Petrel WW Launching Master Plan

Petrel WW Launching Master Plan Rev. 1.1 B2B Biz Group Samsung IT Solutions Business 13th, Apr. 2011

Market Assessment Marketing Mix (4P) Launching Schedule Contents

I Market Assessment • Market Trend • Competitor Analysis • Customer Analysis

Market Trend • WW Mono LBP Seg 3&4 market trend - Continuous Growth : Seg3 CAGR 10%, Seg4 CAGR 13% - ‘11 Market Size : 5,291K (Seg3: 4,517K, Seg4: 775K) • Petrel Addressable Market (38~48 ppm) : 33% of Total MLBP Seg.3&4 Trend Petrel Addressable Market [K units] [K units] 7,497 6,870 Seg.4 Seg.3 Seg.4 CAGR 13% 6,134 5,291 4,622 Seg.3 CAGR 10% 1,440K (33% of Total Seg.3&4) * ‘10 Q4 IDC Forecast * ‘10 Q4 IDC Historical Data (’10 Result)

Market Trend - Petrel Addressable Market • Petrel Addressable Market : 33% of Total Seg 3 & 4 ‘10 Total Market Harrier 246K (5%) Seg4 302K 301K 86K 76K T652 Petrel Addressable 1,455K (28%) 351K P4014 41K 133K 87K T650 Stork P3015 494K 551K 385K E460/E360 19K Kestrel2 Seg3 Magpie Seg4 2,303K 185K 1,636K 230K * ‘10 Q4 IDC Historical Data

Market Trend – By Region & Vendor • N. America & Western Europe leads the market by size (70%) • HP strong in North America, Lexmark Strong in Europe • IDC ‘10 Q4 data (38~48ppm)

Competitors Analysis 2004 2005 2006 2007 2008 2009 2010 2011 2012 • High Probability of refresh model launching from HP & Lexmark on Q3 - Seg3,4 print engine change term : 5 years, Model Refresh every 2 years. - HP is expected to launch refresh model of P4014 and P3015 by 2nd half of 2011 - Lexmark is expected to launch refresh model of T650 and E460 by Q3 of 2011 • HP & Lexmarkdropped MSRP of current model on Q1, 2001 in US  Price of mew models are likely to be same as original price of current model - HP P4014dn : $899  $799, P3015dn : $649  $449 - Lexmark T650dn : $849  $679, E460dn : $599  $479 +36M +44M Refresh [‘11.Q3] 45ppm, $849 LJ-P4014 [‘08.05] 43ppm, $899 LJ-4250 [04.09] 43ppm, $1,099 +28M +25M +33M LJ-2420/30 [04.09] 28ppm/33ppm, $549/$999 LJ-P3015 [09.07] 40ppm, $649 Refresh [‘11.Q4] 43ppm, $599 LJ-P3005 [06.10] 33ppm, $549 +41M +30M T640 [05.06] 33ppm, $699 T650 [08.11] 43ppm, $699 Refresh [11.Q3] 48ppm, $699 +30M +25M E450 [10] 33ppm, $549 E460 [08.11] 38ppm, $549 Refresh [11.Q3] 43ppm, $549

Competitors Analysis • HP & Lexmark dominant the market : M/S 77% • - HP growing fast with P3015 and P4014 • - Lexmark keep their M/S consistently with E460 and T650 • 2nd Tier vendor : Kyocera & Xerox • - Steady sales with FS-4020 (45ppm) and Phaser 4510 (43ppm) MLBP 38ppm ~ 48ppm sales trend by vendor HP P4014 P3015 Lexmark T650 E460 [Source: IDC ‘10.Q4]

Customer Analysis – KBF and Unmet Needs Government/Education Financial Services Unique Value Groups Unique Value Groups Reliability Reliability Simplicity Economy Performance Performance

II Marketing Mix (4P) • 1) Product • 2) Target Customer • 3) Target Channel • 4) Price • 5) Promotion

1. Product - Concept Concept High Performance Workgroup Printer Target Work group users of 10~20 persons ( AMPV 4K ~ 5K ) KEY Value Propositions • Trouble-Free • Economic • Productive • Versatile Solution ML-4510 / 5010 / 5015 series 43ppm / 48ppm (A4)

1. Product – Unique Selling Point Summary • High performance laser printer in network environment • Effective Job Handling • Fast FPOT (Ready : 7sec, Sleep :14.5sec) • Fast print speed with big size document • from 600MHz Dual Core CPU & 1G N/W • Effective Paper Handling • Envelop Feeding from Main Tray Productive • Highly Reliable • Max Monthly Duty : 200,000 sheets • Easy to Use • 4.3” Touch LCD or Numeric Keypad Trouble-free • Easy to Maintain • Anti-Jam Technology • Low Noise • Less than 54 dBA • Low CPP from separated Toner/Drum • Toner (7K, 15K), Drum (60K) ECO mode & Result Simulator Economical • Out-of-box Security Solution • Secure Job Release with numeric keypad • Barcode Solutions/ Job Accounting Solutions • Fleet Management & MPS • SyncThru-Admin/ CounThru Versatile Solutions

1. Product – USP & Key Features • Straightforward Productivity 1) Effective Job Processing - Fastest FPOT in its class : 7sec from ready, 14.5sec from sleep - Fast Throughput from 600MHz Dual Core CPU & 1GB N/W : Faster Throughput for large volume printing (PPT 50 page test result) 2) Professional Paper Handling - Envelop Feeding from Main Tray (Up to 100 sheet) : No Extra Cost! * Test Result from Samsung QA Team

1. Product – USP & Key Features • Trouble-free Printing • Easy to maintain • - Anti-jam technology to prevent unwanted • multiple paper pick-up and jam. • 2) Easy to use • - Touchscreen UI with 4” TFT LCD • - Easy Management from Software Applications • : SyncThru Web Service ML-4510/5010 Retard roller Lexmark T650 Dam Type

1. Product – USP & Key Features • Simple Economics 1) Low TCO from Separated Toner & Drum Cartridge - Toner : 15K/ 20K, Drum: 60K - Requires fewer replacement of cartridge 2) ECO Mode & Result Simulator - Enable/Disable simply from a button. - Result Simulator shows graphically how much you can save Carbon Footprint/ Power consumption/Paper usage.

1. Product – USP & Key Features • Versatile Solutions 1) Out-of-box solutions - Universal Printer Driver: No additional driver installation - Provide Pull-Printing with pin code . No additional cost for secure printing - Barcode Solution 2) Fleet Management & MPS - Management tools for fleet management & MPS.

1. Product - Consumables • High yield & High Quality Toner - Polymerized toner for high image quality - Separate Toner & Drum for improved CPP • Small and uniform toner particles make • sharper images and lines • The higher wax content of Polymerized • Toner improves the image gloss and • durability. • The printer transfers Polymerized Toner • to the paper in a thinner uniform layer, • which reduces the waste toner and • requires a lower fusing temperature. VS Size : 6~7㎛ Size : 8~9㎛ Polymerized Toner Conventional toner High Yield Toner 7K 15K 20K 60K * Initial Toner Standard Toner Drum * Only for ML-5010/5015ND

1. Product – Model Configuration • Differentiation by Speed, Option, UI Petrel 48ppm_GUI Color Touch LCD, Job Accounting Solution Requirement vs. High Volume Printing CPP & High AMPV vs. Initial Cost & Low AMPV Petrel 48ppm 48ppm, 20K, 4x SCF Finisher, Mailbox Petrel 43ppm 43ppm, 15K, 1xSCF Gigabit, Duplex

1. Product – Option List • Shared with Harrier, except for SCF

1. Product – Competitor Comparison • ML-4510ND against HP & Lexmark

1. Product – Competitor Comparison • ML-5010ND against HP & Lexmark

2. Target Customer – Segmentation & Targeting ■ Main Target : Public Sector & Large Business (40% of Market) Develop large tender opportunity from public sector and existing key customer■ Secondary Target : Small & Medium Business (45% of Market) Increase run-rate biz from key corp. reseller • Main Target : Public Sector & Large Business • Large Tender Opportunity : 100~10,000 units • 3~5 years contract, TCO based MPS deal • KBP : TCO , Service Condition & Warranty • Secondary Target : Small & Medium Business • 10~100 units of project deal • KBP : Initial Purchase Cost * IDC ‘10 Q4 : Petrel Addressable Market (38~48 ppm)

2. Target Customer – Vertical Market • Focus on Gov, Education, Finance & Manufacturing • : Targeting Top Reseller and Top 10 Customer in GSBN data •  Increase Finance/Manufacturing market in addition to Public Sector * ‘08~’11 GSBN Tender Data on Stork/Kestrel2

2. Target Customer – Vertical Market • US: Focus on Public Sector, Enter into Healthcare Market • EU5 Countries: Increase Private Sector Sensing from Key reseller * ‘08~’11 GSBN Tender Data on Stork/Kestrel2

3. Target Channel ■ Main Target : Corporate Reseller, VAR/SI Reinforce direct engagement with VAR/SI, instead of distributor■ Secondary Target : OER/OSS Increase run-rate biz * IDC ‘10 Q4, GFK ‘10 Q4 data

3. Price - Policy • Same set positioning with competitors consider their model refresh • 90% of competitor CPP for better TCO Consumables Positioning Set Price Positioning • Same price positioning with better spec • and performance • 90% of Lexmark CPP • ※ 84% competitiveness vs. HP (P4014) [ MSRP Positioning by region ] [ MSRP Positioning by region ]

3. Price - Set Positioning • Same price positioning as HP, considering next model US & ROW As Is To Be T652DN $919 ($1,149) (Ex. VAT) 50 $999 Compete with Harrier ML-5015ND $949 50 P4014dn $799 ($899) 45 ML-4551NDR $799 45 $899 T650DN $679 ($849) ML-5010ND $849 50 45 $799 ML-4510ND $649 45 P3015dn $449 ($649) 42 $699 ML-4050ND $599 40 $599 E460DN $479 ($599) 40 $499

3. Price - Set Positioning • Same price positioning as Lexmark , considering next model EU As Is To Be Compete with Harrier (inc. VAT) T652DN €1,199 48 P4014dn €1,139 ML-4551NDR € 1,129 43 43 € 1,099 ML-5015ND € 849 48 € 899 ML-4050ND € 855 T650DN €859 38 43 ML-5010ND € 749 € 799 48 P3015dn €579 40 € 599 E460DN €539 ML-4510ND € 549 38 43 € 499

4. Promotion – SWOT Analysis Weaknesses Strengths • Lack of channel • - Low walletshare of SI/VAR/Corp. Reseller • - High dependancy on large government deal • Lack of brand awareness • - No holistic brand campaign on printer • Superior Product Performance • - Faster speed on heavy document • - Enhanced Paper Handling : Anti-Jam Technology • - Easy UI from Touch-screen TFT LCD • SuperiorTCO • - Separated Toner & Drum Threats Opportunities • New product expected on Q3 from competitiors • - HP lowered MSPR in US market on Q1 ‘11 • : P4014dn ($899$799), P3015dn ($649$449) • Exsiting Customer base on GSBN • - Targeting large customers who have purchased • Stork/Kestrel more than 2 years ago •  Suggest fleet change with Petrel

4. Promotion – Model Transition • Fast ramp-up by replacing old model with Petrel for tender • - Early engagement of new business opportunity • - Model exchange on existing tender rollout [ units ] • Large Tender Rollout • Mexico Government : 10K • Italy Intesa Bank : 3K • Brazil INSS tender :7K End of Production on Stork/Kestrel2

4. Promotion – Launching Activities • Cultivate business opportunity from GSBN database • Increase reseller awareness by Demo Sample Program Reseller Program B.O. Cultivation • Cultivate B.O. from existing customer • Demo Sample Program • - 50% D/C for 10 Top Reseller in each subs Subs Top10 Customer List Top 10 Subs Top 10 Reseller Revenue Target • Identify Top 10 customer for each subs • From customer base on GSBN DB • From customer base by B2B customer org. Customer Visit & Proposal Expand Business Opportunity

4. Promotion – Launching Activities • Proactive support on Business Opportunity • : Total 5 case, 12,840 units in pipeline

4. Promotion – Launching Activities • Increase product awareness : Magazine Award & Internet Marketing •  Target Top 5 Magazine Award from 11 key countries : Golden Sample at SOP •  Utilize Internet IT Magazine & Social network to advertize key USP Target Magazine Award Source: IDG bespoke research, 2008 Key Superior USP against competitor

4. Promotion – Consumables Strategy • Consistent & Competitive CPP for tender • Run Rate Expansion by Volume Incentive Scheme Competitive CPP for Tender Volume Incentive for Run Rate - CPP Consistency for efficient channel operation - Enhance CPP Competitiveness to win tender - CPP incentive based on H/W Q’ty - Different CPP incentive by H/W discount rate - Backend incentive & settle down (monthly/quarterly) CPP 0.020 0.019 20% D/C Price 0.018 Normal Price 100 H/W Q’ty 500 [CPP vs H/W Mapping]

4. Promotion – IMC Plan • Who • Target Audience: ITDM in Medium Business • What • - Category Propositioning : Performance without complexity- New B2B Range Benefit Statement : Better business without hassle - Petrel Benefit Statement : Performs for everyone, hassles nobody. (Productive, shareable and reliable)- Petrel RTB : - Productive : Stably fast speed from Dual-core CPU, Giga-bit LAN - Reliable : Anti-jam technology, Durable machine, Heavier media compatibility • How • - Deliverable plans: All below materials will be prepared by 2nd May. * Above list and delivery dates are subject to change in progress. All source data will be uploaded onto PVI Workplace by the completion dates.

4. Promotion – Professional PVIs • Professional PVIs for subs salesman and channel partners Video Clip • 1:1 Comparison footage against HP & Lexmark • - Highlight key features & competitive advantage • - Edited Version for Non-comparison BLI Award • Early engagement with BLI to provide sales tool at the time of launching • - BLI confidential “pre-launch” test • - Target : “Highly Recommended” Award Playbook • Find KSP and competitive edge against competing models • - in-depth benchmark test • - focusing on usability • - 1:1 Comparison

III Launching Schedule • Launching Schedule • Launching activities schedule

Launching Calendar • SRA : 16th, May M-1 M-3 M-2 M Month Mar Apr May Jun Jul Aug Sep PVR PRA (4/15) SRA (5/16) PLC RTS Marketing Sample Golden Sample Sample Phase Preparation Launching Post Launching HQ PVI Ready PVI Registration (5/16) LMP (4/5) Press Release Sales Guide, Image, General Spec, Leaflet, Catalog PM Delegation (Product Training) Price Approval Service Training Sales Analysis Subs LLP (4/30) Road Show or Dealer Event Local IMC Material Channel Nomination Advertising

Launching Schedule by Countries • Singapore: including Thailand, Malaysia, Philippines, Vietnam, Indonesia, Cambodia • UAE : including Saudi Arabia, Pakistan, Egypt, Syria, Iran • India : including Nepal, Bangladesh

IV Business Goal • 2011 Business Goal

2011 Business Goal • 2011 Management Plan : 72K unit G/R 73% 123,750 71,621 * M/S Target : According to Petrel Addressable Market

End of Document

Appendix) Lifetime Sales Trend of Stork/Kestrel2 • 2006 ~2011 Sales Trend of Previous Model

Appendix) Model Transition in US & EU 5 • SEA • Europe Top 5 Subs ( SEUK, SEG, SEF, SEI, SESA)

Appendix) Top 5 Magazine List • Top5 Magazine List for each country

12 11 13 14 16 15 10 6 9 7 5 8 1 2 3 4 Appendix) Enhancement from Previous Model Performance Quality LOW CPP ‘11 2Piece Toner (OPC :60K, Toner 15/20K) Higher Image Quality : 2 piece Chemical Toner Faster Print :FPOT 30sec → 16.5sec Usability Jitter reduced :3.2→2.1 Petrel 600MHz Dual Core CPU 4 Line LCD 4.3” Color Touch UI 43/48 Giga-bit Network Direct USB Higher Resolution :1,200dpi Enhancements ECO Various Option Envelop support from main CST ‘07 Security Low Power Consumption :EPA 1.2 level Multi-bin mailbox Stork 43 Kestrel2 38 More Silent :57dBA→54dBA Multi-SCF& Stand CAC support Less Smell

Appendix)Top 10 Customer & Top10 Reseller • Top 10 Customer • Top 10 Reseller * ‘08~’11년 GSBN rawdata

Petrel WW Launching Master Plan

Petrel WW Launching Master Plan

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