics Shifting.” Pet Food Industry. https://www.petfoodindustry.com/articles/6938-north-american-pet-ownership-

demographics• Channels: IBISWorld Industry Report OD4347, August 2018; IBISWorld Industry Report OD5086, « Online Pet Food & Pet Supply Sales in the US, » February 2018; Packaged

Facts, US Pet Market Outlook 2018 – 2019.

APPENDIX SOURCES. 12

SLIDE: WHY NOW?• Top concern for pet parents is nutrition. Pet food trends follow àhuman food trends. Petco to remove dog and cat foods with artificial ingredients in 2019:

https://about.petco.com/2018-11-13-Petco-First-and-Only-Major-Retailer-of-Pet-Food-to-Not-Sell-Food-and-Treats-with-Artificial-Ingredients• Dog friendly office: https://www.marketwatch.com/story/these-are-the-most-pet-friendly-companies-to-work-for-2018-06-21• 70% of people reducing meat intake; 600% increase in people identifying as vegans in the U.S between 2014-2017:

https://www.forbes.com/sites/michaelpellmanrowland/2018/03/23/millennials-move-away-from-meat/• Sales of plant-based alternatives grew 17% in 2018, while overall U.S. food sales rose only

2%:https://www.forbes.com/sites/janetforgrieve/2018/11/02/picturing-a-kindler-gentler-world-vegan-month/#7558edba2f2b• WeWork bans meat at official company events in 2018: https://www.forbes.com/sites/jennawang/2018/12/03/wework-and-sweetgreen-team-up-to-offer-

free-salad-delivery-to-offices/#1ed664932031• 73% of millennials willing to pay premium for sustainable: https://www.nielsen.com/us/en/press-room/2015/consumer-goods-brands-that-demonstrate-

commitment-to-sustainability-outperform.html• 86% of people want companies to stand for social issues: https://www.forbes.com/sites/jennawang/2018/12/03/wework-and-sweetgreen-team-up-to-

offer-free-salad-delivery-to-offices/#6aa853d62031• Starbucks to eliminate plastic straws globally by 2020: https://www.fastcompany.com/90187927/exclusive-starbucks-to-ditch-plastic-straws-by-2020• Levi’s: https://www.fastcompany.com/90279292/the-most-exciting-corporate-sustainability-moves-of-

2018?partner=rss&utm_source=rss&utm_medium=feed&utm_campaign=rss+fastcompany&utm_content=rss?cid=search

SLIDE: BIG IMPACT• Dogs, Cats and Climate Change: What’s Your Pet’s Carbon Pawprint? https://www.forbes.com/sites/jeffmcmahon/2017/08/02/whats-your-dogs-carbon-

pawprint/#636915713a63

APPENDIX SOURCES. 13