Loyalty Lab provides a next generation loyalty and marketing platform to help brands engage customers and drive sales. Their platform simplifies traditional loyalty practices by applying new technologies. It has led to increased frequency, retention and overall revenue for clients across various industries. Loyalty Lab ensures successful loyalty programs through best practices, comprehensive strategies and cooperative program design with marketing experts.

1. Next Generation Loyalty & Marketing Platform Loyalty Lab, Inc. April 2009

2. Today’s Loyalty Imperative Marketers will survive the recession and emerge ready to resume their growth by investing in loyal customers Even loyal customers are making tough choices of where and how much they spend Brands that identify, listen to and engage more broadly, more creatively and with more relevance will best retain and grow their best customers Simply, loyalty is about creating and executing programs that drive more frequent, higher margin sales

3. Loyalty Lab Powers Return on Marketers’ Innovation That is where Loyalty Lab comes in By simplifying traditional loyalty practices by applying the best of today’s technologies And pioneering the design and implementation of the next generation of loyalty concepts Loyalty Lab has set a new level of expectations for innovative consumer brands.

4. A Growing Number of Successful Clients

5. Loyalty Metrics: Results Speak For Themselves Impact on Frequency: 80% lift in overall frequency 250% increase in repeat purchase rate among new program members Impact on Retention: 22% increase in retention rate among elite tier Impact on Overall Revenues: 90% lift in overall revenue among members 67% lift in overall revenue among members 40% lift in overall revenue among members Other Impacts: 4X Click-Thru rates Reallocation of advertising spend Adjustment of assortments to favor repeat customers

6. Introducing Loyalty Lab A game changer We challenged the status quo by bringing elite-tier capabilities to every tier of market… A market leader … allowing us to become the fastest-growing provider of loyalty program technologies and solutions for consumer brands. A thought leader Technology is speeding up. Consumers and marketers expect more. We continue to innovate. It’s part of our DNA. A partner Our greatest inspiration for success comes directly from our clients ... An agile organization … keeping us focused delivering against their insights, inspirations and real-life operational needs

7. SaaS-Based Approach Initially Changed the Equation… In 2003, Loyalty Lab introduced a completely new approach to powering consumer loyalty… SaaS-Based Architecture | Dramatic Drop in Cost & Time | Deep Domain Expertise Core systems are built from the ground up to handle large scale data volumes. Enabling rapid feature development and empowering flexible programs Quarterly releases built on our core API’s deliver best in class feature sets Innovative Features Flexible Processes + Open APIs Scalable Foundation

8. Our Technologies Visible Point programs Invisible Point programs Progressive member tiers Integration of disparate data feeds Targeted promotions and campaigns Reward triggers and catalogs Code-based product registration Standard and ad hoc reporting

9. Powerful Customer Retention & Development Products Loyalty Lab Reward TM Our market leading loyalty, rewards and best customer management platform Out-of-the-box and ready to implement “ Generic” point accruals Brand-focused clubs Flexible reward and benefit options Loyalty Lab Link TM Integrated code creation and management for CPG, media and pharmaceutical marketers. Direct consumer input of “proof of purchase Scalable, tamper-proof unique codes Identify consumers and transaction at channel and product level Loyalty Lab Insight TM Rapid solution for rich customer insights through reporting and analysis. Leverages Loyalty Lab’s data warehouse Outstanding BI solution at reasonable price Ad hoc tool lets you design own reports OLAP enables deep exploration quickly

10. Platform Eatables Easy Data In and Communications Out Response Tracking Reporting Analysis ETLs/ XSLTs APIs Program Settings Engagement Engines Marketer Control Panel Web/Catalog Transaction Data Product Data CDW Data Community Data Campaign Email Triggered Email Widgets and Websites Social Media Rewards Partner Activity Data Social Media Data Customer Care Data Optimized Common Data Model Store Transaction Data Web Analytics Data Product Codes

11. APIs Provide Companies a Choice of How Consumers Interact Loyalty Lab’s Microsites are easy to implement and include each of the core loyalty program pages: Registration and My Account Statement Offers Static content pages While Loyalty Lab’s APIs allow marketers to access and utilize loyalty data, offers and functionality as they want and where they want Full and summary statements Integrated registration Sweepstakes, auction and game integration Promotions and offer communication

12. Getting to Market Quickly Program Requirements and Implementation Program Launch Launch, Test, Measure, and Refine Design & Requirements 4 - 6 weeks Implementation 8 – 10 weeks Requirements & Gap Analysis Solution Design Program Strategy Understand program plans Data Integrations Iterate and Improve Program Management Measure results, test offers, optimize design Program Configuration Creative, Partner Integration Stage and Test Training Software and Program Launch

13. Ensuring Successful Programs Focused loyalty best practices for well-scoped initiatives Comprehensive loyalty strategies, program designs and economic modeling Cooperative design and expertise with category experts Loyalty Lab ensures compelling and successful programs with a flexible engagement model

14. Best Practices Drive Better Designs and Ongoing Performance Significantly increases customer insights Easy to understand and consistent with brand Worth-It factor – “I can see a path…” Speaks uniquely to the targeted consumer segment(s) Allocates funding investment strategically Recognizes and rewards behavior aligned to company success Has a unique, defensible hook Satisfies a marketer’s wish list of tools Grows with the company, adapts with experience and remains fresh Has visibility across the organization and is championed from the very top ++ Great + Good √ Average - Bad -- Terrible

15. Traditional Loyalty Models Solid ROI Proven results – repeat and retention focus Dependent on critical mass Heavily aligned to transactions Closed system All touch-points under direct control of brands Online Brick & Mortar Brand Store, Showroom, Call Center Direct Mail, Coupons Web Site Email

16. The New Loyalty Model Significantly broadens how brands think about “interactions” Structures and empowers brand advocates Deepens customer insights Builds over time Social Networks Brand Properties & Communities Influence Reviews Blog, Twitter Facebook, MySpace Photo, Video Bookmarking Web Site, Catalogs Customer Service Targeted Offers, Promos Mobile UGC, Forums Stores Customer Loyalty System

17. Higher Levels of ROI Increased engagement really ties to increased, more frequent purchasing – more purchases from existing customers More engagement leads to more relevant search and more informed decisions – lower acquisition costs Loyalty tools equally capture purchase transactions and social interactions – truly holistic and actionable view of the customer Connecting elements accelerates trial and active participation – achieve critical mass more quickly Better differentiation of brands’ unique characters – programs that stand out from the noise

18. Why Choose Loyalty Lab: Your Success is Our Success Substantial Domain Expertise Retail Consumer products & services Social media Software-as-a-Service Delivery No new hardware of software Automatic upgrades Accessed via web on any computer Fast to Market Complete program configuration in days not weeks or months Phased implementation goals Superior ROI Purchasing and retention lift Lower costs and resources required