Digital transformation: it starts with smart data

Digital transformation: it starts with smart data

Data is a source of competitive advantage Brands Transactions Product data enables: The product cornerstone of retail Optimized product assortment Reduced out-of-stocks Refined product pricing Measured impact of retail activation GTINs

Data is the DNA of retail

The challenge with product data

more products

available through more channels

with more data attributes

The proliferation of data More products More channels More attributes 40% turnover in your assortments >500 attributes / product 10x Promotions Seasonality Local assortments Marketplaces E-commerce Click & collect Email Mobile apps New shopper needs New regulations New analytical needs Competition resulting in a gigantic data management problem Source: GS1 UK Data Crunch Report, internal client research

Today, data exchange in retail is slow and complex Numerous stakeholders Omnichannel distribution Retailer Sales ERP Website Marketing DAM 3 rd Party Apps Retailer Logistics Analytics E-Commerce Files Database Retailer 3 rd Party Website Retailer Retailer Different tools and storage systems and multiple exchange systems

For example 3 50+ >1,000 full time resources committed to product data systems, tools that contain some product data hours spent collecting & entering data into retailers systems Source: internal research

Data quality is lagging 80% incidence rate of inconsistent product data Source: GS1 UK 2014

Poor product data impacts all facets of your commercial strategy Ineffective Unprofitable Inefficient Incoherent point-of-sale activation promotions supply chain pricing -13 PTS decrease in performance of merchandising over last 3 years 74% of promotions fail to break even 8% global average out of stock rate 6% of transactions involve wrong pricing Source: Nielsen, IRi Worldwide, UC Berkeley, EY, GS1 UK Data Crunch Report

Online Online is no different Poor content = lost sales 42% of abandoned shopping carts due to poor quality product content 42% of abandoned carts attributed to low quality product content Source: GS1 UK 2014

How to address the challenge

Brands Smarter data & is retailers need smarter data complete accurate instant fluid shared organized

3 key elements to solving the data challenge Establish a consolidated 360 o view of your products Import from internal systems, industry standards, or manual spreadsheets Manage all types of data, from flat text to rich media Source data from external sources (e.g., user reviews, visuals) COLLECT CONNECT Export to retailers in the format they need Export to internal tools to inform your brand sites, apps Share data with 3 rd parties (e.g., agencies) Automate data quality checks and normalization Organize products based on your product hierarchy Proactively identify value-add information demanded by shoppers (e.g., allergens based on product ingredient, country of origin) Comply with the latest industry regulation (i.e., INCO 1169) CORRECT

Algorithms define action. Peter Sondergaard Global Head of Research,

Champion individuals share. Sir Clive Woodward World Cup Winning Rugby Coach

imagine what you could do with smarter product data

Better digital shelf execution Provide product content from a single trusted source connected to retailers e- commerce sites audited to ensure shoppers see the right information when making buying decisions

Collect & manage products through a single interface

Capturing all types of content, from rich media to nutritional facts

Publishing an engaging product page on retailer s sites

Image accuracy reports compare images

then track results across retailers, brands, and categories FOR ILLUSTRATIVE PURPOSES ONLY (SANDBOX REPORT)

Check application of any fields on your product pages FOR ILLUSTRATIVE PURPOSES ONLY (SANDBOX REPORT)

Better online merchandising +24% units sold on We beat our world record for data quality score Romain David, ecommerce Manager France

Better in-store execution Removing physical barriers of brick & mortar to deliver the robust information of digital commerce

Thank you Efrain Rosario VP, Marketing erosario@alkemics.com Nadjiba Amrouz Sales Director, Brand Solutions namrouz@alkemics.com www.alkemics.com https://www.linkedin.com/company/alkemics/ @Alkemics