Ashley Konchan Bryan McCallion Dan Mrazik Nicole Musso Liz Scarcelli

1. Ashley Konchan Bryan McCallion Dan Mrazik Nicole Musso Liz Scarcelli

2. Keurig SCBU

3. Exponential Sales Acquisitions Proprietary Technology Brands

4. Coffee and K-cup brands

5. K-Cup ® ? Customers

6. Issues Actions Overcome the 40% predicted decrease in K-cup sales Strategies K-cup patent expiration in 2012 “Keurig floods the market” Gain new preference and age groups Maintaining growth “Brewin’ something new” Increase the household market penetration 16% by 2012 Only have 4.5% of household market

7. Strategic Initiatives “Brewin’ something new” “Keurig floods the market” “Keurig Kicks Off College” New entrance of ‘Grande’ machines Recyclable K-cups

8. Keurig Kicks off College Appeal to college students Capture 16% of 18-24 year old coffee drinking market by 2012 Offer new colors to appeal to college students 8

9. Circular Advertisements Target and Bed Bath & Beyond circulars during months of July, August and September Mini Keurig sale price of $79.95 during first two weeks of August Bed Bath & Beyond college checklist 9

10. Income Statement (IN MILLIONS) Loss in profit Increase in K-cup sales

11. Net Income Increase 24.6% 16.2%

12. Types of Coffee Preferences 12

13. The Keurig Grande • Cappuccinos • Espressos • Lattes 13

14. Try It Before You Buy It • 12 weeks • Weekends Only • Top 100 sales-by-volume stores • 3 Wholesalers plus Bed Bath & Beyond and Target 14

15. Keurig Grande Television Ad

17. Grande Machines Forecast (In Millions) 3,799,126 machines sold

18. Keurig Household Market Increased machines sold over two years by 13,724,290 at the end of 2012 to hold 16% share of households 18

19. K-Cup Clean Up Green Mountain Coffee Roasters will sell 100% recyclable K-Cups by January 2013.

20. K-Cup Clean Up Reduce environmental footprint of K-Cups Differentiate Keurig brand from competitors Maintain commitment to company’s mission and core values Help to establish K-Cups as the most preferred product on the market

21. Looking Back to See Ahead Research and Development 2007: $3.3 million 2008: $4.1 million (24% increase) 2009: $6.1 million (48% increase) 2010: $9.8 million (60% increase) 2011: $17.6 million (80% increase) 2012: $31.7 million (80% increase)

22. Spread the Word! Print Ads: O, The Oprah Magazine Good Housekeeping Newsweek Total Cost: $2.3 million January and February 2013 Television: Food Network and Bravo Total Cost $3.6 million January and February 2013 Total Campaign: $5.9 million

23. Keep Up With the K-Cup: Go Green !

24. Keep Up With the K-Cup: Go Green !

25. Overall Projection Forecast without strategies Forecast with all strategies

26. Overall Projection

29. Historical Machine Sales and Forecasted Historical Sales Common Size Grande Machine & K-cup Forecast Historical Sales Per Segment Grande Machine Initiative Total Forecast Previous Television Ad Viewers Keurig Kicks Off College Bed Bath & Beyond College Checklist Income Statement Without Strategies Historical K-cup Sales Income Statement With Strategies Historical Net Income K-cup & Machine Sales Without Strategy Retail Store & Supermarket Locations Money Spent on Back to College Macy’s Display Keurig Praise Competition

30. Machines Sold Back

31. Forecast Without Strategies Back

32. Forecast with all strategies Back

33. Grande Machines & K-cup Forecast (In Millions) Back

34. Grande Initiative Forecast (In Millions) Back

35. Keurig Kicks Off College (IN MILLIONS) Back

36. Historical Sales Common Size Back

37. Historical Sales Per Segment Back

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42. Overall Projection Forecast without strategies Forecast with all strategies Back

43. Machine & K-cup Sales Without Strategy Back

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47. Competitors Tassimo Senseo Nespresso Back 47

48. Praise • Consumer Reports ranked Keurig the “Best Coffee Maker of All” in review of 35 single-serve coffee systems Back