Premium Insights.Understand the market and your customers with strategic, actionable data and

analytics.

Premium Insights offerings.Premium offers eight unique Insights products.

eCompShopMarket

Intelligence

Product Optimizatio

n

Retail Diagnostic

s

Consumer Experience

Product Perception &

Recommendation

Consumer Journey

Market Trends

Consumer journey.Understand the path to purchase from consideration through purchase and product use.

• Understand and compare consumer shopping behavior across channels • Find out where consumers shopped and why• Identify purchase drivers and profile purchasers• Map consumer purchase decision process• Understand information sources and their impact• Identify pain points, likes and dislikes of purchased products• Learn about the post-purchase experience

Case study: Identifying key drivers along the path.

Case study: Identifying key drivers along the path.

Customer Experience.Understand the shopper’s experience through observations and intercepts.

• Observe how consumers shop• Dwell time, interaction with

products, signage, and store associates, path to the bay

• Intercept customers while shopping

• Real-time feedback• Understand purchase drivers,

project• Eliminate research bias as data

not based on recall• Compare experience across

retailers

Spent time shopping the bay (whether or not they ultimately

made a purchase)

Picked up product(s) that they needed immediately

60%

40%

64%

36%

58%

42%

How Consumers Shop

< 1 1 2 3 4 5 6 7 8 9 10 15 18 20 25 300%

4%

13%9%

2%

33%

2% 2% 3%0%

19%

10%

0% 2% 1% 1%1%

10%6%

12%

1%

31%

0% 1% 0% 0%

24%

8%

0%4%

1% 1%

Time spent shopping bay (minutes)

Yes No

26%

74%

20%

80%

39%61%

Receive assistance from store associate?

Yes No

68%

32%

58%42%

67%

33%

Purchase product associate recommended?

Lowe’sHome DepotHardware stores

Product Perception & Recommendation.Measure in-store rate of recommendation, perceptions, and awareness.

• How frequently do associates recommend brand or model?

• What is associate brand awareness?

• What are perceptions of brands?

• What do associates know about product (features, installation, compatibility, use, accessories)?

• Use of data: • Identify need for training• Measure impact of in-store

programs• Compare data across

retailers

Brand A

Brand B

Brand C

Brand D

Brand E

Brand F

None

81%

67%

34%

20%

18%

3%

3%

57%

49%

15%

11%

7%

4%

13%

Associate mention and recommendation

Recommended Mentioned

Very dif -ficult

Difficult Neutral Easy Very easy

0%6%

23%

56%

15%

With the customer in mind, how does Associate rate assembly?

Not at all familiar

Slightly familiar

Somewhat familiar

Moderately familiar

Extremely familiar

3%

6%

27%

38%

26%

Associate familiarity with EZ Connect

Yes, whenever appropri-ate; 67%

Some-times; 28%

No; 5%

Do Associates recommend EZ Connect?

Product Optimization.Identify opportunities to improve product features

• Identify consumer challenges and pain points associated with product use

• Use data to design new features that offer solutions to fill a void or improve customer experience

• Identify attributes that most impact purchase decision

• Get data that can support marketing messages on product packaging, on store POP, and in media

The straps get twisted and tangled be-tween uses

Hard to release the ratchet

Hard to feed the strap into the ratchet

The ratchet pinches my fingers

Ratchet handle is too small for my hands

Takes too long to load and unload

I usually forget how to operate it

54%

46%

28%

23%

18%

10%

9%

Challenges associated with use

Easy to load strap into ratchet

Handle forbigger hands

New features address

challenges consumers face

Quicker, easier loading

Attribute Very to mostly important

Not a factor in decision

Life (hours) 78% 5%Output of light/ wattage equivalency 79% 4%Energy savings 70% 6%Technology of light bulb 65% 4%Price 75% 5%Energy star rating 61% 8%Color of light (e.g., warm, daylight) 62% 7%Aesthetics / Look of bulb 46% 10%Color Rendering Index (“CRI”) 43% 16%Warranty 39% 15%Brand 38% 9%

Important attributes when purchasing a

light bulb

Product Optimization.Derive consumer preference and willingness to pay for features and benefits

• Identify what consumers value

• Through a series of choice questions, we derive consumer preference for features and benefits (e.g., size, warranty, brand, design, power)

• Vary prices to draw price adoption curve / amount consumers are willing to spend

Description Two-Stage gas snow blower

None of these

options

Clearing Width/ Intake Height

24 in. clearing width 21 in. intake height

Chute Rotation 205 degrees

Chute Operation Joystick Crank Manual

Price $699 $699 $699

Manual rotation

CrankJoystick

$699, $699, $699 $699, $674, $659 $699, $649, $619

46% 41% 36%23% 22%

29%16% 21% 21%15% 16% 14%

Case 1: Case 2: Case 3:

17 18 19 20 21 22 23 24 2530%40%50%60%70%80%

Price / Share Curve

Price Point

Perc

ent A

dopti

on

Product Optimization.Test new concepts

• Measure likelihood to buy• Draw adoption curve• Identify target retail price

point to maximize sales• Understand unaided price

expectation• Identify perceptions on

product’s value and uniqueness

Definitely would not

buy

Probably would not

buy

Might or might not

buy

Probably would buy

Definitely would buy

14%11%

27% 29%

18%14% 13%

19%

34%

21%

Likelihood to buy (no retail)

Consumers Contractors

47% / 55% Definitely-probably would buy

Price Point Contractor Consumer$9 - $10 82% 76%$11 - $12 80% 73%$13 - $14 78% 69%$15 - $16 70% 64%$17 - $18 61% 60%$19 - $20 53% 56%$21 - $22 38% 47%$23 - $24 33% 37%$25 or more 27% 29%

Likelihood to buy at various retails

• This concept tested very well compared to our concept testing index

• Contractors and consumers expect to pay average of $24.62 and $26.41, respectively

• However, once product is under $20, likelihood to buy is strong (53-56%)

• 69-71% of respondents say they like the product

• 62-65% say it is different from other products in the market

Retail Diagnostics.Determine what is working or not working in retail

Sales not meeting forecast?

Higher than normal returns?

Want to learn from outperforming stores?

• Identify, quantify, and understand the why behind in-store performance

• Focus on retail levers for success to determine what is driving / hampering sales

Merchandising Execution: In stock, set to planogram, POP displayed

Assortment: Right products, brands, placement, prices

Rate of Recommendation: Associate recommendations and knowledge

Customer Satisfaction: Ratings and reviews, product returns

Shopping Experience: Ease of shopping, delivery, installation, special order

Point of Sale Information: Packaging, signage, videos, online integration

Retail Levers for Success

Market Intelligence.Understand category size, share, and competitive landscape.

• Capture share of shelf and compare between retailers and across regions

• Estimate category size using variety of data sources

• Understand retailer and brand share• Insights into in-store promotions,

displays, events, etc.

2011 2012 2013 2014

13% 16% 17% 12%3% 6% 2% 5%5%

9% 6% 5%6%2% 6% 9%2%

22% 22% 18%32%

15% 17% 20%

39% 30% 30% 31%

Competitive Landscape: Retailer share

Home DepotLowesWalmartOnline (incl. Amazon)CostcoTargetOther

Don't recallOther

TCPFeit

OSRAMUtilitech

Lighting ScienceCree

EcoSmartSylvaniaPhilips

GE Lighting

20%3%4%5%6%7%

8%9%10%

13%29%

41%

Brand share

2 Pack 4 Pack 6 Pack 8 Pack 12 Pack 16 Pack 24 Pack 32 Pack

20%

28%

16%

23%

16%13%

6%

1%

21% 21%

13%

31%

24%

12%

7%

3%

Penetration of Pack Size

Walmart Drug stores

eCompShop – An Advanced Price Shop Tool

Fast, accurate on-demand price shopInteractive Excel worksheets to filter and sort by any attr ibuteAdvanced mapping algorithm increases efficiency of future shopsIdentify gaps in retai lers’ assortments

Web-based visual ization toolBe more efficient and effect iveStay on top of competit ion

The Home DepotAssortment

Brand American Standard American Standard American Standard KOHLER American Standard KOHLER KOHLER Delta American StandardSKU # 615584 1001709410 207179 1002160408 1001764464 981150 1000002117 1000053030 $615,356.00

Model # 3186.128ST.020 3376128ST.020 3378.128ST.020 K-45983-0 3378AB128ST.020 K-15409-0 K-45979-0 C41903T-WH 2586.128ST.020Retail $188.00 $188.00 $188.00 $188.00 $198.00 $198.00 $198.00 $199.00 $199.00Finish White White White White White White White White White

Bowl Shape Round Round Elongated Elongated Elongated Round Elongated Round ElongatedBowl Height 16.5 16.5 16.5 16.5 16.5 16.5 16.5 16.5

Gallons per Flush 1.3 1.3 1.3 1.3 1.3 1.3 1.3 1.3 1.1# of Pieces 2.0 2.0 2.0 2.0 2.0 2.0 2.0 2.0 2.0

Flush Type Single Single Single Single Single Single Dual Single SingleRating 4.2 4.8 4.4 4.5 4.4 4.4 4.1 2.5

Number of Reviews 323 23 353 34 25 406 113 145

LOWESAssortment

Brand KOHLER American KOHLER American American AmericanModel # 14799-0 700AA101.020 45989-0 710FA.101.021 3381.216.020 2793.128NT.020

Retail $189.00 $189.00 $199.00 $199.00 $199.00 $209.00Finish White White White Off-white White White

Bowl Shape Elongated Elongated Elongated Elongated Elongated ElongatedBowl Height 16.50 16.50 16.50 16.50 16.50 16.50

Gallons per Flush 1.28 1.28 1.60 1.28 1.60 1.28

Flush Type Single Single Dual SingleRating 4.5 4.5 4.5 4

Number of Reviews 23 103 64 242 73 66

MENARDSAssortment

Brand Eljer Eljer Mansfield American

Flush Type Single Single Single SingleRating

Number of Reviews

Breadth GAP in Lowe's

Assortment

Breadth GAP in Lowe's

Assortment

Price GAP in THD

Assortment

Breadth GAP in Lowe's

Assortment

Breadth GAP in Lowe's

Assortment

Market Trends.

Incandescent CFL Halogen LED

47%42%

7% 4%

38%42%

10% 9%

37% 41%

9%13%

26%32%

7%

34%

Market trend: LED adoption at expense of incandescent and CFL

Jul-10Feb-11Jun-11Apr-12Apr-13Feb-14May-15

Brand A Brand B Brand C Brand D None

57%49%

15%7%

13%

57% 56%

12% 14%7%

Associate rate of recommendation

April August December

Brand B conducted associate training in May - Dec

6%

43%

20%11% 8%

13%

Design preference

• All things change…Technology improves, consumer preferences shift, brand perceptions change, new players enter the market, purchase behaviors change

• Measure consumer perception and adoption of new technologies

• Track associate awareness and recommendation of brands

• Predict best-selling designs• Impact marketing, training,

operations, product development, and strategy.

View evolving trends with regularly scheduled insights.

None

Category ExperienceMuch of our business is made up of repeat business from existing clients.

Product CategoriesLED lighting

Mobile phonesBathtubs & showers

Shower doorsVirtual reality

Decorative lightingDecking

HammersMechanics hand toolsTool aprons and rigs

Fireplaces

Tablets / eReadersConsumer Electronics

Knee padsIrrigation

Tape MeasuresWelding

Water coolersLight bulbs

Industrial rackingMedicine cabinets

Rolled wire and post

BatteriesMoulding & trim

ShedsTelevisions

Snow blowersWind turbines

Kitchen cabinetsOn Star

Tub and Sink DrainsSecurity doors and

windowsGrills

LaddersPet containment /

kennelsFencing

Tie down ratchetsSurge protectors

Bath fansWork glovesGeneratorsFasteners

Grill thermometersLandscape lighting

How we get there.

The Premium approach.

• Customization.

• Quantitative research. Online surveys and targeted panels

• In-store research. Audits, customer and associate observations, customer intercepts and secret shops

• Qualitative research. Focus groups and individual interviews

• Strategy. Working closely with clients to integrate data and insights to all aspects of development and marketing

• Experience. What sets us apart from the rest. We know retail

Marthe SouzaVP, Consumer Insights and Business Development

5000 Highlands Parkway, SE, Suite 270Smyrna, GA 30082

premiumretailsolutions.com

msouza@premiumretail.como 678.279.8250

c 404.964.9584