HUKO RETAIL CHAIN ANALYTICSINSTITUTIONAL PRESENTATION

NEXT DEV GROUP

NEXT DEV BUSINESS DIVISIONS

HUKO is the unique player in the world that is able to integrate the analysis phase with the data collection phase, also directly developing and manufacturing all the devices and platforms for registering the information related to the behaviour and habits of shoppers.

Synergyko is a company leader in the development and production of devices, solutions and software platforms for monitoring and analysing what happens inside Retail Chains, Malls, Outlets, Airports, Large Supermarkets, Banks or car dealers.

RESEARCH & DEVELOPMENT HUKOHuko is the only company worldwide not limited in its analytics platforms to collecting, in its BIG DATA HUBs, data from devices and solutions produced by third parties.

Huko stands out as the only company worldwide to operate in the field of analytics and at the same time maintain no less than 8 internal research & development departments led by five PhD holders from some of Europe's most prestigious university departments

2D TECHNOLOGY

STEREOSCOPIC OR 3D VIDEO TECHNOLOGY

3D TOF TECHNOLOGY

COMPUTER VISION: PROFILING & EMOTIONAL ANALISYS

MOBILE SIGNAL (WI-FI,BLE, GSM, UMTS-2G-3G-4G)

BIG DATA

MACHINE LEARNING

DATA SCIENCE & STATISTICS

HUKO RESEARCH AND DEVELOPMENT TEAM

MILAN NATIONAL UNIVERSITY PAOLA CAMPEDELLI Dean of the Faculty of

Mathematical, Fisical, Natural and Computer ScienceSpecialist of Algorithms, Artificial Neural Network

GIUSEPPE BUCCIGNONE Professor of Computer Science of the University of Milano expert of Principles and Models of Perception, Human/Computer Interaction 2, Models of Affective and Behavioral Computing.

GIULIANO GROSSI Professor at the Faculty of Computer and Informatic science and expert Methods for signal processing

NICOLO’ CESA-BIANCHI department director of Big Data, Data-mining, previsional & prediction model, Statistical methods for learning

DARIO MALCHIODI associate professor at the Computer Science Department of Milan University in Statistic and data analysis , Big Data, Big scale analytics

UNIVERSITY OF CREMA MARCO ANISETTI Associate Professor and

researcher expert in Computer Vision, Machine learning , Methods for signal wi-fi, umts analysis

Huko stands out as the only company worldwide to operate in the development and production of Devices and Application and in the field of Retail analytics and at the same time maintain research & development TEAM led by the most authoritative PhD holders from some of the most prestigious world university departments:

UNIVERSITY OF TOKYO ERNESTO DAMIANI professor at

the University of Crema and Tokyo expert in web and data semantics , Systems and data

SEUL NATIONAL UNIVERISTY KOREA COMPUTER VISION LAB KYOUNG MU LEE expert in algorithms to extract,

reconstruct and recognize the information of object, person and 3D environments from digital images

UNIVERSITY OF FLORENCE ALBERTO DEL BIMBO Professor of Computer

Engineering LORENZO SEIDENARI Post Doc

experts in analysis and interpretation of images and video

UNIVERSITY OF SKOPJE FINKI IVAN CHORBEV dean of the Faculty of Computer

Science and Engineering Real-time ZORAN IVANOVSKI Professor expert in algorithmics

in human detection, 3D structure from single image

ABOUT HUKOA globally unique body of expertise that enables Huko to analyse data provided in retail environments by system and device manufacturers.

In addition, it allows the company to directly develop and produce devices and systems that will detect specific data required for the functional objectives of the department Data Analyst, useful for obtaining metrics and KPIs or identifying and monitoring shopper behavioral patterns in retail environments.

THE HUKO VISION

From monitoring to understandingNot only is Huko able to provide the most modern and efficient tools for data analysis, but it also directly develops and manufactures all the devices and platforms for registering and filing the information related to the behaviour of consumers, shoppers, clients and transit passengers in the monitored area.

Human Centric & Human FriendlyHuko is the only operator that is able to propose customised solutions for each business model: from small stores to chains, from malls to commercial urban areas, up to large private or public structures, such as amusement parks, stations and airports, which turn into Human Centric & Human Friendly environments, placing the visitor at the centre.

HUKO ADVANTAGE: FROM RESEARCH & DEVELOPMENT TO MANUFACTORING = EXCLUSIVE PLUS AND COST SAVING

Huko is the only company in the world to develop and produce:1) entrance detection devices that simultaneously monitor behavioural patterns using RGB, Stereoscopic and 3D Laser technology, integrating sophisticated Artificial Intelligence algorithms2) Shopper profiling devices giving constant and full visibility on shoppers demographics: ethnicity, gender, age of visitor Shoppers, 3) Devices that detect emotional impact on Shoppers, based on video analysis of facial expressions, tone of voice and semantic analysis4) Devices that monitor presence, routes and behaviour of Shoppers through Bluetooth, GSM and UMTS-2G-3G-4G signals from Shoppers' smartphones devices5) Devices that monitor interactions with specific products, display and the store and their buying behaviour, for precise detection of drop points with 3D Laser Tecnology6) Devices that monitor interactions with specific area of Store, Display or area with RGB and can detect Shoppers' interactions with products and displays, for effective implementation of Proximity and In-Store Marketing policies7) devices for monitoring staff efficiency in Shopper engagementAll devices and solutions produced and engineered by Huko are natively integrated with each other, allowing significant economies of scale

DEVELOPMENT SOFTWARE & PLATFORMS

Huko's globally unique and exclusive expertise allows it to develop and produce SOFTWARE AND PLATFORMS

1) POS MANAGAMENT for benefit from the advantages of a unique platform bringing together economic, financial, behavioural and process data of shoppers

2) Evolutive wifi guest platform wi future an advanced cloud platform provider of guest Wi-Fi to Shoppers. A fast and secure Wi-Fi service that lets users search product information and socialise their Shopping Experience by using Facebook, Twitter, Instagram, wechat and other social networks

3) Evolutive locating platform to detect and monitor the movements of all visitors and staff within outlets, shopping malls, stations or airports. Safe, accurate and easy-to-manage cloud technology to create a detailed map of the activities and flows, in real time, of each area.

DEVELOPMENT APPHuko's globally unique and exclusive expertise allows it to develop and produce advanced APP1) HUKO ONE APP :

Huko allows you to manage an original, innovative and flexible Customer APP that include Loyalty program and advanced management modules where converge all the better utilities for the customers as:marketing promotions, couponing, proximity marketing, customer loyalty, M-Commerce, but also many real utilities and services (assistance & self care)It enables you to engage customers in a real and dynamic omni-channel Shopping Experience

2) AVATAR PROACTIVE ALLERTING & ASSISTED SELLING APP An Alert system that warns sales staff of a VIP customer's presence in the Store and gives useful information to manage and guide them The sales staff who receive the Alert with a given rate of loyalty to the store or chain, a specific purchase history , the high purchase potential, or not yet a customer of the Store but has already made certain purchase volumes from other Stores in the chain.The APP permit presentation of products even not in stock and the sales personal support by offering the best action (cross and up selling)

DEVELOPMENT AND MANUFACTORING OF DEVICES: EVOLUTIVE MONITORING OF THE ACCESS

Huko's globally unique and exclusive expertise allows it to develop and produce the most large range of devices in the world: EVOLUTIVE MONITORING OF THE ACCESS : COUNTING & FLOW MONITORING 1) EPC EVOLUTIVE COUNTING AND FLOW MONITORING

2D (RGB). A system like no other in the world, based on cloud technology, with compact and discreet devices and without local servers for monitor the total access, and analysis of the access in single, couple, groups in function of their behavioral pattern with machine learning algoritmics ( can be integrated with Avatar system)

2) EPC EVOLUTIVE COUNTING AND FLOW MONITORING 3D PLUS(LASER TECNOLOGY): a revolution in the world of retail sales: the first 3D system to monitor the flow of visitors to a retail store. Invisible technology thanks to a cloud and no local servers. An eye always on the watch that supplies detailed information on consumers with a level of accuracy never seen before and analysis of the access in single, couple, groups, family in function of their behavioral pattern with machine learning algoritmics ( can be integrated with Avatar system)

DEVELOPMENT AND MANUFACTORING OF DEVICES: MONITORING OF THE ACCESS

MONITORING OF THE ACCESS

Counting & Flow Monitoring

1) DETECTOR STAFF 100 WI FI AS SIMPLE AS A BADGE Conceived for stores with low number of entries, the 100 WI-FI STAFF DETECTOR integrated module is the safest and most inexpensive way to leave out personnel when counting visitors to the store.

DEVELOPMENT AND MANUFACTORING OF DEVICES: MONITORING OF THE ACCESS

MONITORING OF THE ACCESS

Counting & Flow Monitoring

1) DETECTOR STAFF 100 BLUETOOTH SMART Conceived for stores with low number of entries, the 100 BLE STAFF DETECTOR integrated module is one of the safest and most inexpensive way to leave out personnel when counting visitors to the store. The Detector Staff 100 Bluetooth Smart offer tradeoffs between the best performance, range, and battery lifetime.

DEVELOPMENT AND MANUFACTORING OF DEVICES: STAFF & SERVICE OPTIMISATION

STAFF & SERVICE OPTIMISATION

1) DETECTOR STAFF BADGE WI FI THE EVOLUTION OF BADGES Simple, light, advanced. Using Huko WI-FI STAFF BADGES you can monitor the store staff and obtain crucial information on the movements and efficiency of all staff members in real time.

DEVELOPMENT AND MANUFACTORING OF DEVICES: CUSTOMER TAG-GADGET

CUSTOMER TAG–GADGET FOR A BETTER CUSTOMER EXPERIENCE

1) KINDER GADGET WORRY-FREE SHOPPING An efficient security service designed for families and based on Huko invisible technology. A small sensor in the shape of a wristband or a cute gadget to be given to the little ones. Children 100% safe and parents free to fully enjoy going shopping.

DEVELOPMENT AND MANUFACTORING OF DEVICES: AVATAR TECNOLOGY

THE EXCLUSIVE AND PATENTED AVATAR TECNOLOGY1) Detector Avatar 200 Wi-Fi

TRACKING CONSUMERS Which are the most attractive areas? How long do visitors stay on average in each department? How often? The innovative device by HUKO samples and analyses the behaviour of each and every visitor and offers you a highly detailed overview of the activity at the store. Routes, stays, movements and preferences: All this in real time. AVATAR 200 Wi-Fi can supply in the same time with the same device the wi fi connection to the customers trought the wi wi-fi guest platform . GLOBAL COVER Build fast and safe wireless networks with Huko technology. Wider cover, more stability and efficient services. All this without local servers and with the simplicity of a cloud platform. A solid architecture, comprehensive and light, designed to simplify the management of your business.

DEVELOPMENT AND MANUFACTORING OF DEVICES: area/display interaction & process analysis

THE EXCLUSIVE AND PATENTED DEVICE FOR area/display interaction & process analysis

1) EPPM EVOLUTIVE DEVICE PURCHAISING PROCESS MONITORING 2D (RGB) FROM ENTRY TO PURCHASE What is the behaviour of a visitor inside a store? How does he interact with products and display areas? How is the mechanism that leads to some purchase triggered? To answer these questions Huko has created first in the world a one-of-a-kind device that monitors the whole process in real time and collects invaluable information to understand the way consumers make choices. This revolutionary device grace at advanced machine learning algoritmics gives to the management clear understanding of the causes of fall-off in Conversion Rate, through the analysis of drop points in the purchase processes of each individual StoreImproves the Shopping Experience by measuring Display attractiveness, Store navigability, the effectiveness of the of Product Push Marketing actions and Merchandising choices

DEVELOPMENT AND MANUFACTORING OF DEVICES: INTERACTION PRODUCTS ANALYSIS

THE EXCLUSIVE AND PATENTED DEVICE for detect the interaction of the custormer with the products that supports everyday management decisions in Product & Packaging Development, Product Marketing and Product Placement 1) EPM EVOLUTIVE INTERACTION PRODUCTS DEVICE with 3D laser technology supports everyday management decisions in Product & Packaging Development, Product Marketing and Product Placement.

3D laser technology is used to engineer an accurate reconstruction of Shoppers' interactions with products displayed on the shelves. Then, using sophisticated artificial intelligence algorithms, Huko Product Interaction allows you to accurately detect Shoppers' interactions with products displayed on shelves or wall displays (as on the shelves of large retail outlets, perfumeries or wall display stands in opticians' stores) The device detect What & How does a visitor interact with the products on display ? How many times are products purchased after being tried on? With the aid of Huko you can know the behaviour in the decision process. The Huko Product Interaction device is a concrete demonstration of the technological excellence achieved by Huko worldwide

DEVELOPMENT AND MANUFACTORING OF DEVICES: THE PROFILING DEVICE

THE EXCLUSIVE AND PATENTED PROFILING DEVICE

1) EPP PROFILING DEVICE with special RGB tecnologyGaining complete visibility on your Shoppers, on the customer segmentation and how they change and evolve over timeHuko are proud to present the most advanced system in the world to profile visitors to a store. An advanced, highly sensitive identification system. With it you can collect invaluable data about your customers, subdivided into the age, gender and ethnic group to which they belong. All this in real time plus the convenience of the cloud. The device meets the camera and computational unit, performing the analysis on board resulting privacy compliance worldwide

DEVELOPMENT AND MANUFACTORING OF DEVICES: THE EMOTIONAL ANALYSIS DEVICE

THE EXCLUSIVE AND PATENTED EMOTIONAL ANALYSIS DEVICE DEVICE

1) EPP EMOTIONAL ANALYSIS DEVICE with special RGB technology and the most advanced algoritmics in the world of machine learning A device of NEW FRONTIER for know in real time the emotional reaction of consumers . The first system that recognises changes in facial expression when a person reacts to in-store stimuli or visual messages. The technology of tomorrow entirely developed by Huko and destined to revolutionise the world of retail selling. The most advanced emotional analysis tool for Shoppers to guide in real time the choices of Visual layout & Merchandising Management, Product Marketing and Strategic Marketing

3RD PARTY DATA INTEGRATION : THE HUKO OUTDOOR ANALYTICS

HUKO CAN INTEGRATE VALUABLE DATA ON THE LOCATION OF THE SMARTPHONE OF POTENTIAL CUSTOMERS IN THE AREA OF INFLUENCE OF THE STORE, THROUGH THE INTEGRATION OF OUR PLATFORMS WITH LEADING GLOBAL TELCO OPERATORS:POTENTIAL COSTUMER IN THE AREA OF INFLUENCE OF THE STORETRAFFIC OUTSIDE THE STORE AND CONVERSION WITH THE REAL VISITORS TO THE MALLMATRIX OF ORIGIN AND DESTINATIONS OF THE SHOPPER OF THE STOREINFORMATIONS FROM THE NETWORK

CUSTOM PROJECT Huko is the only player in the world today able to customise, for the individual project or customer, not only the analytics final solution-platform but also devices, algorithms or solutions to produce the unique and exclusive data that is necessary and functional for the analytical result of the project.

In particular, it creates:

custom algorithms and devices that meet the specific needs of customers

systems and platforms capable of delivering services such as a guest wi-fi with various utility and Shopper engagement services and at the same time using highly advanced algorithms to analyse and monitor the online experience of Shoppers (Showrooming), thus achieving online and offline convergence in practical terms

APPS developed according to the specific customer's requirements thus achieving online and offline convergence in practical terms

Analytics systems and platforms customized for the customers

Retail management systems

THE PLATFORM HUKO RETAIL ANALYTICS :the most advanced in-mall analytics solution that simplifies complex things

By means of Huko Hub Big Data, Huko Analytics Platform collects, organises and processes all the flow of data coming from the different devices and from the different sources, transforming the information into deep knowledge of consumers' behaviour. Everything is directly translated into clear performance indicators, which can be monitored through a single and simple console.

THE HUKO RETAIL ANALYTICS PLATFORM: FROM DATA TO KNOWLEDGE

A PLATFORM THAT PARALLELS THE TRADITIONAL CORPORATE BUSINESS INTELLIGENCE SYSTEMS: to collect, organize and process retail data from different sources and turn it into information, displaying it in clear dashboards, KPIs, and alerts that activate a process of continuous improvement. The result is an ability to forecast new patterns of behaviour and efficiency.

TECHNOLOGY AND THE HUKO PROCESS OPERATE TOGETHER THROUGH PROGRESSIVE STAGES

THE HUKO RETAIL ANALYTICS PLATFORM: THE MAIN UTILITIES

Huko Retail Analytics is the global management platform for the Retail chain. It is a dynamic crossover platform that allows for continuous improvement of all retail processes in real time.

Huko Retail Analytics implements reorganisation in small steps across the entire retail organisation (from clerks to the CEO) using measures focused on a uniform set of metrics and indicators that are consistently updated.

Management obtains full and immediate visibility over the chain on the global level as well as the national-regional level, and on down to individual stores. This way management gets support in its daily decisions from helpful benchmarks and the comparison between performance and KPI.

Through a single platform Huko Retail Analytics, the Executive Management can:

increase sales for the chain with the same number of stores

optimise capital investments

customise stores continuously

optimise marketing investments

orient strategic choices and analytically support the corporate vision

help circulate the culture of efficiency and merit

THE HUKO RETAIL ANALYTICS PLATFORM: THE MAIN UTILITIES

RETAIL OPERATIONSincrease the conversion rate and the average sales receipt, direct daily actions in the stores based on clear KPIs, optimise staff attendance to improve customer service

MARKETING measure the impact of each on-line media campaign, understand the impact of social campaigns, understanding the impact of campaigns in the "Showrooming" implemented in the retail chain,understand the influence of the media investement in the behavior of the potential customer in the area of influence of the stores of the chain Monitor the evolution of the traffic outdoor the store and the conversion in real visitors of the store

IN STORE MARKETINGcustomise the in-store experience, measure the ROMI of each in-store campaign, measure the impact of "Showrooming" in the store

BUYING & MERCHANDISING remotely monitor and manage conformity and optimisation of display activities, measure the attractiveness of the shop window, understand shoppers' navigation inside the store

STORE DESIGN & APPEALidentify the traffic models of shoppers, understand the shopping experience, monitor and analyse the flows of service personnel in the stores

THE HUKO PROPOSAL FOR THE ADVANCED MONITORING AND MANAGEMENT OF THE MODERN RETAIL CHAINS

THE HUKO DEVICES PERMIT TO MONITOR THE TOTAL SHOPPING EXPERIENCE AND DETECT PARTICULAR BEHAVIOURAL PATTERNS OF SHOPPERS IN RETAIL ENVIROMENTS

THE HUKO DEVICES COLLECT DIFFERENT DATA THAT PERMIT TO ACTIVATE A PROCESS OF CONTINUOS IMPROVEMENT TROUGHT THE DISPLAY OF KEY AND CLEAR INDICATORS AND KPI’S AS MIX SYNERGIC EFFECT, THE SYNERGY INDEX, THE IDEAL MIX TENANTS, THE IDEAL MIX CATEGORY , MAXIMIZING THE ROMI OF EACH MARKETING INVESTMENT

THE HUKO PROPOSAL FOR A MODERN MALL IS BASED ON

Traffic Technologies

Wi Future

Avatar Technology

RGB or 3D TOF + Artificial Intelligence

From traditional to real conversion rate

Extend the Analytics of loyal customersTo virtual costumers loyalty rate per Chain and Store

Avatar to CRMProximity Marketing

Profiling

Spending PowerSocial Conversion, recommendation

Store time and behavior

pattern

Shopper Base

Show Rooming

Avatar Alerting – Assisted selling

Push Direct Marketing –Digital APPArea-In store - push

marketing: profiled, targeted, right moment Efficient Customers

Digital Loyalty Programs

Exclusive utilities: kinder safe, navigating mall

Single Conversion, per Cluster, per Avatar

Group Clustering (from People counting to Traffic Pattern

On line - Off Line Experience Convergence for a real SEAMLESS EXPERIENCE

Couponing, assistance, self care

Outdoor analyticsPotential customers in the influence area Conversion in real shoppersNationality, Recurrence

POS integration

INTEGRATION AVATAR PROACTIVE ALLERTING & ASSISTED SELLING APP

Validation

THE HUKO TRAFFIC TECNOLOGY : RGB or 3D TOF laser technology with Artificial Intelligence

HUKO use algorithms of Artificial Intelligence, based on Machine Learning, achieving the highest accuracy but, most of all, the automatic exclusion of hinged doors, shopping carts and other items that may distort the countings.

The sophisticated algorithms of the devices HUKO, thanks to the cloud architecture, allow to analyze paths, behaviors of each shopper who passes into a shop, if alone or in group, starting from the counting to the detection of flows and behaviors of the shoppers. Mainly, the entrances are classified by the system as:

SINGLE COUPLE GROUPFAMILY

The Counting systems by HUKO ensure the quality of the data for every installation through the validation & Certification system, attested by an official document provided to the client together with the video of validation. The validation may be repeated at anytime, on request by the client, if the quality of the data requires to be re-validated.

THE HUKO SHOPPER BASE: from profiling to shopper base

HUKO Profiling system allow, through an embedded device, to cluster:

GENDER AGE ETHNICITY

Every person at the Mall entrance or in every point of the Store or Mall, can be categorized.

The Shopper Base is updated with an advanced data, information and markers obtained thanks to the sophisticated algorithms and the exclusivity of the devices by HUKO and the total systems integration. The information are achieved through the devices who are based on the most advanced technologies: Wi-Fi detection,, COMPUTER VISION applied to the RGB technology --- Profiling-- emotional expression analys, Wi-Fi – Geolocalization of smartphone outdoor t CRM platform, Social Conversion, Digital App. The system defines the Shopper Base by collecting, analyzing and comparing the following information

Single- Couple- Group- Gender-Age- Etnicity- Spending Power- Profession - Nationality

THE AVATAR TECNOLOGYThe patent Avatar technology by HUKO connects the shoppers, equipped with smartphones through the WI fi, to a virtual reality.HUKO through the integration of monitoring of the shoppers, always knows the real percentage of shoppers recognizable through the Avatar and may define:- Number of visits per Chain and Store and the recurring interval of shoppers visits;- Loyalty rate per Chain and Store- Store Time , The average dwell time in store, and the Shopping Time of each Store , Area, Retail Chain;- Demographic information such as age and sex, as well as other demographic data if the guest Wi-Fi was used through the social network authentication system - Purchase preferences and profiles through the linking of all visits and Store Time in the various Stores in the course of the avatar life in the chain- History of purchases made in the whole chain and each single Store in the course of its life.- Area and store. The Peel- Off per store (Visitors/Passer-by) and the Capture Rate (New Visitors/Passer-by);

SOME REFERENCE IN THE DIFFERENT INDUSTRIES

MALL INDUSTRY : RDM – FLORENTIA VILLAGE (CHINA ) CPN – THE MOST IMPORTANT GROUP OF MALL IN ASIA - LIVERPOOL GROUP : THE MOST IMPORTANT GROUP OF MALL IN CENTRAL AMERICA – COGEST RETAIL THE MOST IMPORTANT MALL GROUP IN ITALY

RETAIL CHAIN INDUSTRY: PRADA GROUP – MIU MIU – LA PERLA – SWISS COMM- TRUSSARDI – LUXOTTICA – MEDIAWORLD SATURN

AUTOMOTIVE INDUSTRY: TOYOTA GROUP – LEXUS – BMW - MERCEDES

BANK INDUSTRY : BANCO AZTECA THE MOST IMPORTANT BANK IN CENTRAL AMERICA, SIAM BANK (THAILAND) – KOOKMIN BANK LEADER BANK IN ASIA