WEB TRAVEL GROUP LIMITED — Investor Presentation 2021

Mar 17, 2021

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B2B Revisited Back to Basics.

UBS Sydney Investor Session Presentation 18 March 2021

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Introduction.

Market overview

• Competitive landscape

• What is a bedbank

• Why do hotels use WebBeds

• Why do customers use WebBeds

The WebBeds model

• Who are our hotel supply partners

• Our multi-supply aggregation model

• Who are our customers

• The network effect

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Market Overview.

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WebBeds is the #2 global provider in a highly fragmented market.

. The competitive landscape

Industry Overview

• B2B Market is huge and highly fragmented

• Bedbanks provide a critical distribution channel for the travel industry

• Each region has different characteristics

• The majority of participants are specialised, local offerings with relatively small market share

• WebBeds is one of very few genuine global players

Key participant market share (US$BN TTV)

As at FY19

Post Covid-19 Opportunity

• Severe financial pressure on smaller players and the industry is likely to significantly change the competitive landscape post Covid-19. Presents an opportunity for WebBeds to gain share as competitors come under financial strain

• B2B is expanding into the B2C market, providing even greater market opportunity

A$70BN+ TTV

B2B Market Opportunity

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4% WebBeds Global Market Share (pre Covid 19)

Source: Management estimates

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WebBeds is a bedbank that connects sellers with buyers creating a global . B2B marketplace

What is a bedbank?

A bedbank is an intermediary that connects sellers with buyers in a complex global ecosystem of travel distribution.

Travellers

Accommodation Suppliers

Booking Enablers

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Traditional Channels

How do I

• Global hotel chains

maximise potential customer reach?

• Retail Travel Agents

• Regional hotel chains

• Corporate Travel Agents

• Boutique hotels

• OTA’s

• Small independent hotels

• Wholesalers

Bedbank

• Tour Operators

• Resorts

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• Other accommodation

New channels

How can I

• providers

• Airlines

offer enough relevant products to my customers?

• Super Apps

• Travel Lifestyle Apps & Sites

• Loyalty

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WebBeds offers its hotel partners an important & differentiated distribution channel.

. What we offer our hotel partners

The global hotel market is huge and highly fragmented

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20%
80%
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Accommodation market is 80% comprised of independent hotels

• Likely to have limited direct booking capabilities

80% Independent hotels[(1)]

• Less able (or willing) to invest in a global sales and distribution team

20% Part of a chain

• Multiple sources of distribution to ensure minimal vacancy

What Hotels Need:

• Aggregate multiple and diverse channels through a single contract

(1) Source: STR Global and Company estimates based on all hotels offering rooms for sale.

• STR Global data only counts properties with more than 10 rooms https://str.com/

WebBeds Value Add:

• Help hotels sell rooms around the world

• Help hotels manage their occupancy rates

• Help hotels diversify sources of demand

• Company estimates include properties with less than 10 rooms.

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Bedbanks (like WebBeds) help hotels extend their distribution channels.

Source: PhocusWire – The Real Value of the BedBank Distribution Model

Why do hotels use bedbanks?

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Bedbanks OTAs
Longer Shorter
Lead-time
(more planned) (more last minute)
Length of stay Longer Shorter
Cancellation rates Lower Higher
Broad based given channel mix
Traveller profile Price sensitive leisure
(i.e. corporate, leisure, travel groups)
Key Attributes
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Many OTA customers typically book multiple hotels which they then cancel closer to check-in

Bedbanks assist hoteliers by extending their distribution to new channels in more markets

Bedbanks are not designed to compete with hotel supplier direct booking initiatives

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WebBeds offers customers access to more than 365,000 hotels around the world.

What we offer our customers.

Bedbanks customer pool:

Any business that offers its customers the ability to make accommodation bookings:

• Traditional channels:

OTAs, Corporate Travel Agents, Retail Travel Agents, Tour operators and other wholesalers.

• New channels:

Airlines, Super Apps, Loyalty, Travel Lifestyle Apps & sites

• What customers Cost effective access to global inventory delivered through need: reliable technology, and strong customer service and support

• Quick, easy access to a full range of global inventory through a single pipe

WebBeds Value Add:

 Highly competitive inventory pricing

 Market leading technology

 Award winning customer service

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~~Our~~ Business Model.

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WebBeds offers more than 365,000 hotels around the world including global chains & independently managed & contracted . properties

. Our supply partners

. We get our accommodation supply from a wide variety of sources

. Ground service product boosts our product offering

We provide destination services such as transfers, entertainment, tickets, attractions and more...

Note: all data is pre Covid-19

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Our customer network in more than 145 countries generates 9.6 million room nights . per year

Our network & reach.

Global Network & Reach

We distribute our products through a global network of travel selling clients.

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Note: all data is pre Covid-19

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Multi-supply aggregation provides the greatest breadth & depth of inventory at highly . competitive prices

. Multi-supply aggregation strategy

. We get our accommodation supply from a wide variety of sources

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3[rd] Party Providers Integration with 77 global and specialist wholesalers

Directly Contracted Hotels

30,000+ key hotels across strategic destinations

44,000+ travel providers worldwide

Global Hotel Chains

Direct connectivity to 65 leading chain inventory

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Revolutionising a 20 year business model through the hybrid supply model.

. Multiple sources of pricing per hotel

WebBeds often has 4-6 different prices for the same hotel room.

Global Chains Third Party Direct Contracts	Global Chains Third Party Direct Contracts	Global Chains Third Party Direct Contracts	Global Chains Third Party Direct Contracts
Contract Types	Fixed & Dynamic	Fixed & Dynamic	Fixed & Dynamic
Typical Contract Profile	Evergreen	Evergreen	6 month
No Inventory Risk			
# of Suppliers	65	75+	30,000+

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Our supply model allows for instantaneous & continual feedback loop with unparalleled price & demand data.

. Pricing competitiveness – Illustrative examples

Instant Demand Feedback

Instant Price Feedback

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$110 per $105 per
room / night room / night
Third
Direct Third party
supplier
contract party
supplier
$100 per
room / night
Hotel A Hotel B
Multiple Sources of Supply Third Party Supply Only
Client Client Client
Clients
A B C
$105 per room / night
WebBeds sale of lowest price
inventory to clients secures booking
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A balanced portfolio mix across all customer . segments

Our customers.

Who are our customers?

WebBeds has a balanced portfolio across all customer segments.

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Tour
Corporate Travel Operators
Agents
8%
20%
OTA's
17%
Super Apps
Retail Travel 3%
Agents
32% Wholesalers
20%
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What we offer our customers.

• Quick, easy access to a full suite of global inventory

• Over 365,000 hotels

• Highly competitive inventory pricing

• Market leading technology

• 50+ offices globally

• 1,500+ staff worldwide, with dedicated local sales & supplier support team structure

• Award winning customer service

Note: Customer portfolio as at 31 December 2019

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We provide customers a diverse technology enabled product . offering

. Technology product offering

WebBeds offering

What do customers look for?

• Clients can access global inventory through either XML or direct website connections

• Sub-second response time for XML connections

Fast product that is easy to use

• Provides a net rate

• Access 24 hours a day, 365 days a year

• Online invoicing

• Detailed booking reports

• WebBeds aggregates room rates from all supply sources and only the lowest price is displayed

Great rates

• Global inventory with depth and breadth – 365,000+ hotels in 200 destination markets

• WebBeds is the only Bedbank of scale operating a hybrid model providing inventory advantage

Great inventory

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XML / Website Split (FY19)

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1% 0.2%
23%
76%
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XML Web

Call Center Group

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Pre Covid-19, WebBeds was the fastest growing B2B player in the world.

Network Effect. The importance of the

• The more WebBeds grows its global client base, the more relevant it becomes to hotels as a means of distribution

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Demand
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• As a result, WebBeds is able to get deeper room allocations at better prices with its directly contracted hotels, as well as attract new hotels to its platform

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Inventory Growth
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• WebBeds becomes increasingly meaningful to its third party providers as a distribution platform for their own room allocations

• Ability to increase room content and access better rates in turn helps feed greater demand for its product from clients , helping grow its global client base

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Content
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• Large and increasing repository of data – providing competitive data advantage

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~~Tha~~ nk . you

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