Lx Diamonds Presentation1

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Success in Luxury and Style

description

Introducing LX Diamonds.com

Transcript of Lx Diamonds Presentation1

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Success in Luxury and Style

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Who We Are Take a Look Inside at Our Company and Operations

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2 Centers of Operations

Founded in 2010, LX Diamonds.com is owned by the Value Retail Group of Jacksonville, Florida. The Company specializes in consumer retail and government procurement sales.

LX Diamonds also maintains offices in New York City for product sourcing, website and creative design.

The Value Retail Group projects revenues from e-commerce and mobile commerce sales of $520,000 for 2011-2012; climbing to $2.7 million by 2014.

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Other VRG Properties Under DevelopmentThe Value Retail Group (VRG) also have the following properties in

the development pipeline:

Bulk and brand name household items for lessTarget Audience: Family Shoppers and General Consumers

Quality Cookware & Kitchen ToolsTarget Audience: Cook Enthusiasts, Empty Nesters, Kitchen & Restaurant Supplies

Digital Currency System for Travelers and Mobile Wireless UsersTarget Audience: High-speed Passenger Rail Systems, Mobile Phone Users, Business Travelers

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About LX Diamonds•Company Strategy & Distribution•Retail Technologies•Mobile Commerce Sales

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LX Diamonds.com features fine diamond jewelry and watches for the discerning consumer. The collection includes:

Luxury and Style

Diamond & Fashion

Bracelets

Brooches & Pins

Gemstone Diamond

Earrings & Studs

Men’s Jewelry & Watches

Wedding & Anniversary

Rings

Diamond Necklace

s & Pendants

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In 2010, U.S. jewelry sales rebounded, after a significant decline during the previous 3 years of the recession. Jewelry sales for the year, surpassed all previous records set for this category with $63.4 billion in sales by the end of the 2010 holiday season.

With E-commerce sales growing at 19.4% a year, U.S. e-commerce sales are expected to reach $279 billion by 2015; the sales of jewelry and apparel is expected to account for about 12% of that total. Similarly, revenues from M-commerce sales, now at $1.2 billion, are expected to reach $17 billion by 2014.1

Industry analysis forecast that the Compounded Annual Growth Rates (CAGR) for Web Only stores such as LX Diamonds.com will actually outpace traditional retail chains, because of their lower operating and customer retention costs.2

Market Size

1 Source: Goldman Sachs. 2011.2 Internet Retailer Top 500 Guide. 2011.

What this means is LX Diamonds is entering the right market at the right time and is ideally suited for growth.

We are poised to capture significant marketshare from both our

traditional and online retail competitors.

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Distribution & MarketsMarket Distribution is key to the success of LX Diamonds. LX Diamonds offers a mix of budget, moderate and designer priced jewelry to appeal to the broadest range of customers, with emphasis on high-net worth buyers and jewelry enthusiasts who tend to have higher levels of discretionary spending. Our findings show that among the leading shopping comparison search engines such as Shopping.com, Shopzilla, NexTag and Gifts.com, there is significant competition at the budget and moderate price ranges, however this competition drops off sharply in the better and fine jewelry categories. As a result, paid product placements in these upper range categories greatly enhance our ability to build brand awareness and grab market share. The list below is just a few of the many places you can currently find LX Diamonds:

With future venues to include:

• QVC• Amazon.com• My Simon• Yahoo! Shopping

• Mobile Phone Networks• Print Advertising• Oodle.com• theGift.com

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From Live Chat to Order Processing and Delivery, LX Diamond.com uses leading technologies and service providers to deliver the goods. We are developing new relationships daily with mobile commerce and Smartphone application developers to reach new audiences through the mobile web.

A recent sample of 153 million email messages across 12 different industries, found that 20% of all retail messages were opened on a mobile phone and not through traditional email; with analysts predicting that more customers will access the web through mobile phones and others devices than through laptop computers by 2013.

The Mobile Web is an exciting sales tool where retailers can share a sense of intimacy and privacy with their customers. Customers connect at a time that is comfortable to them, when they are more receptive to the marketing message, and in turn pass the message along to their families and friends. The virtue nature of social networking through mobile commerce is the cornerstone of LX Diamonds’ overall marketing strategy.

Social Networks & Retail Technology

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Investor InformationWhy Invest With UsProjected Sales AnalysisContact Us

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LX Diamonds welcomes investor participation from individual investors, hedge funds

managers and institutional investors The Company represents a significant value-add opportunity particularly in the areas

of brand and business development with continued growth expected over the next 5

years Currently, LX Diamonds operates only in the U.S. market. With sales expansion into

China and other global markets in the coming years, our revenues are expected to

increase substantially As the following slide shows, the Company anticipates sales of $520,000 in its first

year, with revenues exceeding $2.7 million annually by Year 3 Currently, investors can expect as much as 17% IRR annually* from their investment

participation with that number expected to grow as the Company grows Investors can choose short-term (12-18 months) or long-term participation (18-36

months) Planned exits include merger with a larger company or refinance based on enhanced

revenues after a 3 year period. Contact us for more details.

Creating Future Value

*This is an projected estimates, actual sales and investor returns can not be guaranteed.

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The table below was taken from our full business model. It summarizes projected sales and earnings for a 3 year period.

Projected Sales & Profits

LX Diamonds Projected Sales - Year 1* LX Diamonds Projected Sales - Year 2* LX Diamonds Projected Sales - Year 3*

Sales Monthly 390 Sales Monthly 821 Sales Monthly 1489

Average Profit Per Sale 179 Average Profit Per Sale 206 Average Profit Per Sale 244

Total Monthly $69,810 Total Monthly $169,126 Total Monthly $363,316

Gross Annual Revenues $837,720 Gross Annual Revenues $2,029,512 Gross Annual Revenues $4,359,792

Less Expenses (28%) $234,562 Less Expenses (28%) $568,263 Less Expenses (28%) $1,220,742

Less Investor Participation (9%)+ $75,395 Less Investor Participation (9%)+ $182,656 Less Investor Participation (9%)+ $392,381

Net Annual Income $527,764 Net Annual Income $1,278,593 Net Annual Income $2,746,669

•Projections Only. Subject to Change – Sales Forecasts are not guaranteed.+investor Participation levels are expected to change with scheduled buy-outs.

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Contact UsWant more information about this Presentation, contact us:

By Phone: Toll-free (866) 534-8116

By Email: [email protected]

By Regular Mail: The Value Retail Group, Inc.Division: LX Diamonds.com4800 Atlantic Blvd, Suite D-225Jacksonville, FL 32207