Strengthening our Partnershipthrough Consumer-Driven Collaboration

Consumer DrivenThe ability to monitor consumer demand signals, shape future demand patterns, and profitably satisfy consumer needs through an efficient consumer demand driven supply chain.

Planning to the Consumer

Consumer

Retailer

Supplier

Account Planning

CategoryPlanning

SupplyPlanning

AdPlanning

• Improve sales, margin, turn• Avoid inventory imbalances• Replenish faster• Localize assortments• Optimize promotions• Accelerate product launches

Added Value to Retailer

• Reduce demand latency by 90%

• Cut stock outs by 2% to 4%

• Increase revenue 3% to 8%

• Improve new product intros by 10% to 15%

Industry ROI

Source: AMR Research, “A Handbook for Consumer Product Companies Using Downstream Data”, May 2006, “Drowning in Downstream Data? Why not use it to make money?”, August 2009

Challenges with Current Reporting

Enabling True Collaboration

EDIFICE

EDI852

WebPortal

BuyerReport

Data Available

Diffi

cult

Easy

Limited Expanded

Usability

Demand-Chain Analysis and Collaboration

Edifice MissionEnabling retailers and suppliers to engage in the collaborative development and execution of strategies for enhancing the consumer’s shopping experience.

Demand-Chain Analysis and Collaboration

adidas AmericaBurberryBurtonCalvin KleinCarharttCitizen WatchClarks CompanyColumbiaConverseCrocsDavid YurmanDKNYEaston SportsEnergizer

HanesbrandsHoMedicsJanSportJockeyK2K-SwissKellwoodKenneth ColeKeurigKitchen AidLacoste FootwearLee JeansLevi Strauss & Co.L’Oreal

Marc JacobsMattelMichael KorsNauticaNew BalanceNikeNorth FaceOakleyPerry EllisPVHPlaytexPUMAP&GReebok

Remington ArmsSkechersSpeedoSperry Top-SiderSt. JohnSuperbaTimberlandTimexTommy BahamaUnder ArmourWilliamson DickieWolverine WorldwideYankee CandleAnd more…

Serving the World’s Largest Brands

Demand-Chain Analysis and Collaboration

• Improve forecast accuracy by 7%

• Increase gross margin by 250 BP

• Increase revenue 3% to 15%

Source: Case studies with Edifice customers

Supplier Success

Demand-Chain Analysis and Collaboration

Feature Affiliate Partner

File Format Utilized EDI, Web Portals Edifice Extract

Unit Sales Yes Yes

Units On Hand Varies Yes

Retail Sales Varies Yes

Inventory Value Yes

Unit Cost Yes

Receipts, On Order, In Transit Yes

Merchandise Hierarchy (Dept., Class, etc.) Yes

Location Master (Door Type, DC, Cluster, etc.) Yes

Calculation Logic (Turn, GMROI, ST%, GM%, etc.) Yes

Accounting Methods (Retail vs. Cost) Yes

Calendars (NRF 4-5-4, NRF 4-4-5, etc.) Yes

Analysis that Mirror the Retailer’s Business YesAnd many more elements… Yes

Edifice Retailer Relationships

Demand-Chain Analysis and Collaboration

USA RETAILERS

Academy Sports

Bergdorf Goodman

Big 5 Sporting Goods

Bob’s Stores

Boscov’s Dept. Store

Cabela’s, Inc.

Dick’s Sporting Goods

Edwin Watts Golf LLC

Famous Footwear

The Finish Line, Inc.

Foot Locker, Inc.

Hibbett Sports, Inc.

Moose Jaw

Neiman Marcus

Olympia Sports

MC Sports

Modell’s

Road Runner Sport

Sport Chalet

Sports Authority

West Marine

EUROPE RETAILERS

Foot Locker

JJB Sports

JD Sport Fashion

Lifestyle Sports

Tiso

Partner Retailers Include

Supplier

Supplier

Supplier

Supplier

Supplier

Supplier SupplierSupplier

Supplier

Supplier

Supplier

Partner Retailer Process

Partner Retailer

Supplier

Supplier

Supplier

Supplier

Top Doors

Stock-Out Exposure

Stock-to-Sales

Top Items

Dashboard

Data Extracts & EDI 852s

Demand Signal Management

Business Intelligence Tools

Best Practice Report Suites

Collaborative Web Portal

Technical Support

POS SalesInventoryLocationPlanItem

Supplier

Supplier

Supplier

Supplier

Supplier

Supplier

Supplier

Supplier

Supplier

Supplier

SupplierSupplier

Supplier

Supplier

Supplier

Supplier

Supplier

Supplier

SupplierSupplier

Supplier

Supplier

Supplier

Supplier

Supplier

Supplier

Supplier

Supplier

Business Process Support

Supplier

Demand-Chain Analysis and Collaboration

• No cost to retailers• Eliminate need for supplier portal • Reduce supplier inquiry• Save buyer time• Ensure consistent reporting • Work with informed suppliers

Partner Retailer Benefits

Demand-Chain Analysis and Collaboration

• Executive Dashboard Suite• Department Performance Suite• Supplier Performance Suite• Supplier Participation Report• Technical Support• Business Process Support• Optional Customization

Partner Retailers Receive

Demand-Chain Analysis and Collaboration

• Standard Offering Supplier Performance Suite Technical Support Business Process Support• Optional Features Customization Dashboard, Ad-Hoc, Extract EDI 852

Suppliers Receive