1. 1 Trade Promotion in a Volatile Economy May 26, 2010

2. 2 Contents 1. Current Trade Promotion Landscape 2. Best Practices for Trade Promotion Management

3. 3 Trade Promotion Landscape and Best Practices

4. 4 Context for TPM Landscape  Perficient recently conducted a survey that canvassed over 60 CPG companies  This survey focused on three key elements: 1.What new TPM issues companies are facing due to a volatile economy 2.How companies are dealing with these new challenges 3.How the current economy is driving TPM investment decisions  In addition to this recent survey, Perficient has been working closely with customers to find value in a volatile economy

5. 5 Trade Promotion Landscape: Increased Scrutiny on Trade 64% 15% 12% 5% Current Economic Environment's Impact on TPM Program and Tools

6. 6 Trade Promotion Landscape: Investment Rational If you are continuing to invest in TPM solutions, which answer best describes your reason?

7. 7 Trade Promotion Landscape: New Business Challenges What new business problem that has surfaced as a result of the current economic environment are you looking to solve with your current TPM solution?

8. 8 Trade Promotion Landscape: New Priorities and Capabilities What TPM capabilities do you believe take on additional value during a difficult economic period?

9. 9 Trade Promotion Landscape: Impact on Trade Spend 32% 25% 20% 18% 5% What will happen to your overall trade spend as a result of the current economic conditions?

10. 10 Trade Promotion Best Practices: Customer Profitability  CPG Companies continue to build and enhance their capabilities for driving go-to- market guidelines and profitability targets down to the field  Integrated analytics to support: –Profitability Analysis –Scenario Planning  Automated workflow to help foster compliance and control

11. 11 Trade Promotion Best Practices: Price Optimization  Successful companies are seeking to leverage flexible pricing strategies based on the latest market conditions –Aspiring to be less re-active as it relates to pricing strategies  Capturing retail pricing data is paramount  Pricing optimization models are not just the domain of statisticians anymore  Better tools available for price modeling and what if scenarios

12. 12 Sales Forecasting and Consensus Driven Planning Historical Demand Planning Relationships

13. 13 Sales Forecasting and Consensus Driven Planning Industry Trend: Consensus Amongst Stakeholders and Active Participation of Sales

14. 14 Trade Promotion Best Practices: Sales Forecasting and Consensus Driven Planning  Better data available to drive collaborative planning and consensus forecasting processes  Improved technology offerings can reduce time associated with consensus driven forecasting processes  Boardroom support for improving forecasting and demand planning has increased from 50% five years ago to 65% today 2 2 Institute of Business Forecasting and Planning, Anish Jain

15. 15 Questions?

16. 16 Thank You.