1 © 2014 Purchasing Power, LLC. All rights reserved. © 2014 Purchasing Power, LLC. All rights reserved.

Digital Transformation

Optimization

Scott Wheeler

COO

Prakash Muthukrishnan

CIO

2 © 2014 Purchasing Power, LLC. All rights reserved.

3 © 2014 Purchasing Power, LLC. All rights reserved.

Our Clients and Customers

over

25 million customer payroll

deductions

more than

275 corporate clients

95% Client retention

rate

A+ BBB rating

NPS of

60 and climbing

more than

7.8 million eligible employees

4 © 2014 Purchasing Power, LLC. All rights reserved. 4 © 2014 Purchasing Power, LLC. All rights reserved.

3 Years Ago

5 © 2014 Purchasing Power, LLC. All rights reserved. 5 © 2014 Purchasing Power, LLC. All rights reserved.

A Digital Coming of Age - effort

• Deployment of transformation tools:

• Supplier Integration

• Merchandising automation

• Logistics coordination

• Storefront replacement

• CRM-light implementation

• Document/Image management

• Enabled with speed and continuous improvement thru awareness

• Timeframe was from March 2012 to-date

6 © 2014 Purchasing Power, LLC. All rights reserved. 6 © 2014 Purchasing Power, LLC. All rights reserved.

A Digital Coming of Age - results

• Site Conversion +20%

• Product Catalog grew 13x

• Order Conversion +200 bps

• Vendor order fill rate +150 bps

• On-time order SLA +600 bps

• Digital marketing +87%

• Hard documents -33%

• Order shipment speed improved 2

full days

• NPS +20%

7 © 2014 Purchasing Power, LLC. All rights reserved. 7 © 2014 Purchasing Power, LLC. All rights reserved.

A Digital Coming of Age - results

Conversion 2014 2015 YoY

Tablet 2.8% 3.6% +27%

Mobile 1.3% 2.3% +78%

Desktop 4.2% 4.9% +15%

Mobile App* - 2.8% -

94.00%

95.00%

96.00%

97.00%

98.00%

99.00%

100.00%

% F

ill R

ate

Vendor Fill Rate

2014 Fill Rate

2015 Fill Rate

0.0

1.0

2.0

3.0

4.0

5.0

6.0

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

2014

2015

Calls/Order

Document Channel

Order Speed 0.0

20.0

40.0

60.0

80.0

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

2014

2015

Net Promoter

8 © 2014 Purchasing Power, LLC. All rights reserved. 8 © 2014 Purchasing Power, LLC. All rights reserved.

Hybris Launch

• Launch Date : March 15th, 2014

• Hybris StoreFront

– Search, Facets

– Multiple images

– Multiple catalogs

• CS Cockpit

– Impersonation

• PCM

– Inventory, OOS

• WCMS

• CyberSource

9 © 2014 Purchasing Power, LLC. All rights reserved. 9 © 2014 Purchasing Power, LLC. All rights reserved.

New Capabilities

• Persistent Cart

– Insight into product demand

• A/B Testing

• Product Content

– Rich content via WebCollage integration

– Optimized Upsell/Cross sell information

• Loyalty

10 © 2014 Purchasing Power, LLC. All rights reserved. 10 © 2014 Purchasing Power, LLC. All rights reserved.

User Experience

• Website is now responsive

• Mobile App

• Self Serve features

– My Account

– Document Uploads

– Account Statement

• Check Out Optimization

– Site conversion increased by 25%

• Web Taxonomy changes

11 © 2014 Purchasing Power, LLC. All rights reserved. 11 © 2014 Purchasing Power, LLC. All rights reserved.

User Experience

• Website is now responsive

• Mobile App

• Self Serve features

– My Account

– Document Uploads

– Account Statement

• Check Out Optimization

– Site conversion increased by 25%

• Web Taxonomy changes

12 © 2014 Purchasing Power, LLC. All rights reserved. 12 © 2014 Purchasing Power, LLC. All rights reserved.

User Experience

• Website is now responsive

• Mobile App

• Self Serve features

– My Account

– Document Uploads

– Account Statement

• Check Out Optimization

– Site conversion increased by 25%

• Web Taxonomy changes

13 © 2014 Purchasing Power, LLC. All rights reserved. 13 © 2014 Purchasing Power, LLC. All rights reserved.

User Experience

• Website is now responsive

• Mobile App

• Self Serve features

– My Account

– Document Uploads

– Account Statement

• Check Out Optimization

– Site conversion increased by 25%

• Web Taxonomy changes

14 © 2014 Purchasing Power, LLC. All rights reserved. 14 © 2014 Purchasing Power, LLC. All rights reserved.

User Experience

• Website is now responsive

• Mobile App

• Self Serve features

– My Account

– Document Uploads

– Account Statement

– Returns

• Check Out Optimization

– Site conversion increased by 25%

• Web Taxonomy changes

15 © 2014 Purchasing Power, LLC. All rights reserved. 15 © 2014 Purchasing Power, LLC. All rights reserved.

Digital Marketing

• Retargetting

• Enhanced Promotional Capabilities

16 © 2014 Purchasing Power, LLC. All rights reserved. 16 © 2014 Purchasing Power, LLC. All rights reserved.

B2B Capabilities – Platform Expansion

Awareness Registration Login

CHALLENGES

Integration with Benefit Portals and TPA sites

SOLUTION

Increased penetration, traffic and revenue

RESULTS

17 © 2014 Purchasing Power, LLC. All rights reserved. 17 © 2014 Purchasing Power, LLC. All rights reserved.

B2B Capabilities – Vendor Integration

Integration with Tirebuyer 13K+ SKU’s Fitment Engine API Installer Details API

Tires Category Launch

Roadmap

“Market Place” concept Launch vendors rapidly

18 © 2014 Purchasing Power, LLC. All rights reserved. 18 © 2014 Purchasing Power, LLC. All rights reserved.

Q & A