Recording of the Online Management Presentation from the 01.04.2021

The trend toward online grocery shopping has become increasingly strong in recent years and has gained considerable relevance, especially in the last year. Customers' requirements in terms of flexibility and speed have increased. At the same time, a deep awareness for sustainable shopping and environmentally conscious actions has emerged.

GreenInside is a supermarket box with its first location in Munich, where stores have to be closed after 8 pm. The supermarket box enables contactless and time-efficient shopping at any time of the day or night. Customers no longer have to walk through the supermarket looking for the products they want - instead, a robotic system puts together their purchases fully automatically. Customers order their products conveniently via an app or at a terminal in the store. When ordering via the app, customers can then flexibly select a pick-up time when their purchases will be put together.

In cooperation with the wholesaler Ökoring and local producers, the store offers mainly regional, vegan/vegetarian and organic products. The responsible and preserving handling of food is in the foreground. The use of robot technology enables intelligent merchandise management so that the warehouse is optimized to meet demand, thus reducing food waste.

The robot technology is produced in cooperation with our business partner smark. Various proofs of concept have already been conducted and tested in different locations. A store can be fully built and sales started within 3 months. The medium term goal is to build 7 stores in the next 5 years.

Pitch-Video cooperation partner: FilmArt Wolfgang Lanzenberger und Stolz & Friends

GreenInside has a clear vision for the future - we want to shape future supermarkets. We want to enable customers to shop instantly, at any time of the day or night. In this way, we create a flexible and time-efficient shopping experience. The fully automated supermarket box is managed by an intelligent robot system that runs completely independently and without employees. Centrally controlled via an app, the inventory of the supermarket box is continuously adjusted to the needs of the customers. With this novel and currently unique concept, we want to enter the supermarket industry.

Digital shopping is developing ever faster, but is still a long way from arriving in the German market. We want to be at the leading edge of this change, shaping and helping to steer it with the values of our generation. Acting responsibly with food under the aspect of sustainability is at the top of the list. Above all, this includes reducing food waste and focusing on seasonal, regional and organic products.

GreenInside's supermarket box has an intelligent robotic system that changes the entire shopping process, leading to a disruption in the conventional supermarket industry. Market analyses in Munich show that there are only a few competitors offering a business model with comparable opening hours and assortment. We can offer customers a more interactive and self-determined shopping experience, so that they are not only flexible when shopping, but also save time. The robotic system is unique in the supermarket industry and allows us to keep labor costs low. It enables food to be handled in a way that conserves resources, so that fewer products are thrown away. By analyzing purchasing data, it is possible to involve customers more actively in order to optimize the range of products on offer to meet demand. In addition, individual offers can be specifically targeted to the customer and transmitted via app. The technology is already developed, tested in the 2nd generation and ready for the market..

Customers order their purchases via the app or, alternatively, on site via a terminal. Customers can use the app to view their purchasing history, invoices, and offers. We also use the app to control our resource management, accounting and customer contact. The app offers creative freedom to make the shopping experience as convenient and simple as possible for customers.

After placing an order, customers select the time period in which they would like to pick up their purchase. This allows the shopping cart to be put together in advance. Once they arrive, customers scan a QR code and pick up their purchase at the self-checkout. GreenInside stands for sustainability. We offer regional and seasonal products as well as vegan, vegetarian and organic products.

GreenInside offers a currently unique concept in Munich. The intelligent robotic system is developed by our business partner smark. It enables interactive merchandise management, offers space for 40,000 products in two different cooling zones, picks them independently and achieves a high economic benefit due to the very low space and staff requirements. Data analysis is used to optimize the assortment and personalize sales strategies to the clientele. Expiration or waste of older products is reduced to a minimum. Overall, the robotic system enables completely contactless shopping.

Regional or organic products are mainly offered. Cooperations with local farmers and producers are entered into via a regional wholesaler. Thus, customers can shop time-efficiently and sustainably at any time of the day or night.

As a young start-up with flat hierarchies and short decision-making processes, we are more goal-oriented and faster than any large company. This enables us to implement the store directly and in a timely manner, with the goal of going on sale as early as mid-2021.

GreenInside is a retail store. The robotic system enables fixed costs to be kept low, mainly by saving on personnel costs. This makes it possible to offer the products at market prices. A margin of 35%, which is customary in the industry, is expected. [1]

The target customers mainly make spontaneous or time-efficient purchases. Initially, small baskets of goods are accepted, since the concept is novel and customer acceptance must first be won.

[1] https://www.impulse.de/gruendung/was-grunder-bei-der-preiskalkulation-beachten-mussen/2003694.html?conversion=ads#:~:text=Die%20Gewinnspanne%20oder%20Marge&text=Superm%C3%A4rkte%20setzen%20bei%20Lebensmitteln%20eine,sind%20es%20eher%2020%20Prozent

In Bavaria, the official store opening hours are between 6:00 and 20:00 on weekdays. In the Munich area, there are only 7 providers who are open outside these hours. Some of the provider groups are characterized by fast shopping hours, with a limited or very specific assortment. Others have a very large assortment - but at peak times (weekends and after 8 p.m.) there are often long waits of up to 20 minutes. Our target customers are spontaneous, digitally oriented and focused. They don't want to accept a limited range of products or long waiting times. Our digital shopping concept therefore appeals to the performers, adaptive-pragmatists, and expediters in society. According to a study by the SINUS Institute, these are around 28% of the German population.[1] In Munich, the planned location of the first supermarket box, this corresponds to 120,000 potential customers in the inner city area. GreenInside wants to promote the responsible use of food. With this project we meet the needs of the time - the demand for organic products has increased by 10% in recent years[2], and by 16% in 2020.[3] . Online grocery is also growing steadily, with sales increasing by about 8% annually.[4]

[1] https://www.sinus-institut.de/sinus-loesungen/sinus-milieus-deutschland/

[2] https://de.statista.com/statistik/daten/studie/4109/umfrage/bio-lebensmittel-umsatz-zeitreihe/

[3] https://n-bnn.de/aktuelles/15022021-bio-fachhandel-2020-stark-gewachsen-gesundheit-und-nachhaltigkeit-f%C3%BCr-kunden-am

[4] https://de.statista.com/prognosen/491710/prognose-der-umsaetze-im-e-commerce-lebensmittel-drogerie-nach-sub-segmenten-in-deutschland

A store can be fully built within 3 months. In the next 5 years, we plan to build 6 more stores across Bavaria.

In mid 2021, the first store will be built in Munich with a planned turnover of EUR 290,000 in the first year. Customer behavior will be analyzed, and processes optimized. B2B relationships are deepened, a longer-term partnership with smark is established. In the second year, break-even is reached and an increase in sales to 1,300,000 EUR is expected. After 5 years, sales per store of EUR 2,100,000 and total sales of EUR 14,700,000 are expected.

The capital expenditure is 600,000 EUR. The investment will be used to finance the robotic system, the setup of the first store, the filling of the warehouse and marketing campaigns.

The planned capital expenditure is divided as follows:

• Robotic system: 40%
• Set-up of the first store: 35%
• Filling the warehouse: 15%
• Marketing: 10%

• Technology is tested and ready for market launch
• Exclusive contract with technology developer regarding rights of use of robotic technology
• Contracts with wholesalers pre-negotiated
• Contract for store under negotiation

Media:

www.green-inside.de

LinkedIn: https://www.linkedin.com/company/greeninside
IG: www.instagram.com/einkaufsbox/

• Extremely high customer benefit and high seller benefit
• Great market potential due to new supermarket concept, product selection and the lack of shopping after 8 p.m. in Bavaria
• Targeted founding team with strong self-drive
• Timely market launch possible
• Proof of technology has been achieved
• Sustainable investment