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Engaging the Hispanic Consumer
      with Front-Door Marketing


Comercialización   Perfil   Orientación   Asignación   Monitoriendo   Médidas




                                                                                1
Meet
— 10 years experience in Front-Door Media and Marketing Services —
               — Category pioneer and innovator —
          — 2011 Inc.’s 500 | 5000 List of Fastest-Growing
                  Private Companies in America —
        — Over 1,500 campaigns produced and delivered —
              — Broad ranging industry experience —
     — Energy Efficiency Solutions division founded in 2009 —
    — Preferred partner for nation’s top brands and agencies —
                  — North American distribution —
                                                                     2
Preferred and trusted by
  top national brands




                           3
The Hispanic Market
  • 50.5 million Hispanics in the US1
          – The largest minority group (16.3% of the total US population)
          – 43% Hispanic population growth (+15 million) since the last
            2000 Census vs. non-Hispanic growth of 5%1
          – There are 33.3 million Hispanics age 18 and older1
          – Hispanic youths represent nearly 25% of the US youth group
            (under age 18)1

  • Hispanic buying power in 2010 exceeded $1 trillion2
          – By 2015, spending power of the Hispanic population is
            estimated to reach $1.3 trillion2
Source: 1 2011 US Census
        2 2011 Packaged Facts' "Latino Shoppers: Demographic Patterns and Spending Trends among Hispanic Americans, 8th Edition"   4
Cultural Relevancy Matters
Differences in dialects, food, acculturation level, and values can
     impact a marketing campaign and should be considered.
                             Example
         Tropicana named its orange juice Jugo de China
        for sale in Puerto Rico. However, to Cubans living
          in Miami, the phrase Jugo de China translates
                       into “Chinese Juice”.
                             Take-Away
          Even though Spanish is the common language,
             local colloquialisms and idioms might not
        translate from one Hispanic subgroup to the next.



                                                                     5
Why Front-Door Marketing?
                      What is Front-Door Marketing?
“A highly specialized and measurable discipline that uses creative, precisely
  targeted media to reach and engage consumers through one of the last
                uncluttered environments — their front door.”


              Reach                                      Engage
 Target and find your best Hispanic        Deliver relevant promotional offers to
   prospects by combining geo-             the Hispanic market—a segment that
demographic and psychographic data             already highly values coupons




                                                                                    6
Hispanic Shoppers are Responsive to
                Incentives and Offers

                     6 out of 10 Hispanic households use coupons1

        62% of Hispanic Mom Internet Users say that offers and
     coupons influence their choice of stores to purchase products2

        Female Hispanic shoppers, in particular, rely on all types of
                     coupons and shopper cards3

Source: 1 2009 SMRB study
        2 2010 www.emarketer.com
        3 2010 Issue 5.10 of “The CheckOut”, The Integer Group and M/A/R/C Research



                                                                                      7
Front-Door Marketing reaches Hispanic
consumers to solve marketing challenges
             — Traffic Generation —
            — Awareness/Branding —
                — Acquisition —
                — Retention —
             — Market Expansion —
            — Competitive Blunting —
            — New Product Launch —
             — Grand Openings —
                   — Trial —
                 — Loyalty —

                                          8
Features and Benefits
                of Front-Door Marketing
    — Features —                          — Benefits —
       Highly targeted                  Reaches best prospects
       Solo delivered                Uncluttered & category exclusivity
  “Must-touch” interactivity             High ad readership
High visibility “mini-billboard”      Immediate message delivery
   Quick speed-to-market                 Fast program results
          Trackable                       Measurable ROI
     Versatile medium              Branding and direct response capability


                                                                          9
Front-Door Media Products



PowerHangers™      PowerShopperTM   PowerPersonalization™     PowerSamplingTM
   Specialty        Co-Op Polybag    Online Lead Generation   Sample and Coupon
Front-Door Media       Program                                     Delivery




                                                                                  10
The “Science” of Front-Door
              Marketing
“Tightly integrated blend of marketing expertise, proven direct-
    response methodologies, leading-edge monitoring and
                       campaign metrics.”



       This combination is unique to Power Direct.


                                                                   11
Marketing
We create relevant, dynamic front-door campaigns that
    resonate with your target Hispanic audience.
           — Front-door marketing strategy —
       — Creative consulting for copy, design, offer —
 Maintain client objectives and brand positioning in message (both
                        Spanish and English)
           — Promotional ideas and partnerships —
           — Dynamic testing recommendations —
                                                                     12
Methodologies
     Profiling I Targeting I Mapping
Geographic information combine with psychographic and expenditure
    data find your best Hispanic customers and prospects




        Only quality data and segmentation sources
              Nielsen Claritas I Experian I MRI

                                                                    13
Methodologies
      Profiling I Targeting I Mapping
   Measure and identify:
• Category involvement
   – Expenditures
   – Usage frequency
   – Brand awareness
• Attitudes and values affecting
  category behavior
   – “Most likely to…”

                                        14
Methodologies
                     Profiling I Targeting I Mapping
                                                                                    RADIO/TV/OTHER       COMPUTER &
                                                                                                                     MOBILE
                                                       % SPEAK                       ELECTRONICS   % POP SOFTWARE             MED FAMILY    HH/SQ
             CBSA                 HH EST 09 % HISPANIC         MED AGE % FAMILIES                                     PHONE
                                                       SPANISH                         STORES      35-54    STORE                INC         MILE
                                                                                                                    EXP/HH/MO
                                                                                      EXP/HH/MO           EXP/HH/MO
Miami-Fort Lauderdale et al, FL     247      83.46     75.70    27.29    50.20         $35.76      26.35   $13.15     $60.08   $37,857.14 1,043.38
Miami-Fort Lauderdale et al, FL     987      82.81     78.49    32.91    46.10         $33.10      26.27   $12.49     $63.37   $43,596.15 1,583.36
Miami-Fort Lauderdale et al, FL    2,302     79.26     68.22    27.36    48.83         $29.66      26.05   $10.91     $52.68   $33,308.16 3,862.50
Miami-Fort Lauderdale et al, FL     613      78.01     75.39    30.54    55.79         $31.29      26.99   $11.51     $59.31   $35,858.43 1,570.47
Miami-Fort Lauderdale et al, FL    1,377     68.35     67.17    31.83    40.74         $27.94      28.05   $10.25     $53.43   $31,833.33 3,649.64
Miami-Fort Lauderdale et al, FL     184      68.07     64.15    37.25    42.93         $29.92      31.27   $11.16     $57.41   $44,545.45 2,090.91
Miami-Fort Lauderdale et al, FL     216      67.44     46.37    25.15    49.54         $34.84      20.71   $12.83     $61.07   $27,833.33   948.30
Miami-Fort Lauderdale et al, FL    3,334     67.18     67.73    29.67    50.72         $35.01      26.98   $13.35     $65.89   $44,754.34 1,931.60
Miami-Fort Lauderdale et al, FL    1,451     66.01     62.60    25.48    55.27         $26.18      25.47   $9.65      $51.12   $28,056.99 2,139.85
Miami-Fort Lauderdale et al, FL    1,033     63.27     49.42    30.01    47.43         $23.09      26.75   $8.35      $51.14   $26,140.94 2,405.66
Miami-Fort Lauderdale et al, FL     385      62.78     49.65    33.99    34.03         $25.78      32.25   $9.18      $47.43   $27,976.19 1,966.16




   — Block-group analysis indexes your highest propensity shoppers —

                                                                                                                                                     15
Methodologies
Profiling I Targeting I Mapping

                 — Visualizing market coverage —
                   — Precise area mapping —




                                                   16
Monitoring
During Campaign I Post Campaign

                                  — Guaranteed delivery —
                                     — Multiple levels of
                                      in-field auditing —
                                — GPS walker-level tracking —
                                  (A Power Direct exclusive)

         Handheld GPS tracker


                                                                17
Monitoring
During Campaign I Post Campaign




  — Geo-targeting and mapping with Bing maps —

                                                 18
Monitoring
During Campaign I Post Campaign




     — PowerTrakker (client extranet) —

                                          19
Metrics
Because our media is trackable, we can help you measure:

           — Cost per coupon redeemed —
                — Cost per inquiry —
                 — Cost per sale —
               — Incremental traffic —
            — Increased visit frequency —
       — Increased average transaction value —


                                                           20
Engaging the Hispanic Consumer
   with Front-Door Marketing

            Thank You! Questions?
                        Contact Us at 877-737-8977
                         or info@powerdirect.net
Marketing   Profiling        Targeting    Mapping    Monitoring   Metrics

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Engaging the Hispanic Consumer with Front-Door Marketing

  • 1. Engaging the Hispanic Consumer with Front-Door Marketing Comercialización Perfil Orientación Asignación Monitoriendo Médidas 1
  • 2. Meet — 10 years experience in Front-Door Media and Marketing Services — — Category pioneer and innovator — — 2011 Inc.’s 500 | 5000 List of Fastest-Growing Private Companies in America — — Over 1,500 campaigns produced and delivered — — Broad ranging industry experience — — Energy Efficiency Solutions division founded in 2009 — — Preferred partner for nation’s top brands and agencies — — North American distribution — 2
  • 3. Preferred and trusted by top national brands 3
  • 4. The Hispanic Market • 50.5 million Hispanics in the US1 – The largest minority group (16.3% of the total US population) – 43% Hispanic population growth (+15 million) since the last 2000 Census vs. non-Hispanic growth of 5%1 – There are 33.3 million Hispanics age 18 and older1 – Hispanic youths represent nearly 25% of the US youth group (under age 18)1 • Hispanic buying power in 2010 exceeded $1 trillion2 – By 2015, spending power of the Hispanic population is estimated to reach $1.3 trillion2 Source: 1 2011 US Census 2 2011 Packaged Facts' "Latino Shoppers: Demographic Patterns and Spending Trends among Hispanic Americans, 8th Edition" 4
  • 5. Cultural Relevancy Matters Differences in dialects, food, acculturation level, and values can impact a marketing campaign and should be considered. Example Tropicana named its orange juice Jugo de China for sale in Puerto Rico. However, to Cubans living in Miami, the phrase Jugo de China translates into “Chinese Juice”. Take-Away Even though Spanish is the common language, local colloquialisms and idioms might not translate from one Hispanic subgroup to the next. 5
  • 6. Why Front-Door Marketing? What is Front-Door Marketing? “A highly specialized and measurable discipline that uses creative, precisely targeted media to reach and engage consumers through one of the last uncluttered environments — their front door.” Reach Engage Target and find your best Hispanic Deliver relevant promotional offers to prospects by combining geo- the Hispanic market—a segment that demographic and psychographic data already highly values coupons 6
  • 7. Hispanic Shoppers are Responsive to Incentives and Offers 6 out of 10 Hispanic households use coupons1 62% of Hispanic Mom Internet Users say that offers and coupons influence their choice of stores to purchase products2 Female Hispanic shoppers, in particular, rely on all types of coupons and shopper cards3 Source: 1 2009 SMRB study 2 2010 www.emarketer.com 3 2010 Issue 5.10 of “The CheckOut”, The Integer Group and M/A/R/C Research 7
  • 8. Front-Door Marketing reaches Hispanic consumers to solve marketing challenges — Traffic Generation — — Awareness/Branding — — Acquisition — — Retention — — Market Expansion — — Competitive Blunting — — New Product Launch — — Grand Openings — — Trial — — Loyalty — 8
  • 9. Features and Benefits of Front-Door Marketing — Features — — Benefits — Highly targeted Reaches best prospects Solo delivered Uncluttered & category exclusivity “Must-touch” interactivity High ad readership High visibility “mini-billboard” Immediate message delivery Quick speed-to-market Fast program results Trackable Measurable ROI Versatile medium Branding and direct response capability 9
  • 10. Front-Door Media Products PowerHangers™ PowerShopperTM PowerPersonalization™ PowerSamplingTM Specialty Co-Op Polybag Online Lead Generation Sample and Coupon Front-Door Media Program Delivery 10
  • 11. The “Science” of Front-Door Marketing “Tightly integrated blend of marketing expertise, proven direct- response methodologies, leading-edge monitoring and campaign metrics.” This combination is unique to Power Direct. 11
  • 12. Marketing We create relevant, dynamic front-door campaigns that resonate with your target Hispanic audience. — Front-door marketing strategy — — Creative consulting for copy, design, offer — Maintain client objectives and brand positioning in message (both Spanish and English) — Promotional ideas and partnerships — — Dynamic testing recommendations — 12
  • 13. Methodologies Profiling I Targeting I Mapping Geographic information combine with psychographic and expenditure data find your best Hispanic customers and prospects Only quality data and segmentation sources Nielsen Claritas I Experian I MRI 13
  • 14. Methodologies Profiling I Targeting I Mapping Measure and identify: • Category involvement – Expenditures – Usage frequency – Brand awareness • Attitudes and values affecting category behavior – “Most likely to…” 14
  • 15. Methodologies Profiling I Targeting I Mapping RADIO/TV/OTHER COMPUTER & MOBILE % SPEAK ELECTRONICS % POP SOFTWARE MED FAMILY HH/SQ CBSA HH EST 09 % HISPANIC MED AGE % FAMILIES PHONE SPANISH STORES 35-54 STORE INC MILE EXP/HH/MO EXP/HH/MO EXP/HH/MO Miami-Fort Lauderdale et al, FL 247 83.46 75.70 27.29 50.20 $35.76 26.35 $13.15 $60.08 $37,857.14 1,043.38 Miami-Fort Lauderdale et al, FL 987 82.81 78.49 32.91 46.10 $33.10 26.27 $12.49 $63.37 $43,596.15 1,583.36 Miami-Fort Lauderdale et al, FL 2,302 79.26 68.22 27.36 48.83 $29.66 26.05 $10.91 $52.68 $33,308.16 3,862.50 Miami-Fort Lauderdale et al, FL 613 78.01 75.39 30.54 55.79 $31.29 26.99 $11.51 $59.31 $35,858.43 1,570.47 Miami-Fort Lauderdale et al, FL 1,377 68.35 67.17 31.83 40.74 $27.94 28.05 $10.25 $53.43 $31,833.33 3,649.64 Miami-Fort Lauderdale et al, FL 184 68.07 64.15 37.25 42.93 $29.92 31.27 $11.16 $57.41 $44,545.45 2,090.91 Miami-Fort Lauderdale et al, FL 216 67.44 46.37 25.15 49.54 $34.84 20.71 $12.83 $61.07 $27,833.33 948.30 Miami-Fort Lauderdale et al, FL 3,334 67.18 67.73 29.67 50.72 $35.01 26.98 $13.35 $65.89 $44,754.34 1,931.60 Miami-Fort Lauderdale et al, FL 1,451 66.01 62.60 25.48 55.27 $26.18 25.47 $9.65 $51.12 $28,056.99 2,139.85 Miami-Fort Lauderdale et al, FL 1,033 63.27 49.42 30.01 47.43 $23.09 26.75 $8.35 $51.14 $26,140.94 2,405.66 Miami-Fort Lauderdale et al, FL 385 62.78 49.65 33.99 34.03 $25.78 32.25 $9.18 $47.43 $27,976.19 1,966.16 — Block-group analysis indexes your highest propensity shoppers — 15
  • 16. Methodologies Profiling I Targeting I Mapping — Visualizing market coverage — — Precise area mapping — 16
  • 17. Monitoring During Campaign I Post Campaign — Guaranteed delivery — — Multiple levels of in-field auditing — — GPS walker-level tracking — (A Power Direct exclusive) Handheld GPS tracker 17
  • 18. Monitoring During Campaign I Post Campaign — Geo-targeting and mapping with Bing maps — 18
  • 19. Monitoring During Campaign I Post Campaign — PowerTrakker (client extranet) — 19
  • 20. Metrics Because our media is trackable, we can help you measure: — Cost per coupon redeemed — — Cost per inquiry — — Cost per sale — — Incremental traffic — — Increased visit frequency — — Increased average transaction value — 20
  • 21. Engaging the Hispanic Consumer with Front-Door Marketing Thank You! Questions? Contact Us at 877-737-8977 or info@powerdirect.net Marketing Profiling Targeting Mapping Monitoring Metrics