FAMOUS FOOTWEAR GRAND OPENINGS GMR // 1.14.11
Dec 16, 2015
FAMOUS FOOTWEAR GRAND OPENINGSGMR // 1.14.11
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© 2010 GMR
INTRODUCTIONS
Brad Bergren – Senior Vice President Client Management
Bill Blank – Senior Director Client Management
Jenny Strachota – Account Supervisor
Jaclyn Mullahy – Account Executive
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AGENDA
Value Proposition / Why GMR?
Project Understanding
Proposal Review
Q&A
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STRATEGIC OVERVIEW
How will we innovate and improve?
Add Program Innovations Which Will:
• Build on foundation of effective work
• Resonate best with target
• Be efficient for store management – allow them to size and sell
• Bring customers inside our stores rather than entertaining them outside the store
• Enable measureable success
• Point toward purchase – both at opening and beyond
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GMR VALUE PROPOSITION
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GMR VALUE PROPOSITION
Why continue the relationship with GMR for Famous Footwear Grand Openings?
We believe a collection of credentials differentiate and elevate our offering:
1. More than 30 years of cross-industry event management work
2. Marketing specialists – all under one roof
3. Cross pollination of Grand Opening best practices
4. Operational excellence
5. Thinking beyond the project
6. Leads and Loyalty programming
7. Research and insights, especially for Mom
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AGENCY OVERVIEW
Over 30 years of engagement marketing expertise
Founded in 1979
One of the most experienced and awarded marketing services firms in North America, and now global
Thousands of brand engagements that captivate consumer attention, influence opinion and change behavior
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CLIENT RELATIONSHIPSGMR works to build long term relationships with clients
1979
Miller Brewing Company
1994
Johnsonville Sausage
1997
Beam Global
1998
Mercedes-Benz USA
1999
Lowes
1999
Major League Baseball
1999
Microsoft Corp
2000
Visa International
2000
PepsiCo, Inc.
2001
Intel Corp
2002
Best Buy Co.
2002
Kimberly-Clark Corp
2003
Gillette / P&G
2003
Famous Footwear
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IN-HOUSE MARKETING SPECIALISTS
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GRAND OPENING CROSS-POLLINATION
Grand Opening Experience
More than 1000 grand opening events for our clients
Famous Footwear Grand Openings will continue to benefit from cross pollination
Grand Opening Best Practices
• Landlords Rule
• Store manager strapped
• Offers, especially at opening
• Immediate gratification
• Must fit into targets life
• Continue the transaction dialogue post event
• Bells and whistles drive limited incremental revenue
• Involve community
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OPERATIONAL EXCELLENCE
1000+ Grand Openings and 30 years of event production work are a credit to GMR’s operational excellence day in and day out
Trusted expect greatness in each event
Turn Key minimize client burden and worry for all details
Flawless plan for challenges then avoid them or correct immediately
Day Staff field marketing professionals, trained on the essentials
Scalable based on need, we can expand the team
Centralized command center creation for concurrent events
Financial managing expectations inside financial parameters, transparency
spend client dollars as if they were our own
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THINKING BEYOND THE PROJECT
In the GMR DNA to constantly think ‘what next’ for our Client
Always sensitive to objectives, vision, confidentiality and financials
2008: Girls Night Out, Mobile Tour, Jordan Pruitt Promotion, “Make Today Famous” campaign extension
2009: What’s Your Flavor mobile attraction, sampling partnership consultation and sell sheet
2010: Wellness mobile tour and event planning, Grand Opening Fashion Shows, NYC Grand Opening event concepts, location market activation, event in a box concept, Nissan partnership exploration, Harlem ideas
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RESEARCH & INSIGHTS
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WE KNOW MOM - OVERVIEW
Famous Footwear has told us:
Target: Mom
Age: 25-49
Attitudes: Connected to her community
Looks to her shopping experience as a way to find the right shoe
with both the fashion and the function, make her day and leave happy
Mom Insights Statistics, Mantras, Internal Mom Survey
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WE KNOW MOM - STATISTICS
25-49 age range includes three generational segments
Millennial Mom (25 to 28 years old)
Attitudes: Staying in touch, on-the-go , stylish, tools and gadgets keep her connected, professional
Gen X Mom (29 to 41 years old)
• Attitudes: self-coaching mantras ‘keep it simple” , take on what can be handled, minimize burdens
Boomer Mom (42 to 49 years old)
• Attitudes: time crunched, but a master of juggling family and work life , short and easy retail engagements
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WE KNOW MOM - MANTRAS
Mantra 1: “Today’s moms are savvy and discerning”
• Brands must communicate with her honestly and respectfully
• Creating brand evangelists out of consumers is a powerful marketing tool when marketing to
mom; it leverages her information network
Mantra 2: “Technology has changed how moms interact with friends and brands”
• Brands will need to adapt to and leverage new technology to reach women effectively
• Technology is also providing mom with more information and choices making it critical that a
brand be genuine, transparent and provide a real benefit
• Technology provides the opportunity to build and maintain relationship with mom, but brands will
have to treat the relationship with as much care as personal relationships
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WE KNOW MOM - MANTRAS
Mantra #3: “Moms define themselves differently today, ‘mom’ is only part
of who she is.”
• Brands must recognize the whole person, not just mom
• Marketing efforts can leverage this broader self view by providing both product value
and personal pleasure or reward, building both an emotional and rational connection
• While family remains the priority, mom has interests and activities outside of the
family which influence her brand choices (causes, conveniences, time-savings, etc.)
Research from: “What Moms Think and Do, Their Attitudes And Behavior As Consumers, Toward Work, Online And As Moms” by the Editors of EPM Communications; The Wonder Group / Dave Siegel; The New Super Consumer Mom and Kid / Coffey, Siegel, Livingston
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WE KNOW MOM - INTERNAL SURVEY
GMR utilizes a Resident Authority Database to mine insights from employees
Question 1: What would make you visit a Famous Footwear Grand Opening event if it was happening today?
Common Answers
“As a working mom, my time is limited”
“Great discounts / >30%”
“Giveaways / Prizing”
“Personalized invitation with reminders”
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WE KNOW MOM - INTERNAL SURVEY
Question 2: Is there anything additional you would want present at the store/onsite if you went today?
Common Answers
“Allow me to shop, don’t distract me”
“Staff available to help with sizing”
“Sizes available in the look I love for a great deal”
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WE KNOW MOM - INTERNAL SURVEY
Question 3: Is there anything you would not want present at the store event if you went today?
Common Answers
“Pushy sales people, I know what I want”
“Give me offers I can use now”
“A circus of experiences beyond shopping”
“Get me in and out quickly”
“Don’t distract my kids creating ‘mommy, mommy’ “
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WE KNOW MOM - INTERNAL SURVEY
Question 4: Are there any other things that could have an impact on your experience if you went today?
Common Answers
“Ample selection in both style and sizes”
“Need to know the date in advance, remind me”
“Don’t bombard me with hoopla, let me buy”
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WE KNOW WHAT MOM WANTS AT GRAND OPENING
Common themes inform our recommendation:
“Exclusive Offers / Real
Benefit”
“Invite Me, Remind Me”
“Simplify My Shopping
Experience”
“Help me manage my
kids”
“Sensitive to my errand
time”
“Fit into my schedule, not the opposite”
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PROJECT UNDERSTANDING
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PROJECT OBJECTIVES AND ASSIGNMENT
Project Objectives
• Drive traffic and sales, especially new-to-Famous customers, to grand opening events
• Create an event model which is has repeatable and proven method and measurement
• Create a turn-key experience that can be executed simultaneously in multiple markets
• Execute all grand opening events within one to two weeks of official store opening
Assignment
• Efficient and cost effective solution to grand opening needs
• Elevate the effectiveness, event length, and reach of our current activation programs
• Recommend enhancements including but not limited to partnerships and social media to both enhance customer experience and drive traffic
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AGENCY ASSUMPTIONS
1. Event model evolved from 2010 version to include added traffic ideas
2. Corporate, regional and local management would handle portions of social network and partnership work with consultation and guidance from GMR (details to follow)
3. Famous Footwear will assume operational ownership on several program areas including Media, PR, Creative Design & Production, School/Merchant outreach, Social media push, offer development.
4. Provide level of data analysis consistent with 2010 model
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AGENCY ASSUMPTIONS
5. Budget Development
• Based on information provided from Brown Shoe via email during initial response
• $15,000-$20,000 per event budget where (1/2 of total covers radio / media / PR)
• Yields $7,500 - $10,000 per location for activation
• 40 Grand Opening events
• $400,000 (or less) target budget
• Includes of extra event day and partner purchase of all prizing inside budget
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PROPOSAL REVIEW
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STRATEGIC APPROACHKeep current programming at core – day staff, Shoe Crazy, early bird, radio remote
Expand program by adding relevant and cost sensitive innovations designed to improve experience and drive traffic to store
Sensitive to loading additional responsibility on corporate, region, store – easily activated ideas
Offer consumers what they want – valuable offers and a reason to believe in the new Famous Footwear offering
Longer Event One Day to Two Days
CURRENT PROGRAM
Minimal Incremental
Expenses
Localized Merchant
Partnerships
Increased Consumer Prize Pool
Offer Distribution via Social
Media
Neighborhood Outreach
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APPROACH & METHODOLOGY
INShoe Crazy, Offers,
Staffing
ATHyper-LocalPartnerships
NEARSocial Media Awareness
and Couponing
AWAYNeighborhood
Outreach
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APPROACH & METHODOLOGY – “IN STORE”
Innovation to the In-Store Plan
Duration Migrate event from one day to two days (Saturday & Sunday)
Consider after hours preview on Friday
Shoe Crazy :30 Shoe Crazy shopping sprees – occur every hour on the hour (1-4)
Increase daily prizing to award more people more often
Offers Early Bird discount – 30% (or better) off entire purchase (10a -12p)
Bounce Back Coupons
Staff GMR-hired / trained staff onsite to manage event activations
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APPROACH & METHODOLOGY – “AT STORE”
GMR recommends a hyper-local partnership model at the mall / property level
Challenges of National Partnerships
• Finding mutual desire – both partners “need to need” each other
• Ensuring a balance of value between partners – the “win/win”
• Aligning priorities beyond target – geography, timing, message
• Translation to the local level – partner proximity to FF location
• Frequent dead ends make for a time consuming and costly endeavor
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APPROACH & METHODOLOGY – “AT STORE”
GMR recommends a hyper-local partnership model at the mall / property level
Why Hyper-Local?
• Neighbors will help neighbors with cyclical offers
• Leverages existing shopper patterns at the property
• Customizable and trade-based
• Relatively informal
• Can create the illusion of a national partnership
• Builds relationships with the immediate merchant community
• Examples: LaSalle Bank, T-Mobile
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APPROACH & METHODOLOGY – “AT STORE”
FF
Furniture
Friday’s
TJ Maxx
VerizonMajor
Grocery
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GMR recommends a hyper-local partnership model at the mall / property level
How Does It Work?
• GMR creates turn-key toolkit for local use – offer templates, suggestions, prospect listings of local merchants, instructions, reporting documents
• Regional / Local Managers network with peers at merchant partners on and near property to discuss informal, mutually-beneficial traffic driving offers (GMR can manage if needed)
• Famous will “bag stuff” offers from hyper-local merchants
• When successful, customers of all merchants become mutually-aware and incentivized
• Sky is the limit – ambitious managers can make this what they want
APPROACH & METHODOLOGY – “AT STORE”
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APPROACH & METHODOLOGY – “NEAR STORE”
How Does It Work?
• GMR consults on creation, Famous manages Facebook presence
• Blasts the community 2 weeks prior
• Encourage current friends to “like” on FF’s Facebook page to receive a $10 off “shareable” coupon
• The “initiator” shares the coupon with five friends (or more)
• If five friends redeem the coupon during the first 30 days a store is open, the “initiating “ friend receives a voucher (offer value TBD)
• GMR to connect with local mommy bloggers to participate and receive further incentive to show up at the event, blog about the experience and post pictures on social networks to drive additional traffic
• FF to promote local radio stations to drive traffic to Facebook site
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APPROACH & METHODOLOGY – “NEAR STORE”
Deal-of-the-day websites have become the rage
Interesting for FF grand openings, these sites allow offers to be administered on a local level
Groupon provides daily deals on cool local businesses
• GMR to develop and contract a deal for the Grand Opening event in the market where the store is opening
• Deals get passed along virally to friends/family or posted to social networks
• FF to tie in incentive to share on social networks; receive additional offers
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APPROACH & METHODOLOGY – “AWAY FROM STORE”Schools
• Stores connect with mom and tween target through local school partnerships
• Famous Footwear identifies 5 local schools
• GMR to develops simple toolkit with templates for store to customize and distribute
• Famous Footwear contacts local schools to introduce the program
• Each coupon used associated with that particular school during the GO event will get a $1 (or more) donated back from Famous Footwear following the event
• Seasonally adjustable concept will work around buying periods (BTS) and other existing fundraisers
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APPROACH & METHODOLOGY – “AWAY FROM STORE”Shoe Reuse Donation
• Partner with local cause to be onsite accepting shoe donations
• Donate shoes and receive discount valid during grand opening only
• Donation “ceremony” to local cause group during event
• To add additional buzz FF/PR agency to invite local TV news anchors, celebrities, well-known people around the city to donate shoes and participate in a shoe crazy shopping spree
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APPROACH & METHODOLOGY – TIMELINES
6 5 4 3 2 1
WEEKS OUT
IN
AT
NEAR
AWAY
STAFF SEARCH STAFF TRAINING
INITIAL STORE
CONTACT
DETAIL BRIEF WITH
STORE
STORE RECEIVES PARTNER TOOLKIT
PARTNER OFFERS FINAL
STORE NETWORKING WITH HYPER-LOCAL
PARTNERS
GROUPON NEGOTIATEDFACEBOOK
BLASTGROUPON AVAILABLE
TOOLKIT SCHOOL NETWORKING SCHOOL ANNOUNCE
SHOE DONATE PR
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APPROACH & METHODOLOGY – PROJECT TEAM
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APPROACH & METHODOLOGY – BWS RESOURCE EXPECTATIONS
Team Support
Planning insight
Goals and objectives insight
Direction / learning / results
Involve and engage
Program Support
Store communication support
Plan communication
Facebook management/fulfillment
Local planning leadership
Media/PR management
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APPROACH & METHODOLOGY – CRITICAL SUCCESS FACTORS
Front end involvement-help us understand good and great
Measures and metrics for success
Results involvement, allowing for course correction as needed
• Sales/coupons/tactics
Defined roles and responsibilities –Corporate/Field/Store/GMR
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BUDGET UNDERSTANDING
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BUDGET UNDERSTANDING
GMR Financial Model of Client Management
• Spend client dollars as if they were our own
• Hard good purchases pass thru to Clients
• Managing expectations inside financial parameters
• Transparency via monthly reporting
Project Management Team built by
monthly project need (% of hours)
level of staff required (by title)
quantity and type of support groups staff
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BUDGET UNDERSTANDING
Upper Limit Determination
• Based on information provided from Brown Shoe via email during initial response
• $15,000-$20,000 per event budget where (1/2 of total covers radio / media / PR)
• Yields $7,500 - $10,000 per location
• 40 Grand Opening events
• $400,000 (or less) target budget
• Inclusion of extra event day and partner purchase of all prizing inside budget
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BUDGET UNDERSTANDING
Additional Programming, Increased Budget
• In 2010 – 26 stores, 26 event days, during 8 months
• In 2011 – 40 stores, 80 event days, during 12 months
• 2010 GMR Budget / Store = $3,471
• 2011 GMR Budget / Store = $9,249
Budget additions driving the $5,508 per store increase
• Two days ($1860/store)
• Prizing now INSIDE GMR budget ($3337/store)
• Managing innovations to project ($311/store)
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BUDGET UNDERSTANDING
Opportunity to Scale Down
• Price can decrease to $5,331 per store if the following occur
• GMR removes involvement in retail permitting
• Movement of prizing budget back to Famous Footwear
• GMR Digital Consulting on Facebook & Groupon
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ESTIMATED PROJECT BUDGET
Program Element Estimated Cost Increase (+) / Decrease (-) from
2010 Budget
Assumption
Communications $932 $354 Usage has increased from 8 months to 12 months; Added 14 stores and increased events to 2 days
IT Services $10,100 $9,425 Includes general IT Services (- $75 from last year) and consultation fees for social media and / or Groupon ideas
Field / Crew Travel $500 ($750) Only used if a market is far from a main city and we have a diffi cult time securing staff.
Corporate Travel $3,820 $1,490 Includes (2) site checks – airfare, hotel, car rental, meals.
Staff Uniforms $2,633 $2,633 GMR to create uniforms for staff Field & Offi ce Supplies $2,208 $1,008 $50 Gift Cards for Event Managers (40 x $50 = $2,000);
Organizational supplies for training manuals – binders, tabs, CD / DVD
License & Permits $5,000 $5,000 Assume we may need to pay some city permits for any additional activation in parking lots or on streets near stores
Events Group Services $8,736 $8,736 Assume we may need the Events Group to secure city permits for additional activation in parking lots or on streets near stores
Risk Management $1,951 $1,051 Usage has increased from 8 months to 12 months; Added 14 stores and increased events to 2 days
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ESTIMATED PROJECT BUDGET (CONTINUED)
Program Element Estimated Cost Increase (+) / Decrease (-) from
2010 Budget
Assumption
Printed Materials / POS – Printing Only $415 ($84) Based on actual; Black & White copies for training manualsSweeps & Fulfillment $2,109 $976 Increase in Shoe Crazy events (40 stores x 2 event days x 4
shopping sprees per event = 320 events)Fulfillment Services $3,391 $152 Increase in Shoe Crazy events (40 stores x 2 event days x 4
shopping sprees per event = 320 events)Prizes $133,500 $133,500 As stated on the RFP call with all agencies, prizes are to be
included in overall budget. This includes a prize budget of $3,337.50 per store (40 stores) for 2 days to cover shoe crazy shopping spree prizing (8 total – assume $1,937.50 per store) and extra prizing (gift cards – assume $1,400) as mentioned in our plan.
Warehouse Shipping $2,095 $810 Added 28 shipments (14 stores x 2 shipments (to and from)).Warehouse Storage & Handling $305 $147 Added 28 shipments (14 stores x 2 shipments (to and from)).Administrative – Corporate $600 $525 Increase in number of training calls. To keep budgets down we
were using a FF conference code or direct dialing staff but it did not work out.
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ESTIMATED PROJECT BUDGET (CONTINUED)Program Element Estimated Cost Increase (+) /
Decrease (-) from 2010 Budget
Assumption
Creative Services $500 $500 Assume we will be purchasing uniforms for staff; includes 3 hours of purchasing time to locate uniform options and coordinate purchase with vendor
Temp Labor $57,680 + $40, 672 Increase is due to 2 day events, an increase of 14 stores and included training / recap time for EM; 1 Event Manager, 2 Assistants, 1 Back Up per market
Strategic Planning & Research Services $17,000 $4,250 Increase by 14 storesProgram Management $116,520 $69,344 Increase by $1,098.54 per store (2010 - $1,814.46 per store; 2011 -
$2,913 per store); Increased events to 2 days, planning and coordinating other elements (social media, local partnerships, additional in store activation elements), training 40 staff
2011 TOTALS $369,995 $279,739 $9,249.88 per store
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APPROACH & METHODOLOGY – MEASUREMENT
Historical Measurement
Store traffic
Sales by promotional period
Opportunity Measurement
Measure tactical tools
Attitudinal measurement
Additional comparative data
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AVERAGE HOURLY SALES BY PERIOD & PRE/DURING/POST EVENT DAYS
Average Total Sales for Period
Day Early Bird
Pre Event Days $442
Event Day $1,613
Post Event Days $574
Average Total Sales for Period
Day Shoe Crazy
Pre Event Days $657
Event Day $1,232
Post Event Days $757
Average Total Sales for Period
Day Post Event
Pre Event Days $373
Event Day $556
Post Event Days $401
10 11 12 13 14 15 16 17 18 19 20 21
$0
$200
$400
$600
$800
$1,000
$1,200
$1,400
$1,600
$1,800
$2,000
$2,200
$2,400
$279
$504 $542 $592$678 $687
$674 $475$499
$356
$371
$163
$1,331
$2,190
$1,320 $1,331
$1,069
$1,273 $1,254
$868
$696$585
$510
$123
$364
$578
$778 $750$857
$787
$635
$587 $498$433
$291 $194
Pre Event Days
Event Day
Post Event Days
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JULY/AUGUST 2010 CUSTOMER COUNTS – PRE, DURING & POST EVENTS
2923 2943 3117 3121 3124 3126 3127 3128 31290
200
400
600
800
1000
1200
1400
1600
1800
346.8
0
440
1286
204.8
749.130434782608652.8 693.6
1391.2
11461056
1652 1666
1533
1089
1288
1678
1531
336 357
528
1114
377
1155
819
484
0
Pre Event DaysEvent DayPost Event Days
Pre Event Days Event Day Post Event Days0
200400600800
1000120014001600
640
1404
574
All Stores
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QUESTIONS & ANSWERS
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2010 BUDGET DETAILProgram Element Estimated CostCommunications (Telephone / Cell Phones) $578 IT Services $675 Field / Crew Travel (Mileage for Temps if needed) $1,250 Corporate Travel (Placeholder if needed) $2,330 Field & Offi ce Supplies ($50 Gift Cards for staff) $1,200 Risk Management $900 Printed Materials / POS – Printing Only $499 Sweeps & Fulfillment $1,133 Fulfillment Services $3,239 Warehouse Shipping $1,285 Warehouse Storage & Handling $158 Administrative – Corporate (conference calls) $75 Temp Labor $17,008 Strategic Planning & Research Services $12,750 Program Management $47,176 2010 TOTAL $90,256 2010 TOTAL per STORE $3,471.38 per store