Vistaprint Releases Its Five-Year Plan
VENLO, NETHERLANDS—July 28, 2011—Vistaprint N.V., a leading online provider of professional marketing products and services to micro businesses and the home, revealed its five-year revenue and EPS targets and a new investment approach to support its growth strategy.
“Over the last 15 years, Vistaprint has grown to become a leading player in the very large and fragmented market for small business marketing solutions,” said Robert Keane, president and chief executive officer. “We have built significant competitive advantages via our marketing approach, proprietary technology, and manufacturing expertise. We have driven strong growth and developed substantial scale advantage by executing on our core strengths in mass customization technologies and by introducing an unmatched breadth of small business marketing products.
“We believe we are now well positioned to capitalize on our past success in order to capture significantly more of the large market opportunity we see ahead of us. To do so, we believe that now is the right time to adopt a new investment approach to support our ability to scale even faster and drive significant long-term shareholder returns.”
Effective this fiscal year, Vistaprint has altered its investment approach, resulting in a trade off of near-term earnings growth in favor of significant up-front investment to fuel greater customer value, longer-term scale advantages, higher organic revenue growth and operationally based competitive advantage. The company has not altered its practice of requiring strong returns on investments, but is accelerating the timing of those investments to support its long-term growth strategy.
Vistaprint developed important components of its operational growth strategy during the course of fiscal 2011 and described some of the key strategy components at and subsequent to its Feb. 28, 2011 Investor Day:
Customer Value Proposition—deliver major improvements to customer experience, satisfaction and loyalty while changing success metrics from short-term transaction-focused value to longer-term life time value.