Security Training Pack - Australia ADT 1 April 2016

ACN & ADT ACN has partnered with ADT in Australia to provide IBOs with a great opportunity to grow their business ACN has partnered with ADT in Australia to provide IBOs with a great opportunity to grow their business ACN has an agency agreement with ADT to refer Security customers ACN has an agency agreement with ADT to refer Security customers ACN is an authorised representative of ADT ACN is an authorised representative of ADT

Who is ADT? The world’s largest electronic security company The world’s largest electronic security company Over 130 years experience in providing security solutions to almost 8 million customers worldwide Over 130 years experience in providing security solutions to almost 8 million customers worldwide ADT Security has the expertise and range of technology to provide the security service expected from a world leader ADT Security has the expertise and range of technology to provide the security service expected from a world leader ADT Security has expanded its traditional home security offerings of providing 24x7 remote monitoring to also include home automation ADT Security has expanded its traditional home security offerings of providing 24x7 remote monitoring to also include home automation

Who is ADT? ADT not only has expertise in Home & Business Security, but also in providing security and communications networks to Australian transport and government infrastructure, including: Sydney Harbour Bridge Sydney Harbour Bridge Sydney Ferries Corporate – Sydney Harbour & Parramatta River Wharves Sydney Ferries Corporate – Sydney Harbour & Parramatta River Wharves RailCorp – NSW CityRail Network RailCorp – NSW CityRail Network

Setting the scene: Security in Australia Household burglaries remain one of the most prevalent crimes in Australia, with 37% of Australian survey respondents being the victim of a break-in - 40% were broken into by forced entry through a window (compared to 32% in 2013) - 24% said they were home at the time, while 15% were away on holiday Source: Secure Homes Report 2015, ADT Security Australia

Setting the scene: Security in Australia Complacency towards home security remains a concern, with: - 55% reporting they accidentally leave home or go to bed without locking up - 58% of participants who forgot to lock-up experienced a break-in Source: Secure Homes Report 2015, ADT Security Australia

Setting the scene: Security in Australia More than one in five (21%) hide a spare key outside their property for visiting tradespeople/cleaners or for a family member (up from 17% in 2013) More than one in five (21%) hide a spare key outside their property for visiting tradespeople/cleaners or for a family member (up from 17% in 2013) 40% who experienced a break-in failed to claim the costs from their insurance company40% who experienced a break-in failed to claim the costs from their insurance company The average cost of stolen items are $3,666.00, 48% of items stolen were of a high value The average cost of stolen items are $3,666.00, 48% of items stolen were of a high value Source: Secure Homes Report 2015, ADT Security Australia

Opportunity: Security in Australia The most common way to research a security company is through word of mouth and referrals according to customer research (almost 50%) The most common way to research a security company is through word of mouth and referrals according to customer research (almost 50%) 41% of those polled use a monitored home security system (up 3 from 2014, up 16 from 2011) 41% of those polled use a monitored home security system (up 3 from 2014, up 16 from 2011) Half the respondents would prefer to purchase a home with a burglar alarm already fitted Half the respondents would prefer to purchase a home with a burglar alarm already fitted Source: Secure Homes Report 2015, ADT Security Australia

Opportunity: Security in Australia Australian capital city usage of monitored systems has risen to 55% (up from 46% in 2013) Australian capital city usage of monitored systems has risen to 55% (up from 46% in 2013) Source: Secure Homes Report 2015, ADT Security Australia

Opportunity: Security in Australia Australia has seen a sizable increase in younger demographics having home security: Source: Secure Homes Report 2015, ADT Security Australia

Opportunity: ADT Security Awareness of ADT Security by State ADT Security is high on the list when asked to name two home security companies ADT Security is high on the list when asked to name two home security companies More than a quarter of respondents had heard of ADT Security without being asked More than a quarter of respondents had heard of ADT Security without being asked 30% of respondents are aware of ADT Security as a monitored home security provider 30% of respondents are aware of ADT Security as a monitored home security provider An ADT Security monitored system is the most used out of any ‘name brand’ system by those polled An ADT Security monitored system is the most used out of any ‘name brand’ system by those polled Males aged are most likely to be aware of ADT Security Males aged are most likely to be aware of ADT Security

Why choose ADT?

ADT Security: Product Offering ADT has expanded their traditional home security offerings of providing 24 x 7 remote monitoring to now include home automation

Target Market People who have recently moved People who have recently moved People who live in metro areas People who live in metro areas People in newly developed suburbs People in newly developed suburbs Families that have just had a child Families that have just had a child Individuals that live alone Individuals that live alone Families that have children at home alone after school Families that have children at home alone after school People who travel often (for business or pleasure) People who travel often (for business or pleasure)

Promoting Home Automation Home Automation is an affordable, simple and effective way to control your home remotely from your smart phone, tablet or computer, for as little as $1.48 per day Home Automation is an affordable, simple and effective way to control your home remotely from your smart phone, tablet or computer, for as little as $1.48 per day Protect your home against burglary, fire and other security threats using an ADT Home Automation system. Protect your home against burglary, fire and other security threats using an ADT Home Automation system. ADT’s Home Automation systems also help you to conserve energy by allowing you to remotely switch off your lights. ADT’s Home Automation systems also help you to conserve energy by allowing you to remotely switch off your lights.

How to sell The questions to ask: 1.Does your house tell you when you’ve forgotten to lock the doors? 2.Have you ever wanted to check on your sleeping kids without opening the door and waking them up? 3.Do you want your lights to come on when you walk in the door? 4.Do you ever wish that you could do the little things like lock your doors or turn off the lights, even when you’re not at home? 5.Have you ever wanted to turn the air conditioning on while on your way home on a steaming hot day? 6.Do you want to keep the neighbours from borrowing your things when you’re not home? Or let them in when it is ok to borrow something without giving them a key? 7.Do you ever want to check on your house while travelling, at work or at the shops?

Acquiring customers Script: Hi _________________, I have a favour to ask… What is the most important thing for you to protect? What would you like to be able to control in your home while you’re away? Demonstrate the benefits of having an ADT system Let me show you a two minute video of the system! Let me show you a two minute video of the system! Take a look at my ADT system in my home! Take a look at my ADT system in my home!

Acquiring customers Leverage ADT’s dedicated Sales Support team This seems like a great fit for you. This seems like a great fit for you. Let’s get you on the phone with one of ADT’s home security experts that can help you customise a system to suit your needs. Let’s get you on the phone with one of ADT’s home security experts that can help you customise a system to suit your needs.

Pitching points Unlike traditional systems, wireless security systems are quick & easy to install, requiring few cables and hardware GPRS System mean it doesn’t require a fixed phone line, whereas traditional security systems need to be plugged into a wall and connected to a phone line Save $$$ on: -Energy Bills – lights can be switched off remotely using the app -Home Insurance – insurance companies offer discounts on contents insurance if a security system has been installed ADT’s Home Automation app can be used to turn on/off alarm system or any device plugged into the Z- Wave 2E Switch remotely Leaving spare keys out for tradespeople, cleaners or babysitters can be unsafe as you’re giving strangers instant access to your home. Use the ADT app to lock/unlock doors remotely! Upgrade options & additional hardware available to cover any additional areas The Home Automation + Camera package allows you to keep an eye on the kids even when you’re not home simply by using the ADT App!

Order process Customer registers their interest via a form on Direct Storefront or the public website. Customer selects preferred contact time Within 1 business day ADT will attempt to call the customer using the phone number provided & sign them up over the phone Within 48 hours of registering their interest on Direct Storefront, the IBO will see the customer in their PCL Service installation will usually be completed within 10 business days

Order process Customers should register their interest via the call back request form available at acnpacific.com /security/ An ADT trained security adviser will try to contact the customer within 1 business to discuss their requirements and sign them up

ADT plans & points - residential Pricing plansWireless Alarm System - Residential ADT Interactive Alarm System ADT Interactive Alarm System + Internal Camera ADT Interactive Alarm System + External Camera Upfront cost$299$399$499$549 Monthly cost (over 36 months) $36.50 Min. cost $ $44.95 Min. cost $ $54.95 (Min. cost $ ) $54.95 (Min. cost $ ) Customer points2222 Customers sign up for a minimum 36-month contract term. Points will be purged at the end of the 36-month contract term or if the customer cancels, whichever occurs first. When a customer cancels, points will be purged immediately Points will be allocated when ADT confirms a sale has occurred Residual commission will be paid based on 100% of the monthly charge (equipment & installation is not commissionable) The customer pays an upfront installation fee (not commissionable) plus a monthly charge Available in capital cities and metropolitan areas. ADT may be able to service regional areas subject to demand

ADT plans & points - SME Pricing plansWireless Alarm System - SME ADT CCTV Hire Upfront cost$299$0 Monthly cost$39.50 Min. cost $ $85.00 Min. cost $ Term36 months48 months Customer points22 Customers sign up for a minimum 36 month contract term for the Wireless Alarm System & a 48 month contract term forthe CCTV Hire Points will be purged at the end of the contract term or if the customer cancels, whichever occurs first. When a customer cancels, points will be purged immediately Points will be allocated when ADT confirms a sale has occurred Residual commission will be paid based on 100% of the monthly charge (equipment & installation is not commissionable) Available in capital cities and metropolitan areas. ADT may be able to service regional areas subject to demand

Wireless Alarm System - Residential ADT Monitored Home Alarm System – helping protect your customers 24 hours a day, 7 days a week, every day of the year 1 x Control Panel with Keypad 1 x Impassa Alarm.com Communications Module 2 x Movement Sensors 1 x Door Contact 1 x 4 Button Remote Includes PSU, back up battery All this installed for just $299 plus $36.50 per month! $299 is one-off charge for installation only $36.50 is the charge for monthly monitoring 36 month contract term applies Remote Arm & Disarm Alarm System ADT Security Master Licences: NSW No ; SA No. ISL ; VIC No P ; WA No. SA ; ACT No ; QLD No

Interactive Alarm System ADT Monitored Home Alarm System – helping protect your customers 24 hours a day, 7 days a week, every day of the year 1 x Control Panel with Keypad 2 x 2E Smart Switches & 1 x Range Extender 1 x Impassa Alarm.com Communications Module 2 x Pet Immune Movement Sensors 1 x 4 Button Remote Includes PSU, back up battery All this installed for just $399 plus $44.95 per month! $399 is one-off charge for installation only $44.95 is the charge for monthly monitoring 36 month contract term applies Remote Arm & Disarm Alarm System ADT Security Master Licences: NSW No ; SA No. ISL ; VIC No P ; WA No. SA ; ACT No ; QLD No

Interactive Alarm System + Internal Camera ADT Monitored Home Alarm System – helping protect your customers 24 hours a day, 7 days a week, every day of the year 1 x Control Panel with Keypad 2 x 2E Smart Switches & 1 x Range Extender 1 x Indoor Wireless Network Camera 1 x Impassa Alarm.com Communications Module 2 x Pet Immune Movement Sensors 1 x 4 Button Remote Includes PSU, back up battery All this installed for just $499 plus $54.95 per month! $499 is one-off charge for installation only $54.95 is the charge for monthly monitoring 36 month contract term applies Remote Arm & Disarm Alarm System ADT Security Master Licences: NSW No ; SA No. ISL ; VIC No P ; WA No. SA ; ACT No ; QLD No Internal Camera

Interactive Alarm System + External Camera ADT Monitored Home Alarm System – helping protect your customers 24 hours a day, 7 days a week, every day of the year 1 x Control Panel with Keypad 2 x 2E Smart Switches & 1 x Range Extender 1 x Outdoor Wireless Network Camera 1 x Impassa Alarm.com Communications Module 2 x Pet Immune Movement Sensors 1 x 4 Button Remote Includes PSU, back up battery All this installed for just $549 plus $54.95 per month! $549 is one-off charge for installation only $54.95 is the charge for monthly monitoring 36 month contract term applies Remote Arm & Disarm Alarm System ADT Security Master Licences: NSW No ; SA No. ISL ; VIC No P ; WA No. SA ; ACT No ; QLD No External Camera

Wireless Alarm System - SME ADT Monitored Home Alarm System – helping protect your customers 24 hours a day, 7 days a week, every day of the year 1 x Control Panel with Keypad 1 x Impassa Alarm.com Communications Module 2 x Movement Sensors 1 x Door Contact 1 x 4 Button Remote Includes PSU, back up battery All this installed for just $299 plus $39.50 per month! $299 is one-off charge for installation only $39.50 is the charge for monthly monitoring 36 month contract term applies Remote Arm & Disarm Alarm System ADT Security Master Licences: NSW No ; SA No. ISL ; VIC No P ; WA No. SA ; ACT No ; QLD No

CCTV Hire - SME CCTV hire – helping your customers know what is happening in their business when they’re not there 1 x 4 channel digital video recorder 4 x indoor/outdoor dome cameras 1 x 19 inch LCD screen All this for hire for just $85 per month! No installation fee $85 is the charge for monthly hire 48 month contract term applies ADT Security Master Licences: NSW No ; SA No. ISL ; VIC No P ; WA No. SA ; ACT No ; QLD No

Handling objections Expensive The initial cost of installing a security system can seem expensive, but not installing one could cost you even more Wireless Home Alarm System: $1.48/day Wireless Home Automation: $1.85/day Wireless Home Automation + Camera: $2.27/day What price would you put on keeping your family safe and secure?

Handling objections Coverage ADT is primarily available in capital cities and metropolitan areas in Australia. Regional areas may be serviceable – customers should ask when they receive the call back from an ADT Security adviser. If there is sufficient interest and demand in a regional area, ADT may be able service this area.

Relocation rules Moving Home If you happen to move home after you have installed an ADT Home Security or Home Automation system, you may be able to take your system with you to your new address. Customers can relocate their ADT system provided that: You have had your ADT system active for a period of no less than 12 months You are moving to a serviceable area (within 90 minutes of a capital city or metro area)

Relocation rules Customers relocating will incur a $99 installation fee at their new premises. ADT will install like-for-like at your new address. Customers have the option of transferring the remainder of their contract to the new occupant at the address they are moving out of.