MARKETING RESEARCH COMPANY 60 b Mykola Rudenko St., Dnipro, 49101 - PowerPoint PPT Presentation

MARKETING RESEARCH COMPANY 60 b Mykola Rudenko St., Dnipro, 49101 t e l . : + 3 8 0 6 7 9 1 4 5 8 0 9 Contact person: Vitaliy Kozlov, Development Manager Cellphone: +380-50-3627232, +380-97-4248617 e-mail: kozlov@mrc-brand.com www.mr .mrc-bra rand.co .com

YOUR NEW OPPORTUNITIES WITH OUR DATA YOU WILL BE ABLE TO: PLAN YOUR MARKETING BETTER ACCURATELY STUDY NEW AND EXISTING MARKETS FORM ADEQUATE PRICING QUICKLY TRACK THE COMPETITOR’S PRICES AND SALES

WHAT WE DO FOR YOU:

WHAT YOU GET:

WHY MRC BRAND

WHO WE ARE

YOUR PARTNER «MRC BRAND»

WE ARE TRUSTED BY

SPECIALIZATION. FOOD PRODUCTS

SPECIALIZATION. NON-FOOD PRODUCTS

GEOGRAPHY OF POS DISTRIBUTION BY REGIONS Data as of January 2018

DATA GENERATION FLOWS Structured reports Primary reports Integration with and summary SQL-OLAP (mass data) the Customer’s BI tables MASS DATA MASS DATA STRUCTURED REPORTS AND SUMMARY TABLES PHYSICAL LOGICAL INTEGRATED INSPECTION INSPECTION INSPECTION INSPECTION MDC (Multifactor Data Convergence)

INTEGRATION WITH THE CUSTOMER’S BI Technical Specifications negotiation with the Customer, including the definition of the following: File formats for uploading Information delivery Area breakdown Product categories to the Customer’s BI frequency Data adaptation to meet the Customer’s requirements In terms of geography In terms of product categories In terms of formats Additional data collection When necessary Data inspection and processing with due regard to the Customer’s requirements including MDC (Multifactor Data Convergence) Data uploading to the Customer’s BI

OUR ADVANTAGES • 20 countrywide trade networks Coverage • Over 2400 retail units • All regions of Ukraine • Totally for Ukraine / for each region / for each city •For product category / subcategory / based on the product’s feature (characteristics) Data detalization • For each trade network / for each retail unit of the trade network • For a trademark / for each SKU with reference to the network and retail units • Provided data formats and structure Adaptation to meet the • Information delivery frequency Customer's requirements • Geography / categorization / analyzed values • Additional values to analyze / ready analytics subject to the request Integration with the • Data uploading automation • Databases synchronization Customer’s BI • Strategy decisions (corporate planning, pricing, assortment management, competitive analysis) Field of application • tactical operative decisions (promo activity analysis, distribution figures, experiments within networks, sales and prices in retail units, sales plan / actual sales, sales personnel motivation Quality and control of • Multilevel algorithm for MDC (Multifactor Data Convergence) data control • Possibility to verify data with respect to the actual shipments for networks data

ANALYSIS REPORT DETALIZATION • market dynamics and trends countrywide and per region • market capacity MARKET • number of retail units • product category/subcategory development PRODUCT • seasonality, trends, ratings, shares, segments CATEGORIES • in relation to regions, networks, network retail units • sales dynamics and ratings, shares, segments, brand cannibalism, BRANDS distribution, aggregates (in terms of networks, brands, SKU) SKU • in physical and monetary terms • with respect to product characteristics/features • for regions, networks, network retail units in terms of brand/SKU

EXAMPLES OF ANALYSIS REPORTS THAT CAN BE RECEIVED ON THE BASIS OF OUR DATA

IN THE UKRAINIAN MARKET OF HARD LIQUORS RUM DOES NOT OCCUPY SUCH A SIGNIFICANT SHARE AS IN WESTERN COUNTRIES, BUT ITS CONSUMPTION KEEPS STEADILY GROWING DURING THE LAST 6 YEARS. EVEN IN 2014, A DIFFICULT YEAR FOR MANY IMPORTERS, RUM’S SHARE IN THE HARD LIQUORS SEGMENT INCREASED BY 27% COMPARING TO 2013, AND SALES AMOUNT – BY 22%, FROM 67.4 TO 82.2 THOUSAND DECALITERS IN 16 BIGGEST TRADE NETWORKS OF UKRAINE. Rum’s share in hard liquor sales volume in Ukraine 2,08% 1,40% 1,11% 1,01% 1,04% 0,96% 0,95% 0,96% 0,96% 1,00% 0,92% 0,88% 0,83% 0,79% 0,78% 0,76% 0,74% 0,62% 0,61% 0,59% 0,60% 0,55% 0,55% 0,52% 0,51% 0,51% 0,50% 0,47% 0,47% 0,41% 0,39% 0,38% 0,35% 0,31% 0,29% 0,26% JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2012 2013 2014

RUM CONSUMPTION IN REGIONS VARIES INTENSELY: SALES SHARE IN KYIV , DNIPROPETROVSK, KHARKIV AND DONETSK REGIONS MAKES 4/5 OF THE TOTAL VOLUME. MILITARY CONFLICT IN THE EAST OF UKRAINE CAUSED THE DECREASE OF DONETSK REGION’S SHARE TO HALF AS IT WAS: FROM 7.5% TO 3.6%.

ТОР BRANDS WITH RESPECT TO RUM CATEGORY IN REGIONS OF UKRAINE

AVERAGE RETAIL PRICE PER BOTTLE IN REGIONS OF UKRAINE, UAH

RUM ASSORTMENT IN UKRAINIAN RETAIL NETWORKS IS RATHER SMALL. FOR THE LAST 3 YEARS THE GREATEST MARKET SHARE IS OCCUPIED BY 4 BRANDS. HAVANA CLUB, WHICH HAS BEEN PREVIOUSLY OCCUPYING A SIGNIFICANT MARKET SHARE, NOW GIVES UP ITS POSITION IN NETWORKS. PALMA MULATA, IMPORTED INTO NETWORKS BY FOZZY GROUP , KEEPS ITS SALES VOLUME BUT GIVES WAY IN THE TOTAL SHARE OF THE GROWING MARKET. A QUARTER OF THE MARKET IS TRADITIONALLY KEPT BY CAPTAIN MORGAN BRAND OF DIAGEO CONCERN. MARKET GROWTH IN 2014 WAS ACHIEVED BY BACARDI: FOLLOWING THE RESULTS OF THE IV QUARTER OF 2014, THE BRAND SALES MADE OVER THE HALF OF THE TOTAL AMOUNT IN 16 BIGGEST RETAIL NETWORKS. Dynamics of rum brand shares in 2012-2014 100% 2,20% 90% 4,18% other 3,41% 4,70% 6,54% 3,51% 3,68% 6,78% 5,31% 7,30% 80% White Diamonds 10,25% 13,83% 6,65% 24,63% Palma Mulata 70% 12,55% 29,98% 30,29% Viejo Corsario 46,17% 60% 43,79% 29,95% 37,89% CANUCA 39,64% 37,35% 28,53% 33,87% 50% 25,48% Old Nick 40% Havana Club 42,95% 32,63% 50,55% Old Monk 30% 23,88% 23,41% 22,54% 18,27% 18,26% 24,52% 22,85% 21,79% Cayo Grande Club 20% 39,73% Captain Morgan 10% 17,66% 16,83% 17,31% 16,88% 16,54% 16,05% 13,59% 13,72% 13,70% 13,18% Bacardi 0% 1Q 2012 2Q 2012 3Q 2012 4Q 2012 1Q 2013 2Q 2013 3Q 2013 4Q 2013 1Q 2014 2Q 2014 3Q 2014 4Q 2014

OVER THE QUARTER OF THE TOTAL RUM SALES WAS ALLOTTED TO SILPO NETWORK. FAR BEHIND, THERE FOLLOW METRO, ATB AND AUCHAN. RUM SALES DISTRIBUTION AMONG LEADING NETWORKS OF UKRAINE other; 12,18% silpo; 27,34% karavan; 3,31% eko; 4,21% fora; 4,66% kviza; 4,72% expansia; 5,76% metro; 11,88% novus; 5,84% auschan; 8,74% atb; 11,34%

AN EXAMPLE OF SALES DYNAMICS ANALYSIS FOR THE CERTAIN SKU IN THE CERTAIN NETWORKS OF UKRAINE

SKU: RUM BACARDI OAKHEART 0.5L RETAIL NETWORK: ATB YEAR: 2014 SALES DYNAMICS ANALYSIS August Septemb Octobe Novemb Decemb 2014, Index January February March April May June July er r er er TOTAL Sales in retail units, 529 359 238 155 111 76 49 30 11 7 589 615 790 bottles Total number of retail 836 845 854 866 872 877 878 838 751 741 728 734 899 units Numeric distribution 63,28% 42,49% 27,87% 17,90% 12,73% 8,67% 5,58% 3,58% 1,46% 0,94% 80,91% 83,79% 87,88% Product units sold 3449 1080 633 349 252 179 117 81 27 8 6329 46193 58697 Average sales in the 6,52 3,01 2,66 2,25 2,27 2,36 2,39 2,70 2,45 1,14 10,75 75,11 74,30 store Bottle average price, 85,97 94,07 94,32 94,91 94,86 94,74 94,31 93,45 93,12 91,74 85,11 78,58 80,45 UAH.

RETAIL NETWORK: ATB YEAR: 2014 COMPETITIVE ANALYSIS, SKU SALES SHARE August Septemb Octobe Novembe Decemb 2014, SKU January February March April May June July er r r er TOTAL Rum Bacardi OakHeart 34,38% 13,36% 8,16% 3,63% 3,96% 3,66% 2,20% 1,41% 0,44% 0,10% 45,99% 70,47% 38,88% 0.5l Rum Bacardi Superior 12,72% 5,81% 5,07% 2,82% 5,51% 5,93% 3,42% 1,65% 0,65% 0,29% 6,56% 7,10% 5,93% 0.5l Rum Captain Morgan 30,28% 24,43% 31,69% 55,40% 45,67% 64,06% 86,70% 89,44% 56,54% 50,04% 21,93% 13,64% 31,72% Spiced Gold 0,5 l Rum Old Monk 1l 22,63% 56,39% 55,08% 38,16% 44,86% 26,34% 7,68% 7,50% 42,38% 49,57% 25,52% 8,79% 23,47% 100,00% 100,00% 100,00% 100,00% 100,00% 100,00% 100,00 100,00 100,00% 100,00 100,00% 100,00% 100,00 TOTAL % % % %

RETAIL NETWORK: ATB YEAR: 2014 Competitive analysis, SKU sales share Rum Bacardi OakHeart 0.5l Rum Bacardi Superior 0.5l Rum Captain Morgan Spiced Gold 0.5l Rum Old Monk 1l 100% 90% 80% Rum Old Monk 1l 70% 60% 50% Rum Captain Morgan Rum Bacardi Spiced Gold 0,5 l 40% Superior 0.5l 30% 20% Rum Bacardi OakHeart 0.5l 10% 0% JANUARY FEBRUARY MARCH APRIL MAY JUNE JULY AUGUST SEPTEMBER OCTOBER NOVEMBERDECEMBER

RETAIL NETWORK: ATB YEAR: 2014 THE AVERAGE PRICE PER LITER August September October Novembe 2014, SKU January February March April May June July December r TOTAL Rum Captain Morgan Spiced Gold 257 257 247 199 268 277 262 270 278 277 297 247 258 0,5 l Rum Bacardi 206 232 233 232 234 234 230 229 229 228 233 220 222 Superior 0.5l Rum Old Monk 1l 132 145 143 148 150 166 195 192 191 191 190 190 167 Rum Bacardi 172 188 189 190 190 189 189 187 186 183 170 157 161 OakHeart 0.5l TOTAL 182 169 170 171 191 226 250 257 226 220 204 178 191 SHELF PRICE, NOVEMBER 2014 Price, Outlet Share UAH./Bottle. s 83,99 262 44,48% 91,99 109 18,51% 79,99 83 14,09% 86,99 58 9,85% 84,99 49 8,32% 89,99 19 3,23% 93,99 6 1,02% 87,99 3 0,51%