All content copyright © 5one All rights reserved. Confidential. Indigo Cosmetics: Yardley Skin Even Targeted Coupon May Cashback ClubCard Mailing Post-Campaign Report June 2010

All content copyright © 5one All rights reserved. Confidential. Contents Introduction Coupon Redemption & Response Incremental Analysis Immediate ROI Conclusions & Recommendations 2

All content copyright © 5one All rights reserved. Confidential. Introduction ClubCard customers targeted utilising 5one’s targeting tool Campaign period: 3 May – 4 June 2010 Both Protect and Steal customers targeted: 5,096 Protect 144,904 Steal Reward level constructed tested: R5 off when you buy 2 or more Yardley Skin even products. Normal prices range between R17.95 and R Get R5 off any Vital product purchased R3 off when you buy any Yardley Skin even product. Normal prices range between R17.95 and R Control group of look alike customers measured over the campaign period 3

All content copyright © 5one All rights reserved. Confidential. The Mailing 4

All content copyright © 5one All rights reserved. Confidential. Contents Introduction Coupon Redemption & Response Incremental Analysis Immediate ROI Conclusions & Recommendations 5

All content copyright © 5one All rights reserved. Confidential. 6 Targeted Coupon: Redemption Redemption: customers who bought featured product at the same time as handing in the coupon How many mailants shopped the promoted products? Overall redemption rate is slightly below average, however due to the large number of Steal shoppers targeted: (above 1% is ‘good’ for Protect, 0.5% ‘good’ for Steal) CouponMailedRedeemedRed. Rate New R3 144, % Current R5 5, % TOTAL 150, %

All content copyright © 5one All rights reserved. Confidential. 7 Targeted Coupon: Response Response: customers 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 excellent: 0.27% (above 2% is ‘good’ for Protect, above 1% for Steal) Response rate amongst Protect shoppers is good at 3% Steal offer generating average response rate: Driving 250 new shoppers to the brand. CouponMailedRedeemedRed. RateRespondedResp. Rate New R3 144, % % Current R5 5, % % TOTAL 150, % %

All content copyright © 5one All rights reserved. Confidential. Contents Introduction Coupon Redemption & Response Incremental Analysis Immediate ROI Conclusions & Recommendations 8

All content copyright © 5one All rights reserved. Confidential. 9 9 Incremental Shoppers Coupon Mailed Resp. Rate Responded Control Resp. Rate Incremental Shoppers % Incremental New R3 0.17% % % Current R5 2.92% % 00 TOTAL 0.27%3990.2% 00 Overall the control group shopped at a substantially higher rate than targeted shoppers resulting in a lower % of 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?

All content copyright © 5one All rights reserved. Confidential. 10 Incremental Units How many more units were purchased? Due to high response rate from current customers more than 64% of total units purchased were incremental Coupon Total Mailed Units Incremental Units % Incremental New R % Current R TOTAL %

All content copyright © 5one All rights reserved. Confidential. 11 Incremental Sales How many more sales were achieved? Total mailed sales of R6k was achieved Coupon Total Mailed Sales Incremental Sales % Incremental Incremental / Responder New R3 R 3, %R 13.7 Current R5 R 2, TOTAL R6,253 R 3,42055%R 8.6

All content copyright © 5one All rights reserved. Confidential. Contents Introduction Coupon Redemption & Response Incremental Analysis Immediate ROI Conclusions & Recommendations 12

All content copyright © 5one All rights reserved. Confidential. 13 Immediate Return On Investment Overall ROI is below average: -109% What was the immediate ROI of the targeted coupon based on Incremental sales? Coupon Total Mailed Sales Incremental Sales Production Costs Gross Profit ROI New R3 R 3,420 R 48,301R -44,881-93% Current R5 R 2,833 0R 1,699 R -1, % TOTAL R6,253R 3,420R50,000 R -46, %

All content copyright © 5one All rights reserved. Confidential. Contents Introduction Coupon Redemption & Response Incremental Analysis Immediate ROI Conclusions & Recommendations 14

All content copyright © 5one All rights reserved. Confidential. 15 Overall campaign generated ideal response: Redemption rate: 0.08% (113 shoppers) Response rate: 0.27% (399 shoppers) Campaign Summary

All content copyright © 5one All rights reserved. Confidential Continue to use targeted coupons to invoke re-purchase and gain new shoppers to the brands 2.Test broader offer for new customers (less niched / fewer constraints) 3.In-depth analysis of what the Vital shopper looks like, how they shop across the range and what competitor products they are purchasing into Recommendations

All content copyright © 5one All rights reserved. Confidential. Thank-you Zakariya Patel – 5one Analyst