ASX-listed public Wi-Fi and data-management company SkyFii has secured its first brand-specific deal with a 20-week trial agreement with retailer Lorna Jane, as it continues to strengthen its retail mall portfolio.
The trial, which will provide free in-store Wi-Fi to Lorna Jane customers, will take place at six Queensland shops, with the potential for a national rollout if the trial progresses to a full services contract. Retailers use SkyFii to provide free Wi-Fi to customers and then use the system to glean intelligence on users' behaviour.
The arrangement comes just weeks after the fitness brand revamped its app to allow users to track their workouts and access motivational tips and healthy recipes, signalling a greater focus on digital.
SkyFii now boasts a conversion rate of more than 90 per cent of trial agreements to contracted customers.
Chief executive Wayne Arthur said the business' advanced sales pipeline exceeded $40 million over a five-year period.
"Our progress has been fantastic and we're really happy with it ... our challenge is to make sure the story is told," he said.
"We have 10 customers comprising 68 shopping malls under contract."
In its June 30 full-year results, SkyFii recorded a net loss after tax of $4.8 million, but revenue was up 13 per cent to $700,000.
Underlying this result was a 175 per cent growth in revenue from its retail mall segment, which includes shopping centres Australia-wide such as the MLC Centre in Sydney, the Queen Victoria Building, Strand Arcade and The Galeries.
"The total size of the pipeline is actually hundreds of millions of dollars, as we're operating in global markets now too," Mr Arthur said.
"We've made a bit of a name for ourselves in the retail mall space given our recent contract wins. But there are also applications to other verticals and we're entering conversations in health, university, transit and other sectors."
Barangaroo and Top Ryde have also converted from trial programs to billing customers following four-week trials.
"We're confident at this point that we can penetrate 15 per cent of the Australian mall market and that's rapidly growing," Mr Arthur said.
In August SkyFii also announced a trial agreement with the West Ashfield Leagues Club, which is associated to NRL club West Tigers.
SkyFii could see strong synergies with Lorna Jane, Mr Arthur said.
"It's a reasonably new relationship and we're aiming to solve one particular problem for them at the moment, but I see some strong synergies about what we can do," he said.
In 2014 SkyFii did a backdoor listing on the ASX at 20¢ a share. The business is trading at about 16¢.
"We believe the company progress is not being reflected in the market," Mr Arthur said. "We're trying to tell the story more clearly and help the market understand what a trial agreement means and how far progressed that is."
SKF Price at posting:
16.0¢ Sentiment: Buy Disclosure: Held