PROJECT HORIZON: STREAMLINING THE SHELL HELIX PORTFOLIO · Shell Helix SN is a range of motor oils that meets the latest ILSAC GF-5 and API SN specifications which demand improvements

HX8

QR CODE

ACTIVE

TECHNOLOGYCLEANSING

FUEL ECONOMY

5W-305W-30

1L

SYNTHETICFOR DIESEL ANDGASOLINE ENGINES

API SL/CF, ACEA A3/B4

FULLY SYNTHETICMOTOR OIL

HX8

QR CODE

ACTIVE

TECHNOLOGYCLEANSING

FUEL ECONOMY

5W-305W-30

1L

SYNTHETICFOR DIESEL ANDGASOLINE ENGINES


FULLY SYNTHETICMOTOR OIL

ima

PROJECT HORIZON:STREAMLINING THE SHELL HELIX PORTFOLIO

IMPLEMENTATION GUIDELINESFOR DISTRIBUTORS

We are pleased to provide you with a guide to support you in implementing Horizon - the new Shell Helix portfolio, a range of motor oils designed to drive leadership in the category in an effective way.

This document aims to provide you with an overview of this project and a set of details about the development and implementation of the new Shell Helix range of lubricants. After reading this material, you should feel confident that you can demonstrate to your customers the advantages of the new Shell Helix portfolio.The content intends to make you familiar with the changes that were designed.

An ever growing set of sales and marketing materials can be downloaded from Brand Central.

DISCLAIMER: This guide is for Shell Lubricants Distributor‘s internal use only and should not be copied (in whole or in part), amended or circulated to third parties without the prior written consent of Shell.

INTRODUCTION

2

WHAT THIS GUIDE COVERS

Introduction - including the case for changeDetailed sections covering:

Portfolio structureLabels redesignMarketing, sales support and communication strategyGlobal pricing strategy

Next steps and links to further information.Q&As

... AND HOW TO USE IT

Familiarise yourself with the guide and follow all relevant content consistently, paying particular attention to local adaptation rules.

THE STREAMLINING OF THE SHELL HELIX PRODUCT PORTFOLIO

Through Project Horizon the Shell Helix motor oils portfolio was re-designed. This document explains in detail the changes involved and the rationale behind them.

WHERE WE WERESupporting our brand ambition - to be the most preferred premium passenger car motor oil brand by 2018’ - Shell Helix is a major margin contributor, but was showing an underperforming tail. The portfolio was over-complicated: difficult for customers and internal staff to understand.

WHERE WE ARE GOINGProject Horizon will deliver a simplified product range, reduced from 167 to 84 products, but exceeding some technical requirements fulfilled by the current portfolio.

All products will carry redesigned labels, providing better shelf presence and ‘talking’ to customers with greater clarity, consistency and simplicity. All products will be supported by improved marketing communications.

3

SHELL HELIX ULTRA

THE NEW SHELL HELIX PORTFOLIO IS SIMPLE AND EASY FOR CONSUMERS TO FOLLOW

SHELL HELIX HX8

SHELL HELIX HX5

SHELL HELIX HX6

SHELL HELIX HX7

SHELL HELIX HX3

SHELL HELIX HX2

CORE

CORE

CORE

CORE

CORE

CORE

CORE

DIESEL

SN

SN

DIESEL

DIESEL

DIESEL

SN

SN

ECT

ECT

HIGHMILEAGE

HIGHMILEAGE

HIGHMILEAGE

PRO

PRO

TIERS RANGES

SHELL HELIX ULTRA

THE OLD SHELL HELIX PORTFOLIO IS FRAGMENTED AND ITS APPLICATIONS ARE NOT MEANINGFUL TO CONSUMERS

SHELL HELIX HX6

SHELL HELIX HX8

SHELL HELIX HX5

SHELL HELIX HX7

SHELL HELIX HX3

SHELL HELIX HX2

C

C

C

C

C

E

E

E

E

AJ*

AJ

AJ

RACING

FLEX

EXTRA OEM

OEM

OEM

OEM

OEM*

K

K

K

G

G

G

APPLICATIONSTIERS OEMs

THE OBJECTIVES

A portfolio designed to drive leadership in the category in a cost effective way, Project Horizon has two important objectives:

REDUCE COMPLEXITY: - Significant reduction of rebrands - Clear alignment of 4 core technologies with HX3, HX5, HX7 and Helix Ultra tiers - Substantial SKUs/SPs reduction - approximately 30-40% SKUs reductions and

over 50% SPs reduction, despite the introduction of new synthetic offers and a new “SN” range

INCREASED COMPETITIVENESS: Shell Helix Ultra elevated to a sub brand, creating a new top tier brand identity - Differentiated synthetic offering with the repositioning of Ultra and the

introduction of HX8 - Introduction of ILSAC/SN portfolio - Tiers benefits and technical RtBs deeply reviewed to be stronger. More

appealing tone of voice and much stronger RtBs. - Revised and improved product attributes (e.g. fuel economy/high mileage) will be placed on the label to help drive the customers’ choice and ease the trade up. - New ‘horizontal’ naming system that is simple to read and recall, conveys

technology leadership and eases navigation across the range of different products.

Note: Portfolio changes will continue into 2014/2015 with the introduction of new products that are under development

THE CASE FOR CHANGE

4

THE BENEFITS

THE BENEFITS FOR CUSTOMERSProject Horizon will:

Ease the understanding of the portfolio and the selection of the right productDeliver upgraded product specificationsIncrease suitability with the introduction of the multi fuels core offeringMake product identification simpler and quickerSupport the trend for synthetics by offering an affordable entry point to full synthetic engine oils with HX8 Synthetics Strengthen trust in our brand

THE BENEFITS FOR DISTRIBUTORIncrease competitiveness Reduce complexity and improve product knowledgeImprove operational efficiency – saving time and effortSupport more compelling brand product proposition Make products easier to understandDeliver upgraded products specifications Make product identification simpler and quicker Support the trend for synthetics by offering an affordable entry point to full synthetic engine oils with Helix HX 8

-

CASE FOR CHANGE

The portfolio has become fragmented and unclear:

- Proliferation of OEM and application grades and multiple performance profiles.

- Multiple re-brands adding internal complexity, creating risks of errors and limiting flexibility.

Many Saleable Products underperforming.

- Several SKU variants unlikely to be long term supported based on their contribution.

THE CASE FOR CHANGE

THE BRAND AMBITION

Our ambition is to be the most preferred premium motor oil brand by 2018.

Number1 PCMO Premium Brand

Highest Brand Preference in all key markets

First to claim news industry specs (SP GF-6 by 2016/17)

Proven superior performance against current leading competitors in all key markets

5

TIERS:

ULTRAFully synthetic

motor oil

HX8Fully synthetic

motor oil

HX7Synthetic

technology motor oil

HX6Synthetic


HX5Premium

multigrademotor oil

HX3Monograde/

multigrademotor oil

HX2Multigrade

motor oil

CORE OFFERING

SN DIESEL ECT HIGHMILEAGE

PROFESSIONAL RANGES:

THE NEW PORTFOLIO

The new portfolio has been simplified to make it easier for consumers and trade to understand

WHILST BUILDING ON THE OVERALL SHELL HELIX TIERING STRUCTURE, THE PORTFOLIO HAS BEEN DEVELOPED TO: - Meet all technical requirements currently met by the current portfolio - Upgrade HX5 and HX3 tiers respectively to API SN and API SL - Ensure clear tier differentiation via: - Performance profile, viscosity grades, stronger reasons to believe (RtBs), more meaningful tier claims...Increase simplicity and clarity. A core and five supplementary ranges to meet clearly defined needs - Bring a significant reduction in the number of Saleable Products

THE NEW NAMING CONVENTION

The new portfolio is supported by a more meaningful naming convention.

The new ‘horizontal’ naming system: - is simple to read and recall - conveys technology leadership- aids navigation across the range of different products

The new naming convention has been defined in consultation with CX, legal, SBI and trademarks and licensing.

THE CASE FOR CHANGE

Each tier colour remains the same.

6

Shell helix motor oil product range

Shell helixcore offering

The Shell Helix core offering includes Shell Helix Ultra, plus the full range of the Shell Helix family. Its multifuel passenger car motor oils range from products that meet basic performance specification for older or less-demanding vehicles, to fully synthetic motor oils that are approved and recommended by the world’s leading car makers

Shell helixSn

Shell Helix SN is a range of motor oils that meets the latest ILSAC GF-5 and API SN specifications which demand improvements in fuel economy, emission system protection and engine oil robustness for gasoline engines.

Shell helixdiesel

Shell Helix Diesel is specially formulated for diesel engines. The portfolio includes Shell Helix Ultra Diesel, plus the full range of Shell Helix Diesel passenger car motor oils to meet the needs of most diesel engines.

Shell helixect

The Shell Helix ECT portfolio uses Shell’s emissions-compatible technology to help protect the vehicle’s emission system. Its low-SAPS formulation helps keep diesel particulate filter clean and protects it from ash build-up that can block the exhaust system and lead to reduced engine performance.

Shell helixhigh mileage

Shell Helix High Mileage is developed for older, higher-mileage engines. Its products are formulated with anti-wear agents to help slow down wear and help prolong engine life.

Shell helix professional

Shell Helix Professional is designed specifically to meet the demanding requirements of individual vehicle manufacturers’ specifications So when your customer asks you for advice about which oil to use, you can be confident that yo are offering the right product.

core offering Sn diesel ect high mileage professional

ultraFully synthetic

motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium

multigrade motor oil

hx3Monograde/


hx2Multigrade motor oil




Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/






Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/






Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/






Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/






Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/






Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/






Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/






Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/






Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/






Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/






Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/






Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/






Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/






Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/






Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/






Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/






Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/






Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/






Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/






Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/






Shell helixSn


Shell helixdiesel


Shell helixect








motor oil

hx8Fully synthetic

motor oil

hx7Synthetic


hx6Synthetic


hx5Premium


hx3Monograde/



THE CASE FOR CHANGE

A NEW ROLE FOR SHELL HELIX ULTRA

Positioned as a top premium tier, Shell Helix Ultra competes against competitors top tiers, offering, through a complete range of variations, the most modern Industry specs and OEM approvals.

THE INTRODUCTION OF SHELL HELIX HX8 SYNTHETIC

Introduced as an affordable entry point to full synthetic engine oils, Shell Helix HX8 Synthetic is the top tier of the HX range, and was designed to aggressively compete against our key competitors, protecting Ultra equity and premium pricing positioning.

7

THE RANGES OVERVIEW

THE RANGES: OVERVIEW

CORE The Shell Helix Core portfolio is designed to meet requirements of the majority of the OEMs, as well as the most modern industry specifications.Its multifuel passenger car motor oils range from fully synthetic motor oils that are approved and recommended by the world’s leading car makers, to products that meet basic performance specifications.

DIESEL RANGEShell Helix Diesel portfolio is available for countries who have niche markets that require a dedicated diesel portfolio and countries where there are consumer vehicles fitted with American style small truck engines.

Note: API CH-4 and CI-4 are very different from ACEA type light duty diesel specifications and should not normally be used in diesel cars unless recommended by the OEM

HIGH MILEAGE RANGEShell Helix High Mileage is developed for older, higher-mileage engines. Its products are formulated with anti-wear agents to help slow down wear and help prolong engine life.It is tiered to offer up-sell opportunity (HX7, HX5 and HX3).

Range information is contained in a colour coded band

8

THE RANGES: OVERVIEW

SN RANGEThe Shell Helix SN portfolio is designed to meet the latest ILSAC GF-5 and API SN specifications which demand improvements in fuel economy, emission system protection and engine oil robustness for gasoline engines.

PROFESSIONAL RANGEThe Shell Helix Professional portfolio is tailored to meet engine manufacturers’ special requirements that are not met by Core or ECT products.

THE RANGE OVERVIEW

EMISSIONS COMPATIBLE TECHNOLOGY RANGE The Shell Helix ECT portfolio uses Shell’s emissions-compatible technology to help protect the vehicle’s emission system. Its low-SAPS formulation helps keep diesel particulate filters clean and protects them from ash build-up that can block the exhaust system and lead to reduced engine performance.

These oils typically meet ACEA C3 and/or the latest OEM specifications, which makes them suitable for use in a wide range of gasoline or diesel passenger cars fitted or not with a catalytic converter or a particulate filter.

9

Range information is contained in a colour coded band

THE RANGES IN MORE DETAIL:

WHY CORE AND THE PRODUCT RANGE

WHY ‘SN’ AND THE PRODUCT RANGE

WHY DIESEL AND THE PRODUCT RANGE

WHY EMISSIONS COMPATIBLE TECHNOLOGY AND THE PRODUCT RANGE

WHY HIGH MILEAGE AND THE PRODUCT RANGE

WHY PROFESSIONAL AND THE PRODUCT RANGE

10

2

WHY SHELL HELIX CORE?

IN SUMMARY

The Core range has been rationalised to meet the needs of the majority of customers and covers all tiers of the Shell Helix family including Shell Helix Ultra. This range is referred to as ‘core’ internally but is not a name intended to be used externally on the labels.

Key range highlights:- Shell Helix Ultra and HX7 tiers are largely unchanged.- Shell Helix HX7 reformulation expected to be launched in Q4 2013- Shell Helix HX8 Synthetic introduced- Shell Helix HX5 up-graded to API SN, A3/B3- Shell Helix HX3 up-graded to SL/CF

THE RANGES IN MORE DETAIL: THE CORE RANGE

11Enhanced visibilty for INDUSTRY specsAPI SN/CF, ACEA A3/B4

API SN/CF, ACEA A3/B4

TIER

Ultra

Ultra

Ultra

Ultra

Ultra

Ultra

HX8

HX8

HX7

HX7

HX7

HX7

VISCOSITY

10W-60

0W-30

5W-40

5W-30

0W-40

0W-30

5W-40

5W-30

5W-40

5W-30

15W-40

10W-40

GPC CODE

901L3254

001F0279+

001A9013

001A9012

001AN045

001E6708

001E9068

001E9067

001C9540

001C8435

001E3618

001C9539

PRODUCT

Shell Helix Ultra Racing 10W-60 (SN/CF, A3/B4)

Shell Helix Ultra A5/B5 0W-30 (SL,A5/B5)

Shell Helix Ultra 5W-40 (SL/CF/A3/B4)

Shell Helix Ultra 5W-30 (SN/CF A3/B4)

Shell Helix Ultra 0W-40 (SN/CF A3/B4)

Shell Helix Ultra 0W-30 (SN/CF A3/B4 + OEM)

Shell Helix HX8 Synthetic 5W-40 (SN/CF, A3/B4, MB229.3)

Shell Helix HX8 Synthetic 5W-30 (SN/CF, A3/B4, MB229.3)

Shell Helix HX7 5W-40 (SL/CF A3/B4)

Shell Helix HX7 5W-30 (SL/CF A3/B4)

Shell Helix HX7 (SL)

Shell Helix HX7 10W-40 (SN/CF A3/B4)

BOP SPECS

API SN/CF, ACEA A3/B3, A3/B4, Ferrari

ACEA A5/B5, API SL

API SN/CF, ACEA A3/B3, A3/B4, BMW LL-01, MB Approval 229.3, 226.5, VW 502 00/505 00, Porsche A40, RN 0700 PSA B71 2296, Ferrari, Meets the requirements of FIAT 955535-Z2, Chrysler MS-10725

API SL/CF, ACEA A3/B3, A3/B4, BMW LL-01, MB Approval 229.3, 226.5, VW 502 00/505 00, Renault RN0700, RN0710, Meets the requirements of API SN/CFAPI SN/CF, ACEA A3/B3, A3/B4, MB Approval 229.3, VW 502 00/505 00, Porsche A40, RN 0700, 0710. Meets the requirements of FIAT 955535-Z2

API SL/CF, ACEA A3/B3, A3/B4, MB Approval 229.3, 226.5, Renault RN 0700, 0710.

API SN/CF, ACEA A3/B3, A3/B4, MB Approval 229.3, VW 502.00/505.00, Renault RN0700, RN0710, Meets the requirements of FIAT 955535-N2 & 9.55535-M2

API SN/CF, ACEA A3/B3, A3/B4, MB Approval 229.3, VW 502 00/505 00, Renault RN 0700, 0710.

API SL/CF, ACEA A3/B3, A3/B4, JASO SG+, MB Approval 229.3, VW 502.00/505.00, GM LL-A/B-025, Renault RN0700, RN0710, Meets the requirements of FIAT 955535-G2

API SL/CF, ACEA A3/B3, A3/B4, JASO SG+, MB Approval 229.3, VW 502.00/505.00

API SL

API SN/CF, ACEA A3/B3, A3/B4, JASO SG+, MB Approval 229.3, VW 502 00/505 00, Renault RN 0700, 0710. Meets the requirements of FIAT 955535-G2

THE RANGES IN MORE DETAIL: THE CORE RANGE

12

THE CORE PRODUCT RANGE

TIER

HX3

HX3

HX3

HX3

HX3

HX3

HX3

HX2

HX2

HX2

HX2

VISCOSITY

SAE 50

SAE 40

SAE 30

25W-60

20W-50

15W-40

10W-30

20W-50

15W-40

10W-40

10W-30

GPC CODE

001C9602

001C9600

001E8837

001E7969

001E7931

001E7930

001E7929

001C9609

001C9611

001E8276

001C9610

PRODUCT

Shell Helix HX3 50 (SL/CF)



Shell Helix HX3 25W-60 (SL/CF)




Shell Helix HX2 20W-50 (SG/CD)




BOP SPECS

API SL/CF

API SL/CF

API SL/CF

API SL/CF

API SL/CF

API SL/CF

API SL/CF

API SG/CD

API SG/CD

API SG/CD

API SG/CD


TIER

HX6

HX6

HX5

HX5

HX5

HX5

HX5

HX5

HX5

HX5

HX5

VISCOSITY

SAE 50

SAE 40

SAE 30

20W-50

15W-50

15W-40

15W-40

15W-40

10W-40

10W-40

10W-30

GPC CODE

001C9602

001C9600

001E8837

001E7969

001E7931

001E7930

001E7929

001C9609

001C9611

001E8276

001C9610

PRODUCT

Shell Helix HX6 Flex

Helix HX6

Helix HX5 High Mileage 25W-60 (SL/CF)

Helix HX5 20W-50 (SL/CF A2/B2)


Helix HX5 15W-40 (SL/CF)

Helix HX5 15W-40 (SN A3/B3)





BOP SPECS

API SN, ACEA A3/B3

API SN/CF, ACEA A3/B3, A3/B4, MB Approval 229.3, VW 502.00 / 505.00, Renault RN0700.

API SL/CF

API SL/CF, A2/B2


API SL/CF




API SL/CF, A2/B2


WHY ‘SN’

IN SUMMARY

The SN portfolio is a range of products focused on API and ILSAC performance levels, building on the US based technology (Pennzoil, FormulaShell).

- Provides a hero product for API driven markets- These products meet the most modern API specification - SN hence the convention Shell Helix Ultra SN, Helix HX7 SN etc.- Meets the GF-5 specification for 0W-20, 0W-30, 5W-20, 5W-30- The range’s name will change when its formulations are upgraded to the API SP, being called Shell Helix Ultra SP, Shell Helix HX7 SP, etc.

THE RANGES IN MORE DETAIL: THE ‘SN’ RANGE

13

TIER

Ultra

Ultra

Ultra

Ultra

HX8

HX7

HX7

HX7

HX7

HX7

HX7

HX5

HX5

HX5

HX5

HX5

VISCOSITY

5W-30

5W-20

10W-30

0W-20

0W-20

20W-50

15W-40

5W-30

5W-20

10W-40

5W-30

5W-30

5W-30

20W-50

15W-40

10W-40

GPC CODE

001E7788

001E8034

001E7787

001E7786

001E9069

001F0278

001F0277

001E8035

001E7785

001E8478

001E7784

001E8844

001E9379

001E9378

001E9377

001E9380

PRODUCT

Shell Helix Ultra SN 5W-30 (SN/GF-5)




Helix HX8 Synthetic SN 0W-20 (SN/GF-5)

Shell Helix HX7 SN 20W-50 (SN)


Shell Helix HX7 SN 5W-30 (SN/GF-5)



Shell Helix HX7 SN 5W-30 (SN/GF-5

Shell Helix HX5 SN 5W-30 (SN/GF-5





BOP SPECS

API SN, ILSAC GF-5, ACEA A5/B5, Chrysler 6395, GM 6094M & 4718M, Ford WSS M2C946-A, M2C929-A, Honda HTO-06

API SN, ILSAC GF-5, ACEA A1/B1, Chrysler 6395, GM 6094M & 4718M, Ford WSS M2C945-A, M2C930-A

API SN, ILSAC GF-5 Chrysler 6395, GM 609M & 4718M

API SN, ILSAC GF-5 ACEA A1/B1

API SN, ILSAC GF-5

API SN

API SN

API SN, ILSAC GF-5

API SN, ILSAC GF-5

API SN

API SN, ILSAC GF-5

API SN, ILSAC GF-5

API SN

API SN

API SN

API SN, ILSAC GF-5

2

THE SHELL HELIX DIESEL RANGE

IN SUMMARY

The products in the Diesel range are only available for countries who have niche markets that require a dedicated diesel portfolio and countries where there are consumer vehicles fitted with American style small truck engines.

The range’s name has slightly changed to follow the new naming structure , e.g. Shell Helix Diesel Ultra is now Shell Helix Ultra Diesel.

THE RANGES IN MORE DETAIL: THE DIESEL RANGE

14

The colour code clearly identifies the Diesel range across the tiers

TIER

ULTRA

HX7

HX7

HX7

HX7

HX5

HX5

HX5

HX5

HX3

VISCOSITY

5W-40

5W-40

15W-40

10W-40

10W-30

15W-40

15W-40

15W-40

10W-30

20W- 50

GPC CODE

001E9242

001E9243

001E9246

001E9244

001E9245

001E9250

001E9249

001E9247

001E9248

001E9251

PRODUCT

Shell Helix Ultra Diesel5W-40 (CF, A3/B4+OEMs)

Shell Helix HX7 Disel 5W-40 (CF, A3/B4+OEMs)

Shell Helix HX7 Diesel 15W-40 (CH-4)

Shell Helix HX7 Diesel 10W-40 (CF, A3/B4=OEMs)

Shell Helix HX7 Diesel 10W-30 (CF, A3/B4)

Shell Helix HX5 Diesel 15W-40 (CI-4)

Shell Helix HX5 Diesel 15W-40 (CH-4)

Shell Helix HX5 Diesel 15W-40 (B3)

Shell Helix HX5 Diesel10W-30 (CH-4)

Shell Helix HX3 Diesel 20W-50 (CF)

BOP SPECS

API CF, ACEA A3/B3, A3/B4, BMW LL-01, MB Approval

229.5, 226.5, VW 505.00, Renault 0710, FIAT 955535.Z2

API CF, ACEA A3/B3, A3/B4, MB Approval 229.3, VW 505.00, RN 0710

API CI-4

API CF, ACEA A3/B3, A3/B4, MB Approval 229.3, VW 505.00, RN 0710

API CF, ACEA A3/B3, A3/B4, MB Approval 229.1

API CI--4

API CH-4

ACEA A3/B3, API CF

API CH4

API CF

SHELL HELIX EMISSIONS COMPATIBLE TECHNOLOGY RANGE

IN SUMMARY

ECT products feature an advanced emissions-compatible technology that helps to keep diesel particulate filters clean to maintain vehicle performance.

HELIX ULTRAExtra 0W-30

HELIX ULTRA ECT0W-30

HELIX ULTRAExtra 5W-30

HELIX ULTRA ECT5W-30

HELIX HX7 E5W-30

HELIX HX7 ECT5W-30

HELIX ULTRA AT-L5W-40

HELIX HX7 ECT5W-40

TODAY HORIZONMB 229.51level

MB 229.31level

THE RANGES IN MORE DETAIL: THE ‘ECT’ RANGE

ECT naming is spelt out in full to ensure consumer understanding

15

There is a requirement, driven by cars with diesel particulate filters and other emissions system technology, to have oils formulated to minimise or reduce the emissions systems degradation. Specifically, oils with reduced levels of “SAPS” (low sulphated ash, phosphorous-sulphur) that do not harm (ie are compatible with) the operation of this emission system hardware.

What is Low/Mid SAP?In order to meet ever more stringent air-quality requirements, car makers are fitting increasingly sophisticated emissions control systems to the exhaust systems. Some of these systems are sensitive to certain exhaust components that come from oil entering the engine cylinders. In particular diesel particulate traps and certain types of catalysts.

The ECT range readily identifies this category, using a simple and meaningful identifier ‘Emission Compatible Technology”. These oils are specifically blended for diesels with particle filters and gasoline engines with 3 way catalytic converters. These oils typically meet ACEA C3 and/or the latest OEM specifications and are suitable for use in a wide range of gasoline or diesel passenger cars fitted or not with a catalytic converter or a particle filter.

WHY EMISSIONS COMPATIBLE TECHNOLOGY - ECT

THE RANGES IN MORE DETAIL: THE ‘ECT’ RANGE

16

TIER

Ultra

Ultra

HX7

HX7

PRODUCT

Shell Helix Ultra ECT 5W-30 (VW504/507, BMW LL-04, MB229.51)

Shell Helix Ultra ECT 0W-30 (SN, C3, BMW LL-04, MB229.51)

Helix HX7 ECT 5W-40 (C3, 229.31, Fiat 95535-S2)

Helix HX7 ECT 5W-30 (C3, 229.31)

VISCOSITY

5W-30

0W-30

5W-40

5W-30

GPC CODE

001E9070

001E9071

001E9072

001E9073

BOP SPECS

BMW-LL-04, MB Approval 229.51, VW 504.00/ 507.00, Porsche C30

API SN, ACEA C3, BMW-LL-04, MB Approval 229.51

API SN, ACEA C3, MB Approval 229.31, Fiat 9.55535-S2 (meets), Chrysler MS 11106

API SN, ACEA C3, MB Approval 229.31, Chrysler MS 11106

2

THE SHELL HELIX HIGH MILEAGE RANGE

IN SUMMARY

Developed for older, ‘high-mileage’ engines, these products are formulated with anti-wear agents to help slow down wear and help prolong the life of the engine.

A limited range of HX5 & HX7 range using seal-conditioner technology based on North American portfolio is available for LA MDs.

The “High Mileage” name has replaced the previous “K” range in order to provide greater clarity of the key product attribute and drive purchase decision on shelf.

THE RANGES IN MORE DETAIL: THE HIGH MILEAGE RANGE

17

The colour code clearly identifies the High Mileage range across the tiers

TIER

HX7

HX5

HX3

PRODUCT

Shell Helix HX7 High Mileage 5W-30 (SN)

Shell Helix HX5 High Mileage10W-30 (SN)

Shell Helix HX3 High Mileage 25W-60 (SL)

VISCOSITY

5W-30

10W-30

25W-60

GPC CODE

001E7783

001E7782

001E7779

BOP SPECS

API SN

API SN

API SL/CF

IN SUMMARY

The Shell Helix Professional portfolio is tailored to meet engine manufacturers’ special requirements that are not met by Core or ECT ranges.

Research has highlighted the need to list the specifications on the front label for OEM approvals. EG: VW 503.00/506.00/506.01 for Ultra Professional AV etc.

These products are the same currently available as the ‘OEM portfolio’ (e.g. AB, AF, AV, AH, etc), but the range was reduced to the minimum number of liquids necessary to cover the different OEM approvals requirements that are not met but any other ranges.

The labels research has highlighted the need to display the OEM approvals on the front label (e.g.: VW 503.00/506.00/506.01 on the Ultra Professional AV FoP, etc.)

In order to allow products to be used for different FWS dealerships the claim ‘Shell’s unique formulation for [a specific OEM] was removed from the FoPs.

The only OEM logos placed on the Professional range’s FoPs will be dexos1 and dexos2 (on the AG variations) due to GM contractual obligations.

2

THE PROFESSIONAL RANGE

THE RANGES IN MORE DETAIL: THE PROFESSIONAL RANGE

18

TIER

Ultra

Ultra

Ultra

Ultra

Ultra

Ultra

Ultra

Ultra

Ultra

Ultra

Ultra

Ultra

Ultra

HX8

HX7

HX7

HX7

PRODUCT

Shell Helix Ultra Professional AF-L 5W-30 (C1, M2C-934B))

Shell Helix Ultra Professional AV-L 5W-30 (VW 504/507)

Shell Helix Ultra Professional AV-L

Shell Helix Ultra Professional AV 0W-40 (SN, A3/B4, VW 502/505)

Shell Helix Ultra Professional AV 0W-30 (VW 506.01)

Shell Helix Ultra Professional AP-L 5W-30 (C2, PSA B71 2290, Fiat 955535 S1)

Shell Helix Ultra Professional AM-L 5W-30 (MB229.51,

Shell Helix Ultra Professional AF 5W-30 (A5/B5,MC2-913C)

Shell Helix Ultra Professional AB 5W-30 (MB229.5)

Shell Helix Ultra Professional AB 5W-30 (MB229.5)

Shell Helix Ultra Professional AG

Helix Ultra Professional AR-L 5W-30 (C4, Renault)

Shell Helix Ultra Professional AB-L

Shell Helix HX8 Synthetic Professional AG

Helix HX7 Professional AG 5W-30 (SN/GF-5, dexos 1)

Helix HX7 Professional AF 5W-30 (A1/B1, M2C-

Helix HX7 Professional AV 5W-30 (C3, VW 505.01)

VISCOSITY

5W-30

5W-30

W-30

0W-40

0W-30

5W-30

5W-30

5W-30

5W-30

5W-30

5W-30

5W-30

5W-30

5W-30

5W-30

5W-30

5W-30

BOP SPECS

ACEA C1, Ford WSS-M2C934-B

VW 504.00/507.00

ACEA C2, C3, VW 504.00/507.00

API SN/CF, ACEA A3/B3, A3/B4, VW 502.00/505.00

ACEA A5/B5, VW 503.00/506.00/506.01

ACEA C2, PSA B712290, Fiat 9.55535 S1 (meets requirements)

ACEA C3, API SN/CF, BM-WLL-04, MB Approval 229.51

ACEA A5/B5, Ford WSS-M2C913-C

API SN, ACEA C3, MB Approval 229.51, MB Approval 229.5, BMW LL-04

API SN, ACEA A3/B3, A3/B4, MB Approval 229.5

API SN, ACEA C3, GM dexos2 TM license GB xxxxxxxxx

ACEA C4, Renault RN 0720

MB Approval 229.52

API SN, ILSAC GF-5, GM dex-os1TM license GB xxxxxxxxx

API SN, ILSAC GF-5, GM dexos1 TM license GB xxxxxxxxx

API SJ, ACEA A1/B1, ILSAC GF-2Ford WSS-M2C-913A, Ford WSS-M2C-913 B

ACEA C3, VW 502.00/505.01

GPC CODE

001E9388

001E9394

draft

001E9400

001E9393

001E9391

001E9390

001E9387

001E9998

001E9999

001E9389

001E9392

001F1233

001F1220

001E9384

001E9385

001E9386

WHY ‘PROFESSIONAL’

AN EXTENSIVE STUDY INSIDE AND OUTSIDE THE CATEGORY WAS CONDUCTED TO INVESTIGATE NAMING OPTIONS THAT WOULD BETTER UNIFY THE EXISTING OEM RANGE

Professional name came up after several ranges of discussions with different agencies.

FMCG RANGE

PROFESSIONALRANGE

Professional was understood as a widely accepted term to designate a product that targets specific trade needs.

Professional naming demonstrates to:

THE RANGES IN MORE DETAIL: THE PROFESSIONAL RANGE

BE MEANINGFULBE SIMPLEWORK ACROSS DIFFERENT LANGUAGES WITHOUT TRANSLATIONS NEEDEDHAVE NO LEGAL OR TRADE MARK ISSUESHAVE NO ISSUES MISALIGNMENT WITH THE SHELL GROUP BRANDING GUIDELINES

19

More emphasis on the mother brand Increased size for the Pecten

Ultra tier elevated to a sub brand New Shell Helix Ultra logo

More visibility for the viscosity

Clearer base oil indications

Opportunity to provide additional brand content ahead of the competition - QR code

Brand Rtb illustration - Iconic piston

Technology platform endorsing the product premiumness - Ferrari logo

More emphasis on the mother brand Increased size for the Pecten

Ultra tier elevated to a sub brand New Shell Helix Ultra logo

More visibility for the viscosity

Clearer base oil indications

Opportunity to provide additional brand content ahead of the competition - QR code

Brand Rtb illustration - Iconic piston

Technology platform endorsing the product premiumness - Ferrari logo

FROM THE OLD LABEL TO THE NEW: OVERVIEW

Product labels in both retail and workshop/oil change environments are critical assets in the marketing mix for the passenger car motor oil category. The pack is the last opportunity to influence consumers before they decide to buy, or trade influencers before they decide to recommend.

Through extensive qualitative and quantitative consumer and trade influencer research, the conclusion was that Shell Helix required significant changes to the label designs.

According to consumers, the most important thing that labels must do is clearly present the information that is meaningful to brand/tier/product choice.

THE KEY RESEARCH INSIGHTS During the glance test, the new design outperformed the current, with a higher percentage of participants selecting ‘extremely easy’ on finding almost all pieces of key information.

The new design had more participants that indicated ‘extremely liking the label’ compared to the current.

With regard to the Shell Helix CVPs, the new design more clearly communicated one or more benefits, as compared to the current.

The new design outperforms the current for: - high quality motor oil and ‘helps me get the most out of my car’. - Several of the product-specific attributes. - Top box for nearly all label aesthetics measures. - Consumer and Trade connection metrics

Finally and most importantly, a significantly higher percentage of participants indicated that they ‘definitely would purchase’ the product.

Current label design New label design

THE NEW LABEL DESIGN

20

SUPPORTING THE RESEARCH WITH TECHNOLOGY

To support the qualitative research findings, the 3M™ Visual Attention Service (VAS) was used to add a scientific view to the findings.

WHAT IS VAS?There are only a few seconds to make an impression on a consumer, so need to make every second count. Using algorithms based on thousands of eye tracking studies, VAS functions like eye tracking. VAS analyses images and generates a heat map showing which elements grab immediate attention. VAS has provided the technology to design labels that are optimised to catch the eye.

The new label was submitted to the system and produced the results as shown. It is clear that the key areas of the label are creating the desired ‘hot-spots’.

AREAS OF INTEREST

Scores indicate the probability that each area of interest will get attention within the first 3-5 seconds

Probability of getting attention

70% - 90%

40% - 70%

20% - 40%

PROBABILITY OF GETTING ATTENTION

This visual shows the probability that a person will look at the regions within the first 3-5 seconds

See the Heatmap results for a continuous view of results

Probability of getting attention

70% - 90%

40% - 70%

20% - 40%

HEAT MAP

Heatmaps highlight areas of the image that are likely to receive attention within the first 3-5 seconds

Yellow to red areas are most likely to draw immediate attention. Blue and green areas are less likely to draw immediate attention

If only blue and green areas appear, there are no areas that will reliably draw attention

VISUAL SEQUENCE

Visual Sequence shows the most likely view the human eye will follow when viewing images

The numbers indicate fixation points - spots where visual gaze is maintained on a single location

Fixation 1 is the most likely spot that viewers will notice when they first view a score. Other locations occur over time during the first 3-5 seconds

THE NEW LABEL DESIGN

21

THE KEY MARKETING CHANGES

THE PHASES OF PROJECT HORIZON

COMPREHENSIVE CONTENT AVAILABLE FOR LOCAL ADAPTATION

WHO TO SPEAK TO

22

THE NEW COMMUNICATION MATERIALS: OVERVIEW

A full range of communication materials is being developed.

As new campaign materials and assets are developed, this document will be updated to present these and advise the details behind what is available and how to access it.

The materials can be split into three groups:

- Sales support materials- Below the line pieces- PR toolkit

All material will be available on Brand Central or the Distributor Portal

THE NEW MESSAGES

THE KEY MARKETING CHANGES

The rationalisation that has taken place through Project Horizon, means that we have several new and powerful messages to share with our target audiences. These are:

- Introduction of GTL as a feature for Ultra tier

- New premium positioning for Shell Helix Ultra and Shell Helix HX8 Synthetic introduction as a fully synthetic entry point

- New product claims across all tiers: strong and meaningful short claims will be inserted in to all Communications Materials to define the key values of the product

- Proven technology, competitive edge

- Revised and improved product attributes (fuel economy/high mileage) will be placed on the label to help drive the customers’ choice and ease the trade up.

- Enhanced messaging around “Multifuel” suitability

- Clearer and simpler portfolio, driving the removal of limited application grades e.g “E” , “K”, “C”

- New label design developed based on consumer and influencer insights will instill purchase decision making

23

COMPREHENSIVE CONTENT AVAILABLE FOR LOCAL ADAPTATION

The previous pages have provided you with an overview about Project Horizon, the information that you need to be familiar with, what has been developed and a summary of why. To start the preparation of Horizon implementation in your market, the following links will take you to the details:

CLICK ON EACH SECTION TO VIEW CONTENT

THE CONTENT

SECTION01: THE NEW SHELL HELIX LABEL- THE RESEARCH

- THE CONTEXT AROUND CONSUMER CHOICE

- THE RESULTS IN BRIEF

- THE LABEL MESSAGING ARCHITECTURE

- THE NEW COLOUR IDENTIFIERS FOR THE RANGES

- MANAGING LABEL DEVELOPMENT AND PRODUCTION

SECTION03: GLOBAL PRICING STRATEGY

- THE GLOBAL PRICING STRATEGY - OVERVIEW

DEPLOYMENT- THE STRATEGY DEPLOYMENT FOR DIFFERENT CHANNELS

Q&As

SECTION02: COMMUNICATING THE NEW PORTFOLIO- A NEW SET OF SALES AND MARKETING MATERIALS

- THE NEW TIER BENEFIT STATEMENTS

- THE NEW SALES SUPPORT MATERIALS

- THE NEW PRODUCT SUPPORT SHEETS

- POINT OF SALES MATERIALS, PR MATERIALS, NEW EXPERIENTIAL ASSETS

25

3GLOBAL PRICING STRATEGY

THE GLOBAL PRICING STRATEGY - OVERVIEW

DEPLOYMENTTHE STRATEGY DEPLOYMENT FOR DIFFERENT CHANNELS

SHELL RETAIL

INDIRECT AND IWS

FWS

Q&As

THE BASIC PRINCIPLES

Portfolio defined and aligned to meet demand of three identified market archetypes.

Pricing Strategy continues to be defined with the guidance of the 9 box matrix which can vary by OU , by channel, by tier etc.

Tiering indexes and base products are aligned to the three archetypes.

There is a clear hierarchy between ranges – same as for pre-Horizon portfolio: OEM grades (now called Professional) are higher positioned than applications (e.g. ECT, High Mileage) which are positioned higher than core.

There is a clear viscosity hierarchy, same as for pre-Horizon portfolio.

Each archetype base product is defined in drum and price of the other pack should be calculated using the pack differentials relative to the base product price

Any pricing strategy is just a recommendation. Distributors must decide ‘how to price’ themselves.

GLOBAL PRICING STRATEGY

CLICK TO RETURN TO CONTENT

3.23.2

COMPETITIVE POSITIONING STRATEGIC GUIDANCE - 9 BOX MATRIX

Determining high level competitive positioning based on growth and penetration

Mature market 0%growth or declining

Market niche, price skimming strategy

Premium pricing. Build market share based on demonstrated value.

Low market share, < 0%

Low Brand Preference

Market follower, price matching strategy

Prices to defend market share. Build market share based on demonstrated value. Regular promotion to match competion.

Medium market share, 10 to 20%

2nd or 3rd preferred brand

Market leader, price leader or price matching strategy

Price to protect market share. Regular promotion to match competition.

High market share, > 20%

Preferred brand

Low Growth Market< 5%

Market challenger, price peneration strategy

Aggressive pricing to gain market share. Competitive channel margin

Market follower, price match or peneration strategy

Prices to defend and expand market share.

Market follower, price match or peneration strategy

Prices to defend and expand market share.

High Growth Market> 5%


Regular promotion to match competition. Competitive channel margin





PORTFOLIO TYPE AND VISCOSITY HIERARCHY

GLOBAL PRICING STRATEGY


3.23.3

PRICE POSITION

PORTFOLIO

10W-3010W-4010W-60

0W-200W-300W-40

5W-205W-305W-40

15W-4015W-50 25W-50

25W-60 304050

PRICE POSITION

VISCOSITY

PROECT

HIGH MILEAGE

SNCORE DIESEL=

3.4

THE STRATEGY DEPLOYMENT FOR DIFFERENT CHANNELS

SHELL RETAIL

c) Shell RetailStaff training

b) Shell Retailersengagement andtraining

d) Shell Retailend - customerscommunications

Train Shell Retail staff

Shell retail staff training pack

Forecourt attendants pockets sales

Inform Shell Retailer about Horizon

Train Shell Retailers

Shell Retailers engagement letter

Shell Retailers training pack

Adapt, print and distribute communications materials developed aimed at end users (motorists)

Consumer Leaflets

Product Support Sheets

From -To charts

Consumer Focused POSM

COMMUNICATING THE NEW PORTFOLIO



INDIRECT AND IWS



a) DSR Training c) Sell in to TradeCustomer.Engagement and Training

b) Distributor Engagement and Training

d) Sell through to End-CustomerCommunications and Influencer...

Internal communicationsInternal sell in trainingOutline of communication plan and content to Distributor/Trade/Consumer

Distributors Inform customers.

Train staff. Include video.

Communicate Why Shell synthetics now?

Engagement letter

Brochure/Flyer...what’s in it for me?

90 second video on Horizon

Why Shell synthetics?

Give away for Shell Helix Ultra

Demo tool

Content for SMS and internet communication

Testimonials

OEM chart

Distributors support Trade to sell through to consumers.

Train staff. Include video.

Communiate Why Shell synthetics now?

Shelf display material

Posters

Bottle neck

Counter display

Portfolio flyer

Testimonials

OEM chart

Demo tool

Other opportunities currently under review such as stand alone cut out.

Informs Sub-Distributors based on timing in contract requirements.

Launch celebration

Train Distributor Sales Reps

Engagement letter

Support launch celebration

90 second video on Horizon

Why Shell synthetics?

Training presentation... what’s in it for me?


Demo tool

Cheat Sheet (simple messages to be relayed to trade in Q&A format)

Wha

t:

DISTRIBUTOR EXTERNAL

INDIRECT IWS

3.5

Mat

eria

ls ne

eded

:


FWS



3.6

Review of Price and CVP positioning

Sell in to FWS/GroupCustomer.Engagement and Training

FBAM and KAMTraing

Sell through to End-CustomerCommunications and Influencer support

Review of pricing position into FWS on new CVP

Internal communications

Overview of portfolio for country/cluster/region

Any changes to costing related to new portfolio

Train FWS Sales Reps on portfolio details as well as RTB

Review of any pricing/contractual elements

FWS launch to end customers

Engagement letter and presentation

Video of Shell Helix technology

Why Synthetics training deck


Demo tool


Sales Presenters and RTB

OEM chart

Art Builder for new materials

FWS staff sell through to end customers

Tßo support FWS staff in technical understanding of portfolio as well as confidence to sell out

Shelf display material

Bottle neck

Counter display


OEM chart

Demo tool

Promotional ideas and best practice sharing for marketing campaigns

Train all sales force facing FWS customers in portfolio

Launch celebration

Internal sell in training

Outline of external communication plan and content to FWS

OEM specs per product for Professional Range

GtL and Synthetics messaging

Wha

t:M

ater

ials

need

ed:

EXTERNALINTERNAL

Q&As FOR INTERNAL USE


3.7

Q&As

This section contains a list of useful Q&A to help to fully understand Project Horizon

Q. WHY HORIZON?

A. Horizon is a key Shell Helix project which will enable Shell to achieve its leadership ambitions and represents a robust platform to gain competitiveness. In order to ensure the aimed Shell Helix leadership across all key markets, its portfolio has been reviewed to cope with the most modern industry specs and restructured to offer the best options to meet individual market archetypes requirements.

The project has two important objectives:

1) Complexity reduction

2) Competitiveness increase through upgraded specifications and additional approvals

In order to ensure we have the best in class offer and overcome competitors in our key markets, portfolio changes will continue into 2014/2015 with the introduction of new products that are under development.

Q. HOW HAS THE PROFESSIONAL RANGE BECOME MORE VERSATILE?

A. We removed the ‘Shell’s unique formulation for an OEM’ claim from the front label to avoid the issues faced with some FWS dealers that struggle to sell a product that is labeled as specific for another OEM.

Q. WHAT DO THE NEW LABELS REPRESENT FOR SHELL HELIX?

A. The findings from a research run in 9 markets provided us with clear indications on the key elements on the front label that will drive preference and instill usage of our products. According to these findings, the new labels represent a huge step change in purchase willingness.The research insights clearly point at the key elements that must be on the FoP, and the purchase willingness is expected to be increased. The new labels have been designed to place the fundamental info people’s eyes naturally land.

Q. WHY ARE THE SPECIFICATIONS ON THE FRONT LABEL?

A. The labels research has shown that the industry specs (API and ACEA) come first in the hierarchy defined by consumers and influencers from the majority of the 9 markets that took part in the research. For this reason all portfolios (excluding Professional) will list the industry specs on the front label, as well as the full set of specs (including OEM approvals) on the back label.The labels research has also highlighted the need to list the OEM approvals on the Professional portfolio and as a result we are going to highlight all OEM approvals on the Shell Helix Professional front labels. In addition, the trade’s purchase decision is primarily driven by specifications.

Q&As FOR INTERNAL USE


3.8

Q&As

Q. WHAT SHOULD BE CONSIDERED WHEN DEVELOPING LAUNCH PLANS?

A. SP&A requirements – Horizon is already part of 2013 Shell Helix Global initiative and the markets were individually instructed to allocate money to support the launch. The markets launching Horizon in 2014 will have to allocate budget under the 2014 global initiative.

Launch toolkit – the Horizon Implementation Guidelines will provide the markets with tools to support the launch (sales presenters, PSSs, brochures, POSM materials, etc).

Each local market is responsible for tailoring their launch plans considering their budgets and specific requirements.

We recommend for local markets to consider a Sub-distributor launch event as part of their Horizon implementation plan.

Q. HOW ARE ECT AND PROFESSIONAL PRODUCTS DIFFERENTIATED?

A. ECT – Emissions Compatible Technology - targets general aftermarket, multiple OEM approvals (mainly Indirect Channel and IWS)

ECT products are all compatible with vehicles fitted with diesel particulate filters

Example: Shell Helix Ultra ECT 5W-30 is approved by VW, MB, BMW and Porsche and is suitable for workshops servicing multiple brands of vehicles

“Professional” exists because there is a very specific OEM approval that cannot be met on the Core or ECT range and typically targeting FWS.

“Professional” contains a mix of product technologies that cover diesel (with/without particulate filters) and gasoline engines

Example: Shell Helix Ultra Professional AF 5W-30 meets the specific M2C 913C specification that cannot be met with the “core” or “ECT” range.

1THE NEW SHELL HELIX LABEL

THE RESEARCH

THE CONTEXT AROUND CONSUMER CHOICE

THE RESULTS IN BRIEF

THE LABEL MESSAGING ARCHITECTURE

THE NEW COLOUR IDENTIFIERS FOR THE RANGES

THE NEW SHELL HELIX LABEL

THE RESEARCH

THE PURPOSEThe research provided a clear rationale behind the development of the core structure of the product portfolio and the label design, and how they fit with the Shell Helix CVP. We needed to determine if Shell Helix requires new packaging label designs or significant changes to existing packaging label designs to make sure that the packaging labels:

Have compelling impact in the context of point of sales/service Visually and verbally reinforce the overall brand positioning Provide the right information to tip the scales in favour of a purchase

THE OBJECTIVE Determine whether the label visually and verbally supports the brand positioning (Pride, Cleans Engine, Leading Technology and High Quality) Determine the basic variables of effective packaging labels Understand whether the label communicates the product benefits that are most important to consumers and trade influencers Determine how consumers interpret modifiers to current Shell product names Provide direction with regards to what information needs to be emphasised on the front and back labels in order to leverage brand choice towards Shell Helix

THE METHODOLOGY 13 traditional in-person focus groups (4 among Trade Influencers and 9 among target Consumers) were conducted between September and November 2012. Participants

Research was conducted in the following markets:BRAZIL CHINA FRANCEGERMANY INDIA INDONESIA MALAYSIA RUSSIA TURKEY

A comprehensive discussion guide with some customisation to address consumer or trade influencer specific objectives was designed.

Participant Type Screening Criteria

Trade Influencers All Trade Influencer participants were selected by Shell in-country teams.

They are professionals who best represent the most important channel(s) of a particular market

Consumers participants were recruited by Harris interactive according to the following key criteria:

Age 18+ vehicle owners who are responsible for decisions regarding their vehicle’s maintenance (including make purchase decisions for motor oil)

Belong to one of the two Helix target segments: “Proud Achievers” or “Genuine Experts”

Consumers


1.2


The results showed that Shell Helix required new or significant changes to existing packaging label designs. Consumers declared that they felt overwhelmed and confused by the information and details they see about motor oil. Many don’t understand much of what it means or why it’s important. So they look for easy, trustworthy and captivating ways to simplify their choice. Across regions, consumers and influencers defined three core requirements for the front label:

CONSUMER

Tell the consumer at a glance what the brand is all about

Keep it simple and easy to understand

Give the consumer confidence it’s right for their car

INFLUENCER

Communicate the most important information

Keep it simple and easy to understand

Make it easy to pick a bottle at point of sale

THE CONTEXT AROUND CONSUMER CHOICE

To make it ‘easy to choose’, consumers appear to first look to the aesthetics and brand identifiers on the bottle. Brand, colour and simplicity of design are all important initial components of building interest and acceptance. It cannot be overstated how important these are in building the trust needed.

Next they look to see if it’s the right motor oil for their car. Here they look for functional attributes or visual clues like a visual that says ‘this is for a car’ (the piston); the oil’s viscosity rating; a clear indicator that the oil is either ‘synthetic or mineral’; mileage obtainable between oil changes; the engine fuel type the oil is designed to work with and an indication that the oil works with (or is compatible with the needs of) their personal car make and model.

Only after these functional requirements are met will they be open to (and may look for) performance benefits. These include fuel savings, added engine life and mileage, cleaning properties and improved vehicle performance.

THE NEW SHELL HELIX PACKAGING: RESEARCH FINDINGS


1.3


All participants were clear that the most important requirement was to make the brand prominent.

“The brand logo should be big and obvious to catch attention from the

first glance, because it is the top priority to choose motor oil product.”

China consumer

“On the front label our main aim was to bring forward the branding because

people who know the oil will buy it upon seeing the brand and its logo, and buy it at once. That was what we did in the

front label.” Turkey consumer

“The Shell symbol is in a prominent position. It’s important to show the manufacturer’s

identity.” Brazil consumer

“The Shell logo is an assurance that this is a high quality oil.”

Indonesia consumer

THE NEW SHELL HELIX LABEL: RESEARCH FINDINGS


1.4

THE RESULTS IN BRIEF continued

PRIORITISING THE MOST IMPORTANT INFORMATION In their groups respondents were asked to rank and prioritise a group of twenty six elements that could appear on the front and back labels of Shell Helix motor oil.

Represented in the table is a rank order comparison of the 9 most important elements for consumers and influencers.

Although the top choices for both segments closely align, it’s important to note that influencers were more likely to rank performance-based information as ‘extremely important’ than consumers were.

The information that was collated from the research was used to develop new naming conventions, simplify the portfolio and the design of the label. The following pages provide the details. As part of the project rollout, small pack labels, pail labels and cartons artworks will be introduced to give a new identity to the refreshed portfolio.

PRIORITY RANK BY THE AUDIENCE

THE NEW SHELL HELIX LABEL: RESEARCH FINDINGS

FULLY SYNTHETIC MOTOR OIL

CONSUMER

FULLY SYNTHETIC MOTOR OIL

INFLUENCER

Suitable for gasoline and diesel engines Suitable for gasoline and diesel engines

Suitable for all petrol and diesel engines (without particulate filters)operating in extreme driving conditions

API SN/CF; ACEA A3/B3/B4; BMW Longlife-01; MB-Approval 229.5; VW 502 00, 505.00; Porsche; Ferrari; Renault RN0 700, RN710; meets requirements of Fiat 9.55535-Z2

5W-40 5W-40

4L

4L


1.5

THE LABEL MESSAGING ARCHITECTURE

The solution that we concluded shows a clear hierarchy of information. More emphasis on the mother brand

INCREASED SIZE FOR THE PECTEN

Ultra tier elevated to a sub brandNEW SHELL HELIX ULTRA LOGO

MORE VISIBILITY FOR THE VISCOSITY

Fuels suitability as a differentiatorFUEL STATEMENT

CLEARER BASE OIL INDICATIONS

Visibility of product attributesPRODUCT ATTRIBUTE ICON

Opportunity to provide additional brand content ahead of the competitionQR CODE

Technology platform endorsing the product premiumness - FERRARI LOGO

Brand Rtb illustrationICONIC PISTON



1.6


CORE The Shell Helix Core portfolio is designed to meet requirements of the majority of the OEMs, as well as the most modern industry specifications.Its multifuel passenger car motor oils range from fully synthetic motor oils that are approved and recommended by the world’s leading car makers, to products that meet basic performance specifications.

Shell Helix Diesel portfolio is available for countries who have niche markets that require a dedicated diesel portfolio and countries where there are consumer vehicles fitted with American style small truck engines.

Note: API CH-4 and CI-4 are very different from ACEA type light duty diesel specifications and should not normally be used in diesel cars unless recommended by the OEM


It is tiered to offer up-sell opportunity (HX7, HX5 and HX3).

The Shell Helix SN portfolio is designed to meet the latest ILSAC GF-5 and API SN specifications which demand improvements in fuel economy, emission system protection and engine oil robustness for gasoline engines.


These oils typically meet ACEA C3 and/or the latest OEM specifications, which makes them suitable for use in a wide range of gasoline or diesel passenger cars fitted or not with a catalytic converter or a particulate filter.

The Shell Helix Professional portfolio is tailored to meet engine manufacturers’ special requirements that are not met by Core or ECT products.

60% Grey

P.294c Blue

80% Grey

40% Grey

20% Grey

P.313c Blue

DIESEL

HIGH MILEAGE

SN

ECT

PROFESSIONAL

RANGES RANGE COLOUR CODEOVERVIEW

THE NEW COLOUR IDENTIFIERS FOR THE RANGES

The following tables show you the colour codes that should be used to identify the tiers and ranges.

THE TIERSThe core tier names and colour code will remain the same - Ultra, HX8 Synthetic, HX5 etc.

THE RANGE’S NAMESWe now have six main definitions:

- Core (offering) - SN*- Diesel - Emissions Compatbile Technology (ECT) - High Mileage - Professional

*This name will change in 4 years when the SP specification is released - Shell Helix Ultra SP.

SHELL HELIX ULTRA

SHELL HELIX HX8

SHELL HELIX HX5

SHELL HELIX HX6

SHELL HELIX HX7

SHELL HELIX HX3

SHELL HELIX HX2

TIERS COLOUR CODE

Helix Grey

Rimula Grey

Helix Blue

Shell Yellow

Shell Yellow

Shell Red

White


1.7

2COMMUNICATING THE NEW PORTFOLIO

A NEW SET OF SALES AND MARKETING MATERIALS

THE NEW TIER BENEFIT STATEMENTS

THE NEW SALES SUPPORT MATERIALS

THE NEW PRODUCT SUPPORT SHEETS

POINT OF SALES MATERIALS, PR MATERIALS, NEW EXPERIENTIAL ASSETS

TRADE AllCustomer/Consumerbenefitslisted,plus:- Greaterversatilityinchoicefromtheprofessionalrange(nottiedtothe“Specially designedforGM/BMW/MBetc”)

SALESANDMARKETING- Morechance/opportunitytosellpremiumwiththenewShellHelixHX8SyntheticrangeandimprovedspecsonShellHelixHX7- Newandimprovedsalesmaterials- Clearerseparationbetweentierbenefitsandlessoverlapbetweenapplications-soasmallerportfoliomeetingthesameneedsanddesignedtorespondtothefuturerequirements.

A NEW SET OF SALES AND MARKETING MATERIALS

Horizonbringsseveralnewandpowerfulmessagestosharewithourtargetaudiences.Theseare:

Aclearerandsimplerportfoliobasedoncoreproductsplusfiveadditionalrangestomeetdifferentmarketarchetypesneeds

CONSUMERS Easiertounderstandandchoose:- Consistentnamingandtiering- Anewlooklabelwithclearinformationonthefrontofpacktoeasethechoice- QRcodesdrivingtrafficdirectlytoadditionalcontent,includingLubeMatch- confidenceinthechoice- Enhancedmessagingaroundfuelsuitability

Cuttingedgetechnology:- Latestindustryspecsacrossthetiers- IntroductionofthenewShellHelixUltra0W-30andShellHelixUltraECT0W-30- IntroductionofthenewShellHelixUltraSN0W-20- TheGtLsupportstoryforShellHelixUltra*

Improvedspecifications:- NewspecsonShellHelixUltra(MB226.5),HX75W-30(ACEAA3/B3/B4,JASOSG+,MBApproval229.3,VW50200/50500)(allthemissingonesthatwereonHX7C5W-30)- ShellHelixHX5upgradetoAPISNandACEAA3/B3-- ShellHelixHX3upgradetoSL/CF-morerobustentrylevellubrication.

Fillinginthe‘FullySyntheticoffering’tobettercompeteagainstMobilSuperandCastrolMagnatec,protectingShellHelixUltraequityandprofitability**- ShellHelixHX8Synthetic-anaffordableentrypointtofullsyntheticengineoils.

*Thisisstillconfidential,nottobesharedexternallyuntiltheGlobalTeamhascommunicatedthefinaldirectiononthistopic

**DISCLAIMER:Aswearenamingcompetitors,thisinformationmustbekeptforinternaluseonly.


CLICKTORETURNTOCONTENT

2.2

THENEW TIER BENEFIT STATEMENTS Thefollowingtableillustratesthenewtierbenefitstatementsforeachtier-range:



2.3

RANGE

CORE

CORE

CORE

CORE

CORE

CORE

CORE

CORE

SN

SN

SN

SN

DIESEL

DIESEL

DIESEL

DIESEL

ECT

ECT

HIGHMILEAGE

HIGHMILEAGE

HIGHMILEAGE

PROFESSIONAL

PROFESSIONAL

TIER

ULTRA

HX8

HX7

HX6

HX6

HX5

HX3

HX2

ULTRA

HX8

HX7

HX5

HX8

HX7

HX5

HX3

ULTRA

HX7

HX7

HX5

HX3

ULTRA

HX7L

NEW PRODUCT NAME

ShellHelixUltra

ShellHelixHX8Synthetic

ShellHelixHX7

ShellHelixHX6

ShellHelixHX6

ShellHelixHX5

ShellHelixHX3

ShellHelixHX2

ShellHelixUltraSN

ShellHelixHX8SyntheticSN

ShellHelixHX7SN

ShellHelixHX5SN

ShellHelixUltraDiesel

ShellHelixHX7Diesel

ShellHelixHX5Diesel

ShellHelixHX3Diesel

ShellHelixUltraECT

ShellHelixHX7ECT

ShellHelixHX7HighMileage



ShellHelixUltraProfessionalShellHelixHX7Professional

TIER BENEFIT STATEMENT

Shell’smostadvancedformulationforhighperformanceengines

Relentlessperformance,cleansingandprotection

Helpstokeepenginescleanandrunningefficiently

Helpstoprotectagainstcorrosionandsludgedeposits

Helpstoprotectagainstsludgeandwear

Helpstoremovesludgefromdirtyengines

Reliableprotectionforolderengines

Valueforhardworkingengines

Thenextoilgenerationforenginecleanliness

Fullysyntheticformulationsuitableforecocarmodels

Longtermprotectionagainstsludge

Helpstokeepenginesclean

Shell’smostadvancedformulationforhighperformancedieselengines

Helpstokeepdieselenginescleanandrunningefficiently.

Helpstomaintainperformanceindieselengines

Reliableprotectionforolderdieselengines

Shell’sultimateprotectionforvehicleemissionsystems

Protectionforvehicleemissionsystems

Helpstostoptheagingprocessinyourengine

Helpstoextendenginelife

Protectionforengineswithmorethan100,000Km

Tailoredtomeetenginemanufacturerspecialrequirements

Tailoredtomeetenginemanufacturerspecialrequirements

SHELL HELIX PRODUCT CATALOGUE 2013

PROUD DRIvERS CHOOSE SHELL HELIX

THENEW SALES SUPPORT MATERIALS

Thesupportmaterialsprovidesimple,shorter,moredirectlanguagetoprovidecoreinformationandexplainkeybenefits.

- SalessupportmaterialsweredefinedinconsultationwithlocalteamsandGlobal ChannelManagersandareunderdevelopmenttosupportthelaunchofthenew portfolio: - ProductSupportSheet-1perproduct - Productcatalogue - ShellHelixProductTraining(BasicsofPCMO/WhyShellHelix) - ‘WhySynthetics’salespresenter - Consumerleaflet - Tradebrochure-1perportfolio - OEMspecificationtemplate - FromtoChart-1perportfolio - VideoonHorizonkeychanges - Externalstorylinepresentation

Thesematerialsarecurrentlyunderdevelopmentandwillbeintroducedoverthefollowingweeks.

MaterialswillbepublishedonBrandCentralwhenallnewpackshotshavebeenreleased.



2.4

2

THENEW PRODUCT SUPPORT SHEETS

Newinnovativedesignreflectingourtechnologyleadership

Thecontentboxfeaturestherefreshedtier-productclaimandallspecs

IncorporatePistonasaniconicrepresentationofShellHelixcoreRtB-theActiveCleansingTechnology

Colourcodingforeachtierandportfolio

LANGUAGE:Updatedlanguagetobemore“customerfriendly”forbetterunderstandingbyvariouslevelsofcompetencyacrossthetrade

THREESECTIONS:WhychooseShellHelixSelectingtherightoilTheimportanceofcleansing

IncorporatedimagerytoshowcaseourActiveCleansingTechnologyatworkHelpevolvethestoryon“WHY”cleansing

SPECIALFEATURESANDBENEFITS:Retainedthe‘easytoread’features/benefitchartCleartiering(i.e.morefeatures/benefitsforpremiumsthanlowertiers)

! New innovative design reflecting our technology leadership

! The content box features the refreshed tier-product claim and all specs

! Incorporate Piston and Active Cleansing Technology as found on the new label

! Shell Helix Ultra logo and updated tagline

! Color coding for each tier and portfolio

COMMUNICATING THE NEW PORTFOLIO! New innovative design reflecting

our technology leadership ! The content box features the

refreshed tier-product claim and all specs

! Incorporate Piston and Active Cleansing Technology as found on the new label

! Shell Helix Ultra logo and updated tagline

! Color coding for each tier and portfolio

! Language: — Updated language to be more

“customer friendly” for better understanding by various levels of competency across the trade

! Three sections: —  Why choose Shell Helix Ultra SN? —  Selecting the right oil —  The importance of cleansing

— Incorporated imagery to showcase our ACT at work

— Help evolve the story on “WHY” cleansing

! Special features and benefits — Retained the ‘easy to read’ features/

benefit chart — Clearer tiering (i.e more features/

benefts for premiums than lower tiers)


2.5

New point of sales material

New PR materials

New experiential Assets

TheseguidelinesarecurrentlyunderdevelopmentandwillbeavailableinQ4.



2.6

Documents

PROJECT HORIZON: STREAMLINING THE SHELL HELIX PORTFOLIO · Shell Helix SN is a range of motor oils that meets the latest ILSAC GF-5 and API SN specifications which demand improvements