Are you ready to boost the effectiveness of your promotions and loyalty program?

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Are you ready to boost the effectiveness of your promotions and loyalty program? Frequently Asked Questions About Enterprise Offer Management An NCR White Paper 2010 Experience a new world of interaction 2010 NCR Corporation

Introduction 1 There seems to be no shortage of software and services touted as the best approach for getting customers to enter your store and open their wallets just a bit wider. Retailers can choose among a proliferation of available processes and technologies from loyalty programs and in-store campaigns to Internet marketing, mobile promotions and more. For many retailers, making sense of all these products and designing an end-to-end program can be a daunting challenge. Out of this sometimes confusing landscape, NCR Advanced Marketing Solution (NCR AMS) has emerged as the preferred marketing tool for a growing who s who list of retailers. These businesses have deployed NCR AMS because it provides a comprehensive package that enables them to effectively manage consumer offers across the enterprise and across channels, while reducing the need for operational and IT support. As news about these retailers successes spreads, interest in NCR AMS is growing. And so is the volume of questions from industry analysts, consultants and retailers including supermarkets and grocers who use NCR s popular point-of-sale (POS) application, NCR Advanced Checkout Solution (ACS). The most frequently asked questions are covered in this white paper. NCR Advanced Marketing Solution has emerged as the preferred marketing tool for a growing who s who list of retailers Enterprise Offer Management Store Enterprise Create offers via web-based interface Manage customer accounts Integrate with data warehouse Home Maintain central repository of offers Communicate with customers via: Automate delivery of offers Your consumer website Email messaging Direct mail Mobile devices Deliver content to and collect customer data from POS, kiosks, self-checkout, fuel center Execute offers in real time with: Robust targeting Comprehensive discounting

2 How does NCR define enterprise offer management? Offer management comprises the key processes required to create and manage consumer promotions, as well as ongoing loyalty programs, designed for customer retention, upselling and cross-selling. An enterprise solution allows centralized management of these offers and programs and enables execution throughout the chain. Is this solution designed solely for in-store marketing? NCR AMS is a true multichannel promotion tool! It allows delivery of offers and information via the web, email and mobile devices, as well as at the POS, self-checkout and kiosks. It also integrates with your fuel center, allowing discounts and other cross-sell promotions. And, with NCR AMS you can be assured of delivering the same, personalized content to the individual shopper, regardless of the channel. Does NCR AMS provide complete customer relationship management (CRM) capability? NCR AMS delivers five of the key processes defined by the Gartner CRM framework: Manage customer data collection; Manage loyalty programs; Manage campaigns; Create and deliver offers; and Manage in-store CRM. Why doesn t NCR AMS include a data warehouse? NCR AMS integrates with existing data warehouse applications from Teradata, Oracle, SAS and others all of which do a fine job of assembling, analyzing and segmenting customer data. But data warehousing is only half of a CRM solution. The other half is enterprise offer management creating and executing behaviorchanging opportunities for the customer which is provided by NCR AMS. If we already have the NCR ACS POS application in our stores, with Consumer Marketing (CM), what is the advantage of adding NCR AMS? NCR AMS is an enterprise tool that enables you to create and manage targeted promotions and loyalty programs for all the stores in your chain, from a central point. ACS-CM is a highly effective storelevel promotion engine. When NCR AMS is used in conjunction with ACS-CM, retailers have the ability to manage complex continuities or other reward programs across all stores, tracking rewards and delivering benefits in real time. Can we use NCR AMS if we don t use NCR s POS software in our stores? NCR has developed a seamless interface between NCR AMS and ACS, which means that no additional store server is needed. For non-acs sites, NCR offers a separate store-level system, the Copient Promotion Engine. The sixth key process defined by Gartner manage customer segmentation and analytics is typically the function of a data warehouse, which is not part of NCR AMS.

3 What are the components of NCR AMS? The key feature of NCR AMS is Logix, a web-based user interface for creating, distributing, monitoring and maintaining offers. It enables a marketing professional to start with the initial building blocks of customer and product data and assemble a complete offer with all the necessary specifications to precisely govern its behavior. NCR AMS also includes central servers at the enterprise level: One or more database servers that act as the main repository for offer variables (customer groups, product groups, etc.), execution parameters (limits, time periods, locations) and offer content; and One or more web servers that manage the communication of data through the system and run applications that automate the delivery and reconciliation of incentives among channels. Is it difficult to create offers with NCR AMS? Logix provides a wizard approach for building new offers, stepping you through the process in a logical manner to help assure success. If you ll be creating many offers with a large number of identical characteristics, Logix allows you to make and use templates that can save time and ensure consistency. In addition, the built-in Logix User Manual guides you through step-by-step instructions on how to build and manage offers, customer groups, product groups and more. NCR Advanced Marketing Solution Logix Web Server Database Servers At the store level, NCR AMS integrates with the ACS application and the ACS promotion engine, Consumer Marketing (CM). A separate NCR AMS promotion engine is available for stores that do not use NCR ACS. And NCR AMS can integrate with other pre-existing promotion engines that may already be in place. In addition, NCR offers an optional email marketing service as part of NCR AMS. This service, NCR APTRA emarketing, enables the delivery of compelling, targeted messages that are fully synchronized with your campaigns or loyalty programs. Store Internet Loyalty Program Website Email Mobile Home Store Store Fuel

Web-based user interface 4 What are the major features of Logix? Logix provides a single dashboard for managing and distributing your marketing initiatives. It is web-based and designed for ease-of-use, featuring a graphical user interface with tabs for the primary functions performed by NCR AMS. Logix Sample Offers Page Using Logix, the marketing professional is able to: Create, edit and delete offers; manage the distribution of offers to promotion engines at the store level; and view reports that show the redemption of offers. Logix Sample Offer Summary Page View customer account records; view and adjust customer continuity balances; and allow customers to view and edit their account information via a public website. Organize products into hierarchies and create and edit groups of products. Organize stores into hierarchies, such as regions, sub-regions, zones or stores; and manage terminals, store information and ad hoc groups of stores. Logix Sample Product Groups Page Manage points and stored value programs for use as conditions or rewards. Perform administrative actions such as manage user permissions and access rights; view system help alerts and log files; and enable help desks or customer service representatives to access and manage customer account information. Logix Home Page Logix Sample Customer Groups Page

5 Can we implement a loyalty program without a customer identification card? NCR AMS gives you the choice of implementing a loyalty program with or without a customer identification card. Customers can be identified in any number of ways (e.g., phone number, credit card or a unique PIN). Won t all this require an increase in our IT support budget? Retailers typically do not incur incremental IT organizational costs when deploying NCR AMS. The solution was designed with the marketing professional in mind, which means you can readily build target customer segments and specific offers, then deploy those offers through multiple delivery channels while reducing dependence on the IT organization. What are the advantages of using NCR s email marketing service with NCR AMS? As a services-led approach, NCR APTRA emarketing offers a lower cost of entry and faster speed to market than a typical in-house solution. The NCR Services team can provide proven technical expertise and strategic insights to help you build highly effective campaigns that optimize customer reach and conversion rates. Because of strong ongoing relationships with Internet service providers, NCR has the know-how to minimize messages being blocked as spam. In addition, messages are sent from a financially secure, government-audited data center, which further assures our ability to reach the recipient s inbox. Develop and execute promotional programs within minutes in response to merchandising priorities and competitive pressure

Conclusion 6 You can build customer loyalty quickly with NCR Advanced Marketing Solution. Craft incentive offers based on basket size, item mix, loss leaders or other parameters. Deliver messages across multiple channels, including email, web and the POS. Readily coordinate and manage offers, points programs or incentives, then view real-time results. Do it all direct from your desktop, while reducing the need for operational and IT support. Keep your incentive program success right on target with NCR Advanced Marketing Solution. To find out more about how you can drive customer loyalty through enterprise offer management, contact your local NCR sales representative, send an email to retail@ncr.com or call 1-800-CALL NCR.

Why NCR? With over 125 years of retail experience, NCR is a leading global provider of assisted- and self-service solutions. We help our clients around the world improve their customer interactions, implement change quickly and proactively, and transform their businesses to become leaders and change agents. We can help you, too. NCR Corporation 2651 Satellite Boulevard Duluth, Georgia 30096 USA For more information on NCR, please visit: www.ncr.com/retail Experience a new world of interaction NCR continually improves products as new technologies and components become available. NCR, therefore, reserves the right to change specifications without prior notice. All features, functions and operations described herein may not be marketed by NCR in all parts of the world. Consult your NCR representative or NCR office for the latest information. All brand and product names appearing in this document are trademarks, registered trademarks or service marks of their respective holders. 2010 NCR Corporation Patents Pending EB10221-0110 www.ncr.com