JML Consumer Insight 2006

Method TNS – Consumer Panel circa. 20,000 households Outlook – Exit Polls in Woolworths stores 400 interviewees

TNS Results – Brief Summary (1) 2.4 million households buy JML products (10% of UK households) The average JML consumer purchases 1.5 times per year Average spend on JML products per year is £11.39 per consumer JML have in the past 2 years –Increased JML buyers by 11.4% –Increased average price per unit by 3.6% –Increased average trip volume (packs) by 2.7%

TNS Results – Brief Summary (2)

TNS Results – Brief Summary (3) Who is buying? –Overall the JML buyer has got younger and less downmarket than in –Heavy buyers (top 20%): Older & more mass market, account for 40% of spend. Majority in the midlands. Shop in Boots, Woolworths, Wilkinsons & £stretcher –Medium buyers (30%): 40% are under 45 years old, mass market. More than 40% live in the North. Shop in Boots, Woolworths, Homebase & Morrisons. –Light buyers (50%): Account for just 26% of spend. Younger & more upmarket. 48% live in the North. Shop in Asda, £stretcher, Homebase and Co-op.

TNS Results – Brief Summary (4) Asda is a great case study to show to target retailers Total Non-Foods is grew by 5% last year, worth £19.2bn - Morrisons has no share in this, Asda & Tesco could miss out by not stocking JML in all stores

Outlook - Method Exit Poll Questionnaire in Woolworths stores – 15 questions, 7 minutes each, 400 people Focused on 10 key products, but also accounted for other product bought in the past Key Purposes: –To identify impact of JML advertising on incremental footfall at Woolworths –To establish whether sales of additional (non JML) products can be directly related to JML activity

Outlook Results (1) JML Purchase TodayEverNeverTodayEverNever %%% GenderMale171719SEGABC Female838381C DE Age Age of kids at home plus plus1086 None Visits1+Weekly or2 a month Less Base Base

Outlook Results (2) JML Purchase TodayEverNeverTodayEverNever %%% StoreBoots727668StoreWilkinsons M&S House of Fraser Tesco636350Homebase Argos606548Somerfield Asda565751Co-op Debenhams495233£stretcher B&Q414240Focus14112 Sainsburys364139Robert Dyas264 BHS374325Kwik Save564 Morrisons Base Base TNS reported that retailers are now gaining market share through ‘switching’. This is therefore a good chart to show store groups we are hoping to get into.

Outlook Results (3) High degree of repeat purchase - almost half of purchasers on day had also purchased ‘non featured’ products in the past Ever bought any other JML products in the past Yes - 23% DK - 7% Among purchasers of featured products today 45% had bought in the past Base: all respondents (465

Outlook Results (4) High levels of awareness across the range amongst JML purchasers. Significant minority of non purchasers also aware and reflects JML profile and the success of marketing activity Base: all purchasers (253) non purchasers (212) % Aware of JML Products (prompted)

Base: all aware of each product % Aware of Marketing Activity (amongst those aware of product) Outlook Results (5)

Outlook Results (6) Extent of Influence on Purchase Decision Base: all purchased today and saw TV ad/in-store video (45/47)

Yes & MAIN REASON for Visiting Woolworths - 44% DK - 6% No - 41% Intention to Purchase Prior to Visit Today Base: all purchased today (86) Yes but NOT main reason for Visiting Woolworths - 9% Total Planned 53% Outlook Results (7) For almost half of JML purchasers, the purchase is pre planned AND the main reason for the visit to Woolworths on the day

Outlook Results (8) 69% of purchasers on the day also purchased other products Among purchasers whose main reason For visiting store was the purchase of JML product - 66% bought something else as well Type of Products Purchased % Household/homeware42 Cards/gift wrap22 Sweets/confectionery22 CDs/DVDs10 Toys/Games8 Stationery8 Children’s clothing7 Electrical3

Outlook Results (9) Rating of JML on Key Performance Criteria (%)

Outlook Results (10) The research confirms that JML activity - both TV and in- store video presentations - is positively influencing purchasing decisions In addition, there is strong evidence to suggest that incremental visits to Woolworths are being generated and that these frequently result in additional purchases beyond the target JML product –Half of JML purchasers had planned the purchase before arrival –For most of these, this purchase was the main reason for visiting on that day –Two thirds of those whose main reason for visiting the store was to buy a JML product ended up buying other products