Helping Global-Minded Entrepreneurs Build Successful and Lasting Internet Companies Ryu Hirayama / YJ Capital CEO CEO

2. Helping Global-Minded
Entrepreneurs Build Successful
and Lasting Internet Companies
Ryu HIRAYAMA
CEO,YJ Capital Inc.
SVP of Corporate Development ,
Yahoo Japan Corporation

3. Yahoo! JAPAN As Your Partner
• Business
development
• Strategic
acquisitions
• Investment
Japan s No.1 Internet company Pure venture investment

4. OVERVIEW

5. • as sole LP
• Total funds of $190mn (Fund 1 $25mn raised in
2012, Fund 2 $165mn raised in 2015)
• Strategic synergies NOT required for investment
• All stages
• All areas
• Regions: Japan, US, SE Asia, Korea, Israel
Overview

6. YJ Capital Core Values
1
Access to

7. YJ Capital Core Values
Japan market
entry support
2

8. YJ Capital Core Values
Partners are ex-founders and
current business heads at YJ
3
Takao OZAWA
Head of Yahoo!
Shopping
Shin MURAKAMI
Chief Mobile
Officer
Yusuke TANAKA
Head of Personal
Services
Gen MIYAZAWA
Head of Media
Services

9. WHO WE ARE

10. Over
monthly page views
（29bn via smart devices)
Over
monthly page views
（29bn via smart devices)
Jan-Mar 2015 average

11. Daily unique
browsers
（45mn via smart devices）
Jan-Mar 2015 average

12. Active
user ID s
Jan-Mar 2015 average

13. Total app
downloads
iOS + Android
As at end Mar 2015

14. E-commerce approx. $3bn + Auction $7bn
$1 = ¥120
Approx.
Commerce
GMV

15. Multi Big Data Company
And over 100other services…

16. As of June 19, 2015
$1 = ¥120
Market
Cap

17. FIREPOWER
Net Cash
approx.
$ bn
Total funds
approx.
$ mnAs of end Mar 2015
$1 = ¥120
Fund 1 and 2 combined
$1 = ¥120

18. WHAT WE ARE
DOING

19. Description
•Search and Display ads
•Expanding ad product lineup to include: video, re-targeting
(Criteo), and native
•Building an integrated marketing PF by offering DSP, DMP, and
CRM solutions
Marketing Solution

20. Description
•Media services on web or through apps : search news, sports,
weather, map, etc
Media Services

21. Description
•E-marketplace platform: ad model (no commission , no tenant /
transaction fees)
•Auction platform : royalty model
Commerce

22. Description
•Monthly subscription membership service
•HealthCare service (genetic diagnosis)
Subscription

23. Description
•E-wallet
•User ID
•Customer loyalty program
•Internet banking
•Credit card issuance
•FX trading bank
Payment & Finance

24. Description
•Internal data and science analytics PF
Data Science

25. HOW WE CAN HELP

26. Illustrative Partnership Scheme
Description
•Advice on:
-Japanese market
-UI/UX for Japanese users
Potential Partnership Scheme
•Offering YJ’s products to help business
in Japan
-Search /Display Ad, Wallet,
Shopping/Auction PF
•Promoting service using YJ’s owned
media
-Top Page, “featured” articles
•Offering total package of business
solution for Japan operation
Market
Consulting
Product
Partnership
Promotion
Partnership
Entire
Operation
Partnership
Our Asset
•Offering business functions to help
business in Japan
-Customer Support, UI/UX design,
Logistics
Functional
Partnership
•Knowledge and
insight on Japanese
users with 19 years
of Japan operation
•B2B product lineups
•Significant business
customer base
•Functional
expertise optimized
for internet
business in Japan
•Media power of YJ
with ~2.0B PV / day
•100+ services
•Streamlined
business
operations with
~50% op margin
No
contract
Product
offering
Commercial
agreement
JP op.
Outsourcing
Acquisition of JP
op.
JV for JP op.

27. Selected Partnership Examples

28. Appendix 1
Japanese Market Overview

29. Internet Users
109.3M
<Ref>US 279.8M, 86.8%
* Source: Internet Live Stats, Dec 2014
Penetration:86.0%

30. Mobile Users
* Source: ICT World Telecommunication/ICT Indicators, 2012
141M
<Ref>US 303M 96.5%
Penetration:110.6%

31. Mobile Device Penetration
Smartphone
57%
Tablet
16%
* Source: Video Research, Aug 2014

32. Mobile OS Share
* Source: OS share: MM Research Institute, Mar 2014
57.1%
41.8%