Page 20 - demo Golden pond document

A2pay investment proposal 19

6.4 VAS (Value Added Services)

Overview:

A2Pay has developed a reliable, efficient and intuitive vending system to sell Value Added Services (VAS) i.e.
Prepaid products and services. The A2Pay business prides itself on rapid transactional speeds, convenient
wallet top up points, daily commission runs and simple to use point of sale software. The vending platform was
first developed in 2009 and has evolved into a sophisticated back end system to incorporate all types of
popular prepaid products and services which consumers can purchase from their local retailer instead of
standing in long queues at a formal retailer.

Product Overview:

Airtime/Date – A2Pay offer all popular Airtime/Data bundles from South Africa’s main cellular network
providers , Vodacom, MTN, Cell C, Telkom, Virgin Mobile

Electricity – A2Pay all Prepaid Electricity through Eskom and Local Municipalities.

National Lottery – A2Pay offers Lotto, Powerball, Daily Lotto, Raffle, Sportstake and Lotto Payouts
Sports Betting – A2Pay currently offers Hollywood Bets vouchers which is the currently the top selling Sports
Betting voucher in South Africa.

DSTV Payments – A2Pay can perform any prepaid DSTV, Box Office Payments on behalf of customers.

Bus Tickets – A2Pay offers long haul bus tickets for Greyhound, Citiliner and Intercape
Business Services – A2Pay are currently redesigning the business service offering and integrating a new
multifunctional printer in order to offer Copy and Scan services to consumers.

WiFi – A2Pay is currently piloting a WiFi solution which uses the current infrastructure in store to provide a
reliable WiFi hotspot within 50m of a store. The store sells vouchers at prices which are 60% cheaper than
existing Data Vouchers. A2Pay achieves a highly attractive margin of 40% per voucher sold. This also gives
A2Pay an advertising platform to engage with consumers. The potential of this much needed and well
researched solution could exceed expectations.

Market Overview:

A2Pay understand that VAS is a highly competitive landscape and as such is not regarded as a major growth
point for the A2Pay business. However it does add additional revenue per month and foot traffic to a store.
A2Pay is currently developing a Merchant Rewards programme which will be implemented in late 2019 and
aims to grow VAS sales per store while keeping the store owner loyal to selling VAS through the A2Pay
machine. This rewards programme will be a first of a kind for the South African Prepaid Vending market.