Scratch, Save & Double Points April 2008 Marketing Team

Objectives Grow sales profitably Boost in-store customer traffic Improve brand awareness Generate new customers Increase customer loyalty

Strategies Create a sense of urgency Aggressive discount & Double Sears Club Points High impact advertising material Insure appropriate advertising mix

Target Do-it-for me Sears buyers profile – Women (62%) – Aged 45 + (78%) – Household size – 2 persons (49%) – Average family income $ + (22%)

2 in 1 Promotion Scratch & Save Double Sears Club Points

Scratch, Save & Double your Points! May 22 to May 24, days Only Up to 50% off Conditions (will be in fine print on the post card) On all items at regular price Not applicable on installation Not applicable on accessories Cannot be combined with another offer Discount must be revealed by cashier only

The cashier will scratch for the customer; a letter : A, B or C will be revealed. The letters correspond to a certain discount depending on the product (please refer to the legend next page) 5 % of the total quantities of the post cards will be A 50 % of the cards will be B 45 % of the cards will be C Scratch, Save & Double your Points!

Legend Scratch & Save May 22 to 24, 2008 ScratchCategoriesDiscount% printed Carpet (excluding wool carpet)50% off AVinyl, Laminate, Ceramics25% off 5% of the cards Hardwood, Engineered Hardwood, Wool Carpet15% off Carpet (excluding wool carpet)35% off BVinyl, Laminate, Ceramics20% off50% of the cards Hardwood, Engineered Hardwood, Wool Carpet10% off Carpet (excluding wool carpet)20% off CVinyl, Laminate, Ceramics15% off45% of the cards Hardwood, Engineered Hardwood, Wool Carpet5% off

Legend Each store will have copies of the legend The salespeople will be able to refer to the legend, inform the customer of his discount and apply the discount on the item (not on the invoice total)

Double your Sears Club Points! Only for Sears Card holders (Not Chase) No minimum purchase required Applicable on all products in store Terminal will be set up by Sears and the system will handle the addition of the double points No charge for dealers If the installation is after the promo – When job is installed, swipe card for final payment – Fax into Laura Murphy at BSO (416) a copy of the invoice indicating the date that the deposit was taken (which must fall between may 22 and 24 th and indicating the date which the final payment was payment was taken. – Include a short explanation of the transaction – Laura will manually have points put on each of the accounts at that point

Scratch & Save Promotion Costs Post Card – Unit cost$0,066 per post card Qty*672,000 Post Cards *based on your flyers quantities. The more we print, the less it will cost

POP & PMT Material POP material will be produced – Posters 24 x 36 – Banners 18 x 72 PMT materiel will be available on the extranet – Newspaper Template – Radio Script

Post Card (front)

Post Card (back)

Poster & Banner Poster 24 X 36 Banner 18 x 72

Newspaper Ad-Color Newspaper Ad Full Page Banner

Newspaper Ad-B&W Newspaper Ad Full Page Banner

Radio Script Looking to renew your floor coverings? Well then, hurry down to your Sears Floor Covering Centre and Scratch up-to 50% savings today. From May 22nd to 24 th, It’s our 3-Day Only Scratch and Save Event. Tiles, carpets, hardwood and engineered floors, laminated floors, vinyl, pick your choice, scratch your instant savings and bring the deals home! Hurry down to (dealer name and address), scratch your savings… and even double your Sears Club points on everything in store! Certain conditions apply. Details in store.

Next Steps Fill in the order form 1.confirm your quantities of post cards**, posters & banners (minimum 5,000 per store as per flyers) 2.confirm how you want the post card to be distributed Cost for distribution through Canada Post : 0,083 and fax it to Anik Tétreault or Véronique Ouellet no later than March 28 th, 2008 at (514) ** please make sure to consider a quantity for the cashier