Dropshipping Competition: Other SaaS Providers – “Perceived” Competitors • There are “perceived” competitors that are not competing with CommerceHub: 1. SPS Commerce (ticker: SPSC) 2. Channel Advisor (ticker: ECOM) • Retailers do not use or use in a de minimis way SaaS provided by SPSC and ECOM. Only suppliers do. o Even if a supplier is using SPSC SaaS offering, a retailer will be using CHUB SaaS or its own in-house solution. If a retailer is using CommerceHub offering, a supplier will have to use both SPSC and CHUB SaaS offerings. • We believe that this usage point is not fully appreciated by market participants as a number of companies use the term “dropshipping” differently than CommerceHub does and therefore create an appearance of comparability. Caro-Kann Capital LLC 45