THE PREFERRED CUSTOMER PROGRAM

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THEPREFERREDCUSTOMER PROGRAM

• What is it?

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THREE CORE PRINCIPLES

• Market Americas Preferred Customer Program (PCP)
  is our principal One-to-One (11) Marketing
  vehicle.
• Our strategy for its implementation will revolve
  around three (3) simple core principles.

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THREE CORE PRINCIPLES

• Selling more products to fewer people is more
  efficient and more profitable than the
  time-honored mass marketing rules of pitching
  products to the greatest number of people.
• Concentrating on building unique relationships
  with individual customers on a One-to-One basis.
• Establishing, sustaining, and maintaining
  dialogue and obtaining feedback with and from
  these customers.

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THREE CORE PRINCIPLES

• Principle 1 Selling more products to fewer
  people is easier
• Within the Product Line
• Within the Store
• Within the Mall
• Customer of Customer

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THREE CORE PRINCIPLES

• Principle 2 Building unique relationships with
  these customers
• Demonstrate an active interest in customers as
  individuals
• Communicate on a periodic and frequent basis
  Not Just The Sale
• Utilize mail, faxes, telephone, voicemail, email,
  e-flyers, electronic alerts, and website

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THREE CORE PRINCIPLES

• Principle 3 Sustain dialogue and obtain
  feedback
• What do your customers really want?
• What does this individual customer really want?
• What would they purchase from you, if you had it?

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Goals and Objectives

• Survey, collect, warehouse, mine, and analyze
  information to identify products goods and
  services Preferred Customers would purchase, if
  it were made available!
• Find those products, goods, and services and
  bring them to the customerinstead of the
  customer to the product!

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Who Are Preferred Customers?

• Preferred Customers are people who purchase and
  consume/use Market America products, goods, and
  services on a regular basis!
• You
• Your Customers
• Qualified Preferred Customers
• Initially Minimum of two separate orders in a
  quarter
• Subsequently Multiple orders or an order of
  multiple products quarterly

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Where Are We?

• Developed and programmed a Preferred Customer
  management software package
• www.unfranchise.com, and/or
• Distributors Market America Custom Website
• It is your Customer Relations Management Tool

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Where Are We? (Contd)

• Developed Emerald Award Certificate (EAC) Program
• Developed Loyalty Rewards Program
• Enhanced our Preferred Customer Program
  Registration Brochure
• Enhanced our Preferred Customer Program software
  applications

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Where Are We? (Contd)

• Emerald Awards Certificate Program (EAC)
• Upgrades Preferred Customer to Emerald Status
• 10 discount on all purchases for one year
• Provides added benefits in the Loyalty Rewards
  Program
• Costs 50 and creates 50 BV

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Where Are We? (Contd)

• Loyalty Rewards Program
• Preferred Customers can win fabulous gifts
• Incentives for feedback and continued patronage

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Where Are We? (Contd)

• Loyalty Rewards Program Incentives
• Qualified PCs
• (5 discount 1 entry/survey 0 entry/order)
• Ruby PCs
• (10 discount 2 entries/survey 0 entry/order)
• Emerald PCs
• (10 discount 3 entries/survey 1 entry/order)
• Diamond PCs
• (15 discount 4 entries/survey 2 entry/order)

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Where Are We? (Contd)

• Preferred Customer Program Brochure Enhancements
• Revised to reflect current processes
• Added on-line registration instructions for
  Customer Managers
• How to use
• Support Materials
• Transfer Buy Form (monthly, every other month,
  quarterly)
• Market America Direct Catalog
• Audio A Message To Our Most Valued Customer

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Where Are We? (Contd)

• Preferred Customer Program software applications
  enhancements include, but are not limited to
• PC Registration
• PC Information/Profile Update
• PC Registration and Subscriptions
• PC Achieved and Current Status
• PC Order/Survey Completion History
• PC Personal Alert

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Where Are We? (Contd)

• HELP MENUS have been developed to assist in
  screen navigation and completing whatever task
  currently available.
• HELP MENUS will be integrated and ready for use
  SOON!
• One more item before I share with you Where We
  Are Going!

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Where We Are Going!

• Providing standard Preferred Customer data
  reports for Customer Managers
• Providing tools and methods to Customer Managers
  for dialogue and feedback
• Developing a Preferred Customer Training Module
  for integration into our NMTSS

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Where We Are Going! (Contd)

• 1 to 1 Marketing from concept and vision
• TO REALITY!
• ButYou have got to BELIEVE IT
• BEFORE YOU WILL EVER SEE IT!

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THEPREFERREDCUSTOMER PROGRAM

• Tying It All Together

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Increasing the Share of Customer

• New tools for building relationships and
  increasing the quantity of products existing
  Customers are purchasing from you.
• Personal Alerts
• Preferred Customer Reports
• Surveys and Analysis

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THE NEW ALERTS
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Examples of Personal Alerts

• Follow up on new PC purchases
• 1st day, 3rd day, 7th day system
• Product trial packets given to Customers
• Birthdays and Anniversaries
• New product releases

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Personal Alerts
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Click the Alerts Icon
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Personal Alert Maintenance Screen

• Click on Add Alert to create a new Personal
  Alert

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Create Personal Alert and Save
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Alert Confirmation
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New Personal Alert
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Preferred Customer Reports
Four new reports to help you measure, monitor,
track, trend and manage your Customer base

• Contact List
• PC Registration Source
• Sales By Customer
• Sales By Product

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Contact List
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PC Registration Source
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PC Registration Source (Text)
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Sales By Customer
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Report Features

• Search By Time

• Sort by Column Headings

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Sales By Product
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Survey and Analysis

• Obtaining Feedback
• Identifying What the Customer Wants
• Supplying vs. selling your Customers

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PetHealth OPC-3
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Pet Product Survey

• Over 37,000 responses from both Distributors and
  Preferred Customers
• Produced the new PetHealth OPC-3
• 48 (17,760) of the respondents had either a dog,
  cat, or both
• Top preferences were
• Beef flavor for Dogs
• Smoked Fish flavor for Cats
• 17,760 x 11 BV 195,360 BV per month

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How Does Text Survey and Analysis Work?

• Evaluates Responses in Text Format
• Processes Word Counts
• Frequency of Words
• Correlation of Word Groups
• Resulting in the Identification of New Products

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Text Analysis
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Market Basket Analysis

• The purpose of Market Basket Analysis is to
  determine what products Customers purchase
  together.
• It identifies new product combinations that can
  be offered to Preferred Customers.

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Market Basket Analysis
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Where do we plan to use Text and Market Basket
Analysis?

• Electronic surveys issued through
• Emails
• Links on your Web Portal
• Unfranchise.com
• Link on Preferred Customer Mini CDs
• Anywhere a PC may log onto in the future
• From our existing Market America database

Resulting in New Product Identification and
Suggesting Additional Products for Purchase
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How does this benefit you as a Distributor?

• You will be able to supply new products that your
  Customers want because they asked for them!
• Increase the quantity of products each Customer
  is purchasing from you.
• Customer, Distributor, and Market America
  collaborate in building your Mall without Walls.

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THEPREFERREDCUSTOMER PROGRAM

• Building Relationships
• One Customer at a Time