Digital Transformation of Retailers

Sendas Value Viewpoint

Barcelona, December 2017 The content of this report is the result of #24 interviews conducted by Sendas Value and the use of major secondary sources

Primary Sources Secondary Sources

Market Research & Intelligence firms Newspapers & magazines • Sabi • CNN • Gartner • Fortune • Passport • Bloomberg • Forrester • La Vanguardia • Kantar Retail • The Economist Top Retailers; • Planet Retail • Financial Times 5 • Catella Research • Business Insider • Global Market Insights • CB Insights Companies; 12 • Euromonitor International • Timetrade • GfK Global - Geomarketing • MarketLine and Datamonitor Retailers Experts; • Westfield 7 Public institutions & foundations • John Lewis • United Nations (UN) • European Commission Financial firms • Center for Retail Research • Euler Hermes • World Economic Forum (WEF) • Credit Suisse • Organisation for Economic Co- • Barclays Corporate operation and Development (OECD) Sendas Value has has obtained exclusive, primary • Shop! Association (former POPAI) Universities information for this report from 24 personal • Journal of Shopper Research • IESE Insight interviews, at a Top Management level including • US National Retail Federation • University of Oxford CEOs and Top Executives • Harvard Business Review

Página 2 We see 3 major digital transformation trends occurring in retail

1 2 3 Increasing need for brands Global growth with new Convergence of online and retailers to differentiate in-store formats and offline channels to their value propositions adapted to new needs blending models through technology

Página 3 Index

Introduction

Growth with new in-store formats adapted to new needs

Blended Models: the merge of Online and Offline Retail

Increasing Differentiation of value propositions through Technology

About Us Retail characteristics varies depending on the maturity level of the country…

Retail Market Evolution Model 2016 90

80 Spain 70

60 India Germany France 50 USA Argentina UK 40 Japan 30

Consolidation China 20 10 Modernization Top 5 Retailer Share of Modern Trade 0 0 10 20 30 40 50 60 70 80 90 Modern Trade Share of Total Retail Exploration Concentration Penetration Maduration Post-modern Category specialists, Discounters and C-stores = Tradicional Trade now Drug, supermarket, category High-capability drug, hypermarket, cash & carry and new growth formats: hypers impacted specialists supermarkets and category local food chains and C&C largest growth specialists,. Regrowth of formats speciality chains, mom-and- pops with demoghraphic focus Source: Kantar – WPP - Retail Planet - Analysis Sendas Value

Página 5 … configuring markets with different structure of store types and investment in new formats

Grocery Channels in Modern Retail Sector

100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 2011 2016 2011 2016 2011 2016 2011 2016 2011 2016 China France USA Spain Mexico

Cash & Carries & Wholesale clubs Catering Convenience & Forecourt stores Department & Variety stores Discount stores Hypermarkets & Superstores Non-store commerce Other Grocery formats Other Non-food formats Supermarkets & Neighbourhood stores Wholesale

Source: Retail Planet - Analysis Sendas Value

Página 6 The number of players is concentrating in larger brands and retailers, that dominate the market in terms of sales…

Top 5 Grocery Retailers: Total Format Sales 2011 vs. 2016 (in USD billion)

140 250 1.200 80 50 8% 70 45 4 120 1.000 21% 17 22% 200 38% 15 40 11% 24% 60 5 100 23% 51 48% 45 800 388 35 56 50 80 150 30 600 288 40% 40 25 60 52% 100 30 20 35 400 40 15 20 50 10 20 200 10 5 0 0 0 0 0 2011 2016 2011 2016 2011 2016 2011 2016 2011 2016 Others Others Others Others Others Carrefour China Auchan France Safeway Auchan Spain Com. Mexicana Dalian Dashang Casino Albertsons Dia Costco Mexico ITM (Intermarché) Yonghui Costco USA Eroski Chedraui Leclerc CR Vanguard Target Carrefour Spain OXXO Carrefour France Walmart China El Corte Inglés Soriana Auchan China Walmart USA Mercadona Walmart Mexico China France USA Spain Mexico Source: Retail Planet - Analysis Sendas Value

Página 7 We see a trend towards closing big malls in developed countries and retailers getting closer to their clients

Outlets Closing in the US since 2000 (Full Year) Comments • At the current pace, it is expected that 8640 25% of current U.S. Malls may be closed by 2022

• During the last Christmas Season of 6163 2016: - Visits to the Malls decreased 12,5% 5077 Outlets

of 4475 4442 - Total Sales in offline retail felt 9,8% 3917 • In 2017 alone, 8.460 stores are expected Number 3081 3084 to close, almost the same amount of the 2645 2795 2480 2140 2008-2009 financial crisis period. 1975 2003 2056 1704 1766 1343 • Modern/organized retailers are expected to account only 40,6% of total closings in 2017

• Some department stores have been in financial danger for long time (Macy’s, JC Penny, …) Source: Credit Suisse, Business Insider, company data, Sendas Value analysis

Página 8 Driving growth in terms of points of sales across all sectors and countries

Number of Outlets in the Modern Retail Sector: 2011 vs. 2016 350.000

Foodservice 300.000

Grocery 250.000

Clothing & 200.000 Footwear

Health & Beauty 150.000

Home, Garden, 100.000 Auto Electricals & Office 50.000 Leisure & Entertainment 0 2011 2016 2011 2016 2011 2016 2011 2016 2011 2016 China France USA. Spain Mexico Source: Retail Planet - Analysis Sendas Value

Página 9 Asia driven by consumption growth and Europe by market maturity are the two regions where higher new store openings are expected

Forecast of Total Modern Retail Outlets by Region Hypotheses 2015-2022 in # outlets New outlets • It is expected that grocery retailers around 1.600.000 2017 – 2022 the globe will try to 1.400.000 diversify their presence 17.786 by investing or by 1.200.000 M&As in fast growing North America 20.828 channels like… 1.000.000 Middle East 2.406 - Convenience stores 800.000 - Forecourt stores Asia & Oceania 75.504 - Discount stores 600.000 Africa 3.423 • … whilst moving away 400.000 from the slow-growing Europe 50.660 hypermarket channel 200.000 • It is anticipated that 0 numerous new points of 2015 2016 2017 F 2018 F 2019 F 2020 F 2021 F 2022 F sales of smaller areas Europe Africa Asia & Oceania will be developed Middle East North America Latin America

Página 10 Index

Introduction

Growth with new in-store formats adapted to new needs

Blended Models: the merge of Online and Offline Retail

Increasing Differentiation of value propositions through Technology

About Us Online sales are gaining a larger proportion of total consumer spending – it is expected that by 2021, 22% of total sales in China will be done online

Percentage of Total Online Expenditure Reflections about evolution of % online retail 25 • Retailers are making less differences between online and offline sales as 20 consumers change from one channel to the other

• The on-line retail sales are expected to 15 grow substantially • In USA, offline sales have an expected CAGR for the next 5 years 10 of 1.5%, while online expected CAGR is around 14% • In UK the CAGR expected are 1.8% 5 vs 10% • In China 3.6% vs 14% • In France 0.9% vs 9% 0 • In Germany 1.8% vs 11.5% 2013 2014 2015 2016 2017 2018 2019 2020 2021 • However, the total number of stores is United Kingdom USA Germany expected to increase in order to get closer France Brazil China to the client Source: Euromonitor, Sendas Value analysis

Página 12 However still today, not all sectors are equally considered convenient to shop online

Consumers’ preferences for on-line vs offline shopping Preference online vs offline

• The on-line “threat” is not GROCERY 23 7 70 homogeneous across products FURNITURE AND 30 11 59 HOMEWARE • While books and movies rank as the DIY/HOME 30 18 52 most on-line product, grocery is still IMPROVEMENTS ranking very high as an off-line product HOUSHOLD 33 11 56 APPLIANCES • Some products, such as toys, books, JEWELERLY/WATCHES 32 19 49 technology, etc. can be accurately

CLOTHING AND specified in the on-line interface, and 40 9 51 FOOTWEAR prices are easily comparable through HEALTH AND BEAUTY the on-line channel (COSMETICS) 37 16 47 SPORTS • On the other hand, grocery or EQUIPMENT/OUTDO… 36 20 44 homeware products need to be seen, CONSUMER ELECTRONICS AND… 43 6 51 touched and felt by consumers

TOYS 39 24 37 • Future retail must emphasize the BOOKS, MUSIC, customers’ experience MOVIES AND … 60 12 28

Online Indiferent Offline

Source: PWC, Sendas Value analysis

Página 13 Consumers show that they still love to go shopping “offline”…

% of costumers shopping at Walmart (*) and Amazon Reflections: models are getting blended

72 70 71 70 70 69 68 67 66 • Online retailing is not taking customers 64 away from physical stores

• Customers diversify between brands 60 60 60 58 • Brick & Mortars are growing their total 49 sales 47 41 • Walmart has a significant on-line capacity. 38 Nevertheless, their customers keep going 31 to their offline stores 29 • Amazon is going offline Shopped Walmart during past four weeks • The key for competing in the future is Shopped Amazon during past four weeks having presence in both online and offline channels, merging both in omnichannel 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 strategies

Source: Kantal Retail, Sendas Value analysis (*) Offline Walmart shopping

Página 14 … and retailers and brands have realized that it is not as advantageous in terms of costs

While it looked like on-line was a cheap way Cost structure Amazon vs Walmart to serve the client… (2016)

3% 5% • High fixed costs of maintaining the real state Operating income • High working capital at each PoS 20% • High labor cost of employees serving at stores 32% operating, selling, general, and administrative 12% expenses

…It has turned out to be a more expensive cost of shipping channel (Amazon) 75% • Last–mile logistics and reverse logistics are very 53% expensive - in the offline channel, the customer is cost of sales the one in charge of the service (excluding shipping for • On-line channel switches high fixed costs of the Amazon) offline channels into high variable costs Amazon Walmart

Source: Annual Reports, Sendas Value analysis

Página 15 The case of Amazon is particularly relevant: they are leveraging on their online leadership position to defy incumbent offline retailers, now competing offline as well

Largest Online Retailers in the US, by E-commerce Sales in 2015 ($ billions) 92 • Amazon has a leadership position within online retail market… 24 16 14 11 6

Amazon Apple Dell Walmart Staples Macy's Forecast of Amazon's online retail market share in the US • …where their sustained growth is expected 50% to continue to reach a 50% of the total US 43% online market in 2020 from 43% in 2016 2016 2020 Stock Price Change among U.S. Retailers in 2015 (as of December 10)

• The online growth has been recognized by 112% investors

-5% -23% -31% -34% Amazon Target BestBuy Walmart Sears Macy's-43%

• The company has been acquiring List of Selected Purchases of Amazon technology for many years, now also Online Retail Offline Retail focusing on offline retail with the last January 2008, $300 million purchase of Whole Foods Market July 2009, $1.2 billion • As a result, the purchase can accelerate the June 2010, $110 million January 2011, $265 million June 2017, $13.4 billion transformation of retail: a new age of March 2012, $775 million blended, digitalized stores August 2014, $970 Million Source: Internet Retailer Research, Slice iYahoo Finance, Slice Intelligence ,Statista, Sendas Value Analyis

Página 16 In this new context, blended models are appearing under different concepts: “omnichannel”, “customer journey”,…

From a traditional offline …to a new one where many elements Implications for retail shopping experience… and technologies are at play Retailers

The retailers’ tasks have become increasingly complex. They need to: • Be both online and offline I see an I go to I buy the • Use social media Ad shop item • Customize marketing without becoming too intrusive • Adapt to the different types of customers (showrooming, ROPO,

Source: Mckinsey, Sendas Value analysis click and collect…) • Offering unique interactions at the POS (technology is a defining factor)

Página 17 From the point of view of retailers and brands, merging all the new elements in a coherent and encompassing experience to gain the sale is key, regardless of where, when or how

The buying experience areas

Presence on • It is irrelevant whether the sale is made social media on-line or off-line as consumers are actively looking at both worlds • Still branding is important: brands in the Customized Reaching marketing influencers first set of products considered by a consumer have x2 the chance to be Online Costumers get purchased familiarized • Decision to consume take longer with brands by actively - Impulse buying is less frequent looking at - Consumers tend to search for Personalized Understanda information attention in ble product

line line the PoS - Even after their decision, consumers seek for confirmation of the decision Off Enjoyable in- • On-line and off-line experiences must fit store and be coherent experience

Página 18 Index

Introduction

Growth with new in-store formats adapted to new needs

Blended Models: the merge of Online and Offline Retail

Increasing Differentiation of value propositions through Technology

About Us In a market environment where concentration of retailers is getting higher and consumers are more sophisticated, differentiation is key to compete

Facilitates the purchase through: Convenience • Mobile • Digital labels • Self-service kiosk • New payment methods

Retailers and brand distributors differentiate their strategy throughout 3 dimensions

Customer Cost Experience

Eases operations and procedures of the store Provides unique interactions for customers increasing efficiency and productivity through: through:

• Employee tools • Digital signage • Inventory Management software • Augmented Reality • Digital in-store assistance • AI-powered software • Self-service kiosk • Sensory retail management

Página 20 Technology today is a great enabler of this higher differentiation…

How technology can help Examples

Burberry: Customers can access their accounts through Offers clients new ways to interact with products and iPads so associates can check their shopping history services within a store in a way that they feel entertained, and offer better experience in-store. There are also amused or more satisfied. The possibility to learn, have Customer interactive screens to see the catalogue or use their fun or have a more personalized experience boosts RFIDs to activate multimedia content of a piece of experience customer’s positive experience. Technologies used: clothes (storytelling). • Digital signage Walgreens: Integrates online and in-store inventory so • Virtual Reality customers know exactly where and when they can find • Digital in-store assistance items and choose the channel they want to buy it.

Facilitates the purchase from clients through the use of McDonald’s: Promoted a new line of coffee via beacons their mobile phones, promotions or easier processes of in Istanbul. The chain tapped a popular loyalty app to Convenience payment that speed up the buy. Examples: target customers while they were around McD Cafés. • Omni channel integration Customers got mobile coupons via the app, which • Beacon technology prompted them to purchase a coffee and receive a • Self-service kiosk beverage from the new coffee line for free. This beacon • New payment methods campaign helped McDonald’s achieve 20% conversion rate with 30% of users who received the promotion.

Eases operations and procedures of the store increasing Nordstrom: Adopted mobile point-of-sale (POS) productivity (both due to automatization and data-driven devices throughout their full-line stores consisting of a management as for better-informed personnel of store): modified iPod Touch with a merchandise scanner and Cost • Retail management software credit card slider, that allowed employees to check out • Visual shelf monitoring customers from anywhere in the store. • Inventory Management • Employee tools

Página 21 … but investment on these technologies tends to be expensive, -many times because changing legacy systems is required- and adoption is taken at a slower pace than predicted

Typical investment breakdown of introducing a new technology Comments 100 • Other related investment / costs of a new 90 Average % cost of introducing a new technology technology introduction may be: 80 Range of variability of the element - Change of other legacy systems in order to take advantage of the new system (for 70 instance change in the SAP logistic 60 system in order to track on-line an off-line purchase) 50 - Potential massive layoffs due to automation of processes 40 - Unproductivity during the implementation 30 months and general cost of using the new technology 20 • When accounted all costs related to change 10 into a new technology, other related cost of change can account by half of the total 0 investment Cost of Cost of 5 year Internal Cost Other related • This related costs of change can delay the technology installation annual of cost of expected return of investment, and delay maintenance technology change (hardware and adoption of the technology software) management Source: Market interviews, Sendas Value analysis

Página 22 For instance, ! “the automated store” was being tested with important failures on its functioning that have postponed its massive deployment in the U.S.

The first Amazon Go! Store was launched as a pilot in Seattle (headquarters of Amazon) in December 2016. The Customers were restricted, only employees of the company participated in the tests of the store Key technology used Benefits: Problems that emerged:

• Videocameras: • Gain presence offline at a • Videocameras: - Monitor visitors and their cheaper cost than retailers: - The system overloaded when customer journey Less fixed costs due to a there were more than 20 reduction of manpower. The - Visual shelf-monitory to control people inside the store or store only required 5 workers supply customers inside moved fast to be run - Visual shelf-monitoring would • RFID: all the products have • Increased revenues and show error when products chips to track them profits: Leveraging their were displaced along the shelf • New Payments: customers current structure of would pay with their mobile Distribution Centres and phones through the Amazon app logistics to serve also offline and account customers (vast percentage • Robots: used on the logistics of of their costs come from • As a result, the opening of the store the company to serve its supply shipping and logistics) was postponed without further chain details • In June 2017, Amazon buys Whole Foods for $13,7 billions

Página 23 The continuous change and new developments make it very difficult to predict which companies and technologies will be widely implemented

What technologies are going to be key?

Big “traditional” retailing service or While a hybrid of startups are technology companies entering the field appearing to serve specific needs # Companies raising Sample of big players: money the last The retail years* • Digital signage 21 Analytics, neuromarketing • Real-time pricing 105 • Predictive merchandising 103 • Multichannel marketing 34 Digital signage, wifi, IoT • Shelf monitoring 43 • Promotion optimization 96 • Beacons RFID, wifi, digital signage, IoT 22 • Displays 77 • Store robots & chatbots technology field 12 CRM, Supply Chain Management, invoicing • Inventory 158 • Financing in-store 20 • Augmented reality 19 Beacons, contactless payment, omnichannel • Omnichannel analytics 24 Digital signage, beacons, omnichannel, IoT • Analytics 303

(*) reported at Crunchbase Source: CB insight Página 24 We have decomposed the disruptions impacting retail nowadays in 4 broad technology fields…

Customer engagement IoT, AI & analytics Process automation • Digital Signage: Digital displays is an • Mobile: Set of technologies that allow • New Payments: New payment methods impactful tool that can be used throughout intercommunication between and platforms that leverage existing and the store for branding, merchandising, retailers/brands and their customers/visitors innovative technology to build an promoting specials, and educating or through private smartphone devices infrastructure for fast, flexible, data entertaining customers rich payments • Digital Labels: Electronic shelf labels that • Digital in-store Assistance: Remote or play eye-catching, high-definition video and • Inventory Management software: in-store management of customer’s animation about products and in-store Computer programs or cloud-based inquiries. Depends on the needs of the specials solutions for tracking inventory that allow client, but it can consist of a screen with printing and reading bar code labels, • Indoor Mapping: Getting information from saved information or on a real-time printing invoices, and provide a complete the analysis of data collected by sensor- assistance from a robot or an associate array of reports and statistics enabled overhead smart lighting systems and from opt-in mobile data from customer • Self-service Kiosk (also process phones. It uses spatial analytics to • Retail Management software: An automation): : Kiosks enable users to determine customer behavior and ultimately, integrated set of digital applications that order from a shop's catalogue offering to help retailers increase sales the retailer uses to operate their incredibly convenience and improve order business. It typically includes: Point of accuracy • Augmented Reality: Overlays the virtual Sale (POS), Customer Relationship world on top of the real-world environment Management (CRM), Sales Order In-store design tech through a device, such as a mobile phone or Management, Inventory Management, a tablet for interactive purposes between Purchasing & Receiving, Reporting and • Sensory Retail Management: Integration retailers/brands and customers data driven Dashboard applications. Some of elements that aim to seduce the also offer ecommerce applications and consumer by using his senses to influence • Artificial Intelligence powered software: employee tools as part of their suite his feelings and behavior Computer programs that enable automated decision making and machine learning

Página 25 …that fit within 3 dimensions of retailers’ competitive advantage perspective: cost, convenience and customer experience

Convenience

IoT, AI & Analytics Process automation

• Mobile • Digital labels • New payments • Indoor Mapping Customer engagement

• Self-service kiosk • Augmented Reality • Digital signage • Digital in-store • Inventory assistance Management • Artificial Intelligence software powered software In-store design tech • Retail management software • Sensory retail management Customer Cost experience

Página 26 Each set of new technologies substitutes a current technology or automates a process

… …Hardware

…Hardware management software dependant is dependant

…Company How

the technology on technology the management software

Very Non Dependant Dependant Customer In-store IoT+ AI + Process engagement design tech Analytics automation

• Interaction with • Offers richer • Monitors what products • Can make business’ customers to possibilities in the are bought in real time internal processes more Major value increase loyalty or layout of the store and by who in real time. efficient proposition sales (look, smell) instantly • Get to know better the patterns of consumer behaviour

Current • Boards at PoS • Traditional lighting • Surveys at the PoS • Manpower in stores: • Traditional music inventory, sales technology • Paper catalogue • Merchandisers systems and speakers associates, cashiers that is substituting

Página 27 However, uncertainty on the return of investment of some of these technologies is slowing its adoption and deployment in the market

Very High None Customer engagement In-store design IoT+AI +Analytics Process Automation

• Increased awareness • Cost reduction or • Gained source of information to know • Cost reduction from Benefits / • Reduction of printing catalogue efficiency of new the client lower manpower • Lower marketing costs • Increased efficiency in savings of • Brand perception and loyalty lighting technology • High replication effect (copy • New features for • Possible increase of efficiency and sales the long-term and at implementing competitor) ambient design • Cost reduction from lower manpower large-scale the new • Little evidence of impact on sales technology

• High installation cost • High cost of hardware and • High instalment cost • Cost varies on the solution: very low for installation • Very low • Low maintenance Cost of the analytics, low ofr IoT, High for AI • Low maintenance & maintenance and • Need someone managing information implementation management cost high durability in the POS

• High switching cost • Switching costs are low today – • Low switching costs • Low switching costs and implementation • May require an Cost of might be high if content resides and implementation for IoT+Analytics substitution / in one provider • AI: Higher switching cost and Risk of expensive and complex • Integration with systems is not incompatible performance with humans integration with logistics adaptation to and other processes current client’s required and business processes technology

Perceived ROI

Página 28 Retailers have a keen interest in investing in new technologies that could help them gain competitive advantages…

% of POS in the USA that state that will invest in the following 3 years Features Give digital voice to customers, processes and things Internet Of Things 70% to improve customer experience, visibility of the supply chain or increase revenues

Analize and use predictive models to help personalize Machine Learning 68% customer experiences and improve demand and inventory planning

Automatize orders, tracking and inventory levels as Automation 57% well as helping clients find their products or services

Mapping and Learning when customers are in store and where to location services 77% personalize the visits of customers

Big Data Save and analyze aggregated data generated by IoT: 58% analysis of shopping basket and client segmentation

Point-of-sale Devices with generic information, pricing and Devices 78% availability of products

Source: Zebra Technologies, Sendas Value Analysis

Página 29 …while the supplier side is flowering with many startups and some large players offering innovations, consolidating the market

Very Competitive None Competitive

# startups* 748 41 350 237

up Competitive - rivalry tart market S Customer In-store design IoT+Analytics Process , engagement tech and AI automation

players • Cox Enterprises • Intel • PayPal Corporations • Samsung, NEC, LG, • Philips Philips… • BT Group • Google • IBM • Motorola Solutions entering the • Google arge • Amazon • Qualcomm • Google Corporations

L market

• Manufacturers: • Philips: Cross- • Cox: lead digital • Intel: build an • Paypal: become offer software at the selling leveraging marketing and ecosystem and the leading large number of sales of hardware software solutions broad spectrum of payment platform screens installed to (they offer lighting) for automotive solutions to lead the • Motorola cross-sell gain • BT Group: • Google: promotes market’s Solutions market share on the leverage their usage of their transformation approaches retail Perceived software side already massively services and • IBM: deliver as extension of its strategy deployed networks ecosystem offering the“store of the core-business. • Amazon: acquire and broadcast integration and future” through their They offer kiosks capabilities for its services for in- analytics (see Avere Retail strategy and staff offline retail store music among clouding). consulting interconnectivity implementation others • Qualcomm: promote • Google: penetrate “Gimbal”, its in the POS and marketing platform software market (*) Companies that raised private capital in the last 2 years and were reported to crunchbase

Página 30 Index

Introduction

Growth with new in-store formats adapted to new needs

Blended Models: the merge of Online and Offline Retail

Increasing Differentiation of value propositions through Technology

About Us Sendas Value offers consulting services focused on Sales Enhancement, Operations and Strategic Advice

Commercial Development Operations • Sales productivity and excellence • Optimization of • Commercial Due Diligence & Commercial Operations relations with suppliers Sales Audit Development and distributors • Internationalization • Category Management • Channel and Positioning • Suppliers Development Strategies • Contract Compliance • Marketing Planning • Salesforce Design and Sizing Profitable • Training Workshops Growth • Motivational Systems • Variable Compensation Systems • Internal Management Processes

Strategic Planning and Strategic Planning and Advice Advice • Strategic Planning • Innovation Strategy • 100-day Planning • Business Planning • Market Research – Feasibility Plans • Efficient Product Development

Página 32 We help our clients develop profitable and sustained growth businesses through excellence in management thanks to our change-facilitator methodology, tools and compromise

ü Use of self-developed tools for each client, successfully validated in numerous projects. We design and implement the necessary tools to reach the objectives of our clients. We evaluate which tool is the Tools most convenient according to the needs and goals in each situation

üTraining and workshops with cutting-edge knowledge and a Training & methodology focused on practical active learning “by doing”. Workshops We believe in the value of training people as a catalyst for change

Executive Advice & üExecutive Advice and Coaching, composed of the implementation Coaching of government systems and other resources necessary to make the improvements that our clients demand happen. We work very closely with the top management, we perceive projects as joint challenges

Página 33 Sendas Value leverages its accumulated professional experience, in-depth analysis and transformational capabilities to offer impactful services with a results-driven approach

The route of projects in which we have intervened has shown an impact that ranges from an average of +10% to +25% of additional contribution margin in less than a year

Página 34 A core team made of experienced professionals from well- known consulting firms and top business schools

ü Capacity for in-depth strategic analysis, both internal and external

ü Commitment in the execution and implementation of the change, we interact and we get involved one hundred percent with our clients to make the necessary improvements. We make changes happen

ü Diversity and professionalism, with a core team of Senior Partners from well-known consulting firms and top business schools and an international team of consultants

Página 35 C/ Ricardo Villa, 6, Plaza Interior 08017 Barcelona (Spain) Tel: (+34) 93 143 49 33 Email: [email protected]