The Herd Group Holdings Ltd

Idea

Introduction

We believe that people should adventure more. Cycle, run and swim more. Step away from the desk & explore the outdoors more.

Ultimately, we believe that people need a little more freedom in their life and we want to provide the kit, and inspiration that empowers them to do so.

We have been doing just that with Stolen Goat for over a decade, with our award winning cycle, run & swim apparel for men & women.

The Herd Group Holdings (parent company) has now added VeloVixen (award winning online cycling retailer & brand for women) and Wildcat (online bikepacking brand and retailer) to the mix.

Over the last ten years, all three brands have been building a community of like-minded people along the way. We call this group The Herd, they form the backbone of what we do.

Added to this is Bleat Creative, our very own marketing agency that powers these brands and provides marketing services to external companies, allowing us to scale our creative marketing efforts as we grow.

Substantial accomplishments to date

- Almost 10,000 positive customer reviews across these two brands averaging 4.9 / 5.

- Stolen Goat wins "Best womens cycle clothing brand" in 2020.

- VeloVixen wins "Female specific retailer of the year" in 2015.

- Stolen Goat featured multiple times in "Roadcc Recommends". Most recently for the Alpine Jacket in November 2022.

- Stolen Goat products featured in GQ magazine and Cycling Weekly including 220 Triathlon "Best on Test" for our short sleeve Tri suit.

- Wildcat sources UK factory to produce all bags in Britain.

- Wildcat Tiger Drover Saddle Harness reviewed 4.5 / 5 by off.road.cc.

- Stolen Goat works with Tate Britain on bespoke "Adventures with Art" cycle clothing collection. The collection is sold online (both on stolengoat.com and the Tate online shop) as well as in Tate Britain and Tate Modern gift shops. An extension to the range is launching in 2023.

- Stolen Goat partners with Chase The Sun on providing a custom kit solution for the riders of this iconic yearly event. The partnership continues into 2023.

- VeloVixen launches community moderated facebook group for women. The group has grown to nearly 13,000 female cyclists.

- As a group, 184,000+ orders delivered featuring 401,000+ items spread across 83,325+ customers!

- Multiple customers have tattoed the Stolen Goat logo on their body! (This is not an expectation for investors don't worry!)

Monetisation strategy

The group currently has 4 revenue generating companies but we can split these into 2 models - B2C and B2B.

B2C being the online sales from Stolen Goat, VeloVixen & Wildcat. This is where the majority of the revenue for the group comes from.

Over the last 3 years the combined B2C revenue for these companies is £8.5m or just over £240k per month.

Using Stolen Goat as our main point of reference, we have so far achieved a CAC (cost per aquisition of customer) of just £24.57 which speaks volumes about our organic and word of mouth growth. Based on that, we have a LTV:CAC ratio of 7 to 1 (£7 generated for every £1 spent on marketing).

The B2B element is the wholesale selling of product to retailers, our custom kit (although this is technically a mix of B2B and B2C transactions it is more often a lump sum transaction to another business or group), and recently added: the services offered by Bleat Creative.

Over the last 3 years B2B mainly led by apparel brands has generated just over £1.2m.

*Based on unaudited management accounts*

Use of proceeds

In 2024 the group will require a larger warehouse to enable us to meet the demands of our growing operation.

On a company basis the money will achieve the following over the next 5 years:

Stolen Goat //

- Further develop the product ranges in the cycle / run / swim and lifestyle categories.

- Expand our international marketing efforts, in particular in the US.

VeloVixen //

- Develop a new cycling range, designed graphically by female designers and developed with feedback from the community.

- Expand the product offering to include select third party brands that are requested by the community.

- Re-open international ordering (closed in 2021 due to Brexit) and push forwards with digital marketing in the key territories.

Wildcat //

- Expand the current in-house range to include bags & accessories for more outdoor pursuits - e.g. hiking and camping.

- Add some additional products to the bikepacking collection.

- Stock a wider range of third party products.