S&P 100

LARGEST RETAIL REAL ESTATE

COMPANY IN THE WORLD

> +US Online Sales

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RETAIL SALES

Mission Statement: Invest in early and growth stage companies focused on innovating

the future of retail for the benefit of shoppers and retailers.

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STRATEGY

• Multi-Stage: Invest $250K-$5M, Seed - Series C+ stage companies

• Core portfolio = Early growth stage companies (70%)

• Selectively make seed and later stage investments (30%)

• Focus on retail technology (offline, online, mobile), rising new brands,

and where they converge to create omni-channel retail strategies

• Hands on approach with our retailers, identifying their biggest

challenges and finding solution providers

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TARGET INDUSTRIES

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INVESTMENT ECOSYSTEMS

Data Analytics

& Marketing

Localized &

Personalized

Commerce

Recommerce &

Experiential Retail

Ecommerce to

Brick (E2B) Brands

Smart City /

Real Estate Tech

TRENDS

• The Death of Pure Play Ecommerce

• Rise of Omni-Channel Retailing

• Winners = Ecommerce to Brick (E2B) Brands

• Ecommerce Mobile Commerce (Mcommerce)

• Mobile = Local, great for physical retail

• 4th Dimension of Retail: Space & Time

• Space: Focus on Logistics

• Dual Use: Retail Space Is Distribution Center (Same day delivery)

• Retail Space With No Inventory (Ship from warehouse)

• Stores Within Stores / Pop-ups / Short-term Leasing

• Time: Focus on Experience (Flow)

• Seamlessly Connect Online to Offline World

• Localized & Personalized Commerce

• Ephemeral Retail & Recommerce

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J. Skyler Fernandes

Managing Director

Natalie Hwang

Principal

INVESTMENT TEAM

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• Launched March 2014

• Grown to 22 Portfolio Companies in 23 months

• Review 100+ Companies / Mo = 2,000+ Companies = <1% Invested

• Co-investing Alongside Top Tier Investors

• Established Relationship With Retailers

• Innovation Groups, Heads of Digital / Tech, CMOs, CIO’s

STATS

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1)

2)

3)

4)

5)

TOP 5 CORPORATE VENTURE GROUP

IN US FOCUSED ON RETAIL TECH

ONLY MULTI-STAGE VENTURE

GROUP FOCUSED ON RETAIL TECH

RANKING

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MALL OPERATORS BEGIN CULTIVATING STARTUPS

A LIGHT BULB GOES ON, OVER THE MALL

THE NEXT GREAT ONLINE RETAIL EXPERIENCE

YOU HAVE PROBABLY WON'T BE ON AMAZON

HOW ONE VENTURE CAPITALIST IS

QUIETLY RESHAPING RETAIL

MALLS WILL REMAIN THE 'ULTIMATE SHOPPING

EXPERIENCE'

WEARABLE TECH FOR RETAIL SALES ASSOCIATES

PRESS

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BEST PRACTICES OF CORPORATE VC

• Separate Legal Entity

• Team: Investment professionals and previous founders (not corpate insiders)

• Invests like a traditional VC, competitive terms & follow-on investments

• Co-Invests With The Best (Smart + Smarter Strategic Capital)

• Industry Focus: Broad > Niche. Innovate an industry, not just a company.

• Success = Financial Returns + Strategic Benefits

• R&D Group (Internal Iteration) < Risk Tolerant (External Innovation)

• Remove Red Tape & Bureaucracy

• Get internal support, but don’t require champions

• An investment committee that is open minded and can react quickly

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Ability to help portfolio companies succeed in ways traditional investors cannot

Strategic Partner and/or Client:

» Quick Learning: Validate technology and help with user acquisition and engagement

» Significant Revenue: Provide key early revenues or big increases in revenue

» Stamp of Approval: Big client name recognition and support with retailer outreach

Key Resources:

» Knowledge: Access to industry experts

» Savings: Potential cost savings and physical work space

» Strategic Capital: Investment capital and potential additional project capital

Introductions to:

» Capital: Institutional and strategic investors

» Clients / Partners: Help accelerate revenue growth

» People: Key employees, board members, advisors / mentors

VALUE ADD AS A STRATEGIC INVESTOR

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Works with portfolio companies on strategic initiatives

with Simon and our retailers.

STRATEGIC SUPPORT TEAM

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Retail Startup Competition

& Accelerator

1) Pre-Seed Investment

2) Free Office Space

3) 12 Week Accelerator Program in Silicon Valley

4) Mentorship

5) Potential Follow-on Investment

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2015 Class

Personalization Engine for Ecommerce

Automated Top 10 Product Lists

Real-time Inventory Management

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Hosted SXSW Future of Retail Startup Competition

Top 10 Retail Tech Finalists:

LEVERAGING LEADING TECHNOLOGY FORUMS

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ECOSYSTEM

DATA ANALYTICS & MARKETING

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BEACON AD NETWORK

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• Enterprise Solutions

• Parking Management

• Consumer Solutions

• Digital Signage

• Consumer App

• Beacon Enabled

• Marketing

• Parking Payment

• Parking Reservation

REAL-TIME PARKING INVENTORY DATA

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INTERNET OF THINGS NETWORK OVER LIGHTING INFRASTRUCTURE

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IN-DOOR DATA ANALYTICS &

OFFLINE + ONLINE MARKETING

ECOSYSTEMDATA ANALYTICS & MARKETING

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IN-DOOR DATA ANALYTICS &

OFFLINE + ONLINE MARKETING

ECOSYSTEM

LOCAL & PERSONALIZED COMMERCE

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Multiple POS Systems

1 API That Syncs

All Inventory!

Inventory Mangement Systems

REAL-TIME INVENTORY MGMT.

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PERSONALIZATION ENGINES

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STORE =

RETAIL & DISTRIBUTION CENTER

Customer

API Routing

Delivery

Online Checkout

SAME DAY / ON-DEMAND DELIVERY

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ECOSYSTEMLOCAL & PERSONALIZED COMMERCE

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LOCALIZED &

PERSONALIZED ECOMMERCE

ECOSYSTEM

RECOMMERCE & EXPERIENTIAL RETAIL

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RENT & BUY EVERYDAY CLOTHES

Maternity Clothes

Now Available!

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RENT & BUY BRIDESMAID DRESSES

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CURATED WOMEN’S LIFESTYLE SUBSCRIPTION BOX

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MEN’S & WOMEN’S UNDERWEAR BRAND

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FAST FASHION JEWELRY BRAND

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ECOSYSTEMRECOMMERCE & EXPERIENTIAL RETAIL

All Ecommerce 2 Brick Brands!

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To Learn More: www.SimonVentureGroup.com