Philp Industries Weekly Summary August 6th - August 12th Cycle Force Group (CA) Prepared on August 24th 2017 Private and Confidential | Philp Industries

A Data-Driven Approach AMAZON ORDERS AMAZON SALES FAST TRACK AMS CHARGEBACKS CATEGORY PERFORMANCE BRAND PERFORMANCE INDIVIDUAL PRODUCT PERFORMANCE Private and Confidential | Philp Industries

Amazon Orders Amazon PO Dollars SKUs Ordered Confirmation Rate Fulfillment Rate Private and Confidential | Philp Industries

Amazon Sales Shipped COGS Shipped SKUs Average Sales Price Inventory Weeks of Cover Private and Confidential | Philp Industries

Fast Track Fast Track Replenishable Out of Stock Non-Replenishable Out of Stock Lost Buy Box Private and Confidential | Philp Industries

AMS Sales Spend Average Cost of Sale Conversion Rate Private and Confidential | Philp Industries

Chargebacks Non-Compliant Barcode Private and Confidential | Philp Industries

Category Activity Category Shipped COGS August 6th - August 12th Change over last week UNKNOWN - 9154 Bike Baskets $788.92 $436.48 9000 Cycling - 9312 Balance Bikes $500.35 $-57.70 9000 Cycling - 9060 Folding Bikes $366.68 9000 Cycling - 9103 Bike Cleaners and Lubes $311.01 $180.52 9000 Cycling - 9040 Road Bikes $286.69 $-344.31 9000 Cycling - 9106 Wheels $209.07 $-321.47 UNKNOWN - 9111 Pedals $155.17 9000 Cycling - 9020 Cruiser Bikes $134.71 $-415.63 9000 Cycling - 9107 Tires $108.08 $49.50 9000 Cycling - 9185 Water Bottles $105.61 $87.58 9500 Street- Surf -amp- Snow - 9760 BMX - Bikes $80.07 9000 Cycling - 9100 Accessories $74.31 $-18.42 9000 Cycling - 9080 Trailers $74.07 $-499.81 9000 Cycling - 9113 Bike Small Parts $70.48 $68.07 9000 Cycling - 9105 Seats and Saddle Covers $63.54 $39.40 Private and Confidential | Philp Industries

Brand Activity Brand Shipped COGS August 6th - August 12th Change over last week Nantucket Bicycle Basket (NANT2) $732.81 $450.13 Mantis (MANTV) $446.75 $311.79 Armor All (ARMQP) $311.01 $198.59 Hollandia (HOLMU) $286.69 $-344.31 ByK (BYKA2) $213.46 $1.71 Vuelta (VUEL3) $209.07 $-201.31 EXUS4 $189.29 $105.30 Ventura (VENUP) $183.28 $48.77 CFG (CFGA2) $134.71 $-415.63 Polaris (POLHU) $127.98 $-378.58 Kenda (KENF6) $118.95 $87.88 M-Wave (MWAV2) $95.45 $32.51 Trail-Gator (TRAUP) $89.24 $-31.34 Anlen (ANLE3) $86.02 Kawasaki (KAWA6) $72.89 $-44.08 Private and Confidential | Philp Industries

Top Products Parent Products Individual Products Product Shipped COGS Change over last week Armor All Bike Care Products (B06XY6BH1V) $311.01 $198.59 Cycle Force Women's Stylish Cruiser, 26 x 15.5 inch/One Size (B072HF2TFR) $134.71 Kenda K-193 Kwest Commuter Wire Bead SRC/PRC Bike Tire (B00H2AJZTI) $108.08 Vuelta ZeroLite Track Comp 700C Wheel Set (B00H2AIL20) $105.11 $-305.27 Nantucket Bicycle Basket Expandable Rear Pet Carrier (B00YGHFFJY) $93.57 Nantucket Bicycle Basket Lightship, Child Classic/Tapered (B00YGHFN1O) $82.44 Mantis Flipside 20 Kids Bicycle (B074K33H6S) $80.07 Trail-Gator Trailgator Bicycle Tow Bar (B06Y65D18C) $74.07 $-1.00 Nantucket Bike Basket Co Gull Collection (Child-Size Oval/ 10.5 x 8 x 7.5) (B0068LVAZ4) $55.98 Nantucket Bicycle Basket Surfside Children's Mesh Basket (B00YGHFTCM) $38.55 $-1.69 Individual Products Product COGS Change Out of Stock Mantis Tri-Rad 24 Burgundy Adult Folding Tricycle (B06XJ43HZV / MA01A-16) $366.68 0.00 % Hollandia M1 Land Cruiser Bike, 26 inch Wheels, 18 inch Frame, Men's Bike, ... (B004XYZWLG / HOLL-3) $286.69 Nantucket Bike Basket Co Lightship Collection Oval/Dark Stain Bicycle Baske... (B0048LP6GA / C/002/A) $242.83 $173.45 ByK E-350 Kid's Bike, 18 inch Wheels, 8.5 inch Frame Girls Bike, Purple (B00Y0PNVCU / BY1801-1-JV) $213.46 34.90 % Armor All Bike All-Purpose Lubricant (B00YC5B9BI / AA05) $211.92 $142.90 20.03 % Exustar E-PR200CK-TI Road Bike Pedal, Black/Gold, 86x89mm (B00E0GN6E2 / E-PR200CK-TI) $155.17 0 % Nantucket Bike Basket Co Adult Classic Tuckernuck Collection Bicycle Basket (B004Y2LSAQ / B/003/A) $136.08 $0.00 CFG Women's Stylish Cruiser, 26-quot-, White (B06ZZM1YVX / BKW-9906B) $134.71 41.04 % Polaris Dragon Tricycle with Steel Frame and Suspension Fork, 10 inch Wheel... (B0011RATI4 / 61108) $127.98 Kenda K-193 Kwest Commuter Wire Bead SRC/PRC Bike Tire, Black, 26-Inch x 1.... (B00C44P49W / KE212169) $108.08 98.90 % Private and Confidential | Philp Industries

Increasing Products Increasing Parent Products Shipped COGS Change over last week Armor All Bike Care Products (B06XY6BH1V) $311.01 $198.59 Cycle Force Women's Stylish Cruiser, 26 x 15.5 inch/One Size (B072HF2TFR) $134.71 Kenda K-193 Kwest Commuter Wire Bead SRC/PRC Bike Tire (B00H2AJZTI) $108.08 Nantucket Bicycle Basket Expandable Rear Pet Carrier (B00YGHFFJY) $93.57 Nantucket Bicycle Basket Lightship, Child Classic/Tapered (B00YGHFN1O) $82.44 Mantis Flipside 20 Kids Bicycle (B074K33H6S) $80.07 Nantucket Bike Basket Co Gull Collection (Child-Size Oval/ 10.5 x 8 x 7.5) (B0068LVAZ4) $55.98 Velo Plush Tour E-Grip Womens Saddle - 250366 (B01N915VR9) $28.84 Nantucket Bike Basket Co. Surfside Adult Wire D Shape Basket (B01D4WR5L2) $27.89 Velo Outlook Gel Saddle - 250223 (B01MRJ4C5O) $27.38 Increasing Individual Products Product COGS Change Out of Stock Mantis Tri-Rad 24 Burgundy Adult Folding Tricycle (B06XJ43HZV / MA01A-16) $366.68 0.00 % Hollandia M1 Land Cruiser Bike, 26 inch Wheels, 18 inch Frame, Men's Bike, ... (B004XYZWLG / HOLL-3) $286.69 ByK E-350 Kid's Bike, 18 inch Wheels, 8.5 inch Frame Girls Bike, Purple (B00Y0PNVCU / BY1801-1-JV) $213.46 34.90 % Nantucket Bike Basket Co Lightship Collection Oval/Dark Stain Bicycle Baske... (B0048LP6GA / C/002/A) $242.83 $173.45 Exustar E-PR200CK-TI Road Bike Pedal, Black/Gold, 86x89mm (B00E0GN6E2 / E-PR200CK-TI) $155.17 0 % Armor All Bike All-Purpose Lubricant (B00YC5B9BI / AA05) $211.92 $142.90 20.03 % CFG Women's Stylish Cruiser, 26-quot-, White (B06ZZM1YVX / BKW-9906B) $134.71 41.04 % Polaris Dragon Tricycle with Steel Frame and Suspension Fork, 10 inch Wheel... (B0011RATI4 / 61108) $127.98 Kenda K-193 Kwest Commuter Wire Bead SRC/PRC Bike Tire, Black, 26-Inch x 1.... (B00C44P49W / KE212169) $108.08 98.90 % Vuelta ZeroLite Track Comp 700C Wheel Set (White) (B008B2H4KI / 811260563) $105.11 Private and Confidential | Philp Industries

Decreasing Products Decreasing Parent Products Shipped COGS Change over last week Cycle Force Women's Vintage Cruiser, 26x15.5 inch/One Size (B0725286SF) $0.00 $-348.84 Vuelta ZeroLite Track Comp 700C Wheel Set (B00H2AIL20) $105.11 $-305.27 Mercedes Benz GLK 3 Powered Ride Car, 12V (B06XNRR53T) $-304.02 Cycle Force EV Bicycle Trailer with Removable Cover (B071HV6LFX) $-231.69 Polaris Ranger B.0 24 Full Suspension Bicycle (B00NXGSF46) $-172.06 Fun Unicycle (B06XTT5Q25) $-70.65 Stop-A-Flat Puncture-proof, Thorn-resistant, No-flat Bicycle Tubes in 12/16... (B073R1MC2C) $-55.66 Exustar E-SM324 Cycling Shoe (B00H2AKSP8) $-49.66 Zoom 25.4mm Adjustable Stem (B001V5CF60) $-47.76 Piranha Classic Mag Trike (B00H2ALEOW) $-42.28 Decreasing Individual Products Product COGS Change Out of Stock Hollandia Holiday F1 Cruiser Bike, 26 inch Wheels, 11 inch Frame, Women's B... (B004XSDAKW / HOLL-2) $0.00 $-631.00 0.00 % Vuelta ZeroLite Track Comp 700C Wheel Set (Black) (B008B2H3S6 / 811260562) $-410.38 63.39 % CFG Women's Vintage Cruiser, 26-quot-, Purple (B06ZYR2X88 / BKW-9902B) $-348.84 95.01 % Polaris Wooly Bully Fat Tire Bike, 26X4 inch Wheels, 18.5 inch Frame, Unise... (B00LMINI3K / PO2610-1-MT) $-334.50 100.00 % Mercedes-Benz GLK 300 Electric Ride-on Car, Black (B017YPAXG4 / MB002) $-304.02 98.42 % Cycle Force C12 Single Child 2-In-1 Bicycle Trailer -amp- Jogger (B07194MHQF / CF-BT514) $-267.12 98.53 % Cycle Force EV Bicycle Cargo Trailer with Camoflauge Cover (B071L2PXW5 / CF-20319C) $-231.69 30.39 % ByK E-250 Kid's Bike, 14 inch Wheels, 6.5 inch Frame, Girl's Bike, Pink (B00Y0PNVLQ / BY1401-1-JV) $-211.75 Polaris Ranger Full Suspension Mountain Bike, 24 inch Wheels, 17 inch Frame... (B00LGMY15Q / PO2402-1-MT) $-172.06 86.71 % Mantis X20 Drift Tricycle, 20 inch front wheel, drift rear Wheels, for Boys... (B00MFTCQSS / MA2006-1-JV) $-134.96 Private and Confidential | Philp Industries

Appendix Private and Confidential | Philp Industries

Services Review Using a Data-Driven Strategy Catalog Data Quality Compare Amazon data sources and purchase orders to identify and set up missing catalog items Continuously compare replenishment codes to all available data sources to maintain fidelity Create new listings for missing items and set up new products in advance of line changes Scrape Amazon content to detect and correct changes in variations or suppressed products Detect and consolidate duplicate listings Forecasting Provide digestible format of Amazon forecasts and supplementary planning recommendations Analyze historical recommendations for accuracy and improve forward forecast Operations Monitor fulfillment to proactively spot data issues Update catalog data to ease fulfillment problems Educate your team on fulfillment practices to improve fulfillment rates International Expansion: Sell on Amazon Globally Promotions/Marketing Update Amazon content to improve search relevance and conversion to sale Execute comprehensive marketing strategy across Amazon promotional tools “Own” critical keywords in search results Add premium content to qualified listings Monitor and update targeting, balance of promotions to maximize ROI Profitability Negotiate with Amazon on COOP terms Improve Amazon pricing strategy over time Analyze metrics to find opportunities for margin improvement or increase sales volume through margin reduction Monitoring Continuously compare Amazon data to consolidated vendor “Reference Data” Correct data issues on a weekly basis Analyze key metrics to provide high-level feedback Flexibility: What does your company need? Private and Confidential | Philp Industries

Contacts Dan Philp Sage King Managing Partner dan@philpindustries.com 206-300-2141 Sage King Vendor Support sage@philpindustries.com Private and Confidential | Philp Industries