© 2006 Hewlett-Packard Development Company, L.P.

© 2006 Hewlett-Packard Development Company, L.P.The information contained herein is subject to change without notice

HP PurchasEdgeOverview

Mike Gibson

March 22, 2007

2 April 8, 2023

PurchasEdge program overview

• Allows customers to earn points toward

free HP products and services for

buying HP Supplies (like print

cartridges, storage media, and paper)

• Members earn 1 point for every $4 spent on qualifying supplies

• Started in 1998

Customizedstatements

Rewards

Exclusivepromotions

Value-addedWeb

content

SupportCenter

TCE

Members enrolled through promotions,resellers, and direct marketing strategies

HP PurchasEdge is designed to maintain and increase B2B customer

loyalty for resellers and HP supplies.

3 April 8, 2023

Customers get free HP products, resellers get loyal customers

HP PurchasEdge is a rewards program for loyal HP customers and helps resellers enhance customer relationships.End Customer Reseller

Free HP products for purchasing qualifying supplies.Free Products include (printers, digital cameras, PDAs and more)

Resellers see increased sales as members redeem points for products which consume supplies

Simply earn and redeem for free HP products. Resellers submit the necessary information

Creates a “value add” service which promotes customer loyalty. Electronic invoice submission makes reporting fast and simple

Increased customer rewards with quarterly promotions

Promotions provide greater member return and encourages additional supplies purchases

4 April 8, 2023

160%

140%

120%

100%

80%

60%

40%

20%

0%

1 2 3 4

40.97%

71.42%

102.97%

138.48%

Years in Program

Linear Growth

Member supplies purchase growth in PurchasEdge program through 2005. Average CAGR: 36.5%

Average supplies growth

5 April 8, 2023

FY06 resultsTop 10

Resellers

FY06 purchase submissions

Reseller 1 $177,549,753

Reseller 2 $101,176,456

Reseller 3 $71,986,389

Reseller 4 $34,883,758

Reseller 5 $31,178,983

Reseller 6 $20,154,213

Reseller 7 $12,437,803

Reseller 8 $11,051,342

Reseller 9 $8,948,863

Reseller 10 $8,628,296

Top 10 total $477,995,861

Total $605,564,188

Data as of 10/02/06

• 600 new Independent Resellers

• Over 40,000 members

• 35% annual member growth

• 78% SMB members

6 April 8, 2023

FY 06 YTD Redemptions

6 April 8, 2023

LaserJet detail:

4,678 (71%) Mono

1527 (23%) Color

293 (4%) AIO

92 (2%) MFP

inkjet detail:

2,069 (35%) Deskjet

1,746 (30%) Officejet

1,412 (24%) Photosmart

360 (%) Fax

274 (5%) Business Inkjet

7 April 8, 2023

Direct reseller integration model

customer

Purchases suppliesRedeems points

Data flow

transactional data

reporting data

reseller PurchasEdge

8 April 8, 2023

Data flow

transactional data

Purchases supplies

Redeems points

reporting data

Indirect reseller integration model

end-usercustomer

PurchasEdgeresellerecommerce service provider

9 April 8, 2023

Data requirements• Able to track and report purchases via a unique customer

identifier and include the following data fields:−Reseller ID (RID)−Reseller customer ID (RCID) or PurchasEdge member ID

(PID)−Invoice date−Invoice number−Product number (HP SKU)−Product quantity−Product price (price paid per item)

• Able to export customer data in one of two acceptable formats:−XML (extensible markup language)−Tab-delimited text (text file with values separated by

spaces, can be exported directly from Excel)

10 April 8, 2023

PurchasEdge enrollment processInvitation by reseller rep

Registration benefits:

• View detailed information about customers invited to the program

• Automatically populate contact in customer invitations

• Access secure content on the PurchasEdge Reseller Web site

• Include personal note in customer invitations

Reseller rep registration URL:www.purchasedge.com/go/registration/resellername

Step 1: Reseller rep registers via co-branded online form

11 April 8, 2023

Features:

• PurchasEdge system verifies customer is not already enrolled or has not previously declined to participate

• Customer profile provided by reseller rep is pre-populated for customers who opt in

PurchasEdge enrollment processInvitation by reseller rep

Step 2: Reseller rep fills out invitation form for customer

12 April 8, 2023

Features:

• Invitation e-mail has link to co-branded reseller enrollment form

• If invitation is declined, customers opt-out status appears on PurchasEdge Web site; no further action is taken

PurchasEdge enrollment processInvitation by reseller rep

Step 3: Customer receives invitation to PurchasEdge

13 April 8, 2023

Features:

• Completed applications sent to PurchasEdge Support Center for approval

• Once approved, a welcome e-mail is sent to both the new member and their reseller rep

PurchasEdge enrollment processInvitation by reseller rep

Step 4: Customer fills in information not previously provided by rep and submits form to complete application process

14 April 8, 2023

New Member Welcome Kits

Includes:− Program overview

− Terms and conditions

− Support center contact information

Mailed to new members following enrollment approval

15 April 8, 2023

New Member Website

• Log-in page

• New program demo (Flash 6.0)

New site provides significant

improvements:

− New shopping cart redemption interface

− Updated invoice tracker and account management tools

− Added content/messaging

www.purchasedge.comUser name: sample

Password: 99999

16 April 8, 2023

Promotions Example• New promotions each

quarterly

• Increased point rewards

• Product discounts

17 April 8, 2023

e-Statements• Opt-in, quarterly frequency

• Account information, including point balance

• Content briefs, with push to website for complete story

• Periodic promotions

• PE Support Center contact information

18 April 8, 202318

Marketing materialsAvailable at www.purchasedge.com/reseller

•Reseller Fact Sheet

•Member Fact Sheet (customizable)

•HTML e-mail

•Telemarketing script

•Direct Mailer (customizable)

•Reseller Brochure

•Member Brochure

•Web banners (customizable, available on www.purchasedge.com)

Brochures

Direct Mail

Fact Sheets

Telemarketing Script HTML e-mail and web banners

19 April 8, 2023

Getting started1. Obtaining a Reseller ID (RID)

> Resellers who use an ecommerce service provider like ECI2/DDMS,

Red Cheetah, Britannia or tBN regarding how to obtain a RID and set

up automated invoice submission.

OR

> All other resellers should contact PurchasEdge directly at [email protected]

20 April 8, 2023

Getting started2. Target

> $500 annually in HP supplies

> SMB focused> Value driven

3. Invite (3 touch approach)1 - Web Banner 2 - Email 3 – Follow-up Call

Two banners to choose from or rotate all

Link to custom co-branded enrollment form

Easy and cost effective to implement

Professional html email template

Pre-populate online customer enrollment and view status

Easy and cost effective to implement

Secure customer interest by calling to answer any questions and to re-enforce enrollment

21 April 8, 2023

PurchasEdge Contacts

PurchasEdge Support [email protected]

Reseller Integration SupportMark [email protected]

HP Program ManagerDavid [email protected]

Marketing & PromotionsMelissa [email protected]

New Reseller IntegrationsMike [email protected]

Questions?