QVC for Millennials

2. WE ARE QVC
FOR THE MILLENIAL
GENERATION

3. Estimated to control
over $990bn annual
spending power
(source: Deloitte)
By 2020 spending is
estimated to be $1.4
trillion and 1/3 of all
purchases
(source: Accenture)
Women spend 30%
more on apparel as
other generations,
Men spend 2x .
US Millennials
OPPORTUNITY

4. Millennial Consumers
… are distracted. 47%
multitask on multiple
screens - mobile as first
screen and TV one of
many screens.
(source: BI Intelligence)
… tune out big brands
& traditional media.
Influenced by new
media stars, their peers
and online
communities.
… have their own
set of values. They
find traditional TV
shopping cheesy
and over-
commercialised.
PROBLEM

5. The Market
OPPORTUNITY
YouTube: 6bn hours of video content watched every month 1bn unique users & still growing
1 out of 2 people visit YT every month
(sources: SoMotion, YouTube)

6. The Market
$8.3 billion
revenue
Yr 1 = $6,360,000
revenue (est.)
365 days,
24 hours/day @
$947k/hr
1-3min shows,
2-4x’s per week
@ $122,300 per
week*
106 m+
homes in US
45m+ Talent’s
subscribers, YT 1
billion monthly views
QVC
DSC
OPPORTUNITY *net rev per week for Y1/2016

7. DSC Audience
QVC –
• Broadcast TV Shopping
Leader (50-75 yrs old)
• $8.3 bill annual rev
• $14.7 bill market cap
JOYUS –
• Online Shopping
Channel (40-60 yrs old)
• $24 million new growth
funding
• Viewers who watch
video re 4.9x more likely
to convert
DSC –
• New Gen Shopping
Channel (13-34 yrs old)
• 80% 13-24 yrs old
• Mobile first, Highly
Engaged
OPPORTUNITY

8. DSC Magic
SOLUTION
YouTube stars host shows
50% margin on all sales
Owns the customer
Built to scale

9. MARKETING
YouTubers
have global
followings
They Appear
to Own the
Product on
Sale
They bring
Trust and
Credibility
DSC Authenticity
(See Appendix C)

10. Conversion Funnel
MARKETING
*Based on industry
standards

11. Do you the videos?
Good
Not Good
Cool
Boring
I Don't Know
Other*
Customer Survey Results
MARKET VALIDATION
*Other Results:
 Very Awesome
 Amazing
 I don’t like the (old) girl
• 100% Success Rate
• 100% Anonymous
• 15% Response Rate

12. What brought you to DSC?
YouTube
Twitter
Instagram
Friend
An Alien
Customer Survey Results
MARKET VALIDATION
What was your least
fave part?
Beta Password Page
*Survey sample includes 57 respondents taken from registered beta users. Using Google sheets participants were chosen by number
at random generating purely anonymous results. The survey consisted of 5 multiple choice questions and 1 open question. Forms
were sent from care@digitalshoppingchannel.com during the period of Aug 2nd-Sept 22nd.

13. SCALE
Growth
Watch DSC FitnessWatch DSC Cooking
Organized across passions and verticals

14. SCALE
DSC Network
"DSC is formally ‘Greenlit’
as a disruptive
technology of exceptional
global potential, being led
by a professional team…”
(See Appendix B)

15. DSC Network
SCALE

16. SCALE
DSC Network

17. DSC Network
SCALE

18. Shoppable video
technology, driven by
social media, mobile
first.
DSC Value
BUSINESS MODEL

19. Everyone Wins
-More than doubles
their
COGS (even with
discounts)
-Retains control of
stock
-Gains influencer
endorsement
-Monetization + Share
Options in an
environment
that retains their
credibility
-Brand & affiliate
opportunities
-Sales platform for
own brand
-TV sales platform for
own brand
-Credible way to tell
brand story to
millennial consumers
-Entertainment
-Brand Discovery
-Affordable Brands
-Influencer Brands
-Sustainable Brands
-Limited Edition
Products
-Bespoke Products
-A company that
shares their
mentality
BRAND YOUTUBE
STAR
CELEBRITY CUSTOMER
BUSINESS MODEL

20. BUSINESS MODEL
DSC Model

21.  Virtual Fulfillment
 Automated Tech
 Lean Principles
 Experienced Team
 Creative Talent
BUSINESS MODEL
DSC Model

22. DSC Experience:
BUSINESS MODEL
http://www.digitalshoppingchannel.com/watch/68

23. DSC², a DSC + Actv8me JV, is a
lifestyle magazine show shot & aired
on network and digital.
DSC² services the mature Millenial,
increasing customer lifetime,
decreasing Customer Acquisition Cost.
OWNING THE MARKET
DSCDSC² - a joint venture

24. …a Digital 1st Broadcast
series
creating a new format for a new generation
Actv8 technology
launches in 2015 on
27 US network
integrating
70% of US retailers
in 2015
OWNING THE MARKET
Ad Rev & Affiliate
model
DSC² - Broadcast + Online + Retail

25. DSC Bible =
Production Manual
$5k = 3 Original Shows @ 2-
5 mins each
Low Production Cost, High
Production Value
BUSINESS MODEL
DSC Production

26. Add’l Marketing
MARKETING
$1,000-$3,000 pcm invested in various
online advertising systems to measure
most effective ROI
YouTube pre-roll, Adwords, Facebook
(text/video), twitter cards, etc.
Affiliate Marketing Initiatives

27. GROWTH
Content Distribution
Own label
White Label
(production or tech backend)
Big Data
Credit Card bounty
(new credit card users)
Affiliate Marketing
Add’l Revenue

28. Product Categories
BUSINESS MODEL
Categories
Cooking
Beauty
Home/Gadgets
Fashion

29. DSC TEAM
Founder, Noelle Reno
Fashion Entrepreneur, TV Personality, and blogger.
Experienced businesswoman – grown, sold & invested in fashion
businesses.
Produced and presented content for global multichannel entertainment
properties.
“Everything I've learned has been building up to
this – everything DSC needs to be a success.”
CTO, Matthew Trewhella Director, Sam Washington
Engineer turned Business
Development
6 years at Google in hybid
engineering + sales role ,
Launched Number 10 site
Commercial and Film Director
with production, marketing,
and agency backgrounds.
THE TEAM

30. (Launched: July 23rd 2015
Semi-Closed) Beta
• Successful Video Conversions
• Successful Logistics Execution
• High Engagement Period
• Audience Validated Presumptions
• 75% aged 13-24 years old
• Mobile, driven by social
$5m valuation = Raising $750,000 (seed round)
CURRENT STATUS

31. Year 2016 Year 2017 Year 2018
Net Revenue $6,360,426 $9,162,720 $15,523,146
Gross Profit $3,237,213 $4,667,760 $7,904,973
G&A ($2,537,590) ($3,056,667) ($5,594,257)
EBITDA $699,623 $1,611,093 $2,310,716
P & L
PROJECTIONS

32. APPENDIX A
FUNDING TABLE (@ 100% Sales)
Oct-15 Nov-15 Dec-15 Jan-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16 Jul-16
Opening Cash/Cash Balance (Self
Funding): $ 20,000
Beginning Monthly Cash Balance: $ - $ 917,815 $ 839,932 $ 737,222 $ 635,122 $ 542,435 $ 450,655 $ 494,275 $ 404,143
Investor Funding: $ 1,000,000
** Cash Receipts $78,863 $97,948 $105,966 $148,124 $159,550 $173,734 $326,606 $291,934 $323,060
Expense:
Product Expense (Vendor Payable): $0 ($48,038) ($59,664) ($64,548) ($90,228) ($97,188) ($105,828) ($198,948) ($177,828)
Production Costs $ (20,000) ($44,229) ($44,229) ($44,813) ($52,479) ($52,479) ($57,479) ($57,479) ($57,479) ($57,479)
Payroll ($56,542) ($56,542) ($73,792) ($73,792) ($73,792) ($73,792) ($73,792) ($73,792) ($73,792)
* Office Establishment Fixed Assets $ (42,000) $ (26,400)
Other G&A Costs (includes shipping) ($18,277) ($19,269) ($21,686) ($23,876) ($24,470) ($25,207) ($33,319) ($31,518) ($36,135)
Talent Costs: ($7,753) ($8,722) ($9,129) ($11,269) ($11,849) ($12,569) ($20,329) ($18,569)
Net Funding Position: $ - $ 917,815 $ 839,932 $ 737,222 $ 635,122 $ 542,435 $ 450,655 $ 494,275 $ 404,143 $ 363,401

33. APPENDIX A.1
FUNDING TABLE (@ 50% Sales)
If we achieve just 50% of projected sales this is what it looks like.
Oct-15 Nov-15 Dec-15 Jan-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16 Jul-16
Opening Cash/Cash Balance (Self Funding): $ 20,000
Beginning Monthly Cash Balance: $ - $ 917,815 $ 814,977 $ 697,838 $ 589,479 $ 473,400 $ 355,196 $ 300,995 $ 184,699
Investor Funding: $ 1,000,000
** Cash Receipts $78,863 $48,974 $52,983 $74,062 $79,775 $86,867 $163,303 $145,967 $161,530
Expense:
Product Expense (Vendor Payable): $0.0 ($24,019.2) ($29,832.0) ($32,274.0) ($45,114.0) ($48,594.0) ($52,914.0) ($99,474.0) ($88,914.0)
Production Costs $ (20,000) ($44,229) ($44,229) ($44,813) ($52,479) ($52,479) ($57,479) ($57,479) ($57,479) ($57,479)
Payroll ($56,542) ($56,542) ($73,792) ($73,792) ($73,792) ($73,792) ($73,792) ($73,792) ($73,792)
* Office Establishment Fixed Assets $ (42,000)
Other G&A Costs (includes shipping) ($18,277) ($19,269) ($21,686) ($23,876) ($24,470) ($25,207) ($33,319) ($31,518) ($36,135)
Talent Costs: ($7,753) $0 $0 $0 $0 $0 $0 $0
$ - $ 917,815 $ 814,977 $ 697,838 $ 589,479 $ 473,400 $ 355,196 $ 300,995 $ 184,699 $ 89,910

34. GOV’T SUPPORT
APPENDIX B

35. 500,000-1million 1m-1.5million 1.5m-2.5million 2.5million+
heartmakeup 700k 700,000clothesencounters 1m 1,000,000Camila Coehlo 2m 2,000,000Andreas Choice 3m 3,000,000
Maddi Bragg (810k) 810,000Evelina 1m 1,000,000Kalel 1.78m 1,780,000
Shameless Maya 580k 580,000FleurDeForce 1.2m 1,200,000sprinkleofglitter 2.2m 2,200,000Joey Graceffa 5m 5,000,000
Claire Marshall 750k 750,000Tess Christine 1.4m 1,400,000iJustine 2.3m 2,300,000Zoella 8.7m 8,700,000
ciaoobelllaxo 850k 850,000BeyondBeautyStar 1.1m 1,100,000JLovesMac1 1.9m 1,900,000Tanya Burr 3.1m 3,100,000
TiffanyRotheWorkouts 650k 650,000Niki and Gabi 1.7m 1,700,000DulceCandy87 1.9m 1,900,000Jim Chapman 2.3m 2,300,000
Chriselle Lim 510k 510,000NiinaSecrets 1.3m 1,300,000pixiwoo 1.8m 1,800,000StilaBabe09 3.6m 3,600,000
katliette 741k 741,000BarbiePahetaci 1.4m 1,400,000krazyrayray 1.8m 1,800,000Carli Bybel 3.1m 3,100,000
Charisma Star 610k 610,000Taciele Alcolea 1.4m 1,400,000shaaanxo 1.8m 1,800,000blogilates 2.5m 2,500,000
Fashionista804 600k 600,000 cutegirlshairstyles 2.3m 2,300,000bubzbeauty 2.9m 2,900,000
Strawberry17 980k 980,000 Kandee Johnson 2.1m 2,100,000iJustine 2.3m 2,300,000
Catrfic 640k 640,000 bubzbeauty 2.9m 2,900,000
Mandy Jiroux 610k 610,000 cutepolish 2.5m 2,500,000
tsMyRayeRaye 856k 856,000 PointlessBlog 4.4m 4,400,000
ShirleyBeniang 578k 578,000 Mylifeaseva 3.5m 3,500,000
hollyannaeree 508k 508,000 cutiepiemarzia 3.6m 3,600,000
Makeuplocalypse 733k 733,000 Lilly Singh 6.1m 6,100,000
MayaMia 826k 826,000
BritPopPrincess 591k 591,000
APPENDIX C (subscriber base)
TALENT

36. BRANDS
DEA DIA Scotch & Soda Velvet Heart The Allflower CreativeAnna - DND Fashion IncChiara Ferragni Footwea
KYYOTE Love by Diego BinettiALO Yoga The Fifth Label Groceries Rebecca Minkoff
Covet + Keep Rehab Clothing Buffalo Jeans The Laundry Room Knitwit Qupid
MIG Apparel (BLANKNYC) Blue Life Tularosa LazyPants Hale Bob
Z & L English Factory Cameo the Label Numph Hidden Jeans United Nude
Justhype LTD Ciel Elliatt Freeze Clover Canyon Jessica Simpson
ELUX Noisy May Faithfull Bo-Bel Rebecca Minkoff uncommon
Lisa Todd The Crème Shop Finders Keepers LNA WILL Leather Goods Little Mistress
Boy Cherry Chree Glamorous Ted Baker London SuperGA - Steve MaddenPaper Dolls
SAMOE Cherimoya Isla_Co Beulah Style Chinese Laundry Girls on Film
Enewton Design Stella J.O.A. RE:Named Global Brands Group CIE LUXE Brands
MISCHA The BLVD Keepsake Lotus TitanIndustries Lineau Pellle Collection
A New Stop Nail Lovers + Friends Potters Pot Whitney Eve SAM.
Prmitv World LA LA Misha Collection LUSH Latitudes Ramon Tenza
Danish&Texas Manhattan Beach MLV BLACK The Classic Odd Molly skiesareblueclothing
ZEE.GEE.WHY Flying Monkey MVN See You Monday Fidelity Da Vinci of California
LIRA CRTV SCTV Paul & Joe Sister NYTT LUCE Kling Lennon & McCarthy Tee
BLAQUE LABEL Cotton Citizen NBD PPLA Clothing American Blue Boy London
Emu Australia Moon Collection Raga Drysdale Showroom Cala Coverii
Paul & Joe Sister Thread and Supply Rolla's Just USA Jeans Loomworks Valentine Goods
Eleven Paris Nikibiki Sol Sana ark & co. Black or Chid Denim Tara 4779 Jewelry
Braintrophy Ben Amun Stevie May AMUSE Society e/l/o/n District
Stela 9 Six Crisp Days T*Lulah Anna - DND Fashion IncFRNCH Happiness
Appendix D
Contemporary (200+)

37. Appendix D
BRANDS
Objects with out Meaning Abbot & Main Marida Jewerly Shield & Honor Rachel Ruddick
Silva Betro Simone Like Dreams Inc Cynthia Vincent Skin Sware
TNBP Clothing One BXWD 35 Millimeter C. Luce Sundry
DENADADDESIGN Dylan George Velvet Heart Capri Blue Dress Up
LAZULI Ecuador MY-KO I. Madeline Aspen Bay Candles Phyllis + Rosie
Still House Jewlery MY-KO I. Madeline Some Days Lovin Hail Nails
Electric California Sloane Rouge Kling The Lost Girls Anna Kula Designs
ALC See You Monday Desigual Paint It Red Annabel Ingall
Rachel Zoe Nicky Hilton x LP Heather Hunt No More Freeway
Pepin Wonderland The Laundry Room Evil Twin Balsa 201
Tbags Los Angeles Ya Los Angeles L'Etoile Sport Mink Pink Ikumi
Diane Von Furstenburg Ever Creatures Ted Baker Quirky Circus Buena Onda
Equipment FrNch Kristen Elspeth State of Being Loopy Mango
Elle Sasson Coin 1804 Found Goods Mkt Vero Moda Acquaverde
Haute Hippie Azul by Moussy Miss Marisa Noisy May Rise of Dawn
Joie Capulet Kaanas Luana Italy Lolo
Joie Cotton Citizen Ben-Amun by I.M. Larsson & Jennings Blanca Monros Gomez
Pam & Gela The Odells Benjamin Jay Milly Spitfire Girl
Tanya Taylor Rory Beca Ptakmoda Rebecca Minkoff Sunday Somewhere
Vince Rails Echtego Markus Lupfur Campbell
Vince Shoes Jachs New York Koral The Kooples Silke Debler
Vince Shoes Once Was The Coverii Velvet Turquoise and Tobacco
Caelum Girls on Film Wildfox Selin Kent One Six Five
Advanced Contemporary (200+)

38. Oct-15 Nov-15 Dec-15 Jan-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-16 Sep-16 Oct-16 Nov-16 Dec-16
Previous Month Ending
Balance:
$1,000,00
0 $917,815 $839,932 $739,422 $637,322 $544,635 $459,655 $503,275 $413,143 $388,301 $416,788 $468,355 $428,898 $403,490
Receipts (STRIPE net
receipts) $0 $80,064 $99,440 $107,580 $150,380 $161,980 $176,380 $331,580 $296,380 $327,980 $350,980 $472,020 $459,860 $490,260 $593,620
Receipt of Ad Revenue
(Received Quarterly) $2,200 $6,800 $15,900 $75,000 $19,850
(Less Product Payments
to Brands, 30 days) $0($48,038)($59,664) ($64,548)($90,228)($97,188)
($105,82
8)
($198,94
8)
($177,82
8)
($196,78
8)
($210,58
8) ($283,212)
($275,91
6) ($294,156)
(Less Stripe Fees 1.5%) ($1,201) ($1,492) ($1,614) ($2,256) ($2,430) ($2,646) ($4,974) ($4,446) ($4,920) ($5,265) ($7,080) ($6,898) ($7,354) ($8,904)
DSC Seed Invesment in
Preferred Stock $0
Purchase of Fixed
Assets ($42,000) ($26,400)
Talent $0 $0 ($7,753) ($8,722) ($9,129)($11,269)($11,849)($12,569)($20,329)($18,569)($20,149)($21,299) ($27,351)($27,993) ($29,513)
Payroll $0 ($56,542)($56,542)($73,792) ($73,792)($73,792)($73,792)($73,792)($73,792)($73,792)($80,500)($80,500) ($93,438)($93,438) ($93,438)
Production Costs
($20,00
0) ($44,229)($44,229)($44,813) ($52,479)($52,479)($57,479)($57,479)($57,479)($57,479)($57,479)($57,479) ($62,479)($62,479) ($62,479)
Other G&A Costs
(includes shipping) $0 ($18,277)($19,269)($21,686) ($23,876)($24,470)($25,207)($33,319)($31,518)($36,135)($37,312)($43,507) ($45,790)($48,488) ($54,263)
Net Cash Flow $0 $917,815 $839,932 $739,422 $637,322 $544,635 $459,655 $503,275 $413,143 $388,301 $416,788 $468,355 $428,898 $403,490 $454,358
Monthly Net
Increase/Decrease in CF ($82,185)($77,883)
($100,51
0) ($102,100)($92,687)($84,980) $43,619($90,131)($24,842) $28,487 $51,567 ($39,457)($25,408) $50,868
CASH FLOW
APPENDIX E

39. • We are a community built on passion and the desire to share.
• We believe in good - what’s good for customers is also good for
business, what’s good for our employees is good for our brands, and
what’s good for the bottom line can be good for the planet.
• We are a millennial company in the way we think, what we believe,
what we do, and why we do it.
• We aim to be one of the most trusted companies of our generation
and our customer is key in us achieving this goal.
• We work with brands, talent, production, and individuals who share in
the DSC vision;
– Let’s Make People Happy
A New Gen Company
THE TEAM