ecommerce market update for 3q 2013

Confidential

TMT Investment Banking

eCommerce Market Update

3Q 2013

2Confidential

Headwaters’ technology, media, and telecom (“TMT”) eCommerce practice has recently completed strategic transactions across the ecosystem:

Headwaters TMT Investment Banking: Strong 2013 Momentum

HAS BEEN ACQUIRED BY

Financial Advisor tothe Seller

March 2013



HAS DIVESTED SPECIFIC ASSETS TO


May 2013 January 2013

Avail / RichRelevance: Cross-border M&A in eCommerce Infrastructure

Cooking.com / Target Corporation: Top retailer acquiring in Specialized eCommerce focused on home and cookware vertical with hybrid content story

Payvment / Intuit: Social commerce and marketing related transaction

3Confidential

eCommerce Market Update

M&A Activity – M&A activity in 3Q 2013 is stronger than that of 2Q 2013 with deal volume back to 2012 levels. 3Q 2013 deal value was helped by eBay / PayPal’s $800M acquisition of Braintree.

Investment Activity – Investment activity was weaker in 3Q 2013 than in 2Q 2013, as was aggregate investment value. 3Q saw top U.S. funds (Accel Partners and Tiger Global) make a large investment into a top Indian eCommerce company (FlipKart).

Trading Multiples – Multiples in this sector impacted by revenue growth rate and gross margins. Marketplaces continue to command high premiums, as do eCommercecompanies with specific vertical market focus. Headwaters 4Q eCommerce update will include recent IPOs from Chegg (NYSE:CHGG), a textbook rental site, and Zulily(NasdaqGS:ZU), a daily deals site for moms, babies, and kids.

4Confidential

eCommerce M&A Volume Continues to Accelerate in 2013

Top 3 Acquisitions by Quarter ($M) – Target / Acquirer

1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13

GSI Commerce / eBay

($2,400)

Primedia / TPG

($316)

Zong / eBay

($240)

Kobo / Rakuten($315)

Bol.com / Ahold($465)

Getty Images / Carlyle Group

($3,300)

KAYAK.com / Priceline($1,800)

Channel Intel. / Google($125)

Hybris / SAP

($1,100)

Braintree / eBay

($800)

AutoTrader.ca / Apax

($745)

Qunar.com /Baidu

($306)

OPENLANE / KAR Auction

($210)

Wiggle / Bridgepoint

($281)

Redbaby /Suning($66)

Trivago /Expedia($632)

Market Leader / Trulia($355)

EziBuy / Woolworths

($280)

Opodo / Permira Funds

($611)

GittiGidiyor / eBay

($235)

Plimus / Great Hill

($115)

Wer Liefert / Paragon Partners

($103)

ConceptWave / Ericsson

($56)

Litle & Co. / Vantiv($361)

Society6 / Demand Media

($94)

Monoprice / Blucora($180)

_______Source: 451 Group; includes announced transactions with disclosed, estimated, undisclosed transaction valuesTop 3 acquisitions with disclosed transaction values greater than $50M

51

41

54

34

50 47

51 54

33

40

55

5.05

2.01

0.65 0.770.48 0.05

3.49 3.40

0.13

1.721.40

0

10

20

30

40

50

60

$0.00

$1.00

$2.00

$3.00

$4.00

$5.00

$6.00

1Q 2011 2Q 2011 3Q 2011 4Q 2011 1Q 2012 2Q 2012 3Q 2012 4Q 2012 1Q 2013 2Q 2013 3Q 2013

# Deals$ in billionsDeal Volume Deal Value ($B)

5Confidential

Top Acquirers by Volume, 2011 – Present

Top Acquirers by Total Transaction Value – Greater than $400M, 2011 – Present

Top Acquirers in eCommerce Market

Buyer # Acquisitions Total Value ($M) Targets

eBay 11 3,6752ememain.be, 2dehands.be, bill safe, Braintree Payment Solutions, GittiGidiyor.com, GSI Commerce, Hunch,Magento, Svpply, WHI Solutions, Zong

Rakuten 9 354 ADS eCommerce Logistics, Ikeda, Kenko.com, Kobo, Play.com, Popshops.com, Tradoria, Webgistix, Wuaki.tv

LivingSocial 5 NA Ensogo.com, GoNabit, Lets Bonus, ONOSYS, TicketMonster

SKYE Associates 4 NA Fantasy Jewelry Box, The Hip Chick, PinkMascara.com, SimplySoles.com

Home Away 4 10.2 Second Porch, REA Group

Buyer Total Value ($M) Targets

eBay 3,6752ememain.be, 2dehands.be, bill safe, Braintree Payment Solutions, GittiGidiyor.com, GSI Commerce, Hunch, Magento, Svpply,WHI Solutions, Zong

The Carlyle Group 3,300 Getty Images

Priceline 1,800 KAYAK.com

SAP 1,100 hybris

Kynetic 996 Ru La La, Shoprunner

Apax Partners 745 Autotrader.ca

Expedia 632 Trivago

Permira Funds 611 Opodo

Ahold 465 Bol.com

_______Source: 451 Group through 09/30/13; includes transactions with disclosed, estimated, undisclosed values

6Confidential

eCommerce M&A Case Study

On September 26, 2013

ACQUIRED

Transaction Overview:• $800 million acquisition of Braintree Payment Solutions by eBay / PayPal

• Braintree had estimated LTM revenue of $125 million, while processing $12 billion in total annual payments

• Implied LTM revenue multiple is 6.4x

• Braintree had raised $70M in funding prior to the acquisition

• At 210 employees, consideration per employee is $3.8 million

Target Description• Provides online and mobile payment APIs for software developers and

businesses to integrate payments functionality into their websites. Software includes payment gateways and credit card information storage features.

Transaction Commentary:• eBay will integrate Braintree into its PayPal subsidiary to bolster its payments

services. All 210 employees will join PayPal.

• According to the acquirer press release, “[Braintree] adds complementary talent and technology that [eBay] believes will help accelerate PayPal’s global leadership in mobile payments. Together, PayPal and Braintree also will accelerate [eBay’s] leadership in supporting developers who are creating innovative solutions for next generation commerce startups.”

_______Source: Acquirer Press Release, 451 Group, eCommerce Bytes

7Confidential

eCommerce Investment Volume Declining

Top 3 Investments by Quarter ($M)

1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13

360buy.com($500)

360buy.com($1,500)

Airbnb($117)

LivingSocial($176)

Flipkart India($150)

Fanatics($150)


360buy.com($300)

360buy.com($700)

Fanatics($170)


Privalia($123)

LivingSocial($400)

Ozon Holdings($100)

Klarna($155)

Despegar.com($93)

Fotolia($150)

Delivery Hero($50)

Fab($120)

LivingSocial($110)

Fab($150)

Delivery Hero($80)

Stella & Dot($37)

Wayfair($165)

Xiu.com($100)

Living Social($143)

Airbnb($70)

Lemon Tree($119)

Lazada($50)

Zulily($85)

Attivio($42)

Lamoda($130)

Comercio Digital ($70)

_______Source: PitchBook; includes announced transactions with disclosed, estimated, undisclosed transaction valuesTop 3 investments with disclosed investment values

81

98

73

83

106

134

113

90

77

104

84

941

2,869

774

1,235

726

1,301

889 982

1,358 1,280

823

0

20

40

60

80

100

120

140

160

0

500

1,000

1,500

2,000

2,500

3,000

3,500

1Q 2011 2Q 2011 3Q 2011 4Q 2011 1Q 2012 2Q 2012 3Q 2012 4Q 2012 1Q 2013 2Q 2013 3Q 2013

$ in millions

Investment Volume Investment Value ($M)

8Confidential

Top Investors by Volume – Twenty or More Investments, 2011 – Present

Top Investors In eCommerce Market

Investor Investments Targets

Accel Partners 39 Baby.com.br, BaubleBar, BeachMint, Bonobos, Comuto, Elo7, Endorse, eTree, Etsy, Exclusively.In, Flipkart India, HMS Infotech, Hotel Tonight, Loose Cubes, Lot18, Lyst, Modcloth, One Jackson, Ostrovok.ru, Privat Trade, Project J, Shopmium,Stylefantasia, Travelmob, UberMedia, ZopNow

First Round Capital 34 AxialMarket, BlackJet, Chloe and Isabel, CustomMade Ventures, Fab, Grand Street, Hotel Tonight, Instacanvas, Jirafe, Liftopia Holding, Modcloth, One Kings Lane, Poppin, Storenvy, TaskRabbit, Threadflip, True&Co, Wanelo, Warby Parker

Index Ventures 28 1stdibs, Brit Media, Capitaine Train, CruiseWise, Etsy, farfetch.com, HouseTrip, Nasty Gal, Notonthehighstreet.com, Ozon Holdings, People Per Hour, Privalia, Rad, Shapeways, Stylefantasia, TrialPay, UberMedia

SV Angel 24BabbaCo, Baby.com br, BlackJet, Creative Market, CruiseWise, DailyLook, Endorse, everlane, Fab, Inporia, Jackalope Labs, Minno, MyVR, PayDragon, Peek Travel Services, Porch.com, Poshmark, Reloveit, Shoptiques, Vayable, Warby Parker, Zaarly

Tiger Global Management

24 360buy.com, Baby.com.br, CatchoftheDay.com.au, Despegar.com, eTree Marketing, Exclusively.In, Flipkart India,MotorExchange, One Kings Lane, Robemall Apparels, Trendyol.com, Warby Parker, Wego, Wikimart

Battery Ventures 23 ADKU, Continuuity, Duetto Research, GoEuro, Gogobot, Hotel Tonight, JOOR, Loose Cubes, Retail Relay, Send the Trend,TrialPay, Vaunte, Wayfair, Wikets

Kleiner Perkins Caufield & Byers

21 Choose Energy, everlane, Lockerz, Luvocracy, One Kings Lane, Plum District, Rent The Runway, Session M, Stipple, Storenvy,Trendyol.com, Xiu.com, Zaarly

_______Source: PitchBook through 09/30/13; number of investments may include follow-on investments in same target

9Confidential

eCommerce M&A Case Study

On August 23, 2013

INVESTED IN

Transaction Overview:• $150 million investment in Flipkart India by Accel Partners, Iconiq Capital,

Naspers, and Tiger Global Management

• The post-money valuation for the company is $850 million

• The investment brings Flipkart’s total funding to $181 million

• Flipkart currently has over 4,000 employees

Target Description• Provider of an online shopping platform. The company's website offers a

range of products including apparel, accessories, cameras, laptops, software, kitchen supplies, books, games and movies.

Transaction Commentary:• According to CEO Sachin Bansal, “This round of funding would fuel our

growth plans, and help us achieve our stated ambition of hitting $1 billion in gross merchandise value by 2015.”

• The Company’s CFO, Karandeep Singh, also stated “The money raised in this round will be invested in expanding supply chain capacities, launching new categories, and in growing the talent pool to continue building on our

leadership position.”

_______Source: PitchBook, Times of India, India Digital Review

10Confidential

0.6x0.7x

2.0x

0.8x

2.0x

0.3x

0.4x0.3x

0.7x

1.2x

0.9x

0.2x 0.2x

1.1x

0.4x

0.1x

0.0x

2.0x

4.0x

LTM Revenue

U.S eCommerce Comparable Public Companies

Median:0.7x

Median:0.9x

_______Sources: Capital IQ as of 09/30/13, Internet Retailer 500; companies arranged by descending enterprise value*Top U.S. Retailers by websales volume, or greater than 33% of revenue in websales

U.S. Retailers with Online Presence*U.S Internet Retailers (Web Only)

2.1x

2.9x

0.5x

1.1x

0.2x

0.7x

0.0x

2.0x

4.0x

LTM Revenue

11Confidential

European eCommerce Comparable Public Companies

Median:0.4x

Median:3.4x

_______Sources: Capital IQ as of 09/30/13, Internet Retailer 500; companies arranged by descending enterprise value*Top European Retailers by websales volume, or greater than 33% revenue in websales

European Retailers with Online Presence*European Internet Retailers (Web Only)

7.1x

3.4x

1.8x

3.7x

0.8x

0.0x

2.0x

4.0x

6.0x

8.0x

LTM Revenue

0.6x

0.4x

2.6x

0.4x

0.2x 0.2x

0.0x

2.0x

4.0x

LTM Revenue

12Confidential

Specialized eCommerce Comparable Public Companies

Median:2.1x

Median:11.1x

_______Source: Capital IQ as of 09/30/13; companies arranged by descending enterprise value

TravelMarketplaces

11.1x

4.3x 4.1x

13.9x

13.1x12.6x

6.9x

0.0x

2.0x

4.0x

6.0x

8.0x

10.0x

12.0x

14.0x

16.0x

LTM Revenue

8.2x

1.4x 1.6x

2.1x 2.1x

0.0x

2.0x

4.0x

6.0x

8.0x

10.0x

LTM Revenue

13Confidential

eCommerce Enablement Comparable Public Companies

Median:2.3x

Median:5.7x

_______Source: Capital IQ as of 09/30/13; companies arranged by descending enterprise value

eCommerce InfrastructureeCommerce Services

4.3x

12.0x

7.0x

11.8x

2.6x2.3x

3.9x

13.7x

0.0x

2.0x

4.0x

6.0x

8.0x

10.0x

12.0x

14.0x

16.0x

LTM Revenue

2.3x

3.7x4.2x

16.5x

0.8x0.4x 0.7x

0.0x

2.0x

4.0x

6.0x

8.0x

10.0x

12.0x

14.0x

16.0x

18.0x

LTM Revenue

14Confidential

Since 2011, European Internet Retailers (Web Only) (+122.2%), Marketplaces (+108.3%), and Travel (+99.4%) have outperformed U.S. Internet Retailers (Web Only) (+68.7%), Leading Internet Companies (+67.2%), the NASDAQ (+40.1%), the S&P 400 (+35.2%), U.S. Retailers with Online Presence (+27.3%), and European Retailers with Online Presence (-3.3%)

U.S, Europe & Specialized eCommerce Capital Markets Performance

_______Source: Capital IQ as of 09/30/13; refer to public comps for constituentsLeading Internet Companies Index includes top internet companies by revenue as per Capital IQ: Amazon, Baidu, eBay, Expedia, Facebook, Google, Priceline, Rakuten, Tencent, and Yahoo!

Travel: +99.4%

Marketplaces: +108.3%

U.S. Internet Retailers (Web Only): +68.7%Leading Internet Companies: +67.2%

U.S. Retailers w/ Online Presence: +27.3%

NASDAQ: +40.1%S&P 400: +35.2%

European Internet Retailers (Web Only): +122.2%

European Retailers w/ Online Presence: -3.3%(60.0%)

(30.0%)

0.0%

30.0%

60.0%

90.0%

120.0%

150.0%

15Confidential

Since 2011, eCommerce Services (+41.8%) has underperformed compared to Leading Internet Companies (+67.2%), but outperformed the NASDAQ (+41.8%) and the S&P 400 (+40.1%). eCommerce Infrastructure (+20.2%) has underperformed Leading Internet Companies, the NASDAQ, and the S&P 400.

eCommerce Enablement Capital Markets Performance

Leading Internet Companies: +67.2%

eCommerce Services: +41.8%

S&P 400: +35.2%

eCommerce Infrastructure: +20.2%

_______Source: Capital IQ as of 09/30/13; refer to public comps for constituentsLeading Internet Companies Index includes top internet companies by revenue as per Capital IQ: Amazon, Baidu, eBay, Expedia, Facebook, Google, Priceline, Rakuten, Tencent, and Yahoo!

NASDAQ: +40.1%

(30.0%)

(20.0%)

(10.0%)

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

16Confidential

• We are best in class bankers, technologists, and strategists

• Relevant transaction expertise

Completed transactions with many strategic acquirers, targets, and investors in eCommerce

• Strong relationships with key, relevant strategic parties

Sector focus and industry experience means we are in frequent communication with likely interested targets

• Direct market coverage gives us unique insights regarding:

Acquisition targets ▪ IP / value chain

Competitive and adjacent market activity ▪ Growth markets

• Highly customized process to fit specific dynamic context

One size fits all auction processes not the best in eCommerce

We will run a focused, intelligent process with proper target screening tailored to specific areas of interest to achieve most ideal valuation for buyer

• We think “outside the box” – complex situations require creative solutions

Headwaters Is Your Premier Choice

INVESTMENT BANK OF THE YEAR

2012 TMT DEAL OF THE YEAR <$100M

2012 INTERNATIONAL DEAL OF THE YEAR

INVESTMENT BANK OF THE YEAR

HAS BEEN ACQUIREDBY


HAS BEEN ACQUIREDBY


Tickets.com

IPO$95,500,000

Lead Manager



HAS DIVESTED SPECIFIC ASSETS TO




Solid Information Technology Ltd., Inc.



HAS ACQUIRED

$120,000,000

Fairness Opinion tothe Buyer

17Confidential

Contact

www.headwatersmb.com

Gary MoonManaging Director

Head of Technology, Media & Telecom

Investment Banking

Office: (415) 766-3862

Cell: (650) 515-8734

[email protected]

135 Main St

Suite 800

San Francisco, CA 94105

Sun Jen YungManaging Director

Head of Digital Media & Internet

Investment Banking

Office: (917) 297-8716

[email protected]

500 West Putnam Avenue

Suite 400

Greenwich, CT 06830

Kuni TakahashiDirector

Technology, Media & Telecom

Investment Banking

Office: (415) 766-3864

Cell: (650) 465-7824

[email protected]

135 Main St

Suite 800

San Francisco, CA 94105

18Confidential

Appendix3Q 2013 eCommercePrecedent M&A Transactions

19Confidential

3Q 2013 Precedent M&A TransactionsEV ($M)

EV/LTM Revenue

EV/LTM EBITDA

High $800.0 6.4x 11.3x

Mean 233.8 3.9x 11.3x

Median 123.3 3.9x 11.3x

Low 26.4 1.4x 11.3x

Date Target Target Description Acquirer(s)EnterpriseValue ($M)

EV /LTM Rev.

EV /LTM EBITDA

09/26/13Braintree Payment Solutions

Provides online and mobile payment APIs for software developers and businesses to integrate payments functionality into their websites.

PayPal, Inc. [eBay] 800.0 6.4x --

09/26/13 EvesAddiction.comProvides online and toll-free telesales of personalized and celebrity-inspired jewelry at www.evesaddiction.com.

From You Flowers LLC -- -- --

09/24/13PMI Computer Supplies

Operates as an online retailer of a broad range of computer hardware and software and traditional office supplies for businesses in the US through www.pmicomputersupplies.com.

Office Essentials -- -- --

09/20/13 AmeriCart LLCProvides online shopping cart creation software that enables businesses to create customized shopping cart functionality for their online commerce sites.

AmeriCommerce, L.P. -- -- --

09/19/13Centauris Solutions LLC

Provides accounts receivable (AR) management, payments, financial business intelligence, CRM and reporting SaaS for businesses.

Intrix Technology Inc. -- -- --

09/17/13 Beau-coup Favors, Inc.Operates as an online retailer of birthday, wedding, bridal and baby shower gifts, favors, and supplies at www.beau-coup.com.

Swoozies -- -- --

09/17/13 Six Sigma ServicesThe assets of Six Sigma Services, which provides mobile payment and transaction processing software for businesses globally.

SinglePoint, Inc. -- -- --

09/16/13Tirendo Germany GmbH

Provides automobile tires, wheels, rims and related accessories for consumers and businesses in Europe through www.tirendo.de.

Delticom AG 66.5 -- --

09/16/13 HoppitProvides an ambiance and atmosphere-focused restaurant, bar and nightlife search engine for consumers in many cities across the US.

XO Group Inc. -- -- --

_______Source: 451 Group

20Confidential


EV/LTM Revenue

EV/LTM EBITDA

High $800.0 6.4x 11.3x

Mean 233.8 3.9x 11.3x

Median 123.3 3.9x 11.3x

Low 26.4 1.4x 11.3x


EV /LTM Rev.

EV /LTM EBITDA

09/13/13 Click.co.ukProvides an insurance and loan search engine for businesses and consumers in the UK.

Click Consult -- -- --

09/11/13BluePay Processing LLC

Provides online and mobile transaction processing software and POS systems enabling merchants and businesses globally to accept credit card and electronic check payments.

TA Associates -- -- --

09/10/13 Standing Cloud, Inc.Provides a cloud application marketplace for cloud hosting service providers to offer to their customers application hosting.

AppDirect, Inc. -- -- --

09/10/13OnTrade Networks, LLC

Operates as a travel deal generation and B2B travel marketplace that connects tour operators, wholesalers and corporate buyers with deals from hotels, airlines and car rental companies.

Conference Hound, Inc. -- -- --

09/05/13ExperienceOn Ventures S.L.

Operates a hotel search engine and booking website at www.fogg.co.uk that enables consumers to find and book hotels globally.

Skyscanner Ltd. -- -- --

09/05/13 Travel.ruProvides an online travel reservation service that enables Russian consumers and businesses to book airline and rail tickets, hotels, tours and other entertainment through Travel.ru.

Oktogo.ru -- -- --

09/04/13Icelolly Marketing Limited

Operates a holiday travel, including airfare and car rental, price comparison website for consumers at www.icelolly.com.

Palatine / Icelolly management

26.4 -- --

08/30/13In A Bind Assembly and Fullfillment

Provides order fulfillment, direct marketing and distribution services for businesses in the US.

iD Commerce + Logistics

-- -- --

08/28/13 E-butik i Norden ABProvides e-commerce management software and SaaS for businesses in the Nordic region.

Jetshop AB -- -- --


21Confidential


EV/LTM Revenue

EV/LTM EBITDA

High $800.0 6.4x 11.3x

Mean 233.8 3.9x 11.3x

Median 123.3 3.9x 11.3x

Low 26.4 1.4x 11.3x


EV /LTM Rev.

EV /LTM EBITDA

08/27/13 LogoChefOperates as a graphic design marketplace classifieds site for consumers and businesses in Brazil.

99designs -- -- --

08/22/13EziBuy Holdings Limited

Operates as an online retailer of fashion and home decor with an emphasis targeting consumers in Australia and New Zealand. Also operates related retail stores.

Woolworths Limited 280.0 -- --

08/22/13Work for Pie, Inc. (customer base)

The customer base of defunct Work for Pie, which provided a searchable employment classified ads website for software developers that enabled skill set and portfolio creation.

GroupTalent -- -- --

08/21/13 ShoeDazzle, Inc.Operates as a subscription and membership-based online retailer of shoes and handbags for female consumers in the US through www. shoedazzle.com.

JustFabulous -- -- --

08/21/13 Tacit Knowledge Inc.Provides e-commerce consulting, web design, systems integration and software development to businesses in the US.

Newgistics, Inc. -- -- --

08/19/13 NMD Interactive Provides a searchable real estate classified ads website that lists homes, apartments and commercial properties for rent or sale primarily in New York City.

Zillow 50.0 -- --

08/13/13 Matcha.tvProvides an online streaming video aggregation and recommendation web-based API and iPad application for consumers.

Apple Inc. -- -- --

08/12/13 PopShops.comProvides an online affiliate retail data and coupon aggregation service for Web publishers and Internet merchants.

Rakuten, Inc. -- -- --

08/09/13InvisibleHand Software Ltd

Provides a product price discovery and notification Web browser application extension for online shoppers.

Skimlinks -- -- --


22Confidential


EV/LTM Revenue

EV/LTM EBITDA

High $800.0 6.4x 11.3x

Mean 233.8 3.9x 11.3x

Median 123.3 3.9x 11.3x

Low 26.4 1.4x 11.3x


EV /LTM Rev.

EV /LTM EBITDA

08/08/13OnSharp (SmartPay assets)

The SmartPay assets of OnSharp, which provides billing, payment and invoice management software as a service (SaaS) to businesses. Also provides related Android and iOS mobile applications.

CardConnect -- -- --

08/06/13 DealAngel, Inc.Operates a hotel bookings search engine and comparison website for consumers globally through http://www.dealangel.com/.

OneTwoTrip Ltd. -- -- --

08/03/13 Venture RepublicProvides an online travel search site and user generated hotel review service for consumers in Japan at www.travel.com.jo and www.hotel.jp.

Yahoo! Japan -- -- --

08/02/13 PayDivvy, Inc.Provides payment software as a service (SaaS) and a related mobile application that enables consumers to pay and track bills and split bills among friends.

Higher One, Inc. -- -- --

08/01/13 MonopriceOperates as an online retailer of consumer electronics and tech products, including a wide variety of cables, networking and IT gear, mobile accessories, gaming accessories, and pro audio equipment.

Blucora 180.0 1.4x 11.3x

08/01/13 SeriousShops.com Operates several niche consumer goods retail websites for consumers. Vertana Group LLC -- -- --

08/01/13 ElementsLocal, Inc.Resells email marketing software and provides proprietary brand reputation management, Web content management and social media, web analytics and SaaS for businesses throughout the US.

Bridgeline Digital -- -- --

08/01/13 JobOn CorporationProvides a searchable employment classified ads website for job-seekers and businesses globally through www.jobon.com. Website enables potential employers to view video-enabled job applications.

Corporate Press, Inc. -- -- --

07/31/13 eDressMeOnline clothing and accessories retailer, specializing in women's evening, cocktail and prom dresses.

Camille La Vie & Group USA

-- -- --


23Confidential


EV/LTM Revenue

EV/LTM EBITDA

High $800.0 6.4x 11.3x

Mean 233.8 3.9x 11.3x

Median 123.3 3.9x 11.3x

Low 26.4 1.4x 11.3x


EV /LTM Rev.

EV /LTM EBITDA

07/31/13 Palaran, Inc. Provides SaaS applications for small and medium-sized businesses. Software provides analysis and tracking of visitors and provides access to and integrates e-commerce applications.

Yahoo! Inc. -- -- --

07/24/13 Utopian WorldOperates an online network that enables students to share and sell notes taken during their classes through www.NoteUtopia.com. Also operates a related student social network.

FlashNotes, Inc. -- -- --

07/24/13 Meetings.comProvides an online meeting venue location and planning service for corporate event planners at www.meetings.com.

Lexyl Travel Technologies

-- -- --

07/19/13 Career Start IncOperates as an online government-subsidized PEO (Professional employer organization) job board, for the purposes of connecting employers with jobseekers.

Mobile Dynamic Marketing [Pub Crawl Holdings, Inc.]

-- -- --

07/16/13 BoxLogix Automation BoxLogix's Cincinnati-based software and controls division, which provides software-based warehouse automation systems for the manufacturing industry.

Wynright Corporation -- -- --

07/16/13 travelmob Pte Ltd.Provides searchable rental vacation property classified ads and a reservation booking destination for consumers to enable vacation property owners to connect with travelers.

HomeAway Inc -- -- --

07/15/13 Lean Domain SearchOperates a domain name search and domain name generator. Generator enables users to search available domain names and then generates suggestions based on entered keywords.

Automattic Inc. -- -- --

07/12/13 Zimride Provide an online ride-matching service that enables users in Los Angeles, Washington DC, San Francisco, New York and Lake Tahoe to connect with drivers for the purposes of carpooling.

Enterprise Holdings Inc. -- -- --

07/10/13Otwarty Rynek Elektroniczny S.A

Provides procurement SaaS for businesses. Application include those for supplier selection, auctions, contract management and request for proposals, to enterprises.

AVALLON / Otwarty Rynek Elektroniczny

-- -- --


24Confidential


EV/LTM Revenue

EV/LTM EBITDA

High $800.0 6.4x 11.3x

Mean 233.8 3.9x 11.3x

Median 123.3 3.9x 11.3x

Low 26.4 1.4x 11.3x


EV /LTM Rev.

EV /LTM EBITDA

07/10/13 Quality DPMProvides BPO, including project design, Web design, order fulfillment, printing and mailing services for businesses in the US.

directFX Solutions, Inc. -- -- --

07/04/13 2dehands.beOperates a Dutch language classified ads website for the purchase and sale of a broad range of items for consumers in Belgium through 2dehands.be.

eBay, Inc. -- -- --

07/04/13 2ememain.beOperates a French language classified ads website for the purchase and sale of a broad range of items for consumers in Belgium through 2ememain.be.

eBay, Inc. -- -- --


25Confidential

Appendix3Q 2013 eCommercePrecedent Investments

26Confidential

3Q 2013 Precedent Investments, $5M+

Date Target Target Description Investor(s) Deal TypeDeal Size

($M)

Company Valuation

($M)

09/27/13Liftopia Holding

Provider of an online ski marketplace, offering discount ski lift tickets with deals on rentals, lessons, dining and other mountain related activities and products.

First Round, Industry , Lowercase Capital, ru-Net, SK, Thayer

Series D 5.0 --

09/25/13 Porch.comProvider of a marketplace for home design and improvement. The company’s platform connects homeowners with home-service professionals, based on online reviews.

-- Early Stage VC 8.2 --

09/24/13Prosper Marketplace

Provider of a peer-to-peer marketplace. The company provides an online auction platform designed to provide a transparent way to obtain a personal loan.

BlackRock, Sequoia Later Stage VC 25.0 --

09/19/13 DelivProvider of same-day delivery services for online shopping. The company partners with online retailers to deliver products directly to consumers.

RPM , Upfront Series A 6.9 --

09/17/13Comércio Digital BF

The company is a fashion e-commerce retailer that specializes in apparel, shoes, accessories, beauty as well as home and decor of various brands on one platform.

Ontario Teachers' Pension Plan Later Stage VC 70.0 --

09/17/13 RestaloThe company's Web portal offers restaurant guide, from owner-run restaurants to large restaurant chains, with tools for making reservations as well as posting about dining experiences.

Active Venture Partners, Seaya Series B 10.0 --

09/09/13 HookLogicThe company helps retailers to define strategy, implement media products, and sell media products to advertisers.

Bain Capital, Intel Capital Series B 14.3 75.7

09/04/13 Tuniu.comProvider of online travel services for travelers departing from the Chinese cities Beijing, Shanghai, Guangzhou and Shenzen.

DCM Group, Gobi, Highland, Sequoia Capital, Temasek

Series D 60.0 --

09/04/13Vacation Listing Service

The company offers an online marketplace for consumers, brokers, agents, homeowner associations and resort managers to connect in the timeshare and vacation ownership resale market.

Bee Partners, Maveron, Meyer , Peterson

Seed 5.0 12.1

Deal Size ($M)

CompanyVal. ($M)

High $150.0 $850.0

Mean 26.5 227.7

Median 14.3 87.9

Low 5.0 12.1

_______Source: PitchBook

27Confidential



($M)

Company Valuation

($M)

09/02/13Vestiaire Collective

Operator of an online marketplace for the resale of luxury clothing and accessories. The company curates, verifies and ships pre-owned clothing and accessories.

Balderton Capital, Condé Nast, IDInvest Partners, Ventech

Series C 20.0 --

08/28/13 Buyers UniteDeveloper of a group-buying website. The company works as an online marketplace, offering products such as lifestyle and home-decor products, travel packages, spa packages.

BEST Funds, Georgian Partners, Insight Venture Partners

Early Stage VC 5.0 --

08/23/13 Flipkart IndiaProvider of an online shopping platform. The company's website offers a range of products including apparel, accessories, cameras, laptops, software, kitchen supplies, books, games and movies.

Accel Partners, Iconiq Capital, Naspers, Tiger Global Management

Later Stage VC 150.0 850.0

08/21/13 Hotel TonightProvider of software for hotel bookings. The company provides mobile application for hotels to fill last minute rooms and allows consumers to do bookings using their smartphones.

Accel, Battery, Coatue Management, First Round, GGV, US Venture Partners

Series D 45.0 299.9

08/08/13 Hotel UrbanoThe company offers an online travel plan where users can check list of hotels, national travel packages, international travel packages, holidays, special deals, cruises and tour packages.

Insight Venture Partners Series C 20.0 --

08/05/13Clutch Holdings

The company's mobile application unites shopping, loyalty programs, product recommendation and gifting, enabling consumers to find the best deals and share with other users from a single application.

Ben Franklin Technology, Safeguard Scientifics

Series B 5.3 --

07/30/13A Place for Rover

The company provides an online service allowing clients to create a profile describing themselves and their dogs, browse profiles, read reviews and contact dog sitters.

CrunchFund, Foundry, Madrona, PETCO Animal Supplies, Rolling Bay

Series B 10.5 28.6

07/25/13 BigcommerceProvider of e-commerce software to online retailers and merchants. The company provides a platform to small- and medium-sized businesses, enabling them to quickly launch professional stores.

Revolution Series C 40.0 --

07/25/13 JOORProvider of an online wholesale fashion marketplace. The company offers the search features and social networking to the wholesale sector to streamline communication, discovery and buying.

Advance Publications, Battery, Canaan, Forerunner, Great Oaks, Landis, Lerer

Series B 15.0 --

Deal Size ($M)

CompanyVal. ($M)

High $150.0 $850.0

Mean 26.5 227.7

Median 14.3 87.9

Low 5.0 12.1


28Confidential



($M)

Company Valuation

($M)

07/23/13 BalluunThe company operates an online business marketplace enabling designers and retailers to connect and conduct business online.

Finoris Series B 8.7 --

07/16/13 BetableThe company allows users to bet with friends, family, colleagues and others in its betting marketplace and allows them to create their own bets.

Venture51 Later Stage VC 20.0 100.0

07/15/13 OptoroProvider of cloud-based tools for the management and sale of returned, damaged and excess retail inventory.

Grotech, Revolution Series B 23.5 --

07/11/13 The IconicRetailer of online fashion clothing and footwear for men, women and kids. The company sells bags, sports equipments, fragrances, skincare, hair care products, men, women clothing.

Investment AB Kinnevik, Summit Partners, Verlinvest

Later Stage VC 26.4 --

07/10/13 KleiderkreiselProvider of an online social shopping platform. The company platform allows users to buy, sell and swap their used clothing and accessories online.

Accel Partners, Schmidt Projekt-Service GmbH


07/08/13Sequent Software

Provider of TSM and mobile commerce and services platform. The company offers software that enables consumers download payment cards and other credentials to their mobile devices.

Jado Investments, Opus Capital, SBT Venture Capital

Series B 12.0 --

07/03/13 ChemistDirectThe company is a online shopping portal for pharmaceutical products such as vitamins, medicines and other health related items.

Atomico, Daily Mail & General Trust, Lepe Partners


07/01/13 Delivery HeroProvider of online take-out ordering service. The company provides gobal network of online food ordering marketplace where orders and payments can be placed online and restaurants are peer-reviewed.

Holtzbrinck, Kite, Kreos, Phenomen, PN, ru-Net, Team Europe, Tengelmann

Series D 80.0 --

07/01/13 IdeeliOperator of an online flash sales site. The company's sales begin at 12:00pm EST and showcase fashion for men, women, home decor and beauty at discounted prices in limited quantities.

-- Series E 12.0 --

Deal Size ($M)

CompanyVal. ($M)

High $150.0 $850.0

Mean 26.5 227.7

Median 14.3 87.9

Low 5.0 12.1


29Confidential

AppendixeCommercePublic Company Comparables

30Confidential

U.S. eCommerce Comparable Public Companies

_______Sources: Capital IQ as of 09/30/13, Internet Retailer 500*Top U.S. Retailers by websales volume, or greater than 33% of revenue in websales

Trading Metrics($ in millions, except per share data) Stock

Price 52-Week Price Range Market Enterprise EV / Revenue EV / EBITDA

Company Ticker 09-30-13 Low High Cap. Value LTM CY 2013E CY 2014E LTM CY 2013E CY 2014E

U.S Internet Retailers (Web Only)

Amazon Nasdaq:AMZN $312.64 $218.18 $320.57 $142,840 $138,419 2.1x 1.9x 1.5x NM 28.2x 20.5x

Shutterfly Nasdaq:SFLY 55.88 25.18 59.93 2,188 2,060 2.9x 2.6x 2.3x 44.1x 13.8x 11.4x

Overstock.com Nasdaq:OSTK 29.67 10.00 35.60 710 625 0.5x 0.5x 0.5x NM 14.9x 12.6x

Blue Nile Nasdaq:NILE 40.93 28.90 43.00 524 477 1.1x 1.0x 0.9x 25.9x 20.3x 16.5x

PC Connection Nasdaq:PCCC 15.09 9.82 17.65 398 334 0.2x 0.2x 0.1x 6.2x 5.2x 4.9x

Vitacost Nasdaq:VITC 8.50 5.83 9.40 299 269 0.7x 0.7x 0.6x NM NA NM

High 2.9x 2.6x 2.3x 44.1x 28.2x 20.5x

Mean 1.3x 1.1x 1.0x 25.4x 16.5x 13.2x

Median 0.9x 0.9x 0.8x 25.9x 14.9x 12.6x

Low 0.2x 0.2x 0.1x 6.2x 5.2x 4.9x

U.S. Retailers with Online Presence*

Walmart NYSE:WMT 73.96 67.37 79.96 241,044 294,759 0.6x 0.6x 0.6x 8.5x 7.9x 7.6x

Target NYSE:TGT 63.98 58.01 73.50 40,840 54,355 0.7x 0.7x 0.7x 7.3x 7.9x 7.0x

Liberty Interactive Nasdaq:LINT.A 23.47 18.26 25.25 12,232 21,786 2.0x 2.1x 2.0x 12.3x 11.4x 10.7x

Macy’s NYSE:M 43.27 36.30 50.77 16,703 22,193 0.8x 0.8x 0.8x 6.4x 5.9x 5.6x

Grainger NYSE:GWW 261.71 184.78 276.38 18,688 18,697 2.0x 2.0x 1.8x 15.7x 12.3x 11.0x

Best Buy NYSE:BBY 37.50 11.20 39.28 12,852 12,623 0.3x 0.3x 0.3x 4.1x 5.6x 5.3x

Staples Nasdaq:SPLS 14.65 10.94 17.30 9,676 10,463 0.4x 0.4x 0.4x 4.9x 5.7x 5.7x

Sears Nasdaq:SHLD 59.49 38.40 68.77 6,334 9,869 0.3x 0.3x 0.3x 48.6x NA 17.6x

CDW Nasdaq:CDW 22.83 17.38 24.51 3,926 7,753 0.7x 0.7x 0.7x 11.5x 9.6x 9.2x

Williams-Sonoma NYSE:WSM 56.20 41.99 61.56 5,458 5,257 1.2x 1.2x 1.1x 10.2x 8.7x 7.9x

HSN Nasdaq:HSNI 53.62 47.47 65.00 2,924 3,079 0.9x 0.9x 0.9x 11.8x 9.1x 8.4x

Office Depot NYSE:ODP 4.83 2.24 6.10 1,414 1,978 0.2x 0.2x 0.2x 7.5x 6.7x 6.5x

OfficeMax NYSE:OMX 12.79 7.04 14.92 1,135 1,645 0.2x 0.2x 0.2x 8.6x 8.6x 8.3x

Nutrisystem Nasdaq:NTRI 14.38 7.18 14.53 404 369 1.1x 1.0x 0.9x 11.8x 12.3x 8.0x

1-800-Flowers Nasdaq:FLWS 4.93 2.77 7.17 322 322 0.4x 0.4x 0.4x 9.6x 6.8x 5.2x

Systemax NYSE:SYX 9.27 8.36 12.52 341 209 0.1x 0.1x 0.1x 2.3x NA NA

High 2.0x 2.1x 2.0x 48.6x 12.3x 17.6x

Mean 0.8x 0.8x 0.7x 11.3x 8.5x 8.3x

Median 0.7x 0.7x 0.6x 9.1x 8.3x 7.9x

Low 0.1x 0.1x 0.1x 2.3x 5.6x 5.2x

31Confidential

European eCommerce Comparable Public Companies

_______Sources: Capital IQ as of 09/30/13, Internet Retailer 500*Top European Retailers by websales volume, or greater than 33% of revenue in websales




European Internet Retailers (Web Only)

ASOS Holdings AIM:ASC 83.23 33.98 93.48 6,945 6,876 7.1x 5.1x 4.0x NM NM 43.6x

Ocado LSE:OCDO 6.41 0.91 7.05 3,749 3,794 3.4x 3.0x 2.5x NM NM 31.6x

Vistaprint Nasdaq:VPRT 56.60 28.17 57.54 1,949 2,137 1.8x 1.8x 1.6x 16.4x 14.1x 11.1x

Yoox BIT:YOOX 34.30 13.33 39.25 1,981 1,982 3.7x 3.1x 2.5x NM 31.6x 23.4x

Zooplus DB:ZO1 66.73 39.23 72.53 407 418 0.8x 0.8x 0.6x NM NM 30.6x

High 7.1x 5.1x 4.0x 16.4x 31.6x 43.6x

Mean 3.4x 2.8x 2.2x 16.4x 22.8x 28.1x

Median 3.4x 3.0x 2.5x 16.4x 22.8x 30.6x

Low 0.8x 0.8x 0.6x 16.4x 14.1x 11.1x

European Retailers with Online Presence*

Tesco LSE:TSCO 5.81 4.96 6.28 46,938 59,857 0.6x 0.6x 0.5x 7.5x 7.3x 7.1x

Carrefour ENXTPA:CA 34.34 21.22 35.34 23,645 38,381 0.4x 0.4x 0.4x 11.8x 7.6x 7.1x

Kering / PPR ENXTPA:KER 224.20 161.26 250.59 28,169 33,217 2.6x 2.4x 2.2x 14.1x 11.3x 10.1x

Sainsburys LSE:SBRY 6.34 5.11 6.53 12,078 15,502 0.4x 0.4x 0.4x 7.4x 6.9x 6.5x

Dixon Retail LSE:DXNS 0.76 0.32 0.79 2,766 2,699 0.2x 0.2x 0.2x NM 5.2x 4.7x

Home Retail Group LSE:HOME 2.72 1.43 2.88 2,244 1,649 0.2x 0.2x 0.2x 3.9x 4.5x 4.3x

High 2.6x 2.4x 2.2x 14.1x 11.3x 10.1x

Mean 0.7x 0.7x 0.7x 8.9x 7.2x 6.6x

Median 0.4x 0.4x 0.4x 7.5x 7.1x 6.8x

Low 0.2x 0.2x 0.2x 3.9x 4.5x 4.3x

32Confidential

Specialized eCommerce Comparable Public Companies

_______Source: Capital IQ as of 09/30/13




Marketplaces

Tencent SEHK:700 52.46 30.56 54.47 96,182 92,983 11.1x 9.5x 7.3x 44.3x 25.6x 20.6x

eBay Nasdaq:EBAY 55.80 45.66 58.04 72,942 67,202 4.3x 4.2x 3.6x 20.3x 12.5x 10.8x

Rakuten JASDAQ:4755 15.13 6.53 15.39 19,906 20,078 4.1x 3.8x 3.4x 16.4x 15.6x 13.4x

Mercado Libre Nasdaq:MELI 134.91 69.73 137.60 5,957 5,770 13.9x 12.2x 9.8x NM 34.4x 27.3x

carsales.com ASX:CRZ 10.70 6.56 10.99 2,549 2,585 13.1x 11.5x 10.1x 27.4x 20.5x 17.6x

Shutterstock NYSE:SSTK 72.72 21.00 76.12 2,619 2,506 12.6x 11.0x 8.7x NM NM 36.2x

HomeAway Nasdaq:AWAY 27.96 19.58 34.30 2,494 2,158 6.9x 6.3x 5.2x NM 22.7x 18.1x

High 13.9x 12.2x 10.1x 44.3x 34.4x 36.2x

Mean 9.4x 8.4x 6.9x 27.1x 21.9x 20.6x

Median 11.1x 9.5x 7.3x 23.8x 21.6x 18.1x

Low 4.1x 3.8x 3.4x 16.4x 12.5x 10.8x

Travel

Priceline Nasdaq:PCLN 1,010.95 553.97 1,019.95 52,135 48,485 8.2x 7.2x 5.9x 33.4x 19.0x 15.2x

Expedia Nasdaq:EXPE 51.81 45.69 68.09 6,790 6,238 1.4x 1.3x 1.2x 10.7x 7.6x 6.5x

Orbitz NYSE:OWW 9.63 2.07 13.26 1,052 1,280 1.6x 1.5x 1.4x 11.5x 9.0x 8.1x

MakeMyTrip Nasdaq:MMYT 14.84 10.77 17.74 567 497 2.1x 5.2x 4.4x NM NM NM

Travelzoo Nasdaq:TZOO 26.52 16.56 33.95 411 332 2.1x 2.1x 1.9x 8.9x 10.8x 9.3x

High 8.2x 7.2x 5.9x 33.4x 19.0x 15.2x

Mean 3.1x 3.5x 3.0x 16.1x 11.6x 9.8x

Median 2.1x 2.1x 1.9x 11.1x 9.9x 8.7x

Low 1.4x 1.3x 1.2x 8.9x 7.6x 6.5x

33Confidential

eCommerce Enablement Comparable Public Companies





eCommerce Services

Google Nasdaq:GOOG 875.91 636.00 928.00 296,237 246,854 4.3x 4.1x 3.6x 17.5x 11.6x 9.7x

Baidu Nasdaq:BIDU 155.18 82.98 155.80 54,278 50,861 12.0x 10.1x 7.6x 37.9x 22.8x 18.1x

Yahoo! Nasdaq:YHOO 33.17 15.65 33.85 35,001 33,344 7.0x 7.5x 7.3x 24.5x 22.1x 21.0x

Yandex Nasdaq:YNDX 36.42 16.60 42.01 12,225 12,009 11.8x 9.9x 7.8x 43.3x 21.7x 17.4x

Groupon Nasdaq:GRPN 11.21 2.60 12.76 7,539 6,355 2.6x 2.5x 2.2x NM 20.2x 15.9x

ValueClick Nasdaq:VCLK 20.86 15.95 32.25 1,570 1,545 2.3x 2.2x 2.0x 10.1x 6.4x 5.9x

Moneysupermarket LSE:MONY 2.45 2.16 3.60 1,322 1,284 3.9x 3.6x 3.3x 15.5x 10.0x 9.2x

ChannelAdvisor NYSE:ECOM 36.63 14.25 41.25 902 821 13.7x 12.4x 9.9x NM NA NA

High 13.7x 12.4x 9.9x 43.3x 22.8x 21.0x

Mean 7.2x 6.5x 5.5x 24.8x 16.4x 13.9x

Median 5.7x 5.8x 5.5x 21.0x 20.2x 15.9x

Low 2.3x 2.2x 2.0x 10.1x 6.4x 5.9x

eCommerce Infrastructure

IBM NYSE:IBM 185.18 181.10 215.90 203,057 229,136 2.3x 2.3x 2.3x 8.7x 8.5x 7.9x

Oracle NYSE:ORCL 33.17 29.52 36.43 154,529 139,960 3.7x 3.7x 3.6x 9.3x 7.6x 7.1x

SAP DB:SAP 74.00 71.36 87.91 88,241 90,288 4.2x 3.8x 3.5x 13.1x 11.2x 9.9x

Demandware NYSE:DWRE 46.33 23.90 49.11 1,571 1,467 16.5x 14.6x 10.8x NM NA NM

Digital River Nasdaq:DRIV 17.87 12.80 20.29 581 316 0.8x 0.8x 0.8x 5.2x 9.8x 6.4x

PFSweb Nasdaq:PFSW 5.97 2.14 6.10 99 91 0.4x 0.5x 0.4x 21.9x 9.6x 6.8x

Intershop XTRA:ISH2 2.08 1.39 2.95 63 49 0.7x 0.7x 0.6x 9.6x NA NA

High 16.5x 14.6x 10.8x 21.9x 11.2x 9.9x

Mean 4.1x 3.8x 3.1x 11.3x 9.3x 7.6x

Median 2.3x 2.3x 2.3x 9.4x 9.6x 7.1x

Low 0.4x 0.5x 0.4x 5.2x 7.6x 6.4x

34Confidential

U.S. eCommerce Comparable Public Companies (Cont.)

_______Sources: Capital IQ as of 09/30/13, Internet Retailer 500*Top U.S. Retailers by websales volume, or greater than 33% of revenue in websales

Operating Metrics($ in millions, except per share data)

LTM Revenue Growth LTM Revenue EBITDA

Company Ticker As Of '12A - '13E 13E - '14E GM LTM CY 2013E CY 2014E LTM CY 2013E CY 2014E

U.S Internet Retailers (Web Only)

Amazon Nasdaq:AMZN Jun 2013 22% 22% 26% 66,848 $74,469 $90,550 $2,924 $4,911 $6,761

Shutterfly Nasdaq:SFLY Jun 2013 22% 17% 53% 700 782 915 83 149 181

Overstock.com Nasdaq:OSTK Sep 2013 16% 8% 19% 1,249 1,274 1,379 37 42 49

Blue Nile Nasdaq:NILE Jun 2013 14% 12% 19% 431 458 514 15 23 29

PC Connection Nasdaq:PCCC Jun 2013 2% 3% 13% 2,180 2,203 2,273 63 64 68

Vitacost Nasdaq:VITC Jun 2013 20% 16% 23% 362 395 459 NM NA 4

U.S. Retailers with Online Presence*

Walmart NYSE:WMT Jul 2013 2% 4% 25% 473,002 478,486 498,607 36,650 37,294 38,953

Target NYSE:TGT Aug 2013 3% 6% 30% 73,478 73,880 78,000 7,533 6,897 7,730

Liberty Interactive Nasdaq:LINT.A Jun 2013 3% 5% 39% 10,686 10,339 10,894 1,973 1,915 2,040

Macy’s NYSE:M Aug 2013 1% 3% 40% 27,878 28,019 28,896 3,730 3,768 3,959

Grainger NYSE:GWW Sep 2013 5% 8% 44% 9,287 9,439 10,191 1,485 1,524 1,694

Best Buy NYSE:BBY Aug 2013 (13%) NM 23% 48,152 42,972 43,135 1,889 2,236 2,374

Staples Nasdaq:SPLS Aug 2013 (4%) NM 26% 24,050 23,373 23,321 1,932 1,826 1,841

Sears Nasdaq:SHLD Aug 2013 (8%) (1%) 26% 38,440 36,803 36,359 NM NA 559

CDW Nasdaq:CDW Jun 2013 7% 6% 16% 10,415 10,794 11,422 758 807 840

Williams-Sonoma NYSE:WSM Aug 2013 7% 7% 39% 4,221 4,336 4,620 584 603 664

HSN Nasdaq:HSNI Jun 2013 5% 5% 36% 3,347 3,438 3,608 293 340 368

Office Depot NYSE:ODP Jun 2013 (4%) (1%) 30% 10,453 10,319 10,165 244 294 303

OfficeMax NYSE:OMX Jun 2013 (4%) (1%) 26% 6,745 6,672 6,603 140 190 197

Nutrisystem Nasdaq:NTRI Jun 2013 (11%) 11% 49% 347 352 393 15 30 46

1-800-Flowers Nasdaq:FLWS Jun 2013 3% 5% 41% 735 756 795 45 48 62

Systemax NYSE:SYX Jun 2013 (2%) 3% 14% 3,469 3,479 3,597 7 NA NA

35Confidential

European eCommerce Comparable Public Companies (Cont.)

_______Sources: Capital IQ as of 09/30/13, Internet Retailer 500*Top European Retailers by websales volume, or greater than 33% of revenue in websales




European Internet Retailers (Web Only)

ASOS Holdings AIM:ASC Feb 2013 37% 29% 50% 974 1,335 1,721 81 122 158

Ocado LSE:OCDO May 2013 15% 21% 31% 1,103 1,250 1,516 47 71 120

Vistaprint Nasdaq:VPRT Jun 2013 10% 9% 66% 1,167 1,218 1,326 106 152 193

Yoox BIT:YOOX Jun 2013 30% 24% 29% 534 642 796 36 63 85

Zooplus DB:ZO1 Jun 2013 32% 23% 31% 496 556 682 NM 4 14

European Retailers with Online Presence*

Tesco LSE:TSCO Aug 2013 3% 3% 7% 101,898 106,641 109,983 6,788 8,153 8,428

Carrefour ENXTPA:CA Jun 2013 NM 3% 19% 99,314 103,827 106,655 3,047 5,051 5,403

Kering / PPR ENXTPA:KER Jun 2013 6% 9% 62% 12,741 13,594 14,839 2,718 2,928 3,298

Sainsburys LSE:SBRY Mar 2013 (3%) 2% 5% 35,257 39,780 40,496 2,117 2,260 2,386

Dixon Retail LSE:DXNS Apr 2013 (1%) NM 9% 13,132 13,120 13,143 749 515 577

Home Retail Group LSE:HOME Mar 2013 2% 1% 32% 8,223 8,943 9,048 354 363 384

36Confidential

Specialized eCommerce Comparable Public Companies (Cont.)





Marketplaces

Tencent SEHK:700 Jun 2013 40% 30% 56% 8,409 9,806 12,723 3,115 3,637 4,510

eBay Nasdaq:EBAY Sep 2013 14% 15% 69% 15,510 16,073 18,557 4,604 5,386 6,197

Rakuten JASDAQ:4755 Jun 2013 3% 11% 88% 4,875 5,266 5,864 1,128 1,287 1,497

Mercado Libre Nasdaq:MELI Jun 2013 27% 23% 78% 416 474 586 147 168 212

carsales.com ASX:CRZ Jun 2013 9% 14% 83% 197 224 255 109 126 147

Shutterstock NYSE:SSTK Jun 2013 34% 26% 62% 199 228 287 43 48 69

HomeAway Nasdaq:AWAY Jun 2013 43% 21% 84% 311 341 412 57 95 119

Travel

Priceline Nasdaq:PCLN Jun 2013 28% 22% 81% 5,879 6,723 8,235 2,104 2,551 3,197

Expedia Nasdaq:EXPE Jun 2013 17% 13% 78% 4,391 4,702 5,298 608 826 962

Orbitz NYSE:OWW Jun 2013 9% 5% 81% 817 850 895 110 142 159

MakeMyTrip Nasdaq:MMYT Jun 2013 (56%) 18% 21% 242 96 113 NM NA 4

Travelzoo Nasdaq:TZOO Sep 2013 7% 7% 89% 158 161 173 27 31 36

37Confidential

eCommerce Enablement Comparable Public Companies (Cont.)





eCommerce Services

Google Nasdaq:GOOG Sep 2013 19% 14% 57% 57,386 59,593 67,981 17,850 21,319 25,376

Baidu Nasdaq:BIDU Jun 2013 41% 32% 75% 4,252 5,053 6,673 2,154 2,226 2,805

Yahoo! Nasdaq:YHOO Sep 2013 (11%) 3% 70% 4,760 4,433 4,552 1,187 1,508 1,586

Yandex Nasdaq:YNDX Jun 2013 29% 26% 76% 1,014 1,219 1,535 448 553 690

Groupon Nasdaq:GRPN Jun 2013 10% 15% 62% 2,417 2,557 2,944 133 314 400

ValueClick Nasdaq:VCLK Jun 2013 6% 8% 62% 686 703 761 218 241 263

Moneysupermarket LSE:MONY Jun 2013 8% 7% 77% 326 361 388 130 128 140

ChannelAdvisor NYSE:ECOM Jun 2013 24% 25% 73% 60 66 83 NM NA NA

eCommerce Infrastructure

IBM NYSE:IBM Sep 2013 (4%) 1% 49% 101,356 100,318 101,688 25,755 27,074 28,863

Oracle NYSE:ORCL Aug 2013 1% 5% 81% 37,371 37,498 39,314 16,259 18,393 19,782

SAP DB:SAP Jun 2013 10% 8% 72% 21,629 23,620 25,452 7,410 8,079 9,076

Demandware NYSE:DWRE Jun 2013 26% 36% 71% 89 100 136 NM NA 4

Digital River Nasdaq:DRIV Jun 2013 3% (3%) 81% 399 398 387 29 32 49

PFSweb Nasdaq:PFSW Jun 2013 (18%) 8% 19% 222 197 214 10 9 13

Intershop XTRA:ISH2 Jun 2013 (3%) 8% 28% 71 72 78 NM NA NA

38Confidential

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ecommerce market update for 3q 2013

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