Contents

1. L’Oreal: Garnier Targeted CouponAugust CashBack ClubCard MailingPost-Campaign ReportNovember 2010

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

3. Introduction • 150 000ClubCard customers targeted utilising 5one’s targeting tool • Campaign period: 16 Aug 2010 – 18 Sep 2010 • Only New shoppers targeted: • 150,000New Garnier Oil Control shoppers • Reward level constructed tested: • Get R10 off the NEW Garnier Oil Control Complete Vanishing cream or face wash • Control group of look alike shoppers 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 for new shoppers: 0.56% (above 1% is ‘good’ for Current shoppers, 0.5% ‘good’ for New shoppers) 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: 1.20%(above 2% is ‘good’ for Current shoppers, above 1% for New shoppers) • The coupon drove 1,794 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 higher rate than targeted shoppers resulting in 61% of shoppers being incremental 9

10. Incremental Units How many more units were purchased? • Due to high response rates of shoppers, 67% of total units purchased were incremental • Mailed units higher than responders indicating shoppers picking up more than one product during the promotional period 10

11. Incremental Sales How many more sales were achieved? • Total mailed sales of R28k wasachieved, with 41% 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 poor: -77% 13

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

15. Campaign Summary • Overall campaign generated ideal response: • Redemption rate: 0.56% (844 shoppers) • Response rate: 1.20% (1,794shoppers) • Highly successful at driving incremental behaviour: • Shoppers: 1,090 (61%) • Units: 1,845 (67%) • Sales: R11,681 (41%) • Overall campaign generated excellent immediate ROI -77% 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 Garnier 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