Culture Amazement Trends & Challenges Member Support International Overview Ace Owns Helpful Passion for People Relevant Differentiation Productive Paranoia David vs Goliath Community It’s about VALUES, not just Culture Paradox of Capitalism Greedy vs Benevolent Master vs Servant Never lose sight of who it is you’re serving The bigger the heart, the better equipped the business Amazement 101 “Ace has found a way to operationalize helpful….” Employee-centric culture Focus on the “5 P’s” People, Product, Pricing, Place, Promotion 52 Tools for Customer Amazement: Know the value of your customers Play to your strengths Focus on the customer, not the money Own your mile Satisfaction is a rating, loyalty is an emotion Service is not just a word, it’s their mantra Service The Helpful Place isn’t just a slogan; it’s our Culture! Trends & Challenges + Niche retailing works Shift from Wall St. to Main St. Small businesses like buying from small businesses Convenience and Personalization – time famine Solving problems vs just selling products Service still matters! Differentiate or die to digital! Role of omni-channel marketing Rising labor costs in China and at home Proliferation of cross channel marketing Consolidation and increasing competition Do self audits and SWOT yourself! Play to our strengths – Own Helpful! Adapt to needs of omni-channel and online sales Maintain relevant differentiation with respect to products and the in-store experience Focus on unit-level economics Private label and controlled brands Leverage social media to convey “solutions” Increase national advertising Help retailers GROW Toolbox Member Support Wholesale Be the Best Wholesaler – controlled label programs Supply Chain Excellence – SAP Retail Program library for flexibility and adaptability Peer grouping with Retail Group Leaders Field Support and Platinum Retailing Marketing Ace Brand Place Business to Business Be the Supply Place Service Helpful 101 and 201 Ace Center for Excellence International Wholesale Retail New Business • Global Sourcing • Regional Distribution • Supply Chain Excellence • Brand Leadership • Retail Execution • Local Support • Existing Retailers • New Markets • Greenfields Be global act local – adapt store model Over 650 locations across 65 countries 6 offices with 150 staff dedicated to international Master licensing program Leverage Ace skill and scale in sourcing, merchandising, retail execution, and marketing Product regionalization through RDC’s 4 different product channels to optimize margins Regional offices for local in-market support Shanghai sourcing office dedicated to int’l retailers RDC’s Dubai, Panama, and Shanghai Globally Trusted Locally Embraced