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    Brand Presentation

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    AGENDA

    I. DNA OF KIEHLS

    II. AUTHENTIC BRAND HISTORY

    III. CUSTOMER COMMITMENT

    IV. PUBLIC RELATIONS

    VI. RETAIL EXPRESSION

    VII. BUSINESS OVERVIEW

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    Established in New York City, Kiehls founding family created

    their East Village apothecary to fulfill the individual needs ofthe vibrant, diverse customers who came through its doors

    every day. Kiehls evolved from its early pharmacy roots to rely

    on even more advanced science and the finest natural

    ingredients - and today, its chemists formulate the finest skin

    and hair care products that address the contemporaryconcerns of Kiehls customers and fans around the world.

    KIEHLS SINCE 1851

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    THE KIEHLS FAMILY

    Mr. JohnKiehl

    Opened thefirst Kiehl

    Apothecary in

    1851.

    IrvingMorseA graduate of the

    pharmacology

    school at

    Columbia

    University

    became John

    Kiehls apprenticeand took over the

    business in 1921.

    Aaron &

    JamiIrving Morse's Son& Granddaughter

    continue the

    Kiehls apothecary

    legacy.

    LOrealIn the year 2000,

    Kiehls joined

    forces with

    LOreal to helpthe brand

    development.

    And LOreal Let

    Kiehls Be

    Kiehls.

    Own Labs

    Separate Off ices

    Dedicated Factories

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    KIEHLS DNA

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    KIEHLS DNAKiehls Since 1851

    Apothecary-inspired packaging and merchandising

    Wood floors/brick walls/chandelier

    Neon/NYC vibe/handwritten/quirky

    Mr. Bones/motorcycle/airplane

    KCR lab coats/ wing pin

    CODE

    Historic photos of founders/Kiehls NYC flagship

    To provide the most exciting, engaging, prescriptive skincareexperience to men and women

    SENSE OF

    PURPOSE

    VALUES,

    PERSONALITY

    SIGNATURE

    Givingcommitment to give back to our communitiesSciencehighly efficacious natural ingredients + cutting-edge

    technology

    Respectfor our customers, their skin, and the environment

    ServiceKiehl's Circle of Service, including personalized

    customization and generous sampling

    Qualityin our customer experience and in our products

    Personality: Honest, eclectic, warm, adventurous, enthusiastic

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    KIEHLS DNA: APOTHECARY

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    KIEHLS DNA: AUTHENTICITY

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    KIEHLS DNA: NEW YORK

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    KIEHLS DNA: SERVICE

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    KIEHLS DNA: ADVENTURE

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    AUTHENTIC BRAND HISTORY

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    HISTORY OF KIEHLS

    Kiehls was founded in 1851 as an

    apothecary pharmacy in New York Citys

    east village.

    While our pharmacy was selling

    medications, herbal and natural remedies,our patrons began requesting efficacious

    skin and hair remedies that could not be

    found in the city.

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    PURVEYORS OF THE FINEST SKINCARE

    Relying on their extensive background of herbal, medicinal andnatural knowledge, our founding family started to create tailor-

    made skin and hair remedies for the community using high

    concentration of efficacious natural ingredients blended with

    pharmaceutical actives.

    The secret was a deep understanding of

    each persons concern and the need to

    formulate for efficacy and safety and not

    for the product aesthetic.

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    Through the 1960s, Kiehls was

    one of the top producers and

    distributers of medicinal

    salves, herbal remedies and

    early pharmaceuticals,including one of the first

    penicillins as well as an aloe

    vera-based cream to treat

    burns that was widely

    commissioned by the U.S.government.

    PURVEYORS OF THE FINEST SKINCARE

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    Since that time, Kiehls Since

    1851 began developing

    contemporary skincare products,

    all of which were formulated and

    tested using proven

    pharmaceutical methodology.

    Today, the company holds true to

    its heritageintegrating

    extensive research, development

    and safety testing for all its

    products and formulating with abalance of natural ingredients

    sourced from around the globe

    and the latest technologies.

    PURVEYORS OF THE FINEST SKINCARE

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    Fundamental to our formulations

    is the necessity to respect and

    protect the skin barrier, the first

    step to ensuring healthy skin.

    Kiehls also minimizes the use ofmasking fragrances and colorants

    in our formulas. Furthermore,

    rather than focusing on expensive

    packaging or advertising, Kiehls

    efforts are put forth towards what

    matters most, the quality of the

    formula.

    PURVEYORS OF THE FINEST SKINCARE

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    SCIENTIFIC HERITATE TIMELINE

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    SCIENTIFIC HERITATE TIMELINE

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    SCIENTIFIC HERITATE TIMELINE

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    KIEHLS TODAY

    Kiehls continues to follow a unique

    business model set-forth by the

    founding familieswhich does not

    rely on advertising for brand

    awareness. Instead, awareness is

    driven primarily through word of

    mouth: utilizing sampling, PR and

    digital communication. For over

    160 years, Kiehls has been

    committed to providing customers

    with exceptional service, personalconsultations, and generous

    samples of their efficacious

    formulas.

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    OUR COMMITMENT TO OUR CUSTOMERS

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    OUR COMMITMENT TO OUR CUSTOMERS

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    Kiehls was built on sampling

    Our phi losophy is :

    Try before you buy

    Sampling Philosophy

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    All customers receive personalized service

    We are here to serve you

    A consultation with samples

    LEADERSHIP IN SERVICE

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    WELCOMING

    UNCOVERING

    NEEDS

    PRESENTING

    PRODUCTS &

    SAMPLES

    COMPLETING

    HEAD-TO-TOE

    FINISH

    MAKING A

    SALE

    PARTING &

    OFFERING

    FOLLOW-UP

    LEADERSHIP IN SERVICE

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    LEADERSHIP IN SERVICE

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    SkinCare Consultations

    LEADERSHIP IN SERVICE

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    LEADERSHIP IN SERVICE

    KCRs are emblems of our service

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    NO ADVERTISING PHILOSOPHY

    We rely on word of mouth and do no advertising

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    PUBLIC RELATIONS 3 PILLARS

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    BRAND HERITAGE FEATURED STORIES

    CANADA SOUTH AFRICAFRANCE

    CHINA

    KOREA

    UKCHINA HONG KONG

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    SKINCARE FEATURED STORIES

    CHINA

    JAPAN

    SINGAPORETAIWANUK ITALY

    MALAYSIAFRANCE

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    PHILANTHROPY THROUGH KIEHLS GIVES

    CHINASINGAPORE

    Improve in some way the quality of the community to which we are committed

    No Paid Endorsements Kiehls

    never pays any celebrities and/or key

    influencers to endorse our products.

    Kiehls fosters partnerships and

    relationships with celebrities and key

    influencers for charitable causes.

    Kiehls offers a donation to a charity

    in their name for their support of ourevents and programs.

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    PHILANTHROPY FEATURED STORIES

    CHINACHINA

    KOREA JAPAN

    SPAINITALY SINGAPORE

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    KIEHLS LIFERIDE FOR AMFAR - US

    CHINA

    TO BENEFIT THE AMERICAN FOUNDATION FOR AIDS RESEARCH

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    KIEHLS ROCK TOUR - GERMANY

    CHINA

    TO BENEFIT CHILDRENS CHARITY DIE ARCHE

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    RARE EARTH LIMITED EDITION - CHINA

    CHINA

    TO BENEFIT SHAN SHUI CONSERVATION CENTER

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    SOCIAL MEDIA EXPRESSION

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    DIGITAL EXPRESSION

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    RETAIL EXPRESSION

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    RETAIL EXPRESSION

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    RETAIL EXPRESSION

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    RETAIL EXPRESSION

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    RETAIL EXPRESSION

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    GLOBAL BUSINESS OVERVIEW

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    KIEHLS NET SALES GROWTH

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    1. US

    2. Travel Retail Asia

    3. Hong Kong

    4. China5. Korea

    6. UK

    7. Canada

    8. Taiwan

    9. Japan

    10. Spain

    KIEHLS TOP 10 MARKETS

    *T3012 Sell in

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    ALL ZONES DOUBLE DIGIT GROWTH

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    DISTRIBUTION OVERVIEW

    44 Countries

    Canada

    United States

    UK

    France

    Australia

    Singapore

    Taiwan

    Korea

    Mexico

    Argentina

    Belgium

    Switzerland

    PortugalSpain

    Russia

    Dubai

    Thailand

    Malaysia

    Philippines

    Brazil

    Kuwait

    Japan

    Chile

    Greece

    China

    Indonesia

    Sweden

    Turkey

    New Zealand

    India

    Panama

    Colombia

    FinlandNorway

    Puerto Rico

    South Africa

    Hong Kong

    Germany

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    DIGITAL

    FREE STANDING STORE

    DEPARTMENT STORE

    NUMBER OF DOORS WORLD WIDE

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    RETAIL MAPPINGService/Excitement

    +++

    Service/Excitement

    - - -

    Credibility/Expertise

    +++

    Credibility/Expertise

    - - -

    Selective

    PharmacyMass

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    GLOBAL PRESENCE ON-LINE

    9 12 18 21

    3 4 5 15

    12 16 23 36

    E-Commerce

    Sites

    E-Marketing

    Sites

    Total #

    Countries

    2010 2011 2012 2013

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    GLOBAL PRESENCE SOCIAL

    With 30 active Facebook pages and 21 local Twitter pages, Kiehls social content is pushed to more

    than half a million fans and almost 80,000 followers on a daily basis.

    78,014 Global Twitter FollowersAustralia Canada

    Chile Colombia

    France GermanyGreece India

    Indonesia Japan

    Korea Malaysia

    Manila Mexico

    Panama Singapore

    Singapore South Africa

    Spain UK

    US

    732,106 Global Facebook Fans*UK Middle East

    Turkey Thailand

    Taiwan SwitzerlandSpain Singapore

    Russia Mexico

    Manila Malaysia

    Middle East Korea

    US Japan

    Italy Indonesia

    India Hong Kong

    Greece Germany

    France Denmark

    Colombia Chile

    Canada Brazil

    Australia Argentina

    3,634 Global Pinterest FollowersUS

    India

    Canada

    Greece

    UK

    Manila*China 170K fans different platform

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