2. 2 We Help Small Businesses Market Their Business Superior value proposition Turnkey marketing solutions Broadest product portfolio, including creative tools and services Market leading prices, ease of use, convenience, and customer service “Right for me” product quantities Rising awareness driving revenues Rapidly acquiring customers with low, stable per-customer acquisition costs 8 million unique customers last fiscal year Large and underserved market in North America and Europe Favorable competitive landscape
4. Market-Defining Product and Service Breadth Signage Custom Apparel Business Cards Promotional Gifts Other Online Services Relative SpendSmall Business Marketing(Overall market,not just Vistaprint) Including Email Marketing Brochures, Flyers Letterhead, Envelopes Websites Holiday Cards Mailing Services 4
5. History of Strong Results 5 Millions, fiscal year ending June 30 *Fiscal 2005 results exclude a contract termination payment of $21mm Non-GAAP adjusted net income for all periods presented excludes share-based compensation expense and its related tax effect. Please see reconciliation to GAAP net income at the end of this presentation.
7. The Challenge… 62% growth year over year Young, capable, highly intelligent workforce Rapid promotion cycles No resources for managers other than their own manager “I was promoted internally to be a manager and have been managing for just over a year with zero training other than what I’ve experienced from my manager.” - Vistaprint Manager 1/28/2010 7
8. Manager Development Program At A Glance 1 HourPhase II Check-In ½ DayGraduation Vista Impact Session Discussions 360° Survey Feedback Vista Impact Session Discussions 360° Survey Feedback Time Commitment: ~ 11-12 Hours Managers of Participants 1 Hour MDP Orientation Ongoing : Conversations, Measurement, Debriefs 2 Days Phase I 2 Days Phase II ½ Day Graduation 12 Vista Impact Sessions 12 Vista Impact Sessions Time Commitment: ~ 11-12 days Participants Ongoing : Reinforcement through E-Learning Q2 Q4 Q1 Q2 Q3 Gathering Metrics Measurement 8
9. High Level Learning Topics: Phase I Phase II The Work of Managers Mental Models Ladder of Inference Advocacy & Inquiry Planning and Prioritizing Important vs. Urgent Goal Setting SMART Goals Delegating to Build Talent Skill vs. Will Providing Direct and Actionable Feedback Results Stories Coaching to Drive Results What’s in Your Toolbox? Strategy Implementation Creating a Clear Line of Sight Managing the Challenges of Change Asking the Critical Questions Agility & Resilience Utilizing Communication Process Skills Stakeholders & Triggers Developing a Plan 9
11. Early Results… “MDP has changed the way I think. I am more impactful as a manager now that I have a new framework for work throughput, allocation, and organizational efficiency. Specifically, MDP has helped me sort out “who’s doing what” on my team and how to manage the people and workloads.” - Pilot Participant “I feel more confident in my ability to manage others, especially other managers. I feel that I am truly building a strong team, which helps me, them and the business.” - Pilot Participant “I definitely think getting these core skills will allow me to become a stronger manager and drive value for the team and Vistaprint.” - Class A Participant 1/28/2010 11
13. How We Got Here Last fall we conducted a Needs Analysis in order to determine the learning & development requirements of managers and the rank order of priorities for each of the following groups: Senior Business Leaders Managers Those Being Managed Data Collection Methods 31 one-hour interviews with key business leaders 5 Focus Groups with 36 managers total 5-6 question survey sent to 524employees with a 50.76% return rate 1/28/2010 13
14. What We’re Striving For… Vistaprint’s challenge is to create an environment that promotes the value of management & our commitment to develop management talent. The ideal environment embeds the belief that strategic management of talent is a competitive advantage. We demonstrate that by: Devoting time and attention to it Using our understanding of what people need to learn and how they learn to provide opportunities for them Integrating “business” and “human” strategies Managing trade-offs between performance, learning, and development Proactively providing learning opportunities and resources Creating space {time & autonomy} for both the act of managing and for employees to improve their management skills Communicating & demonstrating the value of high quality management through both investment & incentives 14