Centrum Targeted Coupon July CashBack ClubCard Mailing Post-Campaign Report

1. Centrum Targeted CouponJuly CashBack ClubCard MailingPost-Campaign Report

2. Contents • Introduction • Coupon Redemption & Response • Incremental Analysis • Immediate ROI • Conclusions & Recommendations

3. Introduction • 149,827ClubCard customers targeted utilising 5one’s targeting tool • Campaign period: 28 June 2010 – 30 July 2010 • Both Current and New shoppers targeted: • 4,456 Current shoppers • 145,371New shoppers • Reward level constructed tested: • Get R20 off the purchase of any Centrum Base or Select 60’s pack • Get R15 off the purchase of any Centrum Base or Select 60’s pack • Control group of look alike customers measured over the campaign period

4. The Mailing

5. Contents • Introduction • Coupon Redemption & Response • Incremental Analysis • Immediate ROI • Conclusions & Recommendations

6. Targeted Coupon: Redemption Redemption: shoppers who bought featured product at the same time as handing in the coupon • Overall redemption rate is good: 1.18% (above 1% is ‘good’ for Current, 0.5% ‘good’ for New) • Offer to current shoppers generated excellent redemptions rates: 6.13% How many mailants shopped the promoted products?

7. Targeted Coupon: Response Response: shoppers who bought featured product regardless of whether they handed in the coupon A more accurate metric for campaign success as the coupon acts as both a discount and marketing message. • Overall response rate is good: 2.16%(above 2% is ‘good’ for Current, above 1% for New) • Response rate amongst Current shoppers is excellent: 10% • New offer driving 2,784 new shoppers to the brand

8. Contents • Introduction • Coupon Redemption & Response • Incremental Analysis • Immediate ROI • Conclusions & Recommendations

9. Incremental Shoppers Incremental analysis shows how total mailed responders would have shopped had they not received the mailing – essential in understanding actual effect of the campaign. How many shoppers were incremental? • Overall the mailed group shopped at a substantially higher rate than the control resulting in a high % of incremental shoppers 81% 9

10. Incremental Units How many more units were purchased? • Due to high response rates of the mailed shoppers vs. the control group, 86% of total units purchased were incremental 10

11. Incremental Sales How many more sales were achieved? • Total mailed sales of R365k achieved, with 77% sales being incremental 11

12. Contents • Introduction • Coupon Redemption & Response • Incremental Analysis • Immediate ROI • Conclusions & Recommendations

13. Immediate Return On Investment What was the immediate ROI of the targeted coupon based on Incremental sales? • Overall ROI is Excellent!: 459% 13

14. Contents • Introduction • Coupon Redemption & Response • Incremental Analysis • Immediate ROI • Conclusions & Recommendations

15. Campaign Summary • Overall campaign generated ideal response: • Redemption rate: 1.18% (1,766 shoppers) • Response rate: 2.16% (3,240shoppers) • Highly successful at driving incremental behaviour: • Shoppers: 2,640 (81%) • Units: 3,750 (86%) • Sales: R279,329 (77%) • Overall campaign generated an excellent immediate ROI 459% at a promoted product level

16. Recommendations • Continue to use targeted coupons to invoke re-purchase and gain new shoppers to the brands • Test broader offer for new customers (less niched / fewer constraints) • In-depth analysis of what the Centrum shopper looks like, how they shop across the range and what competitor products they are purchasing into

17. Thank-you Nikki Emerton – 5one Account Manager Nikki.emerton@5one.co.za Zakariya Patel – 5one Analyst Zakariya.Patel@5one.co.za