BWT – the way forward The problem Company focus Renew the brand Extend brand visibility Clarify customer proposition Clarify target market Increase staff productivity Rationalise product Reorganise Automation & efficiency Culture 2009/10 Workshops Outcomes

The problem 2007/8 loss = $500,000 2008/9 loss = $450,000

Company focus

Renew the brand New logo New look & feel build linkages to Base brand begin to develop equity in BWT New look & feel modern image reduced clutter

Extend the brand (i) Convert all hostel travel desks to BWT to: increase brand visibility leverage Base customers Reduce complexity and lack of clarity of two retail brands

Extend the brand (ii) Increase commitment to the internet space fully commercialised web site effective SEO integrated into the retail business for maximum impact white label version for agent distribution leverage hostel internet sites

Clarify customer proposition Specialisation geographic demographic Value $$ Fun/Experience 30 locations throughout Aust/NZ

Clarify target market Core market will always be in-bound backpackers. Systems/product/marketing will support this segment AND we will sell to any other segments that: A) want similar services B) we can efficiently deliver other travel services

Staff productivity Improve business management New incentive program increase staff productivity increased salary outcomes and retention Standardised reporting with clear KPI’s Train & monitor outcomes

The productivity cycle Increased staff skill/knowledge Increased customer satisfaction Increased sales Increased staff reward Increased staff satisfaction Increased staff stability

Rationalise product Reduced product range local activities/attractions national tour product transportation & accommodation getaway packages Preferential sales of higher margin product Clear presentation for customer and staff clarity

Reorganise Close/merge/relocate duplicate branches & loss makers Add strategic locations Clarify internal structure, management & KPI’s

Automation & efficiency Launch new POS system Drive on-line sales Consolidate back office Streamline processing

Culture A passion for customer service A results/achievement focussed business Team Leaders are business managers Sales staff sell (good sales = good service) HO staff must add value Internal/external competitiveness Mutual support – all on the same team Fun through success

2009/10 Starts in 5 weeks. Challenging budgets (+20% growth) We MUST achieve them If we keep doing the same we will achieve the same results. (per 2007/8 – 2008/9)

Workshops BWT is a RETAIL business That means we must: Attract customers to the stores Provide service (sell) to all who enter (or call) the stores Maximise the value of each sale Improving these 3 factors is the only way to grow the business

Outcomes GOOD LUCK! Profitable trading Security for the future Potential for staff growth Increased scale of business Market leadership Significant strategic value to Base & BTG GOOD LUCK!