Health, Beauty and Personal Care

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1 Health, Beauty and Personal Care Keep your customers loyal to your brand Add value to your retail business and better integrate your physical and online channels with the Openbravo Commerce Suite. Our multichannel solution allows you to grow your business online and in store, by anticipating new market demands such as seasonal trends, and improving customer spend through a fully tailored customer service, more innovative promotions and better real-time inventory management. Openbravo Commerce Suite offers you the flexibility to roll-out a new store solution that enables your physical stores to focus on service and shopping experience, or an all-in-one Retail ERP for managing your entire business from the front checkout counter to the back office.

2 Industry Background Beauty and Personal Care is comprised of a great variety of products, from skin care, color cosmetics, deodorants, bath and shower products, hair care, oral care, toiletries and sun care products amongst others, that can be categorized into synthetic and natural/organic. These products are sold today in different specialty stores as well as departmental stores, convenience stores, drug stores and pharmacies. Health products such as prescription and over-the-counter (or nonprescription) medications are also sold in pharmacies. The industry is driven by a constantly evolving regulatory landscape and the development of new technologies, resulting in the frequent introduction of new products. The consumption of beauty and personal care products has increased worldwide. This is attributed to various economic, social, and cultural changes happening across geographies. An ageing population is also becoming more prominent, driving growth in areas that cater to older generations, such as products with anti-ageing properties that are more popular than ever before. Amongst all products, premium beauty and personal care, including categories such as fragrances, colour cosmetics and skin care, outperform the mass segment. These products are often seen as a luxury or a treat rather than a daily essential. Consumers are also more concerned today about the benefits of natural products, for themselves and for the natural environment, and are willing to pay more for natural products. In order to better serve their customers, pharmacies are also evolving from a dispensing model to a service model. To provide higher convenience and cater to impulse purchasing, pharmacies now manage broader assortments, including product categories that have nothing to do with medications. This makes them more profitable, results in faster growth and facilitates new store openings, which in turn makes the creation of pharmacy chains easier, in front of single store retail businesses that are still common in a lot of countries. The retail industry is also a rapidly growing online segment today, despite the traditional preference of consumers to purchase in stores since touch, smell, trial and advice are important for consumers buying health and beauty products. Impulse purchasing plays an important role in their preference to purchase in a store. However, convenient delivery, easy returns, a wider product selection and access to other shoppers opinions, have created an attractive alternative to the in-store experience.

3 Key Challenges for Health, Beauty and Personal Care Retailers Gain inventory visibility to better manage seasonal factors Today, seasonality is rapidly becoming a key trend that is shaping the future of the Health, Beauty and Personal Care market. In the case of beauty for example, rather than simply using the change of seasons as a reason to introduce color stories or scents, beauty manufacturers are increasingly introducing innovative products that offer defence against the cosmetic and emotional effects of specific weather conditions. This seasonality translates to broad consumer and retail demand fluctuations throughout the year that require more control and higher visibility of inventory across locations. Manage assortment growth across stores and digital channels retailers manage a vast variety of product categories from skin care, color cosmetics, deodorants, bath and shower products, hair care, oral care, toiletries, sun care or medications to name a few, and are described by a large number of product attributes. A constantly evolving regulatory landscape and the development of new technologies lead to more frequent product introductions. In addition, retailers must make available a much greater range of products online, which requires them to gain greater product information consistency across store and digital channels. face great pricing complexity. Due to increasing competition, it is important to reach customers as early as possible, which requires then to lower time-to-market when introducing price changes and highly targeted new promotions. Integrate the physical and online shopping experience Brands and retailers that wish to differentiate their customer experience need to embrace the omnichannel approach. Companies can no longer focus on a single channel: they have to define a consistent strategy for all retail channels and deliver a seamless shopping experience across all of them. Deliver a highly tailored service Most sophisticated personal service is an important facet of retailing. Shoppers expect one-on-one conversations with knowledgeable advisors who provide expertise and also a well informed diagnosis of their problems. Transform physical stores to take on an expanded role Heightened customer expectations require retailers to transform their store Into true experience destinations that help to boost loyalty, increase customer lifetime value (CLV) and attract new customers. Drive innovation in pricing and promotions agility As a result of the broader assortment range, retailers also

4 Openbravo Unique Differentiators Faster New Store Openings Go live with your new store in less than one business day. Faster New Associates Training Train your new store associates in minutes. Faster Pricing and Promotion Updates Update prices and promotions to all your stores in minutes. Greater POS Mobility Enjoy 100% POS functionality on mobile terminals. Greater Hardware Savings Gain the ability to use your existing POS hardware. Greater Flexibility Adapt easier for faster innovation and differentiation either On-premise or in the Cloud.

5 Key Benefits for Health, Beauty and Personal Care Retailers Openbravo delivers a modern multichannel retail business solution that helps retailers to address today s challenges while providing full confidence to support their fast changing future needs.

6 Centralized real-time inventory visibility Openbravo provides retailers with a comprehensive set of features specially designed to gain accurate control and visibility of inventory across locations, for retailers that want to ensure proper executional performance and deliver enhanced customer service regardless of the channel. Centralized real-time tracking of goods movements, inventory status and quantities across all channels and locations, either physical stores, headquarters or distribution centers. Set up of different warehouse rules and easy management of goods transfers, picking and packing activities and reservations. Available mobile warehouse functionality for inventory count, goods movements and picking lists for a more convenient and accurate capture of data. Agile assortments, products and promotions management Openbravo makes it easy for retailers to manage the complexity of their assortments, products and promotions that can be easily created, managed and rapidly made available to all channels. Support the variety of your assortments, from face, nail care, hair, skin, makeup or medication products as well as different services, in just one system, with an unlimited number of product categories that can be organized and browsed in a hierarchical mode. Manage single products or variants based on an unlimited number of product characteristics like brand, color, olfactive notes or others, and assign them easily to your different price lists and assortments. Create Packs combining different products and/or services that can be sold at a fixed price for personal use or given as a gift. Define an unlimited number of prices and highly targeted promotions with discount application rules based on the combination of multiple criteria such as stores, customers or customer categories, products or product categories, and leverage a long list of supported discount types like Buy N Get M, Buy as a Gift, Discount by line or by Total Amount amongst others. Lower time-to-market by making your product, pricing and promotion changes available in all your stores and terminals in minutes.

7 Superb in-store shopping experience Openbravo helps retailers to empower their store associates for delivering a great in-store shopping experience that results in higher customer loyalty. Create and identify your customers at the POS, apply special pricing and automatic membership discounts to them and assist them everywhere in the store, either on the store floor or behind the counter. Increase customer satisfaction, as well as up-selling and cross-selling possibilities by informing customers about applicable promotions, complementary products or services as well as available units in other locations when you are running out of stock in your store. Suggest the right product based on customer personal preferences with a powerful search functionality that uses available product attributes. Create layaways to sell items you don t have, record deposits and release completed layaways. Provide payment convenience with a variety of methods such as cash, credit card, gift cards and gift vouchers, store coupons, credit sales or multicurrency payments. Reward your customers with integrated loyalty programs. Manage different services such as store appointments, product demonstrations, value-added services such as special treatments, courses or subscription services that provide an added layer of convenience to customers. Manage different services such as store appointments, fulfilment services such as transportation or truck rental or after-sale services like repairs and guarantees. Offer different delivery options at ticket or line level, such as cash&carry, home delivery or warehouse pick-up.

8 Simplified multi-store management Openbravo makes it easy for retailers with multiple locations to keep their stores network running smoothly and cohesively, no matter if they run a few or hundreds of stores. Model your entire network with the creation of store groups and individual stores that can be created in minutes by using another as a template, and adjust store settings for local or international locations including currency, language, number and time formats, ticket templates, price list or assortment. Manage all your master data from a single repository, including products, prices, promotions or taxes that can be updated in all your stores and terminals in minutes, and without the traditional complexity of file transfers between locations. Improve operational execution and fraud control with supporting features such as opening and closing stores and terminals or managers approvals for selected actions or events, such as deleting a ticket or line, manage returns or registering cash count differences during an initial or a closing count. Gain real-time visibility into sales and inventory across all locations and analyze them in detail with available advanced reporting capabilities. Simplify store IT management and reduce store IT costs thanks to a full web and mobile enabled architecture. Omnichannel readiness Openbravo provides retailers with the key building blocks that are mandatory to progress with any omnichannel strategy today. Combined with the flexibility of the platform, retailers get peace of mind they are adopting a solution that is able to support today s needs as well as the fast-changing omnichannel customer expectations of the future. Ensure product data quality and consistency across all assisted and non-assisted sales channels with centralized management of all your products, prices and promotions. Provide accurate inventory information regardless of the channel and gain single view of customer activity across channels. Integrate seamlessly with the e-commerce platform of your choice or leverage existing connectors with solutions like Magento or Prestashop in combination with available process automation and orchestration features to support distributed order management. Prepare your stores towards becoming real multichannel hubs and benefit from new opportunities like store fulfilment.

9 Embedded analytics and reporting Openbravo provides retailers with a complete set of reporting and business intelligence tools that allow them to improve decision making and react faster to customer behavior changes. Leverage available analytical reports, including store productivity, cash up or discounts analysis amongst others. Allow your managers to create ad-hoc new reports for improved analysis and decision making. Allow your store managers to track key store indicators such as Best Selling Products or Best Selling Product Categories amongst others that can be easily accessed from their personal workspace. React faster to events requiring immediate attention with a flexible alert system that informs your users through the user interface or by . Future-proof retail business management solution Openbravo provides retailers with a flexible solution which is able to prepare them for the future whatever changes are required. Built-in multi-currency, multi-tax, multi-language and multi-accounting features to support your international growth. Scale easily with new stores, products or users. Gain endless flexibility to introduce future innovations and support your most specific business requirements. Scale from a store solution to an all-in-one Retail ERP for managing the entire business or subsidiaries in your selected territories, with extensive support for the customer, supply chain, financials and accounting management.

10 A Future-proof Technology Platform By adopting Openbravo, retailers will gain access to a flexible technology platform providing the core set of technologies that allows Openbravo to be extended to fit your business needs or to develop completely new differentiating and innovative enterprise solutions. Do more, faster and with lower risks with a truly modular architecture Openbravo s modularity enables retailers to become more agile and experiment with lower risks, a key capacity in today s fast-changing retail industry where it may be necessary first to validate new innovations in a more controlled environment before going global. Modularity provides the ability to adapt faster and with a higher granularity level. An extension module is a piece of additional functionality that can be deployed optionally and independently on top of the Openbravo solution. Modularity enables gradual production deployment, which allows to reduce risks and increase time-to-value. And since it decouples core functionality from extensions, it makes update and upgrade processes smoother. Integrate and Connect Everything, Faster Openbravo provides a highly interoperable platform that makes it easier to integrate with all your channels, solutions and technologies. Protect prior IT investments with a solution that is very easy to integrate with your legacy systems. Leverage existing connectors (with Magento, Prestashop, SugarCRM and others) or build completely new modules for robust and secure integrations. Lower time-to-market when integrating future new channels, solutions or technologies. Scale securely and achieve higher business agility with Mobility and Cloud Openbravo provides a highly scalable architecture that allows retailers to grow with confidence as their business requirements evolve, while helping them to get all the benefits from mobile and cloud technologies. Architecture designed for high performance on big load environments, with a distributed architecture for unlimited scaling. Openbravo Cloud deployment option for maximum flexibility. Mobile-enabled architecture for building responsive web mobile applications that enable your mobile-first strategy.

11 About Openbravo Openbravo is a world leader in the commercial open source software space helping midsize and large specialty retailers around the globe successfully manage continuous business change and innovation in today s fast changing retail industry. Openbravo offers the Openbravo Commerce Suite, a multichannel retail business solution that allows specialty retailers to manage their entire business and transform their physical store channel to deliver great shopping experiences, while enabling more focus on business differentiation thanks to a highly flexible and extendible commerce technology platform, which is mobile-enabled and cloud-ready. Openbravo has offices in France, India, Mexico and Spain and distributes its software solutions through a global network of Authorized Partners.

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