AlphaGraphics National Leadership Council May 24, 2011

1. AlphaGraphicsNational Leadership Council • May 24, 2011

2. Agenda • The AlphaGraphics opportunity • Social media relevance • Four51 FanTools • Case studies • Next steps & call to action!

3. Business Promotion • What has worked in the past? Mailers, radio, TV, email, yellow-pages, newspaper, magazines... • What still works? The same thing that always has. Word of mouth. Personal recommendation. • A cultural shift is underway. People are paying attention to different things. Expectations for interaction are changing drastically (w/ people and w/ brands). • What has value? Fans.

4. Why are Facebook Fans valuable? • Fans of brands spend more - and are more loyal - than non-fans • Fans report they are more likely to personally recommend a brand • Personal relationship with a Fan can last for years, through numerous buying cycles • Network effect means than one Fan who sharesis worth much more than a single customer • “Permission marketing” is the privilege (not right) of delivering anticipated, personal and relevant messages to people who actually want to get them.” (Godin) vs. interruption marketing

5. Facebook dominance • Other methods of online customer engagement (web site, blog, email) are still important, but… • As of January 2011, Facebook has more than 600 million active users. • Quantcastestimates Facebook has 135.1 million monthly unique U.S. visitors in October 2010. • According to Social Media Today, in April 2010 an estimated 41.6% of the U.S. population had a Facebook account. • In 10 countries, 86% of internet users are on Facebook • Facebook delivers 30% of all online display advertising

6. Facebook 2010

7. The Marketing Services Opportunity • 30M U.S. businesses need help (99.9% under 500 employees) • Complex new consumer behaviors • Platforms galore • Time, energy and expertise required to produce content and publish to many media channels • Extract value out from social interactions • Awareness, Trial, Conversion, Loyalty • Data collection and analysis • Intelligence enables better, more valuable engagements

8. How do you get Fans? • First, you must be in the game, which today means a Facebook Page. • Fan acquisition: leverage all opportunities to add Fans (offline, online, media, personal). • Consumer’s “Like” a business more for a deal than any other reason. • Once a business has the fan, they need to engage, but not just with coupons. Be a valuable friend and then slip in promotions to be “socialized”. • Encourage and reward sharing - A Facebook “Share” is much more valuable than a “Like”. A “Check-in” is a de facto recommendation.

9. Social Promotion • Acquire fans • Get Likes and opt-ins • Engage fans • Be authentic and interactive • Amplify fans • Leverage the network effect • Reward sharing and loyalty

10. What is FanTools? • Streamline the process of creating & publishing offers and deals to acquire fans • Can require fans to Like the Page (FanGating), and/or answer questionnaire (ProfileGating) to get offer • Schedule the publication and expiration of the offer • Allow fans to opt-in to notification of new offers on their phone (SMS) and/or email • Publish the offer to merchant’s deal list, Page Wall, Twitter account, and notifications • Create deals valid for certain locations • Get reports on how many people viewed, clicked and printed the offers

12. Wendy’s FourCrown Case Study • Opportunity segment: no social strategy, no social presence • Business Size: approx $50-$100 M annual revenue • Employee Size: 1000+ full-time and part-time • Objective: develop and launch a social media marketing program to focus on 16-35 demographic • Drive traffic • Create awareness for new products • Influence dining choices on specific days of week and specific time • Capture Fan data and work to provide more preference-based offers • Develop an ongoing ROI model to compare costs with new revenues

13. Wendy’s revenue realized • Grand total services revenue: $20,800 • $2,800 one time • $18,000 yearly recurring • FanTools Re-Sale: $1,500/Year • Ongoing FanTools Re-Seller Revenue • Based on Fan count • Projected at 20,000 by Y/E • Projected Re-Seller Revenue share: $500/Month x 12 x 25%= $1,500/Year • Assessment: 12 hours consultation • Needs analysis • Goals / objections • Refined strategy • Total: 12x$150 = $1,800 • Implementation: 10 hours design • Build Facebook Page • Create and place graphics • Total: 10x$100 = $1,000 • Ongoing Management • Daily Deal Facebook Page Management • Weekly Deal Calendar Management • Weekly Reporting – Usage, Metrics, Objectives • Monthly Review Meetings • Total: $1,500 per Month (Cost/Benefit of 1/3 FTE)

14. FanTools MSRP

16. Sample FanTools Prospect Segmentation

17. NLC Call To Action! • Get smart on social media • Get or “dust off” your Facebook account – become familiar • Join AlphaGraphics FanTools Sales Engine – Facebook Group • Four51 FanTools Library - http://fanfare.fantools.net/library/ • Get your Center smart on Fantools • Attend FanTools orientation & training webinar • Bring your “select” rep(s) & specialist • Segment your prospects • Start with your base • Schedule account review with Bill Osteraas, Four51 • Share experiences, recommendations, and main launch ideas via Sales Engine, conference calls, etc.