1. US AND ASIA PACIFIC: POSITIONED FORPROFITABILITY &GROWTHLiz GrahamPresident & CEO US and Asia PacificEVP & Chief Operating Officer Aimia
2. THE US LOYALTY OPPORTUNITYThe US economy remains challenged at a However, 83% of loyalty programmodest pace of recovery... marketers expect to maintain or grow their budgets in 2012: Real (inflation-adjusted) GDP will grow at an annual rate of 2 percent Unemployment rate will stay above 8% for remainder of 2012 Rate of inflation in consumer prices will remain low 81 loyalty program marketersSource: CBO (Congressional Budget Office) Aug. 2012 Source: Forrester Research/Q3 2011 Global Loyalty Benchmark Online Survey
3. THE US PROPRIETARY LOYALTY MODEL AND AIMIASUNIQUE POSITION IN THE MARKETPLACEWe have a unique modelWe reach and engage the end customer DIRECT $$through B2B, B2E2C and B2B2C loyaltyapproaches . ))) COMPANY RETAILCreating a 360 degree aligned customer dexperience as a binding framework EMPLOYEEAllowing us the ability to service many clientbusiness models DISTRIBUTOR e
4. ASIA PACIFIC LOYALTY OPPORTUNITYThe Asia Pacific region is growing, with Expansion of loyalty in APAC will trackpopulation and overall wealth very strong. the maturation of consumer buying power Aimia Presence Region is growing as markets come to maturity Mature/Affluent Emerging Japan India Demographics are aligning very well to our Australia China industry Hong Kong South Korea New Zealand Malaysia Asia is 65% of the global population Singapore Indonesia Total Asia GDP expected to reach 28 to 33% Taiwan of Global GDP by 2012
5. STRENGTHENING OUR POSITION IN ASIA THROUGHFULL ACQUISITION OF INTERACT IN INDONESIAInteract has leadership position inIndonesias loyalty sectorIndonesia is one of Asias fastest growingemerging economies Aimia will take full ownership positionInteract has a solid portfolio of blue chip in Interactclients. Recent wins include: Binding LOI signed to acquire balance Nestle of equity by year end Mazda
6. US AND ASIA PACIFICTREMENDOUS OPPORTUNITIES FOR GROWTH US Asia PacificContinue investments in capabilities and Leverage our local presence in thetalent to differentiate our proprietary loyalty mature markets.businessProvide end-to-end, integrated loyalty Set strategies for growth aligned to Asiasservices, continuing acquisitions where demographics which are moving well in lineappropriate with loyalty growth and buying powerContinue to explore the build of a US-based Adopt a full-suite business developmentcoalition strategy to capture the large affluent markets
7. GROWING LOYALTY WITH PROVEN LEADERSHIP Jay Lee Chief Strategy Officer As head of Strategy for the US Region, Jay Lee brings together the latest loyalty thinking from Aimias global products, services and expertise to help companies build better relationships with their customers.
8. CUSTOMER LOYALTYJay LeeChief Strategy Officer
9. LOYALTY PROGRAMS ARE MORE IMPORTANT THAN EVER ANDTHE US IS THE LARGEST LOYALTY MARKET Global Addressable Loyalty Spend US Loyalty program membership is increasing and has exceeded 2B in 2010 Number of loyalty memberships in the US has more than doubled since 2000 And the number of programs per household rose from 12 to 18, growing by more than 50% since 2006 ~$10Bn US Addressable Loyalty Spend Sources McKinsey, internal Aimia analysis 10
10. LOYALTY PROGRAMS ARE BEING AUGMENTED BYDIGITAL AND MOBILE COMMERCE INNOVATIONSCompetition for Innovations in Millennialmobile wallets mobile payments mobile preference
11. LOYALTY HAS BECOME A NATURAL HUB OF VAST AMOUNTSOF PERSONAL AND TRANSACTIONAL INFORMATIONThe individual is at the center of Consumer acceptance of the corporate diverse types of personal data use of personal data SEARCHES SOCIAL CALENDARS GRAPH THE INDIVIDUAL INTERESTS LOCATION PURCHASES World Economic Forum, June 2010 Aimia Digital Consumer Research , Aug, 2012 unpublished
12. LOYALTY PROGRAMS ARE A TRUSTED COMMUNICATIONSCHANNEL THAT CREATES A COMPETITIVE ADVANTAGE % who always read email or text communications from this source Aimia Digital Consumer Research , Aug, 2012 unpublished
13. THESE CHANGES IN THE MARKETPLACE HAVECREATED SIGNIFICANT COMPLEXITY FOR BUSINESSES Greater need to Greater need for incorporate new Greater need for trusted and relevant payment customer insights communications technologies from data Rate of innovation in the Data is overflowing from Customers are industry around payments many different sources and overloaded with and the digital experience channels marketing messages continues to shift How do we manage this data How do companies get How do we stay on top of and create action which their key messages new capabilities being produce results? though? created for customers?
14. WERE POSITIONING OUR BUSINESS TO ADDRESS THELARGE-SCALE NEEDS OF THE US MARKET LOYALTY Significant activity in helping companies reimagine their loyalty strategy LOYALTY STRATEGY Raising the bar in modeling the economic impacts of loyalty program designs STRAEGY LOYALTY LOYALTY Deploying analytics capabilities across disparate client data sources ANALYTICS ANALYTICS Integrating analytics deeper into vertical-specific strategies LOYALTY Leveraging patented intellectual property for Code on Pack OPERATIONS Investing in scalable loyalty and rewards platforms
15. PROCTER & GAMBLE USES LOYALTY TO AFFECTPURCHASE DECISIONS AT EACH STAGE IN THE CUSTOMERLIFECYCLE Leverages proprietary Code on Pack intellectual property Delivers personalized offers at key points in the purchase lifecycle Scales loyalty currency spend to match the behavior and desired outcome of each consumer~125,000 codes are entered each day for Pampers Gifts to Grow
16. DELIVERING MEASURABLE RESULTS USING DEEPLOYALTY ANALYTICS Vertical-specific predictive model delivers 34% increase in ROI Leveraging multiple data sources enabled better discriminate between pet owners Reached 6.7 million households with an 82% higher response ROI in 2011 was 122%, highest in programs 13 year history rate
17. KELLOGGS FAMILY REWARDS USE LOYALTY MARKETING TOUNIFY CUSTOMER DATA ACROSS THEIR BRANDS Hundreds of brands and SKUs using the same Code on Pack business process Goal is to cross-sell and up-sell consumers within the Kelloggs Morning Foods Frozen Foods Snacks & Cookies family of products Common platform and currency unifying previously disparate Promotions brand promotional activities Over 800 products within Kelloggs family of brands
18. POSITIONING THE US CUSTOMER BUSINESS FOR GROWTHWere investing in technology, leveraging intellectual property and delivering high value analytics
19. GROWING LOYALTY WITH PROVEN LEADERSHIP Fay Beauchine President, US Business Loyalty A proven leader in Aimia US Business Loyalty since 2007, Fay brings a variety of expertise in cross-enterprise marketing and sales strategy, and has held executive positions in the travel sector. She leads the team that helps corporations gain and retain enthusiastic employees, committed and aligned business partners and loyal customers.
20. BUSINESS LOYALTYFay BeauchinePresident, US Business Loyalty
21. MARKETERS KNOW WHAT THEY NEEDGlobal CMOs share the perspective thatdata across all channels is criticalto interpreting and solving theirbusiness challenges. deliver value capture value, foster lasting Areas for Improvement to empowered connections measure results customers Source: IBM Oct. 2011 Global CMO Study