New Opportunities for Lowe’s
Partnership opportunities
Next-generation circulars
Chase’s partnership approach is unique
Far-reaching, multi-faceted relationships with global brands
Market leaders in industriessuch as Travel, Entertainment and e-tailing
Sophisticated data-sharing and cooperative marketing driven by powerful reward and segmentation strategies
Building on a strong existing JPMC relationship
Note: All data as of 1Q 2102 unless otherwise noted
Retail Financial Services
•5,541 branches, 17,200 ATM’s in 23 states
•$381BN in total deposits, 27MM checking accounts
•#2 ATM network, #3 bank by deposits, #2 mortgage originations
Asset & Wealth Management
•Over $1.9 (FY 2011) trillion assets under supervision
•#1 Ultra High Net Worth Bank
Treasury & Securities Services
•Relationships with 84% of the Fortune 500 companies
•#1 global clearer of $US
•Strategic relationship with Lowe’s
Investment Banking
•#1 in Global Investment Banking Fees
•Strategic relationship with Lowe’s
Commercial Banking
•#1 multifamily lender
•#2 large middle market syndicated lender in the U.S.
Chase Card Services
•$344BN (FY 2011) in credit card sales volume
•#1 Visa Issuer, #2 MasterCard Issuer
•#3 Merchant Acquirer
•Paymentech relationship with Lowe’s
•Ultimate Rewards gift card partnership
Marketing reach and access
50%
30%
20%
Relationships with attractive customer segments
80%
15%
5%
Credit and debit accounts
Total = ~120MM
Credit and debit sales
Total = ~$450BN
Middle America
Affluent/SMB
High Net Worth
We offer a full range of credit and banking products to service each customer segment
We have access to scale, unique channels
Chase.com #1 visited banking website
>17,200 ATM’s in 23 states
>5,500 branches in 23 states
Branch Transactions
ATM Online
Statements Mobile
Chase is your best offer partner
Access to detailed customer information
Access to debit and credit transaction data
Ability to offer various offer types
Access to unique channels
• • • •
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• • •
We have delivered powerful marketing results
10X lift in gift card purchases 40%+ lift in quarterly sales
Partnership construct
Programs supported by flexible offer platform
Flexible offer delivery platform
Intelligent targeting engine
Offers
Can support multiple offer types
Platform provides easy to use targeting tools
Delivers robust campaign performance reporting
Various consumer channels
Cross-sell/up-sell programs
Sample campaign
Identified customers that were visiting Home Depot right after leaving Lowe’s
Push a mobile alert through their Chase mobile app as they leave Lowe’s (after completing a purchase) with an offer to get a 25% discount on next purchase
Current challenges
Hard to message customer at relevant time/place
Inability to see where else a customer is shopping before/after visit
How Chase can help
Leverage specific customer spending patterns to identify opportunities
Leverage installed mobile and online customer engagement to deliver targeted messages at the right-time
Benefit to you
Increase basket size, margin of basket
Identify additional merchandising opportunities
Disengaging customer/loyalty programs
Hard to identify customers who are disengaging before they fully attrite
Lack of visibility into detailed competitive data
Leverage detailed transaction data including competitive data to identify key attrition triggers
Ability to customize messaging based on level of loyalty
Reduce customer sales attrition
Increase visits/customer
Sample campaign
Identify customers who have moved from “loyalists” to “split-loyalists” over the past 3 months
Show a deep discount offer (50% off) for their next purchase next to their Lowe’s transaction on Chase.com with special messaging to reinforce their value as a customer
Current challenges
How Chase can help
Benefit to you
Leveraging our data can also deliver key insights
Example opportunity area Macro customer footprint analysis
(How are you performing vs. key competitors) Can cut data by day of week, store
location/geography, customer segments, etc.
Help identify stores/locations where opportunity exist to improve sales/effectiveness
Summary/next steps
Size and scale of the Chase franchise # 1 Visa/MasterCard issuer by spend on general purpose credit cards Largest financial partner on spend $ volume across credit and debit and customer reach Reach into all key customer segments, from mass to high net-worth Retail banking assets provide vast access into most major markets in the U.S.
Marketing and analytics capabilities Analytics-driven targeting with demonstrated success in driving incremental value to
merchants through offers and promotions Comprehensive multi-channel marketing programs to drive traffic and volume to merchants Marketing platform that provides unmatched flexibility to execute targeted marketing
campaigns
Unique approach to win-win partnerships Broad set of successful partnerships, experience delivering meaningful value to merchants
The value of a partnership with Chase
Chase to deliver detailed partnership proposal by X date
Schedule follow-up meeting to review proposal, including expanded marketing team and agency
Identify additional areas of focus for our analytics team ahead of next meeting
Next steps