THE ULTIMATE CUSTOMER EXPERIENCE

The new Mailbox will not only offer a highly personalised and relevant shopping experience to our existing customers, it will also act as a major draw to our target customers, attracting them to shop in the city centre.

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CONTENTS...

4 BIRMINGHAM

6 THE CATCHMENT

9 GOALS FOR THE NEW MAILBOX

10 CUSTOMER ENGAGEMENT IS GROWING

12 THE ULTIMATE PERSONALISED CUSTOMER EXPERIENCE

13 TECHNOLOGY – WHY?

14 THE PLATFORM

15 CUSTOMER JOURNEYS: FIONA AND ADAM

19 OUR CUSTOMERS

21 MARKETING TO THE CATCHMENT

22 MAILBOXLIFE: UNIQUE MARKETING OPPORTUNITIES

23 THE CHINESE CUSTOMER

24 PR AND EVENTS

26 THE MAILBOX EXCLUSIVE CLUB

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BIRMINGHAM: A CITY UNDERGOING TRANSFORMATIONAL CHANGE

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Over recent years Birmingham has seen a surge in the finer things in life.

Marques of luxury which add to the city’s allure are becoming increasingly common. The Edgbaston Priory Club, fine dining establishments such as Simpsons, Adams and Purnells have joined the ranks with established institutions including Edgbaston Cricket Club, Birmingham Royal Ballet, CBSO and Jaguar Land Rover.

Wealth management companies and the major Deutsche Bank expansion in 2014 now make Birmingham the largest financial services hub outside London.

BIRMINGHAM WILL BE THE

ONLY CITY OUTSIDE LONDON WITH FLAGSHIP SELFRIDGES,

JOHN LEWIS AND HARVEY NICHOLS STORES,

ATTRACTING MORE AFFLUENT SHOPPERS TO THE CITY THAN

EVER BEFORE

NEW STREET STATION’S 40M+ PASSENGERS

FORECAST TO

INCREASE TO 50M+

WITH THE OPENING OF GRAND CENTRAL AND THE NEW JOHN

LEWIS STORE

52% INCREASE

IN FOREIGN INVESTMENT

THESE DEVELOPMENTS, ONLY A FEW MINUTES WALK

FROM MAILBOX, WILL

GREATLY ENHANCE

CONNECTIVITYWITH THE CITY’S

RETAIL CORE

BIRMINGHAM HAS RETAINED ITS POSITION AS

THE BEST UK CITY TO LIVE IN

OUTSIDE THE CAPITAL

DIRECT ECONOMIC INVESTMENT OF

£174M

VISITORS TO THE CITY AT AN ALL TIME HIGH OF

34MSource:

Marketing Birmingham

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PRIMARY

SECONDARY

TERTIARY

30 MINUTE DRIVE TIME

60 MINUTE DRIVE TIME

BIRMINGHAM

COVENTRY

SUTTON COLDFIELD

SHREWSBURYLICHFIELD

DERBY

LEAMINGTON SPA

WORCESTER

BROMSGROVE

LEICESTER

SOLIHULL

STRATFORD-UPON-AVON

STAFFORD

WOLVERHAMPTON

THE CATCHMENT

CATCHMENT OF

3M+ RESIDENTS

WITH 560K IN THE WEALTHY ACORN

GROUPS

UK’S 2ND LARGEST

SHOPPING POPULATION

WITH 621K REGULAR SHOPPERSJOHN LEWIS’

OPENING AND THE NEW MAILBOX WILL FURTHER

INCREASE BIRMINGHAM’S

SHOPPER POPULATION,

PARTICULARLY AMONGST AFFLUENT GROUPS

£2.3BILLIONANNUAL RETAIL

SPEND

HIGH SPENDING – HOUSEHOLD SPENDING

ON CLOTHING AND FOOTWEAR BY

AFFLUENT RESIDENTS IS HIGHER THAN IN MANCHESTER OR

EDINBURGH

Source: FSP6

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GOALS FOR THE NEW MAILBOX

The Mailbox is for style, for work and for life. It’s all about Mailboxlife. Our customers visit The Mailbox for lots of reasons, but for many, it’s just Birmingham’s place to be.

Everyone who comes through the door likes to feel special, comfortable, inspired and fulfilled. The Mailbox brand is a marque for a community of like-minded individuals who know exactly

who they are and what they want. The new Mailbox will have a broader appeal: high end luxury to entry level luxury pinned around a transformational new Harvey Nichols store.

OUR GOAL IS TO INCREASE THE

PENETRATION TO

25%

MORE PEOPLE,

MORE FREQUENTLY,

SPENDING

MORE

TODAY THE MAILBOX ATTRACTS

ONLY 15% OF THE AFFLUENT

RESIDENTS IN THE CATCHMENT

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CUSTOMER ENGAGEMENT IS GROWING...

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We have an intelligent customer database of over 50,000 unique records with postal, email and SMS data which can be profiled and segmented by interest and demographic.

MAILBOX SOCIAL MEDIA IS SUSTAINING

ANNUAL

4-FOLD GROWTH

OVER

10,000 FACEBOOK FANS

(NETWORK AUDIENCE AND REACH OF 18,000+)

OVER

8,000 TWITTER

FOLLOWERS GROWING BY 4%

EACH MONTH

AROUND

500 REWARD OFFERS

ARE DOWNLOADED EACH MONTH

THE WEBSITE RECEIVES OVER

30,000 UNIQUE VISITORS

PER MONTH

ESHOT AVERAGES:

25% OPEN RATE AND

15% CLICK THROUGH

JUST THE BEGINNING

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THE ULTIMATE PERSONALISED CUSTOMER EXPERIENCE...Among the exciting new developments in the remodelling of the Mailbox, is our use of integrated technology to create the ultimate customer experience. This leading edge technology will enable us to embrace the ‘connected customer’ personalising our messages to ensure they get what they want, when and wherever they want it.

This technology will build richer insight into our customers, which will be shared with our tenants to enable highly personalised, contextual promotions thus driving sales and boosting loyalty.

We will be able to recognise and communicate with our customers in real-time before they arrive, during and after their visits, allowing us to deliver a truly unique VIP experience, using technology to deliver at scale, to all of our most valuable customers.

Focus group research clearly demonstrates that this is what our customers want and increasingly expect.

Our goal is for the Mailbox and our partners to have a deep understanding of the behaviour and spending habits of our loyal customers. With this insight we will be able to constantly evolve our communications, ensuring that they stay relevant and timely.

To achieve our goal, we will offer each of our retailers the opportunity to work in partnership with us, which will involve collaboration and integration of systems in order for our vision to realise its full potential.

The ultimate, personalised retail experience will give the Mailbox an exclusive point of difference

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THE TECHNOLOGY VISION…Why?

To be able to identify our most valuable customers, get to know them ‘intimately’ in terms of their spending habits and preferences, reward them accordingly, thus encouraging them to spend more, whilst delivering the ultimate personalised customer experience.

To create a genuine point of differentiation for the Mailbox and make it stand out.

To be able to keep up and compete when competitors leapfrog us through a future proof platform approach.

To be able to deliver technology-enhanced retail experiences efficiently; if this step is not taken, the same investments will ultimately be made piecemeal with lower ROI, no differentiation, and higher ongoing costs.

Our focus group research clearly demonstrated that this is what our customers want.

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EXPERIENCE THE PLATFORM LIVING PLANIT URBAN OPERATING SYSTEMThe proposed platform will provide The Mailbox with broad centre-wide capabilities including:

INTEGRATED CAR PARK

TECHNOLOGY

ENHANCED WIFI

INTEGRATED COMPREHENSIVE

CRM AND LOYALTY REWARDS –

SINGLE VIEW OF THE CUSTOMER

LOCATION AND PROXIMITY BASED

SOLUTIONS SMARTPHONE

APPLICATION THAT PROVIDES REAL-

TIME, CONTEXTUAL CUSTOMER

COMMUNICATIONS, INTERACTIVITY, AND

PROMOTIONS

CCTV CAMERAS - FOOTFALL COUNTING,

PATH ANALYSIS

A TECHNOLOGY-DRIVEN ENHANCED MAILBOX LOYALTY

SCHEME

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Adam is an anaesthetist who works at the QE hospital in Birmingham. He lives with his fiancé on the Moorpoole Estate in Harborne.

Fiona used to work in London, but moved up to Birmingham after meeting Adam. She has recently found a new teaching post at the University of Birmingham.

THE CUSTOMER JOURNEY…

Adam (36) and Fiona (33) - Educated Urbanites14

On a Saturday in March, Adam and Fiona will be attending the Harvey Nichols fashion show at the Mailbox. Before that they plan to do some shopping, meet up with friends and probably go for dinner.

On Thursday night, Fiona is at home with her iPad feeling excited about her trip. She opens the Mailbox app to view her myMailbox site... it feels like a glossy magazine; fully personalised, based on her shopping preferences and history, full of recommendations, must-haves and the latest fashion advice.

Fiona also has a quick look at her ‘fashion’ board in Pinterest and is reminded about the jumpsuits she’s been coveting. She syncs a couple of the jumpsuits to her wish list in the Mailbox app and immediately receives notifications from three stores which stock similar items she might like to try, within her set budget.

On Friday, she checks the app again and notices she has been invited to a personal shopping experience at Harvey Nichols which she confirms, and slots into her itinerary.

On Saturday morning Fiona and Adam are preparing to leave. Adam is driving so Fiona opens the app which has Google Maps embedded into it. There is an alert saying that there are queues on the Hagley Road so she changes their route to save time.

Soon after, they arrive at the Mailbox car park and as their car is already registered with Mailbox parking, access to the car park upon arrival is automatic and the barrier lifts.

Fiona’s app automatically awakens...

She automatically receives a notification welcoming her to the Mailbox, along with pre-planned itinerary notifications.

Harvey Nichols is also now notified of her arrival and that she has confirmed her personal shopping appointment.

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Adam has now decided to turn his app on. As a regular Emporio Armani shopper, the store is now aware that Adam is in the centre. He is sent an image of the latest campaign featuring a leather jacket that he might like to try.

They walk together to the Urban Room, an elegant and sophisticated space... they love people watching here, as well just passing the time. Relaxing on one of the comfy chairs, Fiona starts browsing through the interactive magazine, she updates her wish list and accepts certain recommendations and confirms further notifications on her personal itinerary.

Adam heads towards Emporio Armani to try on that leather jacket. It turns out the jacket’s a winner… he purchases it straight away, along with some accessories. His purchases are logged automatically in The Mailbox Exclusive Club within the app.

Upon leaving Emporio Armani, Adam receives a notification from the Hugo Boss store, saying that a fantastic pair of shoes he was admiring online are now available in store, in his size and furthermore complement the leather jacket he has just bought.

He goes and buys them straight away! He receives another notification saying that his friends have just arrived. At the same time a notification alerts him from his Mailbox Exclusive Club account saying he’s spent over a certain amount and therefore is entitled to £20 off a bottle of Champagne at Bar Epernay.

He routes his friends there, saying he’ll meet them in 10.

Most of Adam and Fiona’s purchases have been recorded in their Mailbox Exclusive Club accounts via an integrated POS system which most retailers are connected to. For the retailers who aren’t, customers use their smartphones to register their purchases via a very simple process of barcode scanning.

Meanwhile, Fiona has finished her personal shopping experience in Harvey Nichols. She has the jumpsuit she wanted and is very impressed with the sales assistant who recommended four further items from the Spring/Summer collection. Thanks to her club account, she was also able to pick up an additional promotion.

Fiona joins Adam and their friends for a well-deserved glass of Champagne. Bar Epernay is buzzing and they can’t see their waiter to order more drinks, however thanks to the Bar Epernay ordering service in the Mailbox app, they can easily order another bottle, plus some nibbles which are delivered promptly to their table.

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Time is ticking and it’s time for the fashion show which is shortly taking place in the Urban Room. They quickly pay the bill via the app. They decide that once the show is finished they will go for dinner in Miller and Carter so they book a table via the app too.

At the show, the Mailbox app allows Fiona and Adam to view the collection being presented on the catwalk and tag images of their favourite pieces and post directly to Facebook and Twitter, linking their followers to the post, as well as promoting The Mailbox app. Fiona also adds quite a few items to her wish list for the next visit! Each of the retailers whose products she has added are able to view her wish list and send her notifications about promotions and products they have available in her size.

Later, when they arrive at Miller and Carter, thanks to the location services provided by the iBeacon technology Adam is welcomed to the restaurant by a message on his phone. They order their food and wine and Adam receives an alert saying that if he purchases another bottle of wine, he will get free parking for their whole visit. There is no hesitation!

On the way home, Fiona receives an alert from the app asking for her feedback on her experience at The Mailbox for a chance to win a massage at Le Petit Spa in Malmaison.

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As a result of our research:

The new Mailbox will be a unique collection of brands, luxury retailers and independents found nowhere else in the region

“THE MAILBOX NEEDS TO PROVIDE

A BALANCE OF MORE UPMARKET STORES AS THE

MAINSTREAM BRANDS ARE ELSEWHERE IN

BIRMINGHAM”

“SITING LUXURY STORES ELSEWHERE IN THE CITY DOESN’T MAKE SENSE – THE

MAILBOX IS THE NATURAL PLACE FOR

THESE SORTS OF SHOPS”

“THE NEW JOHN LEWIS WILL ATTRACT

MANY MORE SHOPPERS TO THE

CITY AND WILL HELP DRIVE THE FOCUS OF THE CITY’S RETAILING

CLOSER TO THE MAILBOX”

“CREATE A LUXURY SHOPPING

HAVEN AND WE WILL COME”

OUR CUSTOMERS TOLD US:

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WEALTHY EXECUTIVES (AGE 40-55)

Wealthy Executives spend up to £1,500 per month on fashion. They buy (& love) designer brands because every item of clothing they own needs to ooze quality. Like their homes, their style is a mixture of classic elegance and current trends.

“ I like to wear good quality clothes and have an understated style… classic pieces with elements of originality…I like to think I have developed my own style while staying on trend.”

“ I’m not sure how someone would describe my look, but would hope it would be classic with a bit of flair and style.”

“ I used to run my own PR company in London but now enjoy a less hectic life looking after the family in our five bedroom house.”

EDUCATED URBANITES (AGE 30-45)

Whilst Educated Urbanites generally spend a little less than the Wealthy Executives on fashion (£200 - £500 a month), it’s a higher proportion of their income. They are keen to create their own style, but loyal to their favourite brands.

“ I love to splash out on luxury accessories”

“ I work hard and earn the money I do, to stay dressed in the best brands”

“ I feel special when I come here to shop, it makes me feel great when I walk out of here with the bags.”

KNOWING OUR CUSTOMERS

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REGIONAL MAGAZINES:

LOCAL LIFESTYLE MAGAZINES WITH

A COMBINED CIRCULATION OF

1 MILLION

5,000 COPIES PRINTED AND

DISTRIBUTED TO 80 CITY CENTRE LOCATIONS AND

MAILED TO HARVEY NICHOLS’ TOP

SPENDERS

THE MAILBOX MAGAZINE

MARKETING TO THE CATCHMENTMarketing and communications for Mailbox tenants is delivered by an onsite marketing team, who work closely with each tenant to deliver footfall and increase spend whilst leading strategic initiatives to position brand Mailbox.

FASH ONISS

UE

NI N

E

SPRING/SUMMER 2014

STEP INTO SPRING AT HARVEY

NICHOLS

the best inNEW

SEASON BEAUTY

EMPORIO ARMANI’S PERFECT PASTELS

IMagazine for

A VIP DINING

EXPERIENCE

Details inside...

WIN

FOODIS

SU

E N

IN

E

A VIP DINING

EXPERIENCEWIN

S P R I N G / S U M M E R 2 014

Magazine for

New CoCktail ReCipes to Mix

HealtHy sNaCks FRoM HaRvey NiCHols

spRiNg MeNus aNd speCial oFFeRs

a sNeak peek at tHe New Mailbox!

Complimentary parking.When you shop, dine or get pampered.

Dine at Malmaison Brasserie, Harvey Nichols Espresso Café, Bar Epernay, Strada, Pennyblacks, Côte Brasserie and visit Toni & Guy Essensuals or shop at Harvey Nichols to enjoy a minimum of 2 hours complimentary parking at The Mailbox. Terms and conditions apply. Please visit the website for full details.

pennyblacks

Studded Stretch Jersey Dress, Michael Michael Kors at Harvey Nichols, £215.00

Christmas at

Bar Epernay • Bar Estilo • Bar Room Bar • Café Rouge • Caffe Gusto • Côte Brasserie • Gourmet Burger Kitchen Harvey Nichols Espresso Café • Harvey Nichols Perrier Jouët Champagne Bar • Malmaison Brasserie • Miller & Carter • Nando’s • Pennyblacks

Pizza Express • Red Peppers • Strada • The Oriental • Zizzi • Ramada Hotel • H2O Car Valeting • Tesco Express • BBC Birmingham

Still open, still luxurious,as we build you a better Mailbox.

MEDIA PLANNING AROUND THE

MAILBOX’S UNIQUE CATCHMENT

WITH AN ANNUAL INVESTMENT OF

£100,000

PLANNED WITH

16.5 MILLION IMPACTS

ADVERTISING

SEASONAL CAMPAIGN

CREATIVE UTILISING OUTDOOR, RAILWAY

ADVERTISING, RADIO, BUS SIDES AND REARS AND

DIGITAL – DISPLAY AND VIDEO

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MAILBOXLIFE: EXCEPTIONAL MARKETING OPPORTUNITIESThe Mailbox is a unique, mixed-use environment. For our shops and restaurants this provides an unrivalled opportunity… with onsite offices, apartments and a city centre car park, a fully engaged audience is not just on the doorstep – but already inside the door.

We already work with many of our brands enabling them to easily offer their customers complimentary parking with us. Recently, in the week that Harvey Nichols’ customers redeemed the most parking validations, sales were +9% YOY.

We have also developed strategic partnerships with each of our office tenants, residents and brands offering special discounts and VIP treatment to our onsite customers.

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THE CHINESE CUSTOMERThe Mailbox’s city centre location and leisure offer is already attracting the high spending Chinese student and visitor. We are also engaging with the Chinese customer through social media channels and specially curated content.

THE NUMBER OF CHINESE IN

BIRMINGHAM HAS MORE THAN DOUBLED FROM 0.5% IN 2001 TO 1.2% IN 2011 WITH 12,700

NOW LIVING IN THE CITY .

SOURCE: 2011 CENSUS

OVERALL THE MIDLANDS

ATTRACTED 17,755 CHINESE STUDENTS

IN 2012, ALMOST DOUBLE THE NORTH

WEST, WITH 4,800 OF THESE BEING IN

BIRMINGHAM SOURCE: HESA

NUMBER OF VISITS FROM CHINA TO

BIRMINGHAM HAS DOUBLED IN ONE

YEAR FROM 5,055 IN 2012 TO 11,573 IN 2013

SOURCE: INTERNATIONAL PASSENGER SURVEY

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Working with our PR agency we not only endeavour to promote Mailbox events and initiatives but are happy to work directly with each of our brands to promote their stories on a local level.

Activity includes setting up specialist journalist and blogger events, stunts and competitions and or liaising directly with the Head Office PR teams to provide local support through established networks.

Utilising our outdoor and indoor space, we’re able to work with tenants and city partners in order to host events which attract additional visitors into the Mailbox and increase their dwell time.

The Jazz Festival, Taste of The Mailbox and outdoor theatre events in 2013 have helped boost sales - particularly in our bars and restaurants - with some reporting increases of over 100% during the event period.

PR AND EVENTS

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ENCOURAGING SPEND AND REWARDING LOYALTY: THE MAILBOX EXCLUSIVE CLUB

The Mailbox Exclusive Club will be a rewards programme like no other. Managed by each customer within their app and by the marketing team through a central database, spend and loyalty will be tracked and rewarded through a points based system.

Points will be earned by:

• Spending in Mailbox stores, restaurants, hotels

• Visiting the car park

• Rating and reviewing Mailbox products and services either on the website or through social media

• Downloading and using the app

• Updating your profile with preferences

• Providing feedback

Points can be redeemed on:

• Offers and discounts

• Car park top ups and payments

• ‘Money-can’t-buy-access-to’ events and experiences at The Mailbox - with Mailbox tenants and Mailbox partners in the city.

The Mailbox partners in the city.

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