Using Consumer Jobs Framework To Uncover Innovation Ed Koza, Senior Director Client Insights & Analytics / Viv Chan, Associate Client Insights & Analytics June 21, 2017 CONFIDENTIAL AND PROPRIETARY Any use of this material without specific permission of OSG is strictly prohibited

We help understand “How and Why” Customers Make Decisions OSG at a Glance OSG’s Behavioral & Cognitive Analytics Technology, helps uncover Drivers of Customer Behavior We help understand “How and Why” Customers Make Decisions Our Team Our Clients Strong academic roots – 70% have Ph.D/Masters’ degrees Deep industry experience Global Presence Value Delivered Offices in 3 countries – US, UK & India Engagements delivered in 25+ countries 800+ client engagements $80bn in incremental revenue Verticals Thought Leadership Featured in top publications

The Consumer Jobs Framework Eliminate dust in hard-to-reach places Make it easier for them to get the nutrition they need Create restaurant quality meals at home

Case Study – Identifying Opportunities for a Leading Frozen Produce Brand Situation Insights Results Our client, a leading packaged foods company, wanted to understand the landscape for fresh, frozen, and canned produce. Identify & size innovation opportunities for frozen vegetable, frozen fruit, and frozen meal products Create a go-to-market strategy based off of opportunity size, pricing expectations, usage occasions, and likelihood of acceptance Consumers see the landscape defined by 4 key dimensions, and with 11 jobs to be done Consumers are moving towards a health & wellness mindsight, with a distinct segment of consumers leading this trend There is more opportunity for our client’s frozen brands to play in traditionally “fresh” Jobs than expected Steam-able frozen products have healthy and can be used to elevate our client’s offerings into innovation spaces We identified & sized innovation opportunities for our client, providing justification and a road-map for their brands to extend into several Jobs Created a clear understanding and prioritization of Jobs Evaluated current product portfolio, identifying strengths, gaps, and innovation opportunities Sized several innovation areas, including expected future growth Set pricing expectations, by determining customers’ willingness to pay for innovations Identified barriers to adoption and strategies for overcoming these barriers

OSG’s Engagement Process - Understanding Consumer Jobs To Uncover Innovation ACTIVATION AND CONTINUOUS MONITORING ACTIVATE and MONITOR CONSTANTLY. WHAT JOB HEIRARCHY, SEGMENTATION, INNOVATION CORRIDORS What Jobs do different customers prioritize? How to position current offerings to drive differentiation? What new innovations & how to enhance existing ones to deliver success? HOW HOW: ASEMAPSM AND CAVIITM ADVANTAGE WHERE Allows us to understand consumer choice, in real-time RESPONDENTS COMPLETE SURVEY AT POS / USAGE How do customers make purchase decisions, what do they value, and how do they select brands? How does this change by usage occasion? WHO RECRUIT CONSUMERS AT POINT OF SALE &/or DURING CONSUMPTION REVIEW JOB SPECS CONCEPT WITH CLIENT Gain access to consumers at crucial points of interaction – shopping and consumption Understand existing knowledge base of various Jobs, Occasions, and Constraints, and any prior work

ASEMAPSM Is a Unique Value Over Other Methodologies TRADITIONAL CONJOINT ASEMAPSM LESS ACCURATE: Measures only choice, not the conviction of choice LESS EFFICIENT: Uses randomized combinations of attributes which creates a lengthy exercise and increases respondent fatigue LESS FLEXIBLE: Cannot handle high numbers of attributes. Modeling done in aggregate, thus needs sufficient and larger sample size. modeling conducted after research has fielded. Large sample size in markets where BD operates is much harder to obtain. MORE ACCURATE: Captures not only choice, but conviction of choice MORE EFFICIENT: Selects combinations adaptively to gather critical data in a short, engaging exercise which reduces respondent fatigue MORE FLEXIBLE: Can handle large number of attributes. Respondents modeled in real time, allowing accuracy on even smaller samples.

ASEMAPSM Example – Jobs, Benefits, & Occasions Busy Weekday Meal Regular Family Meal Celebration Meal with Loved One(s) Celebrate & Acknowledge Tastes homemade Makes me feel cared for Comfort & Care For My Family Tastes rich Is made with fresh ingredients Get Some Real Food Provides healthy serving of nutrients Make Them Feel Full Is high in protein Scores shown are indexes; 100 indicates average importance Example / Illustrative purposes only

Example Output: Opportunity Map ASEMAPSM Prioritizes Benefits & Identifies Unmet Needs To Identify Innovation Opportunities Example Output: Opportunity Map Example / Illustrative purposes only

REAL-TIME, 24/7 ACCESS TO THE CONSUMER DURING ACTUAL OCCASIONS Consumers can respond on their Smartphone, Tablet, or PC when shopping or during an occasion REAL-TIME, 24/7 ACCESS TO THE CONSUMER DURING ACTUAL OCCASIONS During meal preparation sit down meals/Meals on- the-go Snacking on-the-go At shelf (grocery, c-store, drug store, etc..) In front of vending machine At a restaurant On the street Can be powered by iBeacon for maximum real-time access

What is CAVIITM? Intelligence Insights Interventions Platform capabilities in machine learning, deep predictive & behavioral analytics, real-time monitoring, & community building helps secure the right level of customer engagement, acquisition & retention analytics for OSG’s Clients CAVIITM Layers Data Infrastructure Master Data Management Layer Ingests Data from various Structured & Unstructured Data Sources Intelligence Data Modelling & Analytics Layer Descriptive, Prescriptive, Predictive, Behavioral & Cognitive Analytics Insights Real-time Information & Results used to Uncover Actionable Insights Inference Layer Interventions Actionable Insights leveraged to Execute & Drive Real-time Strategic Interventions for better Business Outcomes Delivery & Execution Layer CAVII™: Cognitive Analytics, Value Inference and Intelligence

Respondents also give access to social media, etc Respondents also give access to social media, etc. for continuous identification of innovation Usage occasion probes ASEMAPSM Jobs trade-off exercise, in usage context + Brand Performance, Brand Choice Demographics Unstructured data analyzed by Example / Illustrative purposes only

CAVIITM Big Data Analytics Technology Platform offered as SaaS CONTINUOUS CAVIITM REPORTING CAVIITM’s Advantage for Clients Seamless integration and analysis of multiple data sources (primary, POS, social media, search history, etc..) Continuous analysis and reporting Real-time visualizations of findings SaaS – minimum burden to client IT CONSUMER PANELISTS CLIENT EXECUTIVES OSG DATA ASEMAPSM Engine NON OSG DATA Client Market POS (IRI/Nielsen) Market Panel (IRI/Nielsen) Store Loyalty Weather/Economic Social Media iBeacon Etc. ANALYTICAL METHODS IBM Watson Cognitive Behavior Analysis OSG Proprietary Predictive Models DemandTec Etc. ANALYTICAL MODULE VISUALIZATION TOOLS Dashboards Fixed Reports Interactive Reports Mobile Devices Etc. DATA INGESTION MODULE VISUALIZATION MODULE CAVII-RTM: Digital Customer Engagement Platform (SaaS)

Benefits of ongoing/real-time access For Innovation Beyond Innovation In-occasion concept evaluation Co-create with your consumers What do they want? How would they build a better… (cooking spray / snack / peanut butter) Identify new Jobs and usage occasions Continue to build consumer experience with the brand Test new advertising / creative concepts Test new package design Test shelf placement and in-store price elasticity Sentiment analysis Capture behavior from digital to in- store purchase to consumption

Contact Ed Koza Senior Director, Client Insights & Analytics E. Ed.Koza@optimalstrategix.com P. 215.266.4527 www. OSGAnalytics.com Dr. R Sukumar President & CEO E. r.sukumar@optimalstrategix.com P. 609.356.4551