Video: Accesso at ShareSoc, Richmond 7th Feburary 2017

17th Feb '17 by TamzinPiworld

2 comments 4743 reads

accesso Technology (LON:ACSO) Presentation by Tom Burnet, Executive Chairman

http://www.piworld.co.uk/2017/02/16/accesso-asco-at-sharesoc-richmond-7th-february-2017/

Length: 35 mins

An overview of the company, covering the business model, where 95% of revenue comes from commission from transactions. On signing up a client, there is a visible, repetitive revenue stream for the length of the contract. Additionally, it is disruptive for a customer not to renew their contract.

IP is key, and ASCO spend more on IP than their competitors, because they're bigger than their competitors. This is back by their "relentless commitment to service."

Their growth strategy is through acquisition and organic growth. Tom discusses the last three acquisitions: Accesso (2012), Siriusware (2013), ShoWare (2014); and what these add to the ASCO offering. ASCO will do more acquisitions, going forward.

The growth record over the last 7 years has been impressive, and Tom believes there's further growth to be achieved. He has a personal target of $1bn turnover. He outlines where growth might come from.

Introduction – 00:20
Company overview – 3:00
History & growth Lo Q – 6:32
History & growth Accesso acquisition – 12:00
History & growth Siriusware acquisition – 12:35
History & growth ShoWare acquisition – 14:40
Accesso today – 16:53
Locations – 19:55
Revenue history & growth – 20:59
Leadership team – 21:42
Solutions overview (products) - 22:06
R&D - 26:52
Passport - 27:43
LoQueue – 28:35
Siriusware - 30:20
ShoWare - 30:56
What separates Accesso? - 31:32
Strong foundations for the future - 33:44
Financial summary - 34:57

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rhomboid1

17th Feb '17

Great presentation and a great business, I'm just unable to bring myself to feeling comfortable at the current PE of 35 or so as forward CAGR is flagged in the presentation as being more difficult to achieve, Mind you I felt the same when I looked at it around the £2 mark so what do I know about growth investments!

MikeBrenner

20th Feb '17

I attended the presentation and through questions afterwards picked up 2 key growth opps on top of their business as usual (which IMO is spectacular as noted above) that could cause a major re-rating:

1. the same end to end services that they provide to attractions and theme parks are needed by the cruise industry and also hotels (esp leisure and resort hotels) e.g. Prism chip wristband for access, payment and on site ticketing etc .., It sounded like they were in a number of discussions already both direct and on a licensing basis. A deal with Carnival could be like Merlin Mach 2

2. Distribution - this is a key area of opportunity for them to help their theme and attraction clients to fill the parks, or fill their event venues which they are not doing today (focus is on monetising them when they are there). On top of this, its an area that they can expand into across travel and entertainment spend which is $$$$$.

Leisure - What was really interesting was that today accesso is becoming a distribution partner to the music industry competing with the AEG, Eventims and Livenations of this world e.g. an artist like Lady Gaga will work with Accesso to plan her tour in LATAM to venues that they manage with their technology. GaGa will then exclusively work with Accesso to sell her tickets typically via social media to her fans (using their passport ecommerce platform) as accesso will charge a much lower % fee to manage this distribution + technically it can provide a much more integrated experience to then monetise these customers when they go to the show. Gaga will always sell out her shows so the question is not how can you sell my tickets but how much does it cost and what extra $$$ in ancillaries can the partner bring to the table! Lots of potential here to expand through music, theatre and sport ... and many are hating Livenation with their high fees and Ticketmaster after their ticketing sites falling over so ripe for disruption!

On the travel side its clear that they are looking at some interesting partnerships to extend their technology so can see them powering a google, tripadvisor, expedia, airbnb style instant book capability for partners for this event and attraction content. Equally it sounded like Accesso saw distribution as a great opportunity to not capture its usual $ cents per transaction but multiple $$$$ where they look to bring in customers to these venues / attractions.

I'm bullish on them as you can tell esp due to their recurring revenue model which IMO protects on alot of the downside.

Video: Accesso at ShareSoc, Richmond 7th Feburary 2017

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TamzinPiworld

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