Investor
Centre

INVESTOR WELCOME

On behalf of the Directors and management team, I am delighted to share with you the remarkable journey of the Temple & Webster Group Ltd (the "Group") and our future growth plans.

The Group was founded in 2011 by Mark Coulter, Adam McWhinney, Conrad Yiu and Brian Shanahan, a group of Australian entrepreneurs who were passionate about changing the way consumers purchased furniture and homewares.

From 2011 to now, Temple & Webster has established itself as Australia's leading pure-play online retailer of furniture and homewares offering more than 200,000 products on sale from hundreds of suppliers. 

The business runs an innovative drop-shipping model whereby products are sent directly to customers by hundreds of local suppliers, enabling faster delivery times and reducing the need to hold inventory, allowing for the largest product range in our category.

The drop ship range is complemented by a private label range which is designed and procured by our industrial design and sourcing teams from over 100 factories globally. 

The business also offers customers a growing range of home improvement products, as well as Trade & Commercial solutions for business customers.

OUR VISION AND STRATEGIC PLAN

Our vision is to make the world more beautiful, one room at a time.

We want to be famous for having the best range in our category, the most inspirational content and services and the best delivery experience & customer service. Our foundations are built on data-driven marketing, world-class technology and exceptional execution by an amazing team.

In August 2023, we outlined our mid-term strategy of reaching over $1 billion in annual sales within 3-5 years with the following mid-term strategic goals;

  1. Becoming the top-of-mind brand in the category to build brand equity and drive market share gains
  2. Driving the majority of revenue from exclusive products to solidify our position of having the best range
  3. Lead with our data, AI & technology capabilities to drive conversion and cost-base efficiencies
  4. Lowering our fixed cost % to obtain a price and margin advantage to improve pricing and unit economics and:
  5. Building scale through adjacent growth plays to continue diversifying our revenue mix

We believe that now is the time to accelerate our growth and market share gains to reach this goal for the following reasons:

Firstly, the furniture and homewares category is undergoing a “once in a generation” shift from offline to online. As we have seen previously, we expect Australia to catch up to online penetration rates seen in other markets such as the U.S. and UK over the coming years, driven by demographic trends independent of macroeconomic factors. Millennials are overtaking Baby Boomers as the largest population segment, and these digital natives are entering their core furniture and homewares-buying years as we speak.

Secondly, Temple & Webster is the largest pure-play online retailer in the category having overtaken all online-only competitors, putting us in a position of strength as we focus on taking market share from traditional offline retailers.

Thirdly, as we scale, there is a flywheel effect for Temple & Webster and our competitive advantages will get stronger, further increasing our leadership position.

Finally, the Group is well placed to build on this platform for growth with an asset light, cash generative model, and is fully funded to execute on both organic and inorganic growth plans.

As our operating platform continues to strengthen, we are well placed to leverage our experience and capabilities into adjacent markets and product categories.

OUR GOAL

If we continue to execute well against our strategic priorities, we will reach our goal which is to be the largest furniture and homewares retailer, and the first place Australians turn to when shopping for their homes.

We invite you to read our latest investor presentation at - https://www.templeandwebstergroup.com.au/Investor-Centre/?page=reportsOpens in new window

The Directors and management team look forward to welcoming you as a shareholder.

Yours faithfully,

Stephen Heath
Chairman

Temple & Webster Group acknowledges the Traditional Owners and Custodians of Country throughout Australia. We recognise their enduring connection to the lands, the waterways, and the skies. We acknowledge the Gadigal and Wangal people, on whose lands our corporate head office is located, as well as all other First Nation Countries we operate across. We pay our respects to Elders past, present and to all Aboriginal and Torres Strait Islander peoples.