Copyright © MEMRB IRI, Confidential and proprietary. Category Management Project Chocolate & Confectionery Case study March 17, 2005

Copyright © MEMRB IRI, Confidential and proprietary. Project Details  Retailer: Abu Dhabi Coop, UAE  Category: Chocolate & Confectionery  Section: 17 m, regular shelves and pegboards Introduction

Copyright © MEMRB IRI, Confidential and proprietary. Objectives  Assortment optimisation: 368 SKUs in the realogram  Increase the sales of the category by:  avoiding Out of Stock situations / inefficient inventory levels;  creating vertical blocks based on consumer decision tree;  positioning best selling items in the hot spots on the shelf. Introduction

Copyright © MEMRB IRI, Confidential and proprietary. Chocolate Confectionery Chocolate Confectionery Singles Outers Bags Minis Multipacks Blocks & Inclusions Filled Bars Biscuits Bite Size Chocolate Chocolate Gifts Manufacturer Brand Size Package Type Format Segmentation

Copyright © MEMRB IRI, Confidential and proprietary.  EAN and Stock code  Product Name  Dimensions (height, width & depth)  Manufacturer & Brand Name  Segmentation  Retail Price  Volume Sales  Value Sales Database Creation

Copyright © MEMRB IRI, Confidential and proprietary. Assortment Analysis Range Analysis

Copyright © MEMRB IRI, Confidential and proprietary. Pareto Analysis Range Analysis

Copyright © MEMRB IRI, Confidential and proprietary.  Total number of SKUs before analysis  Total SKUs in the Planogram  Remaining listed 227 SKUs  Force Listed (Inners & Outers) 38 SKUs  New Products Listings - 2 SKUs  Delisted SKUs Listing Summary

Copyright © MEMRB IRI, Confidential and proprietary. Realogram Layout

Copyright © MEMRB IRI, Confidential and proprietary. Sugar Realogram Planogram Left Section Right Section Layout

Copyright © MEMRB IRI, Confidential and proprietary. Manufacturer Report

Copyright © MEMRB IRI, Confidential and proprietary. MASTERFOODS Package Type Blocking

Copyright © MEMRB IRI, Confidential and proprietary. Galaxy M&M’s BountyMarsSnickersTwix Minis - Galaxy, Bounty, Mars, Best of Our Minis, Snickers, Twix, Maltesers, Milky Way MASTERFOODS Brand Blocking

Copyright © MEMRB IRI, Confidential and proprietary. MASTERFOODS Realogram vs. Planogram (brand level) Comparison

Copyright © MEMRB IRI, Confidential and proprietary. MASTERFOODS Realogram vs. Planogram (brand level) RealogramPlanogram delisted Comparison

Copyright © MEMRB IRI, Confidential and proprietary. MASTERFOODS Planogram Planogram

Copyright © MEMRB IRI, Confidential and proprietary. NESTLE Package Type Blocking

Copyright © MEMRB IRI, Confidential and proprietary. Milkybar Lion Aero KitKat Smarties Crunch/ Temptation NESTLE Brand Blocking

Copyright © MEMRB IRI, Confidential and proprietary. NESTLE Realogram vs. Planogram (brand level) Comparison

Copyright © MEMRB IRI, Confidential and proprietary. NESTLE Planogram Planogram

Copyright © MEMRB IRI, Confidential and proprietary. CADBURY Package Type Blocking

Copyright © MEMRB IRI, Confidential and proprietary. CADBURY Planogram Planogram

Copyright © MEMRB IRI, Confidential and proprietary. FERRERO Package Type Blocking

Copyright © MEMRB IRI, Confidential and proprietary. Kinder BuenoKinder (+Country) DuploRocherRaffaello Kinder Surprise FERRERO Brand Blocking

Copyright © MEMRB IRI, Confidential and proprietary. FERRERO Realogram vs. Planogram (brand level) Comparison

Copyright © MEMRB IRI, Confidential and proprietary. FERRERO Planogram Planogram

Copyright © MEMRB IRI, Confidential and proprietary. KRAFT Package Type Blocking

Copyright © MEMRB IRI, Confidential and proprietary. KRAFT Leo Toblerone DaimCote D’or Brand Blocking

Copyright © MEMRB IRI, Confidential and proprietary. KRAFT Realogram vs. Planogram (brand level) Comparison

Copyright © MEMRB IRI, Confidential and proprietary. KRAFT Planogram Planogram

Copyright © MEMRB IRI, Confidential and proprietary. Implementation Final Steps (I)  Implementing the planogram: the planogram was implemented in all Abu Dhabi stores (adjusted to each outlet Chocolate section dimensions)  Monitoring planogram compliance: followed up by retailer

Copyright © MEMRB IRI, Confidential and proprietary. Results Final Steps (II)  Evaluating the results: two months after the implementation, category performance data before/after implementation was compared, showing:  an average increase of 30% in terms of movement at total category level per outlet;  significant decrease of Out of Stock situations for best selling items and improved level of control over the inventory level. * A consumer research carried out at a later stage showed that the shoppers noticed and appreciated the standard layout in all Abu Dhabi outlets in the Chocolate section.

Copyright © MEMRB IRI, Confidential and proprietary. The Apollo Software Portfolio Comprehensive range of software covering each level of the merchandising process

Copyright © MEMRB IRI, Confidential and proprietary. Apollo software portfolio The Apollo Suite planograming software is part of a complete product portfolio. Apollo Suite

Copyright © MEMRB IRI, Confidential and proprietary. Merchandising information is stored in a state-of-the art database, which allows Apollo tools to share information. Merchandising Database Merchandising Database Apollo Suite Apollo software portfolio

Copyright © MEMRB IRI, Confidential and proprietary. StorePlan makes it possible to view, analyse and optimise store layout plans. Merchandising Database Merchandising Database StorePlan Apollo Suite Apollo software portfolio

Copyright © MEMRB IRI, Confidential and proprietary. StorePlan  Import CAD files  Drag & drop departments and planograms  Analyse sales, profit, inventory, space utilisation…  Find hot & cold spots  Optimise the layout of existing or new stores Apollo software portfolio

Copyright © MEMRB IRI, Confidential and proprietary. With Web Publisher it is possible to send planograms to the stores at the push of a button. Store Web Publisher Merchandising Database Merchandising Database StorePlan Apollo Suite Apollo software portfolio

Copyright © MEMRB IRI, Confidential and proprietary. Web Publisher  Send planograms and other merchandising materials to the stores automatically  Use a standard browser to view and print planograms in the stores  Fast, efficient Apollo software portfolio

Copyright © MEMRB IRI, Confidential and proprietary. MerchCentral connects Apollo to the retailer’s internal systems. Store Web Publisher Merchandising Database Merchandising Database StorePlan Apollo Suite MerchCentral ERP System Apollo software portfolio

Copyright © MEMRB IRI, Confidential and proprietary. MerchCentral  Connect Apollo to internal systems  Import data automatically into Apollo  Analyse any number of planograms at the same time Apollo software portfolio

Copyright © MEMRB IRI, Confidential and proprietary. MeasureBox  Collect barcodes and product dimensions electronically  Transfer the data right into Apollo or Excel ShelfScan  Collect product and merchandising information in the stores  Measure planogram compliance Apollo software portfolio

Copyright © MEMRB IRI, Confidential and proprietary. Store Web Publisher Merchandising Database Merchandising Database StorePlan Apollo Suite MerchCentral ERP System MeasureBox ShelfScan Apollo software portfolio