Zooplus : Presentation September 2020

ZOOPLUS AG

INVESTOR PRESENTATION

DR. CORNELIUS PATT, CEO

ANDREAS MAUERÖDER, CFO

September 2020

DISCLAIMER

This document includes supplemental financial measures that are or may be non-GAAP financial measures. These supplemental financial measures should not be viewed in isolation as alternatives to measures of zooplus' financial condition, results of operations or cash flows as presented in accordance with IFRS in its Consolidated Financial Statements. Other companies that report or describe similarly titled financial measures may calculate them differently.

This document contains statements related to our future business and financial performance and future events or developments involving zooplus that may constitute forward-looking statements. We may also make forward-looking statements in other reports, in presentations, in material delivered to stockholders and in press releases. In addition, our representatives may from time to time make oral forward- looking statements. Such statements are based on the current expectations and certain assumptions of zooplus' management, and are, therefore, subject to certain risks and uncertainties. A variety of factors, many of which are beyond zooplus' control, affect zooplus' operations, performance, business strategy and results and could cause the actual results, performance or achievements of zooplus to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements or anticipated on the basis of historical trends. Further information about risks and uncertainties affecting zooplus is included throughout our most recent annual and interim reports, which are available on the zooplus website, investors.zooplus.com. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results, performance or achievements of zooplus may vary materially from those described in the relevant forward-looking statement as being expected, anticipated, intended, planned, believed, sought, estimated or projected. zooplus neither intends, nor assumes any obligation, to update or revise these forward-looking statements in light of developments which differ from those anticipated.

Due to rounding, numbers presented throughout this and other documents may not add up precisely to the totals provided and percentages may not precisely reflect the absolute figures.

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 2

ZOOPLUS AG A LEADING PLAYER IN THE BOOMING

PET SUPPLIES CATEGORY

✓ Number one online retailer in

Europe and second in total market 1 ✓ EUR 1.5 bn in sales (2019)

✓ 95% revenue retention rate 2 ✓ 8.1 million active customers 2

✓ Digital offering for pet owners in 30 countries and 24 languages

1) in terms of sales and active customer base; 2) as of end of H1 2020, based on LTM

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 3

20+ years into the business, we know what we stand for - Our USPs

		Specialist retailer		Customer benefits first

100% ecommerce

Product=Data+Tech driven

Pan-European

Efficiency-driven

Strategic Partner

Governance compliant

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 4

ZOOPLUS IS THE DEDICATED PET SPECIALIST THAT CARES

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 5

MEGATRENDS ARE FUELING GROWTH PROSPECTS IN PET SUPPLY CATEGORY

GROWING PET POPULATION

Over 80m households in Europe with one pet or more

HUMANIZATION OF PETS

Pets are increasingly viewed as a family member with spend per pet increasing

SPECIALIZED PET NUTRITION

Premiumisation trend in pet food driving specialty trade to grow faster than grocery segment

• HUGE COMMERCIAL
  OPPORTUNITY IN
  PETS

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 6

PET SUPPLIES RETAIL LANDSCAPE IN EUROPE COMPETITION FALLS INTO THREE CATEGORIES

We're operating in a highly fragmented market

ONLINE PURE PLAY		MASS GENERALIST		BRICKS AND MORTAR		REGIONAL ONLINER

• Valuable industry partner to suppliers
• Ideally positioned to capture growing online share
• Low CAPEX requirements and significant scale advantages
• Strong logistics network
• Own brand portfolio adds to differentiation and supports incremental value creation

• Limited access to premium brands
• Supporting digitization of category
• Low offering overlap: only 20% of zooplus Top 500 Sellers available on amazon prime
• High e-commerce and logistics competencies

−	Online offering competing	−	Low scale advantages
	with physical store	− Pricing is only USP
	presence
−	High CAPEX requirements	−	High operating cost
−	Low logistics / FC capacity	− Low logistics / FC capacity
−	High dependancy towards	− Mostly no own brands

own white label products

• Low e-commerce competencies

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 7

ZOOPLUS AG IS DOMINATING THE EUROPEAN ONLINE SPACE FOR PET SUPPLIES

channel shift still ongoing

• 25bn

market opportunity

in Europe1

» CAGR ~3% p.a.

16%

online

• Pet Supplies still underrepresented in the online sphere compared to other categories
• zooplus is an important retail partner in Europe for brands and driving digitization of category
• Market is resilient to economic cycles
• Highly recurring and fast turnover of product due to constant demand
• Low return rates and future growth prospects make for an attractive category to operate in

1) total net market for pet supplies in Europe = online + offline market, based on Euromonitor International 2020 and management estimates

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 8

ZOOPLUS OFFERS A UNIQUE CUSTOMER PROPOSITION IN EUROPE AND AN EXCELLENT CONSUMER EXPERIENCE

ACESS TO ALL

BEST VALUE FOR

SEAMLESS SHOPPING

DEDICATED

FAST & CONVENIENT

LEADING PREMIUM

MONEY & REWARDS

EXPERIENCE

CUSTOMER CARE

DELIVERY

BRANDS

our key drivers for consumer satisfaction in a digital world

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 9

ZOOPLUS IS THE ONLY CATEGORY SPECIALIST WITH A PAN-EUROPEAN LOGISTICS NETWORK

SCALE ADDING TO RESILIENCE ADVANTAGE OF ZOOPLUS IN COVID-19 TIMES

TECH DRIVEN CAPACITY & REPLENISHMENT

FCs RUNNING AT FULL OUTPUT

SHELF SPACE FOR STOCKING UP

PRODUCT AVAILABILITY

COMPETITIVE DELIVERY TIME

Fulfillment center (FC)

Hubs (DSP) - shown are selected relations from FC to Hub of DSPs

11 fulfillment centers across Europe operated by partners with low CAPEX requirement

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 10

COVID-19 AND PET SUPPLIES CATEGORY IN EUROPE TACTICAL IMPACT ON BUSINESS

Helped us temporarily reduce our ad

spend without losing reach

Served as a push for first-time

e-commerce usage in our category

Consumption patterns remained

unchanged in our category

Offliners were classfied as essential

and did not go out of business

Organic Traffic

Paid Traffic

OPEN

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 11

KEY FINANCIAL HIGHLIGHTS - STRONG PERFORMANCE IN H1 2020

SALES (in EUR m)

			862
643	727		+19%
	+13%	vs. PY
+24%
	vs. PY
vs. PY
H1 2018	H1 2019		H1 2020

EBITDA (in EUR m, in % of sales)

	29.4
+0.6%	+3.4%
-0.8%
4.5
-5.0

1,342

+21%

vs. PY

1,524

+14%

vs. PY

1,765

+16%E

vs. PY

	H1 2018		H1 2019		H1 2020
					≥40.0
					+2.3%E
		+0.8%
	+0.6%	11.8
	8.6

FY 2018	FY 2019	FY 2020E
New Customer Sales		Existing Customer Sales

FY 2018 FY 2019 FY 2020E

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 12

STRATEGIC BUSINESS KPIS - ALL INDICATORS SIGNIFICANTLY IMPROVED IN H1 2020

1)		H1 2018		H1 2019		H1 2020
Revenue Retention Rate	94%	92%	95%
New Customer 2nd Order Sales	+20%	-8%	+21%
Customer Acquisition Cost (in €)	11	16	10
Own Brands Share (% of food Sales)	14%	15%	17%
Gross Margin (% of Sales)	27.7%	28.4%	30.5%
Basket Size (in €)	54	55	57
Operational Efficiency 1) (in % of Sales)	22.0%	21.0%	20.8%

1) Logistics costs + payment costs + customer care costs

• Revenue Retention and NC 2nd Order Sales are the key contributors to sustainable top line growth
• Customer Acquisition Cost significantly reduced
• Own Brands Share is a key driver for Gross Margin
• Basket size increase is helpful for operational efficiency

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 13

BETTER NEW CUSTOMER QUALITY IN H1 2020 TRANSLATES INTO SUSTAINABLE GROWTH

Repeat purchasing
H1 2019		H1 2020
			new accounts1)
	Sales	-8%		+21%
	Accounts	-4%		+14%
	Sales per Account	-5%		+6%
	Share of new	28%		32%
	accounts with

repeat purchases 2)

1)At least one consecutive order

2) Of all new accounts, note - only limited opportunity for repurchases after 6 months into the year of acquisition

• Key lesson taken from 2019 - we need to focus on quality customers. Only repurchasing accounts contribute to future growth
• Improved early stage cohort behavior compared to H1 2019 cohort reflects revised acquisition channel mix, unbiased customer value proposition and better use of loyalty & retention tools
• Sales volume from 2nd order on with strong increase - both driven by loyalty and basket size

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 14

ZOOPLUS HAS A GROWING LOYAL CUSTOMER BASE AND A HIGH REVENUE RETENTION RATE

ACTIVE CUSTOMER BASE1 (in k)

8,062

7,195+12%

H1 2019

H1 2020

ACTIVE REPEAT CUSTOMER BASE 2 (in k)

4,781

+16%

4,117

H1 2019

H1 2020

95%

Revenue Retention

Rate3

1)All customers with one order in LTM;
2) All customers with one consecutive order (=at least 2 orders) in LTM; 3) Sales retention 12 months rolling	ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020	15
(net, non-BMF); All figures based on H1 2020 figures

OUR NEW STRATEGY BALANCES

CUSTOMER QUALITY, SCALING AND EFFICIENCY

SPEND ON CUSTOMER ACQUISITION AND LOYALTY (AS % OF SALES)

5.9%

	Traffic		3.3%		4.2%
Acquisition	3.8%
					1.7%	1.9%
New Customer	1)
0.5%		0.2%
	Discount
Repeat Customer	2)	1.7%	2.1%	1.7%	2.3%
	Discount
Loyalty Program		0.4%		0.6%
		2019 / EUR 727 m		2020 / EUR 862 m

1) New: Starter coupons; 2) Repeat: SaverPlan discounts

• Massive increase in new business acquisition efficiency: budget at 50%, with new business at 120% of PY
• Tactical situation in months March, April and May helped efficiency
• 91% → 95% revenue retention increase driven by quality focus and better use of retention and loyalty tools
• Main driver for growth: consistently positive customer experience throughout Q1 & Q2

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 16

LOYALTY PROGRAMS DRIVING CUSTOMER

RETENTION AND REPURCHASE RATE

SaverPlan

Best Value for Money	- €3m

zooPoints

Interactive Shopping Experience

zooplus APP

Multi-platform Shopping Experience

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 17

SALES VOLUME INCREASED BY EUR 136 m VS. H1 2019 -

GROWTH PATH CONTINUED IN Q2 2020

SALES (in EUR m)

vs. H1 2019

 zooplus continued to benefit from

+19%

363 363 378

419 440 423

+21%	+16%
vs. PY	vs. PY

strong online demand and high

loyalty of existing customers

 Strong y-o-y development affirms

successful efforts on improving

customer activation and sales

+13%	+14%	+14%	+14%
vs. PY	vs. PY	vs. PY	vs. PY

Q1 2019

Q2 2019

Q3 2019

Q4 2019

Q1 2020

Q2 2020

retention combined with solid

sales execution

 High growth of accessories sales

(+32% vs. Q2 2019) proves

success of the active steering of

the product sales mix meeting

increased customer demand in Q2

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 18

ZOOPLUS IS THE ONLINE MARKET LEADER IN EUROPE AND IS GAINING SHARE FROM OFFLINE

TOTAL MARKET SHARE1

8%DACH

6%FR

9%BENELUX

14%2 PL

4%IT

3%	UK, IE
5%2	CEE
	other than PL

6%NORDICS

5%ES,PT

ZOOPLUS SALES BY REGION IN H1 2020 (in EUR m)

246+17%

	142	+19%
95	+15%
	Pet supplies market1
80	+25%	EUR 25.3 bn
71	+24%

69+20%

61+25%

51+13%

49+14%

1)Total net market = online + offline market, based on Euromonitor International 2020 and management estimates as of June 2020 in relation to zooplus FY 2019 sales figures;

2) change vs . prior disclosure due to updated market data reflecting an overall larger total market in Poland and CEE; zooplus continues	ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 19
to outperform total market growth in respective markets.

GROSS MARGIN FURTHER IMPROVED IN Q2 2020 -

STRONG INCREASE COMPARED TO PY

GROSS MARGIN1
		vs. H1 2019				 Sustainable increase in margin in
		+2.1%p
				31.6%	food segment driven by active
			30.2%
			29.4%		management of product sales
28.2%	28.7%	28.7%
				mix
				+1.2%p	+2.9%p	 Surge in demand for accessories
				vs. PY		vs. PY	in Q2 and the continued trend
							towards own brand sales driving
							gross margin improvement
							 Solid yield management focusing
							on loss leaders (avoidance)
							supports positive development of
							gross margin
Q1 2019	Q2 2019	Q3 2019	Q4 2019	Q1 2020	Q2 2020
1) Gross margin = sales - cost of goods (as a % of sales)					ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020	20

OWN BRANDS PORTFOLIO CONTINUES TO OUTPERFORM TOTAL FOOD AND LITTER SALES

OWN BRAND SALES & SALES SHARE FOOD & LITTER (in EUR m)

vs. H1 2019

				+32%		64			64
				61
48		49		52						17.9%
				16.7%		16.5%
		15.6%	15.9%
15.3%

• High-marginbusiness in the mid to premium segment contributing to gross margin expansion
• Growth index own brands / food 2.2 in Q2 2020 (H1 2020: 1.7)

Q1 2019

Q2 2019

Q3 2019

Q4 2019

Q1 2020

Q2 2020

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 21

STRONG INCREASE OF BASKET VALUE -

DRIVER FOR LOGISTICS EFFICIENCY

AVERAGE BASKET VALUE (NON-BMF; in EUR)

						Successful upselling measures
				57.2		and incentives drive basket value
					in H1 2020. Accessories sales
						make a helpful contribution
				+2.4 €		Bigger baskets correlate
				vs. PY
					positively with repurchase
			55.6
					likelihood
	55.2					Increased basked value with
54.2		54.8	+0.4 €
			positive impact on logistics cost
			vs. PY
						efficiency - Price increases in
						delivery and additional logistics
						cost related to protective COVID-
						19 measures fully compensated
H1 2018	H2 2018	H1 2019	H2 2019	H1 2020

Based on order date

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 22

COST EFFICIENT OPERATION CREATING MOAT FOR ONLINE AND OFFLINE COMPETITORS

COST STRUCTURE (in % of SALES)

Ad./Marketing	3.3%
	1.7%

 Reduced marketing spend vs. PY -

back in efficient territory while

increasing new business intake

 Larger baskets prompting for higher

Logistics 18.4%

Payment1

1.1%

IT/Admin 1.9%

Personnel2

FX gains & losses 3.5%

0.0%

H1 2019

1. Impairment expenses on financial assets reclassified to payment
2. Including LTI & SOP; own work capitalized reclassified to personnel

18.1%

1.1%

2.5%

3.7%

0.2%

H1 2020

value per parcel, offsetting additional

cost for higher FC capacity

 Increase in IT/ Admin cost base

reflecting higher non-operating

expenses for strategic projects

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 23

EBITDA DRIVEN BY PRODUCT MIX & COST EFFICIENCY, SOLID FREE CASHFLOW IN H1 2020

EBITDA (in EUR m)

	+24.9
	3.4%
	29.4
0.6%
4.5
H1 2019	H1 2020

% values: EBITDA margin (of sales)

CASH FLOW H1 2020 (in EUR m)

	+22.7
	29.6
6.9
H1 2019	H1 2020

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 24

STRONG FREE CASHFLOW GENERATION UNDERLINES OWN FINANCING CAPABILITIES OF ZOOPLUS

CLEAR PRIORITIES FOR CASH: FUEL FUTURE GROWTH

1	REINVEST INTO CUSTOMER GROWTH & CUSTOMER LOYALTY

2	REINVEST INTO STOCK AND PRODUCT AVAILABILITY

3	REINVEST INTO ENHANCING CUSTOMER EXPERIENCE

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 25

GUIDANCE 2020

(Updated on July 14, 2020)

UPDATED FINANCIAL YEAR 2020 OUTLOOK - ZOOPLUS INCREASES TARGETS DUE TO RESILIENT DEMAND

SALES GROWTH (in EUR m)

EBITDA (in EUR m)

	approx. 240 m
225 m
2020	2020E
May 7, 2020	July 14, 2020

at least 40 m

at least 20 m
2020	2020E
May 7, 2020	July 14, 2020

UPDATED THE FINANCIAL YEAR 2020 OUTLOOK ON JULY 14, 2020

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 27

SHAREHOLDER STRUCTURE

As of July 29, 2020; Calculation based on a total number ov voting rights of 7,149,178; Share ownership according to published voting rights notifications;

Free float of 90.06% according to the definition of Deutsche Börse: ** including equity instruments

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 28

ZOOPLUS AG: THE DEDICATED PET SPECIALIST

REASONS TO INVEST IN ZOOPLUS AG

1. Leading player in the resillient pet supplies category and a booming pet market
2. Dominating the European online space - only retailer present in 30 countries
3. Pet care is expected to prove resistant to the recession created by COVID-191
4. Fast growing additional 'best value for money' own brands business next to classical brand retail
5. Revenue Retention Rate of 95% with an extremly loyal customer base
6. Strong free cashflow generation and self-financing capabilities
7. Underlying business is structurally profitable

1)Euromonitor International Pet Care Quarterly Statement Q3 2020; Passport Report August 2020

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 29

IR CONTACT & FINANCIAL CALENDAR

Next publications	Date
9-Monthly Report 2020	November 17, 2020

Investor Relations

Diana Apostol

Sonnenstr. 15

80331 Munich

Germany

tel: [phone]

fax: [phone]

email: [e-mail]

Web: investors.zooplus.com

ZOOPLUS AG | INVESTOR PRESENTATION | SEPTEMBER 2020 30