july atlanta meeting example

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BUSINESS OVERVIEW Segment Sales – YTD, 1H15 YTD 1H15 POS Sales, +0.9% with current OH$ (15.0%) Car accounts for 93% of the sales leaders POS $’s and Beads accounts for 89% of losing segments while inventory has dropped 11 pts overall in comparison to pre- hutch change Source: Sky IT, thru wk. 23 fiscal calendar (w/e 6.13.15) YTD Sales by Segment (thous) YOY Sales by Segment % chg. YTD OH $ by Segment (thous) YOY OH by Segment % chg.

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Page 1: July Atlanta Meeting example

BUSINESS OVERVIEWSegment Sales – YTD, 1H15

YTD 1H15 POS Sales, +0.9% with current OH$ (15.0%)Car accounts for 93% of the sales leaders POS $’s and Beads accounts for 89% of losing segments while inventory has dropped 11 pts overall in comparison to pre-hutch change

Source: Sky IT, thru wk. 23 fiscal calendar (w/e 6.13.15)

YTD Sales by Segment (thous) YOY Sales by Segment % chg.

YTD OH $ by Segment (thous) YOY OH by Segment % chg.

Page 2: July Atlanta Meeting example

BUSINESS OVERVIEWSegment Sales – L8W Trend Pre-Hutch Change

Sales Trend Pre-Hutch Change, +15.7% with current OH$ (4.3%)Prior to the hutch change, Car accounted for 2/3 of the sales leaders POS increase with 4X the growth rate of Jar Candle while Beads were the only losing segment, dropping -2.8 pts. of sales mix despite a 23% OH$ increase.

Source: Sky IT, thru wk. 15 fiscal calendar (w/e 4.18.15)

YTD Sales by Segment (thous) YOY Sales by Segment % chg.

YTD OH $ by Segment (thous) YOY OH by Segment % chg.

Page 3: July Atlanta Meeting example

BUSINESS OVERVIEWSegment Sales – L8W Trend Post-Hutch Change

Sales Trend Post-Hutch Change, (7.4%) with current OH$ (15.0%)After the hutch change, our largest category Jar Candle accounted for 2/3 of lost business segments and Car ran at ¼ the pace of pre-hutch change with more than half the YOY OH $ decrease.

Source: Sky IT, L8W fiscal calendar (w/e 6.13.15)

YTD Sales by Segment (thous) YOY Sales by Segment % chg.

YTD OH $ by Segment (thous) YOY OH by Segment % chg.

Page 4: July Atlanta Meeting example

BUSINESS OVERVIEWCar

Source: Sky IT, 2013 – 2015, fiscal calendar (w/e 6.13.15)

Car Sales Trend 2013-present

Car YTD 1H15 POS Sales, +18.9% with current OH$ (27.4%)Car continues to grow in mix, +6.1 pts, and overall sales. The July spike is vacation driven and the average weeks are 3x v. rest of spring. The 2/$10 Feb promotion outpaced LY $3.99 offer by 47% and improved the average ticket 30%.

Page 5: July Atlanta Meeting example

BUSINESS OVERVIEWREG Tumbler

REG Tumbler average weekly sales $ per fragrance are on par with the MED Jar and behind the iconic LG Jar by (20%) since joining FOM. Prior to the hutch change, Jar Candle sales were +9.6% with the stronger inclusion of REG Tumbler in 12 fragrances.

Source: Sky IT, 2015 YTD fiscal calendar (w/e 6.13.15); Spring Assortment fragrances only; REG Tumbler 12 fragrances v. 20 for LG/MED Jar

Avg. Wk. Sales $ per Fragrance L8W Trend

Page 6: July Atlanta Meeting example

BUSINESS OVERVIEWFOM

FOM performed well Feb – Apr, +17%, but has had a (34) pt. swing for May – JunEarly spring success with new fragrances and forms (Samplers, Tarts, and REG Tumbler)New fragrances had a similar change in sales trajectory with the hutch disruption, +52% early then a (74) pt. swing

Source: Sky IT, FOM thru (w/e 6.13.15)

FOM Sales by Month and YOY % Change