Valvoline 2011 Retail & Social Outreach Program

1. Valvoline 2011 Retail & Social Outreach Program

2. Table of Content Project Challenge What we know Target Geography Objectives The Plan to Follow (How are we going to do it) At retail In the community Social Outreach Social Brand-Working Timing Next Steps

3. Project Challenge Boost brand presence, improve consumer interaction and increase sales of Valvoline products during none promotional times.

4. What We Know

5. What We know Valvoline re-launched marketing efforts directed to the Hispanic market in 2007 The Hispanic consumer is four times more incline to change his own oil than none Hispanics Amongst Hispanics, Valvoline has 30% top of mind brand recognition 60% of total Valvoline volume is sold at AutoZone 15% of total Valvoline volume is sold at Oreilly’s 15% of total Valvoline volume is sold at Advance Auto Parts

6. What We know Cont. Who’s in the mind of the Hispanic consumer Castrol Valvoline Pennzoil Quaker Based on the perception of good quality, when it comes to the four leader brands, most of the time consumer are not loyal to any brand in particular and they tend to buy on prize. 80% of the motor oil sold in the USA is sold by the four leader brands 15% of Valvoline consumers are brand loyal 3 million Hispanics buy motor oil in the USA Valvoline products are on sale 26 weeks a year (discounted prize and free oil filter)

7. Target

8. Target Hispanic male mostly Mexican or Mexican descent 18 – 54. Low-income to lower middle class Most of them are married head of household Been in the USA for long periods of time 10, 15, 20 or more years, semi acculturated, with strong preference for country of origin Although they have lived in the country for many years, they prefer Spanish for both written and verbal communication

9. Psychographics – Target Insight Our target’s attention is pulled in many directions at the same time, he lives' his life in a bilingual and multicultural world, at work most of his colleagues are of Hispanic origin but uses some English to communicate and to remain sharp, at home he communicates mostly in Spanish. Lives' at home with wife and an average of 3 – 4 children, his life is conducted mostly in Spanish, husband and wife are native Spanish speakers and prefer Spanish to communicate in the family environment. The origin of their children is divided, the oldest are immigrant just like their parents, and the youngest ones are US citizens. He watches and practice sports on a regular basis (futbol, box, luchalibre) For entertainment, he listens to the radio in Spanish on his way to and from work, at home he watches TV in Spanish but their are certain shows he prefers to watch in English. The welfare of the family is paramount, every penny counts. Roberto Bojorgessays: “I depend on my car to go to work, my car may not be new but is in good condition, if I take care of my car my car will take care of me”. “My car and its condition are a reflection of who I am”.

11. Geography Markets Discussed CA TX Illinois Florida Ponermapa de USA demostrando los estados

12. Objectives

13. Objectives: Increase brand activity, brand recognition and presence at the point of sale Increase sales volume , in store activity and brand preference during none promo weeks Educate consumers on: Car Maintenance and the four major causes of engine breakdown (leaks, deposits, friction and sludge) and provide reason to purchase our product Main differences between lubricants from conventional to synthetic “There is always the right Valvoline product for your needs”

14. Objectives Cont. Educate consumers on Cont. The proper way of changing and disposing your oil (how to) it is not only good for your car is good for the rest of us too. Inform about any free and paid programs offer by the city and private industry to dispose of the oil and hazardous materials.

15. Objectives Cont. Implement 13 - 26 weekends of retail and community activities at selected markets and with selected retailers Increase reach- consider partner with community associations, cities and retailers Boost consumer participation develop a good for you, good for your community, good for your country program Increase brand presence in the Hispanic community (utilize the lack of knowledge of motor oils as an opportunity to educate and promote our product to consumers)

16. The Plan to Follow

17. The Plan to Follow This program is ambitious, it is made of two equally important aspects (retail and community)working as one, it is tactical in nature and forward thinking, it presents Valvoline a unique opportunity to participate on it alone or to share the spot light with strategic alliances (partners) that will assist Valvoline to increase its influence beyond the point of sale, and to immerse the brand in the lives of the consumer.

18. At Retail To boost brand presence, improve consumer interaction and increase sales of Valvoline products, we’ll deploy teams of Brand Ambassadors (BA’s) to preselected retail locations. At each location, to determine how to better serve the needs of each consumer, BA’s will address shoppers with questions concerning their vehicles i.e.. “What is the mileage on your car?” “Do you change the oil yourself, or do you take the car to the shop?” Based on each answer, recommend the Valvoline product that is right for them.

20. At Retail Cont. Moving beyond selling products, and deliver added-value to our consumers, BA’s will be armed with the “Valvoline Weekend Warrior Car Maintenance Guide”a free handout aimed at the do it yourselfer, filled with maintenance tips, product information and pictures on how to safely change and properly dispose of your oil. Weekend Warrior Car Maintenance Guide

22. At Retail Cont. Once engage in conversation, BA’s will point out various expert tips shown in the “Valvoline Weekend Warrior Car Maintenance Guide” and will continue proving consumers regarding their various car needs. An important part of our Valvoline Car Maintenance Guide will be the “SabiasQue” section (did you know). This section highlights information regarding free oil disposal centers sponsored by the city and promotes a more friendly and green approach, one that is good for your car, good for you, and good for the rest of us.

23. In the Community As important as our retail operation is, is our Social Brand-Working approach. Our strategy for the community is to implement a grass-roots initiative designed to interact with the consumer in a family oriented none retail environment . To achieve this goal, Valvoline will partner with local city governments, and specific retailers (i.e. Valvoline, AutoZone & The City of Anaheim) to work in two important fronts. Local High Schools and Community Colleges Soccer Leagues

24. Local High Schools and Community Colleges To encourage goodwill and corporate responsibility Valvoline will partner with High Schools and Community Colleges were students of auto mechanics can sign-up and become Valvoline Brand Ambassadors, in addition of getting paid, participating students will obtain available credits for their social and community participation. As a goodwill gesture Valvoline and our participating retailer will make a donation to the school soccer team to purchase equipment, uniforms etc. In exchange, Valvoline and our retailer will have the opportunity to place advertising in the field and participate in other activities which they are TBD. Valvoline can provide training jerseys, soccer balls and trophies with the name of the team and Valvoline’s and retailers logo.

25. Soccer Leagues Soccer leagues offer Valvoline the perfect family environment where our target thrives. For 26 weeks, soccer teams across California meet every weekend to compete in local, state and national tournaments. Soccer leagues in California are 200k members strong and are nationally recognized. To break in the Hispanic community, Valvoline and participating retailer will sponsor various soccer leagues and teams across California (pilot market). As sponsor Valvoline will become one with the league and actively participate in league and team activities.

26. Soccer Leagues On-site, Valvoline will set-up an information booth, will place signage in the field and a BA’ armed with the “Valvoline Weekend Warrior Maintenance Guide” will interact with the public promoting do it yourself and do it safely oil change. Elements Sponsorship Uniforms Trophies Signage BA Literature

27. Back at the store To publicize our involvement in the community, Valvoline, City government and retailer will place at selected locations a BA, POS, and an Ad on their weekly circular showcasing our participation in the community. Insert sample of circular Elements: Local High Schools & Community Colleges Shelf Talkers Neck Hangers Flyers City government Participating retailer BA’s Community relations liaison In-store POS & “weekend warrior guide”

28. Timing

29. The program is planned to start in April

30. Next Steps

31. Next Steps Determine participating markets, retailers and number of stores to decide on resources. Obtain proposal from soccer leagues Decide on collateral material and quantities to quote them Determine budget Determine calendar and execution chart