DR-Direct Segmentation Conversion

What it Means to YOU! April 2012

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Conversion… What’s the big deal? As Duane Reade has become part of the Walgreens Family of Companies, the Category Managers have begun

using the Walgreens system and terminology. We have now converted the DR-Direct application from the Duane Reade segmentation and terminology to match the Walgreens world view to ensure you BOTH continue to share the same insights and decision support metrics.

To Aid in Vendor – Buyer Collaboration! Having the same numbers puts everyone on equal footing, with assortment and strategy decisions being made off of similar insights.

We have converted all reports, and added several new ones! Whereas you used to see reports by Sub-Department, now you will see analysis by OpStudy and Category. Previously, you could see Vendor, but not Brand, now reports exist for both.

Site addresses will not change. Also, your current usernames and passwords will also remain in effect. No muss, no fuss.

There’s a new look as well… a bit lighter, a bit fresher! We figure since you are working hard to understand you business, you should have intelligence that is beautiful, as well as powerful and fast!

Why

Client sites are being converted over the next few days. You should notice no down time as we are rolling the site conversions out after hours to minimize the impact to the workday.

What

When

Where

Wow!

New Home Page – New Community Perspective

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Community Improvement – This revision is a big deal! There are attributes to the data that are brand new. Specifically, Brand! Please know that we have an ongoing process improvement initiative in place to address the coding of Brand and Vendor. You will likely come across items which are not coded to your specs. Please – pass along your observations – we will HAPPILY make corrections to improve the deliverable for everybody in the DR-Direct community! See the link on the first News item for details!

Innovation Contest- We have the pleasure of working with hundreds of Vendors across the CPG universe, and each of you have excellent ideas as to how we can make the insights more directed and actionable. Submit your best report format, chart, or graph YOU would like to see on DR-Direct for a chance to win a $100 Gift Card and acknowledgement in the news section! Pivotstream’s myCPGcloud Demo site! We work with dozens of CPG firms to build category management solutions as well as integrate other retailer POS, factory shipments, budgets, and forecast data. Click on the myCPGcloud demo link to see how easy syndicated data analysis in the cloud can be!

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New Report - OpStudy Review Designed to direct you to the things most impacting the OpStudy of interest. Identifies the sales performance for the selected

period, and decomposes the change into component parts of the OpStudy by Absolute Gain or Loss of dollars for the Top 10 Vendors, Brands, and Items in the OpStudy. Was it the Top Vendors driving the performance change, or the Top Items? Was it a change in the promotional contribution made by Top Vendors or Top Brands? Look for the color-codes and icons to direct your analysis path. Clicking on any number will direct you to the relevant details behind that performance shift.

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New Report – Pareto Analysis Designed to quantify the concentration of sales, dynamically, across OpStudy / Geography / Vendor and Brand dynamics. This

report will quickly allow the user to identify competitive items which may fall below a user-defined performance minimum. In the example illustrated, 534 of the 1,899 Candy items in distribution in the current 13WK period contribute 80% of all Sales $ in Candy. However, the bottom, left chart shows us that the remaining items are growing at a far greater pace than the “mainstay” items. Clicking on the Item Detail link will provide a list of those within and outside the Pareto limit.

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New Functionality – Reset Filters When you are working on reports in preparation for a category review or sales call, often you will use several slicers. We have

now included the functionality to reset all filters to their initial report state with one click, so you will see the report

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Attribute Coding Review Clearly, one of the biggest challenges in integrating two very different retail measurement systems like the Duane Reade and

Walgreens system, is in the assignment of items to specific OpStudy and Category designations. Our attribute library is a reflection of the integration between competing data warehouses, and as such, there is opportunity for refinement in the Brand designation and Vendor Naming designation. Pivotstream has already made over 50,000 changes, and continues to refine this attribute library every day. However, we know that you possess remarkable expertise in your categories and could guide these coding revisions quickly and easily. To that end, as part of our Community Improvement efforts, we have created an application to expose the entire attribute library for your review and modification.

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Advanced Reports – Advanced Rankings A powerful tool to gauge the competition! Observing the Merchandise Efficiency of the OpStudy is a powerful way to identify

additions and deletions. Identify items which are broadly authorized for distribution, but regularly sell in far fewer stores. Productivity analytics identify how much more an item contributes per point of distribution than its neighbors. Organic Growth figures identify sales gains or losses AFTER factoring out changes in distribution versus the year ago period. This is the level of analysis required to make fact-based assortment recommendations… Your Category Managers rely on it, and so should you.

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Advanced Reports – Trend Charting Several Trend charting views are at your fingertips, from single time periods plotting, to comparisons of any two time periods (year

over year, OR not), promotional versus regular sales plotting options, etc. There’s even a Micro-Dashboard designed to summarize the aggregated dollars, units, regular dollars, promotional dollars, retails, and more for the two time periods being compared.

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myCPGcloud.com Demo Oh yeah! One more thing… If you are interested in hearing more about how we serve CPG manufacturers by optimizing

their syndicated data, Retailer POS data, and factory shipment and budget data for easy web-based consumption, please do not hesitate to call!

- Average deployment time is 3 weeks! All leveraging the latest in Microsoft Business Intelligence… in the cloud! - Making intelligence available where it is most often used results in a smarter conversation about your business! - Being first to retail with the highest quality presentations and analysis is a HUGE value to retailers! - Integrating all your data into one portal supports a culture of knowledge across the company. - Your username and password for DR-Direct will grant you access to the demo site!

support@pivotstream.com

Pivotstream

6100 Oak Tree Boulevard

Suite 200

Independence, OH 44131

330.460.090

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Questions?

Feel free to contact us anytime.

THANK YOU!