01302011 kh coupon data pool gs1 belgilux info session final

Coupon Data Pool

Jan SomersCEO GS1 Belgium & Luxembourg

Kurt HerregodtsProject manager Coupon Data Pool

© 2010 GS12

Agenda

• How is it going?

• Results survey

• Status GDSN - CDB

• GS1 Coupon Data Pool – concept

• Main innovations

• Benefits for retailers and coupon issuers

• Project milestones

• Costs

• Conclusions & questions

© 2010 GS13

How is it going?

• Slower progress than expected

• But we are on track with the GS1 community

(see GDSN)

• A project for GS1 members and by GS1

members

• Main objective: win-win for everyone

• More efficiency and less costly as today

• We must better manage our data

• Internal quality assessment takes place

• Yes it is a change

© 2010 GS14

Coupon Data Pool

GDSN

New coupons in

Coupon Data Pool

Clearing

© 2010 GS15

Coupon Data Pool

GDSN

New coupons in

Coupon DP

Clearing

© 2010 GS16

Results survey

Out of 259 potential coupon issuers 199 filled out the survey

© 2010 GS17

Results survey (2)Present in GDSN ?

© 2010 GS18

Results survey (3)Top 70 coupon issuers

© 2010 GS19

GDSN – Central Data Bank

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Feb 2009

Dec 2009

Jan Feb Mrt Apr May Jun Jul Aug Sep Oct Nov Dec

# companies in 2010

© 2010 GS110

GDSN – Central Data Bank

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2000

4000

6000

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10000

12000

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16000

Unique Base Items

Total Base Items

© 2010 GS111

The concept

© 2010 GS112

Main innovations

• Seamless integration of Coupon Data Pool with GDSN

via CDB Data pool

Automated link of GTIN (EAN-13 and 8) with the coupon

single-sign-on for coupon issuers and retailers via web-

user-interface

increased data quality and consistency in both data

pools (CDB and Coupon Data Pool)

• Flexible features for management of Coupon Families

(GTIN-families, e.g. for one brand): simplifies handling

and increases data quality significantly

© 2010 GS113

Main innovations

• Fraud prevention, i.e. consumers can no longer present

a coupon without having purchased the product

• As a consequence, misredemption drops (- 4 %)

• Difference with current clearing in Belgium &

Luxembourg:

link between GTIN and coupon

no more paper clearing

© 2010 GS114

Coupon types supported

• 50 Cents off when buying one or more products out of a range

(e.g. some products or whole brand with several GTINs)

• Buy 1 or more products and get 1 free

• Product for free (100% discount for a specific product)

• Buy 2 small/cheap packages or 1 large/expensive package and

get 2 € off

• Buy 5 products for at least 8 EUR and get 4 EUR off

• Buy 1 product for at least 4 EUR and get 1 EUR off

© 2010 GS1

Campaign-promotion-coupon

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© 2010 GS1

Campaign

• Can consist of different promotions, especially when

different face values are used within a campaign

• Budget can be managed on campaign level

© 2010 GS1

Promotion

• Can consist of different coupons

• Budget can be managed at promotion level

• All coupons of a promotion have the same face value

© 2010 GS1

Coupon

• One coupon can only belong to one promotion

• Coupon code is assigned to one coupon

© 2010 GS1

Example

Campaign

Reckitt

Powerbrands

Budget: € 50K

Promotion

Calgon

01.01.2011-30.06.2011

2 products € 5 off

Budget 30K

Powder 950g – gel 750 ml – tabs 45 pieces

Coupon

9830001015007

Medium: Magazine A

01.01.2011

Number of coupons: 100K

Coupon

9830001025006

Medium: Magazine B

01.01.2011

Number of coupons:70K

Promotion

Finish

01.04.2011 – 30.06.2011

1 product € 2 off

Budget 20K

Tabs – 90 pieces

Coupon

9830001032004

Medium: coupon on pack

01.04.2011

Number of coupons: 20K

© 2010 GS120

Benefits for retailers

• Eliminated costs of paper coupon handling; audit proof

processes

• Accelerated check-out process handling

• Coupon market transparency (retailers can see all

current coupons on the market including coupon

attributes)

• Eliminated invoice discrepancies through high data

accuracy

• Accelerated reimbursement cycle

• Smart data quality tools validates coupons- and

master data for an efficient check-out handling

• Meal voucher

© 2010 GS121

Benefits for coupon issuers

• Elimination of redemption errors

• Minimized coupon fraud

• Transparency through redemptions reports

• Easy Promotion Management through Coupon Family

Management Tool

• Support for bilateral coupon campaigns

• Faster and enhanced redemption reports on a weekly

basis

• Drop in misredemption (-4 % = 6 MiO coupons)

• Less costs

© 2010 GS122

Drop in misredemption

Misredemption = using the coupon without the product

bought

If 150.000.000 coupons on Belgian market

1 % misredemption

= 1.500.000 coupons

x € 0.80/coupon (*)

= 1.200.000 € /200 coupon issuers

= 6000 €

However, misredemption is estimated at 4%/year …

* average face value source HighCo Data

© 2010 GS123

Coupon Data Pool

GDSN

New coupons in

Coupon Data Pool

Clearing

© 2010 GS124

Project milestones (1)

• As of January 1st: no more coupon issuer numbers via

HighCo Data

• February 1st: information session

• February 1st – 28th: collect coupon issuer master data

and sample existing promotions

• March 1st - March 15th: upload coupon issuer master

data and sample existing promotions in test

environment and feedback to coupon issuers

• May: labo testing all scenarios

• Latest April 15th : test HighCo Extranet interface

• March 14th – 18th: training GS1 staff

© 2010 GS125

Project milestones (2)

PHASE I – PILOT

• March: define pilot coupon issuers (5-10)

• April: define pilot Delhaize and Carrefour store

• Before April 15th : all products (coupon related) of pilot

coupon issuers on GDSN/CDB

• May 2nd – 6th : 1 day training (TBC)

• May 23rd – 31st : final upload existing promotions and

validation in live environment

• June 1st onwards: • possibility to create new promotions in Coupon Data Pool

• automatic link to HighCo Data

• June 15th : start pilot in 2 stores (one Delhaize/one

Carrefour)

© 2010 GS126

Project milestones (3)

PHASE II – ALL COUPON ISSUERS

• Before May 31st : all supplier products on GDSN/CDB

• June - July: training

• As from 1/7: all coupon issuers can connect to Coupon

Data Pool

• July 18th - 31st: upload existing promotions in live

environment

• August 1st onwards: create new promotions in

Coupon Data Pool

• August 16th: roll out in 2 pilot stores (one Delhaize &

one Carrefour)

© 2010 GS127

Project milestones (4)

PHASE III – PRE LIVE

• Testing of

• GS1 backoffice (invoicing procedures)

• Clearing documents/related procedures

• Error handling procedures

• Redemption data of Delhaize

• Redemption data of Carrefour (from December)

• Timing: as of August 16th

© 2010 GS128

Coupon Data Pool

GDSN

New coupos in

Coupon DP

Clearing

© 2010 GS129

Project milestones (5)

PHASE IV - LIVE

• The manual clearing with HighCo Data

stops

• The Coupon Data Pool takes over

• For each coupon scanned at the till,

GS1 will now invoice

• Timing: depends largely on retailers

timing

© 2010 GS130

Important to know

• Our common objective: in phase 1 to 3, we want to

test and improve the system until it is perfect

• There is no way back

• In phase 1 tot 3: clearing will be done by HighCo Data

so no interruption of business

• As from phase 2: all new campaigns have to be

created via the Coupon Data Pool

© 2010 GS131

Invoicing as of phase 2

• Once connection made to Coupon Data Pool (phase 2

- as of July 1st, 2011), a flat fee will be invoiced

• No fee for each scanned coupon in phase 1 to 3

• Start up fee = once

• Conditio sine qua non: be a member of GS1 Belgilux

Turnover in 000 € Flat fee 2011 in € One time start-up fee in €

< 2500 € 170 670

from 2500 to <6000 200 805

from 6000 to <12000 255 1005

from 12000 to < 25000 305 1210

from 25000 to <125000 385 1545

from 125000 to <750000 505 2000

> 750000 590 2345

© 2010 GS132

Invoicing phase 4

• Once Live – phase 4 – retailers do not send their

coupons anymore to HighCo and will implement the

Coupon Data Pool for their integrated supermarkets

• Fee for each scanned coupon = 2.4 Eurocent to be

paid to GS1 Coupon Data Pool

• Flat fee to be paid by the coupon issuer to the retailer :

tbd but around 5 Eurocent

• Board of GS1 requested volume reduction, so your fee

for each coupon scanned in phase 4 could drop to 1.7

Eurocent

We think we are competitive!

© 2010 GS1

Why phased approach?

• Test the system and its procedures

• Give everyone sufficient time to be in time

• Allow you, the retailers and us to test

• HOWEVER the retailer cannot test if

the data is not in the Coupon Data Pool

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© 2010 GS1

Phase 1 to 3

• Coupons scanned at the till

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June August September October

%

© 2010 GS135

How to get started?

• Be in time

• Prepare your company

• Make multidisciplinary teams

• You are in a GDSN Data pool?• Check if your GTINs for target market Belgium and Luxembourg are

up to date for couponing

• You are not in a GDSN Data pool?

• Start immediately to enter your data in the GS1 Belgilux CDB or

another GDSN Data pool

• Our experience: takes approx. 3 months before you are live (if

machine-to-machine communication), 1 week (if input via web-

interface)

© 2010 GS136

How to get started?

• Update your staff data on GS1 website!

• How ? www.gs1belu.org member login

© 2010 GS137

FAQ?

• Do all coupons from 1/8/2011 need to be created in the

Coupon DP YES

• Can I make a coupon from 1/8/2011 without being

connected to GDSN NO

• Will other clearing houses get the coupon data once the

coupon has been created in the Coupon DP YES, we

will feed the extranet of HighCo

• Will all coupons be redeemed by the Coupon DP? NO

only Carrefour and Delhaize for the moment and as

from the live phase

© 2010 GS1

CONCLUSION

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DASHBOARD ALL COUPON ISSUERS

1 FEBRUARY 1-28COLLECT MASTER DATA AND

SAMPLE EXISTING COUPONS

2 MAY 31ALL COUPON ISSUERS

PRODUCTS ON GDSN

3 JUNE-JULY TRAINING

4 JULY 18-31UPLOAD EXISTING COUPONS IN

COUPON DATA POOL

5 AUGUST 1CREATE NEW PROMOTIONS IN

COUPON DATA POOL

6 AUGUST 16 ROLL-OUT

Contact DetailsGS1 Belgium & Luxembourg

Koningsstraat 29 Rue Royale

1000 Brussel/Bruxelles

T + 32 2 229 18 80

F + 32 2 217 43 47

W www.gs1belu.org

E [email protected]