“Marketers have invested millions of dollars in gaining social media followers, yet few have had much luck following them to the sales that result. The speed and breadth with which social media platforms have grown has just made it too challenging to correlate a “like” with a specific transaction. But recent research from LoyaltyOne and leading universities does capture what a social media message translates to in improved sales, and it’s in the double digits. From this webinar, you will: • Learn the results of an extensive, two-year study that monitored the participation of thousands of AIR MILES Reward Program members • An Understanding of the immediate and long-term opportunities that exist • Learn of the important role loyalty programs play in achieving results • Discover the true value of a ‘Like’

1. The value of a LIKE:
How Social Media Can Drive Sales
Emmie Fukuchi
AVP, Digital, AIR MILES Reward Program

2. AMRP | September 24, 2013
All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc.
and any unauthorized use and/or any disclosure is strictly prohibited.
What is AIR MILES?
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 Canada’s premier coalition loyalty program since
1992
 More than 10 million active AIR MILES Collector
accounts
 There are 1,000 swipes card a minute, every
minute of every day, seven days a week
 We have over 200 Retail and Online partners
and 20,000 locations

3. AMRP | September 24, 2013
All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc.
and any unauthorized use and/or any disclosure is strictly prohibited.
Social is an Evolution of Our Strategy
3
• Direct Mail
• Email
• Web
Targeted
relevancy
• 1:1 mailings
• Digital
integration
Personalization
• Mobile
applications
• In-store
• Peer to peer
Accessibility
• Influence
• Channel+
content
relevancy
Social Media

4. AMRP | September 24, 2013
All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc.
and any unauthorized use and/or any disclosure is strictly prohibited.
AIR MILES Social Media Purpose
4
A venue for
advocates to
share their
passion and
provide input
Leverage
advocates to
influence other
consumers
Drive behavioral
change and
incremental
sales

5. AMRP | September 24, 2013
All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc.
and any unauthorized use and/or any disclosure is strictly prohibited.
2009
FB Fan
Exclusives
Pinterest
Launch
20122011
Facebook
Applications
Strong focus on Fan
Growth
Facebook and
Twitter Launch
2010
AIR MILES
Community
2009
Our Social Media Roadmap

6. AMRP | September 24, 2013
All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc.
and any unauthorized use and/or any disclosure is strictly prohibited.
6
Does Social Media impact sales?

7. AMRP | September 24, 2013
All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc.
and any unauthorized use and/or any disclosure is strictly prohibited.
7
Social drives a 15-30% lift in sales

8. AMRP | September 24, 2013
All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc.
and any unauthorized use and/or any disclosure is strictly prohibited.
8
Largest lift from medium/low segments

9. AMRP | September 24, 2013
All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc.
and any unauthorized use and/or any disclosure is strictly prohibited.
9
What we learned …
• Social media can drive incremental and sustainable
sales lift (when properly set up)
• Keep in mind the true meaning of social
• Integrate social with loyalty … tap into advocates to
influence others
• Identify and prioritize high potential consumers
• Measure the impact so you can optimize
• Consider this a test and R&D lab

10. AMRP | September 24, 2013
All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc.
and any unauthorized use and/or any disclosure is strictly prohibited.
AIR MILES & Facebook
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• Key social media platform for AIR MILES
• 745,000 Fans (top 5 brands in Canada)
• over 500,000 fans acquired in 2011
• AIR MILES Collectors:
• 86% use social media
• 95% of them are on Facebook

11. AMRP | September 24, 2013
All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc.
and any unauthorized use and/or any disclosure is strictly prohibited.
11
Facebook Questions
FB Status Updates
How we use Facebook
Facebook Ads
Customer Service

12. AMRP | September 24, 2013
All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc.
and any unauthorized use and/or any disclosure is strictly prohibited.
12
Social Media drives engagement
1 2 3 4 5 6 7 8 9 10 11
TransactionalValue(AM/Coll)
Month
Impact of Facebook Engagement on
Transactions
FB Users Baseline
Post FB Join
1%
6%
5%
Avid Moderate Passive
Transactional Lift by Program Engagement
– After 3 months FB Engagement
3%
10%
13%
Avid Moderate Passive
Transactional Lift by Program Engagement
– Within 3 months FB Engagement

13. AMRP | September 24, 2013
All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc.
and any unauthorized use and/or any disclosure is strictly prohibited.
13
How do we optimize Facebook posts?
• Be short and to the point
• Include a call to action early
• Be timely and relevant
• Use photos and videos
• Think like a friend, but …
• Be brand appropriate
• (Ads do boost results)
Better
– 10X
Virality

14. AMRP | September 24, 2013
All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc.
and any unauthorized use and/or any disclosure is strictly prohibited.
14
Where do we go next?
Research +
Analysis
Evaluate New
Capabilities
Optimize Page
+ Campaigns
• Data analytics
• Key insights
• Applications
• Mobile
• 1:1 Personal
• Engagement
• Content
• Ad strategy

15. AMRP | September 24, 2013
All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc.
and any unauthorized use and/or any disclosure is strictly prohibited.
15
© 2010 LoyaltyOne, Inc. ®™ Trademarks of AIR MILES International Trading B.V. Used under license by LoyaltyOne, Inc. LoyaltyOne, Inc is an Alliance Data Systems Company.
All rights reserved. No part of this material may be produced in any form without the written permission of the owner. No representation or warranty of any kind is made with respect to the content
hereof and no liability is assumed for errors contained herein or for incidental or consequential damages in connection with the furnishing, performance or use of this publication or its contents.