Kapitall Thanksgiving Portfolio

KAPITALL Presents THANKSGIVING PORTFOLIO White Meat or Dark? Sweet Potatoes or Mashed? Thanksgiving offers a cornucopia of investing opportunities. Total Retail Sales 2010 $3.76 trillion 2011 $4.7 trillion An 8% increase over 2010 (1) 40% Black Friday and Cyber Monday can make up to 40% of Total Anual Retail Sales The day after Thanksgiving and start to the holiday shopping season in which retailers hold "doorbuster" sales to attract customers The Monday inmediately after Thanksgiving in which similar sales are held through online retailers and H. e-commerce QUALITY PREMIU CYBER MONDAY FRESH BLACK FRIDAY VS 2012 2012 BLACK FRIDAY WILL BRICK-AND- EXPECTATIONS ARE HIGH. MORTAR RETAILERS HIT IT BIG AGAIN THIS YEAR? HOW HIGH ARE BUT DOES CYBER MONDAY OFFER BETTER INVESTMENT OPPORTUNITY? EXPECTATIONS? 2011 Black Friday sales grew 6.6% from 2010 () 2011 Cyber Monday sales grew 22% from 2010 (5) 2010 2011 +6.6% +22% 2010 2011 over over $11.4 billion $1.25 billion Black Friday has been the biggest shopping day of the year for the past 7 years In 2011, Cyber Monday become the heaviest online shopping day to date (5)16) What are the driving forces behind Cyber Monday's sales increase?m) (4) 2011 Black Friday retail foot- traffic grew 5.1% from 2010 ) avoid gas best prices avoid crowds best gifts best selection prices 16% 2011 ease 32% 2010 64% 57% 47% 36% The growth of mobile has also contributed +5.1% Up to 42% of mobile shoppers plan to use their devices to shop on Cyber Monday 34% of shoppers planned to shop on Black Friday 2011, up from 31% in 2010 and 26% in 2009(8) (8) 2012 up to 42% 2011 2011 2010 2011 2009 over over 276% 277% 34% 2010 26% 31% 2010 The NRF estimates that retailers will hire between 585K and 625K Sales from mobile devices also saw a huge increase, employees this holiday season) In 2011, people using a mobile browser to access retailer sites i increased from 3.9% ! from 2.3% in 2010 in 2010 to 10.8% 2012 2010 2011 to 6.6% in 2011i (5) E-commerce growth is benefitting more than just online retailers 2011 2010 607.5K 625K 563K FedEx. +12% Macy's reported they will hire 80K workers for the 2012 holiday season, including Black Friday over On Cyber Monday, FedEx shipped 12% more units in 2011 than in 2010 260 million (10) 80K Some brick-and-mortar companies are expanding aggressively into e-commerce Wal-Mart increased investments in its own e-commerce platform this year over Walmart $300 million (11) Sears 8.7% over More than 8.7% of Sear's total yearly sales are now made online $3.5 billion 7.2% More than 7.2% of Macy's total yearly sales are now made online over $1.9 billion What's the significance for investors? FedEx. ups UPS INC FEDEX INC КОНLS SAKS INC KOHL'S CORP OVERSTOCK.COM INC i EBAY INC BEST BUY HSN amazon.com TARGET CORP BEST BUY CORP HSN INC sears AMAZON.COM INC SEARS HOLDING If you're bullish on brick-and-mortar If you're bullish on e-commerce Walmart>* MACY'S INC WAL-MART If you're bullish on both (1) http://retailindustry.about.com/od/statisticsresearch/p/retailindustry.htm (2) http://www.nrf.com/modules.php?name=Pages&sp_id=1140 (3) http://www.eco mmercebytes.com/cab/cab/abn/yi1/m11/128/s02 (4) http://lifeinc.today.com/_news/2011/11/25/8980324-good-graph-black-friday-holiday-shopping-stats?lit (5) http://www.pfsweb.com/blog/cyber-monday-2011-the-results/ (6) http://www.broadbandforamerica.com/blog/cyber-monday-salesexceed-expectations-reach-12 5-billion (7) http://www.businesswire.com/news/home/20111110005269/en/Holiday-Shoppers-Give-Ringing-Endorsement-Online-Shopping (8) http://blog.hubspo t.com/blog/tabid/6307/bid/29105/26-Mind-Blowing-Black-Friday-Statistics-Data.aspx (9) http://blackfriday.bradsdeals.com/news/2012/10/01/macys-hiring-season al-employees/ (10) http://news.van.fedexcom/e-commerce-shipments-drive-record-fedex-holiday-volume-0 (11) http://www.businessweek.com/articies/2012-03- 29/why-wal-mart-is-worried-about-amazon Brought to you by KAPITALL