1. Turn Fans into Customers
Presented by: Brad Heureux
For:15 Million SMB’s

2. Businesses are challenged
• Have email lists…
• Have Social Community fans on
facebook, Instagram, Pinterest,
Twitter, YouTube…
• Have mailing lists…
• Spend Advertising Dollars
But no tie to purchase data
But don’t know who bought what or
how frequently and don’t have direct
marketing opportunities to fans.
But don’t know which customers are
the most profitable
Cant see the results and don’t have a
1 to 1 marketing tool.
Difficult to effectively manage business and not lose customer
to more convenient shopping methods!!!

3. Punchcard is a mobile shopping app
where consumers earn rewards
everywhere they shop.
Introducing Punchcard

4. Each receipt from anywhere you shop is your “ticket to win.”
Reward Users: Engaging and Fun Promotions
1) Shop 2) Verify 3) Collect 4) Reward
Shop at the
places you
love.
Take a photo of
your receipt to
verify your
purchase.
Collect
“punches” on
your punchcard.
Each “punch”
enters you into a
drawing to win and
get rewarded!

5. Consumer Personalization: It’s About You
• The “Home Page” in the app
is centered around the user.
• Shows user’s latest activity /
punches
• Easy button to start the
punch process.
• Shows personalized stats,
and creates incentives to
personalize the app further.

6. Local Search and Discovery
• Works at 15 million locations
• Path to purchase tracked from
search to buy locally across
categories and geos.
• Targeted messages are
strategically placed to drive new
revenue opportunities.
• Points create an incentive to drive
users to sponsored locations.
• User data is tracked for further
personalization and target-ability.

7. The Retailer’s Custom Punch Card
• Retailers create their own business
rules regarding how they want to
incent and reward their customers.
• Retailers can create an incentive for
users to share their business on
Facebook and Twitter or via email to
friends.
• Retailers can promote their special
offers.
• Publishers can sell conquest or
nearby offers against specific
businesses.
• User’s stats are shown below the fold.
Users can recall any
receipt captured by
tapping any previous
punch driving utility
for the consumer so
they don’t have to
look for old receipts.
Great for tax
purposes and for
finding old receipts

8. Consumer: Immediately rewarded (behavior is re-enforced)
Merchant: Decreased repeat purchase cycle time
Outcome
Punch… Spin… and Win!
Customer Converts and Punches!

9. HOW PUNCHCARD WORKS
FOR MERCHANTS

10. Top concerns for businesses
Source: emarketer.com

11. Finally…Social Graph + Purchase Behavior
for Brick and Mortar!
…or Manual Registration

12. The Value of An Existing Customer
Number of times more
costly it is to acquire a
new customer than
retain an existing one
Amount customer
attrition rates can reach if
not engaged over a 5 year
period
Amount of increased profits
that come from boosting
customer retention by as little
as 5%
Source: Frederick Reichheld, Bain&Company, The Loyalty Effecthttp://www.businessfast4ward.com/small-business-marketing-
strategies-customer-retention-vs-customer-acquisition/

13. See Your Customers Like Never Before

14. Automated Mass Targeted Offers

15. Market To Groups

16. Market to Individuals

17. Messages get created in
the retailer’s dashboard,
and get pushed to user’s
phones.
Messaging System

18. It Just Works
• No integration with your POS
• No hardware needed
• No sales staff training
• No upfront costs
• No maintenance
• Consumers don’t need to connect
credit cards to earn rebates.
NO UPFRONT ANYTHING!!

19. Spend:
• $59 per punch on
Apparel
• $34 per punch on
Books
• $46 per punch on
Entertainment
• $36 per punch on
Health and Beauty
• $49 per punch on Pet
Supplies
PunchcardUs
ers in
Pasadena
Are:
• 50.7- men
• 49.3- women
• 43.6%- married
• 26.7% - single
• 24.7% - in a
relationship
• .7%-
divorced/widow
ed
• 4.4% - engaged
Be the sensemaker of local spending behavior
Chianti
Cosmetics
Spaghetti
Teeth whitening
Movie
Cheese Bread
Magazine

20. A Champagne Restaurant
Case Study

21. A Champagne Restaurant
• Knew little about customers
• Few were loyal
Before Punchcard
• Desired to upgrade their
clientele
• Low AOV (at $39)

22. A Champagne Restaurant
• Identified their highest
value customers
• Messaged when in
proximity and reached
others that looked like
them
• Increased AOV 60%
• Increased the best
and most profitable
customer base
After Punchcard

23. Community Market
Case Study

24. Community Market
• Knew little about customers
• Frequency was low
• Tight geographic footprint
Before Punchcard
• Difficult to sell new product
• Low AOV (at $13)

25. Community Market
• Identified thousands of
customers
• Tripled frequency
• Doubled AOV (at $32)
• Enjoying a robust digital
loyalty program
• Now approaching brands to
place ads in their mobile
Punchcard experience
instead of FSI
After Punchcard

26. Retail Bakery and Cafe
Case Study

27. Benchmark data by category and geo
Categories
Number of
Punches
Punches
($)
Percentage of
Punches
Merchants
Average
Punch Value
($)
% Merchants
Apparel 13,968 $832,498 11.6% 1,827 59.6 10.0%
Automotive 10,385 $400,087 8.6% 1,466 38.5 8.0%
Books & Media 540 $18,518 0.4% 101 34.3 0.6%
Cafes 16,225 $205,658 13.4% 2,441 12.7 13.3%
Entertainment & Nightlife 4,921 $226,415 4.1% 683 46.0 3.7%
Food & Drink 37,156 $1,101,740 30.7% 7,000 29.7 38.2%
Games & Electronics 3,033 $237,578 2.5% 498 78.3 2.7%
Gifts 1,151 $53,702 1.0% 236 46.7 1.3%
Groceries 18,970 $628,419 15.7% 1,684 33.1 9.2%
Health & Beauty 6,318 $227,204 5.2% 1,078 36.0 5.9%
Laundry Services 3,798 $237,703 3.1% 492 62.6 2.7%
Liquor & Wine 708 $23,142 0.6% 102 32.7 0.6%
Office Supplies 1,950 $120,096 1.6% 356 61.6 1.9%
Pet Supplies 903 $44,136 0.7% 159 48.9 0.9%
Sports & Recreation 882 $180,832 0.7% 198 205.0 1.1%
Grand Total 120,908 $4,537,728 100.0% 18,321 37.5 100.0%
Average order at cafes in Pasadena = $12.68
Average order at Lovebirds Café = $8.00

28. Executing strategy
BEFORE:
• No marketing
• Benchmark of $8 avg
order
AFTER:
• Enabled ad campaign in
newspaper
• Filtered highest spenders
and messaged to return
• Lifted average order to
$11 in just 4 weeks!

29. Use Case: Big Box Retailers
Target:
• 6,688 transactions
• AOV $44.96
• Total captured: $300,809
Costco:
• 2,742 transactions
• AOV $92.78
• Total captured: $254,404
Walmart:
• 2,192 transactions
• AOV $49.50
• Total captured: $108,496

30. • Average order: $10.31
• 22% are group orders
• 82% consumers do not purchase in competitors
• Consumers drive average of 5.13 miles from home
address
• Average order: $8.43
• 19% are group orders
• 22% consumers do not purchase in competitors
• Consumers drive average of 3.36 miles from home
address
• Average order: $9.85
• 15% are group orders
• 32% consumers do not purchase in competitors
• Consumers drive average of 2.57 miles from home
address
Use Case – Coffee Shops in Southern California

31. Use Case – Tune Ups in Southern California
A major auto retailer asked us to find data about other customers who were purchasing tune ups at
their competitor stores. Below is unique data that only Punchcard can capture.

32. Consumer Data: Where KFC Shoppers Eat
Rank Store % of Purchases Avg Order
1. McDonald’s 11% $10.42
2. KFC 4% $15.82
3. Taco Bell 3% $9.65
4. In and Out Burger 2% $11.93
5. Panda Express 2% $14.19
6. Chipotle Mexican Grill 2% $12.59
7. Jack in the Box 2% $9.49
8. Chick-Fil-A 2% $10.78
9. Burger King 1% $9.74
10. Del Taco 1% $9.05
Universal Average Order for KFC Shoppers - $11.37

33. Easy to Engage Consumers
Downloads of Punchcard can be driven thru mobile
campaigns with sponsored rewards

34. Community Integration

35. Our Industry Awards and Press
Q1 2012 Q2 2012 Q3 2012 Q4 2012 Q1 2013
Runner Up Winner
Selected in Startup
Spotlight Series
Industry Press
Industry Recognition
Hand picked to be
In the Startup Garage
Launch v1
Prototype
Launch v2
Full Release
Launch v3
Spin n Win

36. Thank You!
Brad Heureux
BMG –Punchcard
215-789-6256
brad@bradfordmediagroup.com