99 Bikes Brand Guide by 99 Bikes

BRAND

GUIDE MOUNTAIN

ROAD

HYBRID

BMX

KIDS

Contents The 99 Bikes Brand

Marketing

Brand Story

99 Bikes Frequent Riders

Our Vision

Local Store Marketing

Marketplace & Customer

Hook Me Up Vouchers

Our Brand Positioning

Catalogues

Our Unique Selling Points (USPs)

Brand Presentation

Merchandising

Enquiry Generation

Product Presentation

Our Philosophies

One Best Way Business Systems

Category First

Complementary Categories

Straight Lines

Fill The Space

Bargain Bins Large Section Signage

Sales

The 7 Step Sales Process

Fit it. Quote it. Deliver it. Chase it.

Pricing

Directorships

Barcodes

Team Leader

Flipper Tags

Bike Tags

A5 Bike Tags

Yellow Discount Post-its

Yellow A0 Sale Signs

Signage Areas

Vision, Plan and Goals

Running Budgets

90 Day Plan

Communication and People

Daily Huddles

Weekly Business Meetings

Workshop

1 on 1s

Workshop Process

Bang Nights

Workshop Cards

Buddy System

Knowledge Guru

End of Month

Warranty

Recruitment

OH&S

Expenses Policy

Stock - Parts & Accessories

Employee Benefits

Salary and Incentive System

Yellow Cards

BOS

Ordering

Annual Leave

The Boards

Staff Purchases

Goods in Area

Salary Sacrifice

Stamps

Transfers

Uniforms

Rolling Stocktakes

Appendix

Stock - Bikes

Marketing System Session

Floor Plan

Sales Booster (Summary)

Demo Bikes

Bike Building

Notes

Used Bikes

99 bikes BRAND GUIDE

The 99 Bikes Brand Brand Story 99 Bikes opened the doors of its first shop in May 2007. The Milton shop was initially led by Matt Turner and was a small 170m2 - only fitting 99 bikes into the building. A team of four worked in the shop 7 days a week, 12 hours a day with one tiny room tripling as a workshop, office and stock room. The integral team grew to 8 as the Milton shop flourished and the Underwood shop was opened. Most of the team are still with us today - Ryan Lee, Robb Bekavac, Lin Pih, Owen McLeod, Greg Williamson, Chris Williams and Chris Neal.

Matt continued to use the advice of his father, Graham ‘Skroo’ Turner to evolve systems and processes in alignment with Flight Centre - a business model which has demonstrated success for more than 35 years.

Our Vision We are creating a ground breaking professional bike business. Passionate sales people, skillful mechanics and exciting products. Improving our health and the health of our customers. Defy the dream snatchers.

Marketplace & Customer • Novices and Nervous Newbies with an interest in fitness, recreation and/or racing • 80% male, 25-45 years old. • Mass market – focusing on $249 to $1,500 bikes and selling bikes up to $10,000. • Sweet spot is above $600 - focus for our sales training

The 99 Bikes Brand

Our Brand Positioning “BIKES PLUS” We are the bike experts offering the widest choice of bikes at the best prices. Customers come to us for all types of bikes and our people earn great commission by having the expertise to recommend bikes above $600 as well as all needed extras. Backed by our two guarantees - ‘$50 Price Match’ and ‘30 Day Perfect Ride’.

Customer thinks...

The messages...

Great Prices

Tagline: Number 1 On Price $50 Guarantee - Best Price on Bikes

The Experts

Tagline: The Perfect Bike For You Perfect Ride Guarantee - Love It Or Swap It Customer Categories: Mountain, Road, Hybrid, BMX Professional Workshop Free bike fit with any new bike 99 Bikes Racing Team Exciting p[roducts and huge range

Our Unique Selling Points (USPs) • Best Price On Bikes - $50 Guarantee • Love It Or Swap It - 30 Day Perfect Ride Guarantee • We give a consistent and good customer experience • Trade-in at any store and upgrade • Conveniently located shops • Open 7 days

TRADE IN* & UPGRADE

99 bikes BRAND GUIDE

Brand Presentation 1. Mick The Mechanic – Is our brand icon that gives our brand trust and credibility

2. In the Shops – They are always clean, tidy and extremely organised. Our shops are maintained to consistent brand standards and are aimed at customer convenience.

3. The Website – Is an extension of our shop front and our BIKES Plus positioning. Main purposes: - Bike browser - Staff profiles - Our Locations

Expert Online Status: - Bike fit - Professional workshop - 99 Racing Teams

4. Our Advertising – It shows customers our extensive range of Bikes Plus product, backed by our guarantees. Fun, vibrant colours with strong branding and great emotive images.

The 99 Bikes Brand

5. Our People – Our people are knowledgable, passionate, well groomed and presented in exact uniform. We back our sales consultants with our Knowledge Guru training program and supplier education. Staff are paid higher than the industry average on a base + commission structure

6. Outside the shops – We do everything to make out shops stand out, look welcoming and look like we have lots of BIKES! - Large logos - Red walls and building - 99 spash - Our guarantee - Black hill and bike silhouettes 7. The – A classy and recognizable image which can reinforce the brand in a subtle and elegant way.

8. Product – We have a big range, everything the customer needs. We have the best and most recent products in-store or via catalogues. We also have the cheapest options but wouldn’t recommend them specifically.

99 bikes BRAND GUIDE

Enquiry Generation 1. Our Guarantees – Large posters hanging from the ceiling. Visible from bikes area, entrance and POS. Number 1 On Price - $50 Guarantee Love It Or Swap It - 30 Day Perfect Ride Guarantee 2. Outdoor Flags – Large flying banners displaying our logo to attract the attention of those passing by. Displayed outside whenever the store is open, whenever possible. 3. A-frames and archways – A large “OPEN” A-frame sign is outside every shop in view of traffic. Massive inflatable archways are used in appropriate shops. free 2011

Catalogue

4. Yearly Catalogue – Displayed just inside the door of the shop. Used as a sales tool for sales staff, and given as a time-filler to customers at busy times. Also used at specific events, mailouts and other targeted marketing.

road

mountain

hybrid

bmx

kids

5. Sales – Stand-out signage, yellow in colour, displayed in windows and from ceiling. Sales are run across all stores and include: a. 15% Off Storewide b. $200 Voucher with any bike over $499 c. Double your trade-in value d. Stocktake Sale e. 500 Days Interest Free f. Other one-off sales 6. Bike Fit Area – Every store has a bike fit area including a bike fitting jig and an indoor trainer, fixed to a raised platform. This area is a functional fitting area, sales tool for staff and a display which builds our professionalism and credibility.

7. Radio – .Advertising mostly on NOVA to capture the largest group of 24 - 49 year old listeners. Advertisements on NOVA are fun and broadcasted during our major sales.

8. Local Store Marketing (LSM) – Opportunity for each store to leverage from relationships within their local community

9. Emails and Database – Our customer database is effective and very cheap to grow and maintain. Emails are sent regularly advertising sales and store/customer-type specific events. 11. Social Media – Our Facebook and Twitter pages are great ways to keep in touch with customers and keep a good online presence. This allows our marketing to go viral, plus makes running quick competitions and promotions simple. 10. Website & Internet – Our website is designed around a brilliant bike browser, plus information on our workshops, race teams, and every staff member. Using various internet marketing options, we create traffic to our website for their first impression. Content on our website is always targeted to drive people in-store for a professional first opinion.

11. Referral Program – Hook Me Up Vouchers are given out to target repeat business. $50 refer-a-friend vouchers are given to reward any customers who refer a friend who buy a bike from us.

99 bikes BRAND GUIDE

99 Bikes

Our Philosophies 1. OUR PEOPLE Our company is our people. We care for our colleagues’ health and wellbeing, their personal and professional development and their financial security. We believe that work should be challenging and fun for everyone and through work we contribute to our community.

7. OUR STANDARD SYSTEMS ‘ONE BEST WAY’ In our business there is always ‘one best way’ to operate. These are standard systems employed universally until a better way is shown. This improved way becomes the ‘one best way system’. We value common sense over conventional wisdom.

2. OUR CUSTOMER

8. FAMILY, VILLAGE, TRIBE

We recognise that our customers always have a choice. Therefore great product knowledge, provided with honesty, integrity and a great attitude, is key to our company’s success, as is the bike product we provide.

Our structure is simple, lean, flat and transparent, with accessible leaders.

3. PROFIT A fair margin resulting in a business profit is the key measure of whether we are providing our customers with a product and service they value. 4. OWNERSHIP We believe each individual in our company should have the opportunity to share in the company’s success through outcome-based incentives, profit share and BOS (Business Ownership Scheme). It is important that business leaders and business team members see the business they run as their business. 5. INCENTIVES Incentives are based on measurable and reliable outcome-based KPIs. We believe that ‘what gets rewarded, gets done’. If the right outcomes are rewarded, our company and our people will prosper. 6. BRIGHTNESS OF FUTURE We believe our people have the right to belong to a Team (family) and a Village that will provide them with an exciting future and a supportive working community. They also have the right to see a clear pathway to achieving their career goals. Promotion and transfers from within will always be our first choice.

There is a maximum of 4 layers. The village is an unfunded, self-help support group that forms an integral part of our structure. 1. Family – Teams (min 3, max 7 members) 2. Villages – Groups of teams (max 10 teams) 3. Tribes – Areas (min 8, max 15 villages) 9. TAKING RESPONSIBILITY We take full responsibility for our own success or failure. We do not externalise. We accept total ownership and responsibility, but not always total control. As a company we recognise and celebrate our individual and collective successes. 10. EGALITARIANISM AND UNITY In our company, each individual has equal privileges and rights. There are no personal assistants, secretaries or one-off privileges. There is no ‘them and us’.

One Best Way Business Systems

What does it mean? Ultimately, one best way means that through well defined, easily understood and well disciplined business systems, we will offer a customer experience that is uniform and predictable. Itâ&#x20AC;&#x2122;s a proven and simple framework from which our consultants can provide positive and memorable customer experiences while delivering successful results.

This manual is made up into two basic sections:

Business Systems - the six core business systems that guarantee a consistent customer experience and financial success. Each business system has an instore Directorship or owner of that business system; the essential ingredients for successful operations of that system.

Every day operating systems - the policies and procedures we use day-to-day

99 bikes BRAND GUIDE

Sales We are a sales company and we believe in sales skill and selling discipline to deliver positive, memorable and consistent experiences. Growing and maintaining a strong brand relies on each conversation with each customer.

The 7 Step Sales Process • Developed by our best sales people • Absolutely proven to work 1. Meet and Greet / Build Rapport • Smile and greet customers within 30 seconds • Introduce yourself – use your name • Ask an open question unrelated to the sale 2. Get to know their story • Get 6 to 8 pieces of information about the customer and what they’re looking for • Have a chat about what they want and how it fits their life 3. Summarise • Reconfirm what they’re after • Paraphrase what the customer told you and have them give ‘yes’ answers 4. Bike fit • Four quick measurements using bike fitting jig • Use form in catalogue 5. Check availability & RAZZLE!! • Excuse yourself to check stock availability if not on the floor • Excite yourself and the customer before recommending 6. Recommend & Trial Close • So what? -------- > Which means... • Test ride it. Accessories? • Is the customer delighted? 7. ONLY 3 outcomes • SOLD! • Deposit taken • Quote given to the customer including A5 handouts and follow up call arranged within 24 hours

FIT IT!

QUOTE IT!

A Lite Bike Fit is the minimum standard and must Every customer who enquires but doesn’t buy a be done within the sales process bike on the spot must leave with a quote • • • •

Inseam measurement Torso measurement Arm length measurement Print out specifications

• • • •

An Advanced Bike Fit can be done for road and high-end bikes.

DELIVER IT!

Generated in Retail Express Print A4 Quote Staple A5 handout detailing our guarantees Ask the customer for a specific time to call them within 24hours

CHASE IT!

Sold bikes are always ‘delivered’ to the customer • Owner’s manual inside Bike Delivery envelope • A5 handout attached • Hook Me Up referrals attached • A5 handout/envelope is explained to the customer and filled in from start to finish

• Quotes are printed and allocated in every huddle • Quotes are called within 24 hours • Follow up again with SMS templates before any sales • Sold bikes: 3 day SMS; 1 month SMS

“How To’s” in Corporate • • • • • •

Knowledge Gurus → Module 6 Bike Fits – Road and MTB Knowledge Gurus → Module 7 Bike Delivery Procedures → Sales Process Procedures → Bike Fitting Procedure Procedures → Phone Answer Procedure Procedures → Quote Templates

99 bikes BRAND GUIDE

Directorships Directorships ensure all team members learn and are RESPONSIBLE for the OBW Systems to run a successful 99 Bikes Business. They create ownership and drive the business forward through measurable outcomes. • Team Leader is responsible for ensuring everyone has a Directorship • Team members give updates during the Weekly Business Meeting – focus areas and specific actions to take • All team members are to complete a Directorship Summary of goals and actions once a month

DIRECTORSHIPS

IN CHARGE OF...

TEAM LEADER

Directorships - clearly defined, explained, delegated; Business Outlook - Plan, Vision, Running Budget; Team Members - Development & Training, Diaries; Meetings & Communication - Communication Book & Daily Huddles; End of Month - Spreadsheet, P&L, Expenses Sign off, Stock Management Review; Weekly Rosters and Annual Leave Planner; End of Days; Store KPIs & Goals & Rewards

STOCK GURU & ORDERING

Oversees Stock Directorship; Communicate stock updates; Monitor Stock Rules; Train staff the how to’s; Ordering ALL P&A and workshop; Budgets; Increase sales and GP per category; Relationship with main suppliers Monthly Stocktakes; Yellow Tags - completely checked every day; Customer Orders Shelf; Stock Emails & Re-Labelling/Repricing Receiving; Labelling; Transfers Board; Stock Board (Goods IN & ITO); Goods in Area.

BIKES ON FLOOR

Ordering Bikes; Deliveries; Labelling of Bikes; Bike Builds & Target; Display of Bikes; Bike Manuals and Envelopes

SALES & MARKETING

Meet & Greet; Emails; Contact Reminders - Awaiting Payments, Quotes, After Sales; Supplier Catalogues & Pricelists; Bike Availability; Bike Fit and Sales Toolbox; Banking Sheet and Cash Banking; Magazines Local Store Marketing; Outdoor Signage; Email Database; Clubs & Businesses & Buying Nights; Events - Demo Days, Shop Rides; Other Initiative

MERCHANDISING

Store Layout; Instore Signage; Cleaning; Rubbish Bins; Pricing; ReStocking

WORKSHOP, WARRANTY & OH&S

Ordering for Workshop; Budget for Workshop Parts; Workshop Cards/ Board; Booking In; Booking Out; Cleaning Workshop Warranty Folder up to date. Organizes, sends goods and stamps credits. KPI - number of outstanding cases

Team Leader 1) Vision, Plan and Goals Every team in 99 Bikes has a clearly communicated and understood vision (a picture in words of what the business will look like in the future) agreed goals to realise that vision and clear strategies and plans to achieve those goals. Expectations: • Each team member will set their own targets and goals for the year ahead • Held in May/June each year • Team has full ownership of their budget, business plan, successes and challenges • The business plan is revisited regularly Workshop Process: 1. Planning for the year ahead • Reflect on results, Top 3 things achieved, Top 3 learnings 2. Individual and team goals • Each team member sets commission goals, add together to reach an indicative profit target (achievable) • Set major team goals for the next 12 months 3. Setting our vision • A picture in words of where the team would like to be and end of year • Compact, concise, exciting, sets crystal clear direction 4. Key Business Drivers (KBDs) • Discuss the key things that are crucial to business success • Customers, sales, our people, expenses, commission etc 5. Strategies and action plan • Most important things that will be implemented to ensure success • Develop action plan with time lines and measurement • Discuss potential roadblocks and strategies to overcome 6. Follow up • How often will this be revisited? How will the team celebrate? 7. Last step • All individuals fill out goals/plan template and laminate

i) Running Budgets Running Budgets are effective individual estimates and a running forecast of a team’s financial outcome for the month and the year. It is updated and shared with the team by the Team Leader monthly and re-forecast by the team if situations change.

ii) 90 Day Plan Team Leaders plan out their Top 10 strategies and specific actions for their shop and their people that will ensure goals are met. 90 Days is a good time frame to focus on and achieve results.

99 bikes BRAND GUIDE

Team Leader 2) Communication and People Our business has a unique culture of transparency and information sharing at every level of the company. We believe that structured and open communication builds engagement and empowerment that helps lead to an enhanced customer experience and financial success.

Daily Huddles Every morning for 15 minutes before the shop opens. The huddle is educational and motivational. This key system often defines the attitude we take into the day.

WEEKDAY HUDDLE

WEEKEND HUDDLE

A white board displays 3 things:

• Margin goal for the day • Daily total from previous day • Running margin total (from previous day) Important briefings: • 1 product discussed by 1 person each day to share knowledge • Hand out quotes from previous day. Reminder to follow up quotes within 24hours

Target Month-to-Date

Actual Month-to-Date

Actual Daily Total

• Margin goal for the day • Daily total from previous day • Running margin total (from previous day) Important weekend strategy: IDEAS** • Busy times sales triage • 1 communicator in team who organises others • 1 person who doesn’t sell bikes effectively a ‘friendly security guard’

Team Leader Communication and People Weekly Business Meetings Weekly Business Meetings are compulsory each week. A time to work “on the business” not “in the business”; they are held on a Tuesday, Wednesday or Thursday morning before work for an hour. • Set the same time, same day each week • Prepare an agenda - including sales focus/boosters, update on targets, company news, how to’s and directorship reports • Involve team in hands-on learning activities – this is the only way they will learn • Keep notes, particularly actions each person will be responsible for • Schedule product knowledge for 1 meeting per month

1 on 1s 1 on 1s are conducted weekly for new staff (first 3 months) then monthly with all staff, in the first week of a new month. Needs to be planned and cover the following: • • • • • •

Establish individual and team expectations Question what went well and what needs to improve Praise good performance and encourage Set targets for the month ahead with specific actions of what they are going to do to reach it Discuss future career opportunities Discuss general job satisfaction

Following the 1 on 1 ensure you: • Follow up straight away with written confirmation of what was discussed and any relevant action plans – to be filed • Provide feedback and support throughout the month – performance, attitude, general issues

Bang Nights Bang Nights are a vehicle for inspiration; they create an environment where people can achieve extraordinary results through an atmosphere of competition, recognition and rewards. They are also used for total information sharing and a chance for the whole company to get together and continue our fun culture! Bang Nights take place within 7 days of the start of every month and recognise the TOP 14, PBs and TOP SHOPS.

99 bikes BRAND GUIDE

Team Leader Communication and People Buddy System Buddy System: The purpose of the buddy system is to provide information to new team members in a practical and real environment. It is a checklist and guide in the first 3 months as the novice undertakes self directed and hands on learning. • The Team Leader is responsible for ensuring the novice is fully trained within their first 3 months • TL assigns 1 buddy to the new team member for the first 2 weeks however the TL is responsible for leading the process • Novice will use their buddy’s log-ins during this time – all sales go through in buddy’s name • Novice is paid $50 commission every working day during their first 2 weeks = $500 in 10 days • Novice receives their own logins after the 2 week period • Novices are expected to refer to their Buddy Book daily in their probationary period and check off topics as learnt. • TL to hold weekly 1on1s – feedback and support • When completed the last page in the Buddy Book is signed off and sent to the Support Office

End of Month End of Month is always celebrated by the whole team! Everyone works hard throughout the month and is keen to estimate shop results. • The Team Leader must work out their profit estimate on the last day of the month and celebrate the result with their team • All invoices sent to the Accounts Team. No invoices are to be received into Retail Express on the last day. On exception an invoice can be received and faxed to the Accounts Team • EOM spreadsheet must be completed in full no later than 2 days from EOM Commission report Checking transfers are closed or legitimately in transit Awaiting payments Stocktakes completed On Account expenses Write-offs/manual adjustments

The Monthly Handbook The Monthly Handbook is prepared by the Accounts Team and is released within 5 business days of month end. It is a quick and accurate resource that contains: • • • • •

Shop by shop results and company-wide results Running forecast (actual results plus budget) for each person and store Modified margin per person per month and adjusted average for the year to date World records – best team, best individual Shared Costs breakdown

Team Leaders are to review and query any expenses within 3 days of the handbook release.

Team Leader Communication and People Recruitment Recruitment is done centrally by the HR Leader in consultation with the Team Leaders. Our people are measured on clear criteria and recruited on skills, attitude, motivation, intelligence and brightness of future. Positions within a store: Brightness of Future Team Leader • Their shop is their business and they are responsible for all shop decisions • Opportunity to buy in to the business through a Business Ownership Scheme (BOS) Second Team Leader (in large shops) • 100% responsible for their team’s sales results, directorships and development • Assists Team Leader in shop management Future Team Leader • Assists with tasks to facilitate development of leadership skills • Attend Top Guns training Stock Guru • Sales ; Responsible for ordering, budgets, stocktakes, processes, communication with team + Stock Leader. Knowledge Guru (not all shops) • Provide comprehensive bike information (20 modules) to team members and how this knowledge relates to sales results -----------------------------------------------------------------------------------------------------------------------------------------------Full-time Sales Consultant • Sales professionals including 24 hour quote call backs + directorships • Roster includes at least 1 day on the weekend Part-time Sales consultant • Work every Saturday and Sunday Mechanic • Manage workshop and warranties Bike Builder • Casual (min 2 days per wk) $15/bike

99 bikes BRAND GUIDE

Team Leader Communication and People Business Credit Cards Every shop will have a Business Credit Card – 100% responsibility of the Team Leader. Credit card transactions MUST be supported by original tax invoices/receipts • If a receipt is not provided, a cost will be applied as an additional professional fee to the store’s P&L for the same value of the missing receipt. E.g. a lost receipt for $10 of WBM food will see an expense in the Profit & Loss for $10 under ‘Entertainment’ and another $10 for ‘Professional Fees’.

Acceptable Expenses Acceptable expenses (no authority from General Manager or Finance Leader required) • WBM within the expenses policy (see table) • URGENT customer orders where supplier requires prepayment and you have a deposit from the customer – all non-urgent customer orders please ask Account Team to pay by direct deposit • General store expenses what you would ordinarily claim for reimbursement e.g. Postage, toilet paper, cleaning products, pens etc.

Other Expenses Other expenses (authority required from Finance Leader or General Manager) Most of the time another shop will be able to cover the need • • • • •

Extraordinary purchases All small assets including workshop tools and furniture Stationery over $50 Top shop awards Entertainment expenses outside the expenses policy (as above) including food and drinks

The Accounts Team reserves the right to suspend a credit card without notice if Expenses Policy is not followed.

“How To’s” in Corporate • • • • • • • •

Team Leader → Team Leader Responsibilities Team Leader → Team Leader Qualities Team Leader → Directorships Team Leader → Sales Reports Team Leader → 1 on 1s template Team Leader → Articles and Advice Team Leader → Weekly Business Meetings Templates Team Leader → Accounts and Payroll including Timesheets

Team Leader Communication and People Acceptable Expenses Table EVENT

PURPOSE

POLICY

COST

Weekly Business Meeting

• Discuss issues • Planning for week

• To be held onsite weekly

• Onsite only - $8 per person per meeting

Bi-monthly Business Meetings (TL Meeting)

• Discuss current company topics • Business planning

• To be held onsite, bimonthly at most

• Onsite only - $10 per person per meeting

1 on 1s

• Focus on individual objectives, BOF etc

• One meeting per month, per employee • Discretion of Team leader for onsite or offsite

• $8 per person per meeting

Planning Days

• Future planning and direction of team

• Limited to 4 per year

• $25 per person per planning day • Note: day must include at least 8 hours of content

Team Reward

• Reward and recognition of short term goals

• Limited to 4 per year • Reward based on achieving short-term goal set by General Manager

• $20 per person per reward • FBT applies

Individual Reward

• Reward and recognition of short term goals

• Rewarding for achieving at least $1000 of gross margin per day

• $4 per person per $1000 of margin per day

Assets under $300

• Essential items for the business

• Must be approved by Finance leader or General Manager

• $1500 per year

Top Shop Award

• Reward for recent efforts

• Must be used within 3 month of Top month • Can be accumulated if discussed with Finance Leader

• $100 if award attracts FBT • $150 if award does not attract FBT

Donations

• Give back to the community

• One donation per month at discretion of team

• $20 per month

99 bikes BRAND GUIDE

Stock Parts and Accessories - Stock Guru We take ownership of stock systems to deliver the right product to our customers, maximise our earning ability, minimise risk and support preferred suppliers. Ensures professionalism, transparent communication, increased sales results and minimal stock losses.

Yellow Cards Yellow Cards are an absolute minimum standard in our stock communication system. A yellow card is used every time a customer’s purchase is still awaiting action and is not removed until that action or series of actions have been completed. Every shop has 8 card holders that a yellow card may transit through until completion: 1. To be ordered/transferred • Customer orders; deposit taken 20% on bikes and 50% on accessories • Either coming from a supplier or another 99 Bikes shop 2. On order/transfer • Customer order has been placed and awaiting arrival from supplier or another 99 Bikes shop 3. Customer to be contacted • Goods have arrived and yellow tag is separated from the card and placed on the item • Customer is still to be informed 4. Bikes to be built • Customer bike orders to be built by specific date on yellow card 5. P&A ready for pick up • Goods are on hold shelf or layby area with yellow tag attached 6. Bikes ready for pick up (Big Bike Delivery Box) • Bikes have been built with yellow tag attached • Yellow card attached to bike delivery envelope • If the bike sold is under $600 the yellow card may be attached to a standard bike manual + A5 delivery handout + ‘hook me up’ referral form (instead of envelope)

Expectations • The sales consultant enters all details on the yellow card appropriate to the action needed • Staples a sales receipt to the back • Additional fields are completed once an action has been taken • The Stock Guru for each shop is responsible for checking these daily • The Stock Guru delegates this daily job when they are not at the store • Yellow card is destroyed when no longer current

Stock Parts and Accessories - Stock Guru

99 bikes BRAND GUIDE

Stock Parts and Accessories - Stock Guru Preferred Suppliers Preferred Suppliers are decided by the Stock Gurus company-wide and based around what products are best for our customers and margins. We enhance our relationship with these core suppliers who can teach us how to sell their products.

Ordering Ordering takes place every Monday each week and is done ONLY by the Stock Guru of each store. The Team Leader may order in the Stock Guru’s absence. There are 4 types of orders: 1. Customer orders from yellow cards • Must have 20% deposit on a bike • Must have 50% deposit on P&A • (workshop) the customer’s bike is in store and customer has approved the order as the part is needed to fix their bike 2. Stock Re-Orders (automatic process) • Stock Guru’s can only order ‘carton quantities’ previously agreed on • Consider bulk orders If stock turn for that item/product group is above 6 3. Manual orders not included in weekly re-orders (things we need board) • This includes all workshop stock orders • Adhere to the store’s budgets 4. Specific category or supplier re-fills NEW ITEMS: It’s important that we have the best and new products in store. Anyone can communicate with their TL and Stock Guru to make sure we have the latest and greatest within our budget. The Stock Leader must authorise the ordering of any item we’ve not stocked before unless for a customer.

The Boards The Boards: There are 3 boards that track stock. Minimum standard is that all boards are up to date and completed in full and a system for filing old sheets is in place. 1. The Goods In Board • Must be filled in for every incoming order • All PO numbers to be written down when order is placed • Signoff on each step • Invoices that are not fully processed are clipped to the board 2. The Things We Need Board • Team members use to note any items that they’ve noticed need ordering to refill the floor or when they have missed a sale because the item wasn’t in stock • Stock Guru will assess this whilst ordering on Monday 3. Transfer Board • The transfer board is filled in by both the receiving and sending shop at the time of the request and received

Stock Parts and Accessories - Stock Guru Goods In Area The Goods In Area is a designated floor space that goods must remain in until received fully into stock. Nothing can ever be sold from this area. Expectations: • Area is off the sales floor • Area is marked with fluorescent yellow safety tape • Area is clean and organised

Process: 1. Before signing courier slip the ‘carton number’ must be counted and compared with courier’s information 2. Newly arrived stock is placed in ‘Goods In’ area 3. Invoice is opened and placed on ‘Goods in Board’ 4. Items are checked against invoices • If items received do not match invoice or are damaged contact supplier and discuss. • If credit pending stamp invoice with ‘DO NOT PAY CREDIT PENDING’ and keep in middle tray until credit received • All above should be documented on original invoice 5. Check Yellow Cards (ON-ORDER) with every incoming delivery

99 bikes BRAND GUIDE

Stock Parts and Accessories - Stock Guru Stamps Stamps are used on every invoice to advise the Accounts Team of what action to take. There are 3 stamps: For: • Invoices from suppliers for stock that is to be sold to customers • Invoices from suppliers for LABOUR that is on-sold to the customer e.g. fork service – must be entered into RE using ‘Outsourced Labour code

For: • Invoices from suppliers for items NOT sold to customers e.g. workshop expenses like cleaners • Invoices for general operations - electricity, rubbish, telephone

For: • Invoices from supplier where there is an error or missing items

Stock Parts and Accessories - Stock Guru Transfers Transfers of stock between shops are treated exactly like an incoming order or a customer sale. Expectations: • Approval from the other store is always required • Always consider ordering from wholesaler – unless overstocked company-wide • Customer orders must have a deposit (20%-50%) • Accessories can ONLY be transferred from another shop if the wholesaler is sold out and the customer has left a deposit Process: • An ITO number must be created in RE and a pink transfer slip attached to the goods before they are set aside for transfer • The Transfer Board is filled in for every transfer by both the receiving and sending shop at the time of request and received • The ITO is closed off in RE

Rolling Stocktakes Rolling Stocktakes of 13 product categories are performed monthly to ensure we identify any stock management issues quickly. Expectations: • Every P&A category once every 6 months • Bikes every 2 months • Team member is rostered on to stocktake for 2 hours per week • Yearly stocktake of the entire shop is also completed at the end of the financial year

Budgets Budgets are released by the Stock Leader and saved in ‘Corporate’. The Stock Guru in each store ensures all P&A categories are within budget.

“How To’s” in Corporate • • • • • • • •

Procedures → QUICK REF – STOCK Minimum Standards Procedures → QUICK REF – Ordering Procedures → QUICK REF - Reorder Procedures → QUICK REF – Stock Take How To Procedures → QUICK REF – Stock Transfer Guidelines STOCK → Guru Meetings and Updates STOCK →Stocktake Tracker STOCK → Chef’s Specials 99 bikes BRAND GUIDE

Stock Bikes - Bike Guru The bike brands and price points that we order and place on the floor are strategically selected to offer our customers the right product that they can take home the same day as well as maximise our earning ability.

Central Ordering System Central Ordering System: Every week the Stock Leader orders bikes for each store in consultation with the Bike Gurus company-wide. The central system allows the Stock Leader to negotiate bulk prices on behalf of the company to maximise the margin in each product.

Floor Plan Floor plan: Every shop has an ideal bike floor plan that they work towards. • Contains the optimum number of bikes that can fit on the floor • Ideal number of bikes in each category based on price point and size • Stock fewer models but in more sizes XS-XL

Demo Bikes Demo bikes are bought each year to allow customers to test-ride a popular bike before deciding to purchase. Expectations: • Demo Bikes belong to a specific store – that store is responsible for them and all maintenance • Every store can use any Demo Bike for the cost of the Servicing & Transport needed • Staff may ride each Demo Bike once, using the same process as a customer • If staff are riding a Demo Bike for the first time they may charge the service cost to the shop floor (place ‘on account’) Process: • Search under ‘demo bike’ in ‘Menu>Inventory>Product Search & Management’. The ‘Man SKU’ identifies who owns the bike and the inventory tab shows where the bike is located. • Contact the store where bike is located to arrange borrowing the bike. • Complete GREEN DEMO BIKE form for EVERY PERSON riding a demo bike • Customer must pay for a service if they don’t buy a bike • The customer accepts full responsibility for any damage to the bike • Generally the maximum period of hire is 24 hours

Stock Bikes - Bike Guru Bike Building The Bike Guru is responsible for creating a weekly list for the Bike Builders to follow. This list will encompass bikes to be built to fill the floor (from the floor plan) as well as customer bikes to be built (yellow cards in ‘bikes to be built’). Process: 1. Bike built using checklist on bike delivery envelope. Each point checked off from start to finish and test ridden 2. Price tag removed from the bike box – stamped and signed on the underside

Expectations: • New builders need to be checked off by the mechanic until they are 100% competent • Serial Number MUST be recorded for each bike • Owner’s manual placed in the bike delivery envelope and checked off start to finish, unless there is a rule for this bike to only receive a manual and not an envelope • Circle if the bike has a bike delivery envelope or just a standard manual

3. Price tag folded neatly where the red meets the white and fixed to the handlebars on the drive side 4. Find existing A5 bike tag or attach new one to the middle of the handlebars with 2 black zipties 5. Writing up a new A5 tag: • Rule: Consistency is number 1 • Brand, model, RRP, loyalty price (3% off RRP) • Place in plastic sleeve 6. Note all details in the bike build book 7. Displayed neatly on the floor 8. Charge a Bike Build out to yourself through R.E. via item # 131950 on the day the bike is built **Bike Builds will NOT be paid without following this full process**

99 bikes BRAND GUIDE

Stock Bikes - Bike Guru Used Bikes A unique selling point of 99 Bikes that should be offered regularly as part of the sales process! Expectations: • All stores can trade in 2nd hand bikes, ONLY the Fortitude Valley Shop can sell them • The Valley team can ultimately decide if the trade in price was fair • Sales people do not lose any margin from a trade-in: great sales tool! It is very hard to sell a second hand bike!! • Minimum $50 trade-in for any adult bike in safe, working condition • Minimum $10 trade-in for any kids and BMX bikes in safe, working condition Process: • Follow instructions on the ‘Second Hand Bike Form’ in Corporate • Ideally the mechanic will assess a bike’s trade-in value • Fill the Second Hand Bike Form in total – ID must be sighted and copied • Staple the forms to the bike’s top tube • Transfer the item to the Valley shop – ALL TRANSFER PROCEDURES APPLY WITH A PINK SLIP

TRADE IN* & UPGRADE “How To’s” in Corporate • • • • • • • •

Marketing Sales & Local Store Marketing Growing and maintaining a strong brand relies on delivering a valuable and consistent message to our customers. Our customer database is one of our strongest forms of marketing, proven to be effective and very cheap to grow and maintain.

99 Bikes Frequent Riders 99 Bikes Frequent Riders: Any customer can join our loyalty program for free - it only takes seconds. Being a Frequent Rider with us offers these benefits: • Discount straight away – any product any time! • 3 % off everything in store • FREE $39 Gear Tune each year • 1 month waiting period applies • 12 month wait before the second service, etc. • Exclusive emails with deals and events • A ‘Welcome’ email is sent to new bike owners a month after their purchase • Emails are sent to our database once a fortnight Expectations: • Our staff ask every customer if they are part of the 99 Bikes Frequent Riders club • Minimum details to join 99 Bikes Frequent Riders is Name, Email and Postal Address. Example of what to say at POS: “Have you shopped with us before? (customer says no) Thank you for coming in, I will sign you up to our Loyalty Program so that you can receive a discount off anything that you buy in store at all times! What is your name and email address?”

99 bikes BRAND GUIDE

Marketing Sales & Local Store Marketing Local Store Marketing - Budget, Options and Approval 2010/11 – Each store has $1000 per quarter to spend on LSM activities ($28k in budget). If not used within the quarter it is lost. Must be through an outlet as per below, or new idea that is agreed upon. For database emails, 1-2 weeks notice is needed to organise.

LSM Costs (Transfer to Support Office) Database Email

$200

Flyer Design

$200

In-Store Poster

$200

1. Schools and Organisations • School PE Programs (Churchie has a large bike program going at the moment) • Youth Groups • Take out an ad in local school newsletter – (e.g. Discount on BMX bikes) • Defence Force (highly into Fitness) • Gyms • Tri/Road/MTB Clubs • You could offer information nights, bike fits, training ride, mechanic courses – either Free or paid for by organisation 2. Hotels • Fleet of bikes/helmets for guests • Supply on-site bike servicing every six months 3. Events • Take tent, archway, flag, etc & hand out catalogues • Run a small competition to gather customer details. Suppliers are usually keen to help out. • e.g. - Win $3000 ‘Merida Credit’ paid 50/50 by your store & Advance Traders. Emails collected go to your store database 4. Companies • 15% off Merida (Advance takes half the discount) • Owen already has a flyer designed; it can be sent to companies. Use your relationships with customers who work for larger businesses. 5. Local Businesses • Catalogues in local cafés, food courts, gyms, shopping centre notice boards • Local PT businesses – mutual referral agreement

6. Store Demo Day • Customers pay a $20 booking fee to ride on our bikes and we’ll give them a $30 voucher for showing up Store Demo Day To-Do List: • Decide date, time, location & staff - add to your Google Calendar • Contact stores/suppliers to secure demo bikes • Send the above information through to Owen. Plus, which customers you’d like to email to go to – (eg. Customers who bought a MTB from your store over $600) Email needs a month’s notice • Owen will put demo day info on website • Download the Demo Day Booking Sheet from Corporate. • To book people in, take their contact details, preference of bike and riding time. Sell $20 Retail Express item. • Organise tent, table, flags, transport for demo bikes, etc. • If necessary, SMS your list of attendees to remind them of the even 7. Store-Specific Sale • Example: Tight-ass Tuesdays (6pm – 8pm), 30% Off BMX, Clearance Bins • Must be good discounts on selected lines – eg, 40% off all Shimano computers Store-Specific Sale To-Do List: • Decide on your discounts and dates. Update Calendar • Choose which customers you’d like to email. Send all these details through to Owen. Email should be sent 2-7 days before the event. • Prepare your store signage, bargain bins & update pricing on products. 8. Store Emails – to your database • Use your database to build repeat & referral customers (1-2 weeks notice) 9. Workshop Boosting SMSs • Free Service SMSs • For people who bought a bike 1-3months ago • $99 Service SMSs • To all people who have bought a bike over 6months ago • Communicate to your team ensure staff are up-selling basic workshop repairs to $99 services 10. Flyers – new customers • Can be sent to nearby businesses – offer staff an exclusive discount group (15% off Merida + 9% off)

99 bikes BRAND GUIDE

Marketing Sales & Local Store Marketing Hook Me Up Vouchers Hook Me Up Vouchers: Targeted at increasing the number of referrals per shop. Expectations: • Original customer receives a $50 voucher if they refer someone who buys a bike • At least one Hook Me Up form should be attached to the bike delivery envelope Process: • Create a voucher for $50, no payments, add item #134597 “$50 Refer a Friend Voucher”. This reduces the salesperson’s margin by $50. • Email and/or call the referrer Immediately (Referrer entered as the Customer for the Sale) • If we fail to contact the Customer – we must offer $200 voucher (4 x $50 Refer a friend) • FORMS FOR THIS NOT 100% CLEAR – you must explain the deal to the Customer

Product Catalogues Catalogues are used to provide both staff and customers with information. They are additional sales tools that are kept on the information counter and in self standing catalogue holders at the front of the store. Expectations • All catalogues are organised with easy access for learning and to make sales IDEA - Sort them alphabetically via Supplier • Only display the best and newest catalogues • Price the shop copy for reference

99 Bikes Catalogues. Expectations • Ensure updated catalogues are kept ORGANISED on the info counter or front of the store • Every customer should get a 99 Bikes catalogue • Acknowledge customers during busy times with a 99 Bikes catalogue • Remove old catalogues

“How To’s” in Corporate • • •

Marketing → Local Store Marketing Document Marketing → Marketing Plans Marketing → Company Fonts, Logos and Pictures

Merchandising Product Presentation If it doesn’t look like you are in the business generally you aren’t! Merchandising is the effective use of products, display fixtures, space, colour, lighting and signage to encourage customers to buy. Expectations: • Consistency is key – all the same way for the same shop and same categories • All writing/printing must be done in uniform CAPS • No visible sticky tape • Signs must be replaced as soon as they are looking tatty • No signs without a sign holder

1. Category First • All products are displayed in categories as this is how a consumer shops. Eg: all pumps together, all clothing together, all road bikes together

2. Complementary Categories • Categories that are purchased together should be displayed together. Eg: socks with shoes, water bottles with bottle cages

99 bikes BRAND GUIDE

Merchandising Product Presentation 3. Straight Lines • Product displays flow from left to right in straight lines • Eye line is buy line - put what you want to sell here

4. Fill The Space • The ultimate objective when you have finished laying out your category is that you cannot see any of the fixture it is displayed on • Give more facings to the item with the best margin / best seller - use more than 1 hook • It is human nature to feel like we are buying the most popular item in the range

YES!

Merchandising Product Presentation 5. Bargain Bins • • • •

5 bins at the front of the store, one bargain product per bin Signed up with A4 printed signs or A5 written signs PRODUCT in large writing/print up the top PRICE in large red writing/print - this is so that customers immediately see a bargain price and think that our prices are cheap • All signs must be in sign holders - consistent with no visible sticky tape

6. Large Section Signage • Directional signage to orientate customers and keep categories together with a branded feel • Suspended from the ceiling or screwed in to the top of slat wall

99 bikes BRAND GUIDE

Merchandising Pricing 1. Barcodes • Every product has a unique barcode label stuck neatly on the packaging • This excludes products in large quantities eg: tubes, gels, tyre levers, patch kits.

2. Flipper Tags • Accurate product price at the end of every hook, never missing or wrong • Placed securely in plastic • Written in black nikko

3. Bike Tags • • • •

Every BOXED and BUILT bike has one (SOLD bikes will have a Yellow Sold Tag attached) Sticky-taped to the box Stapled to the built bike during the bike build process Drive side of the handlebars

Merchandising Pricing 4. A5 Bike Tags • • • •

On EVERY bike Written by the best sign writer in the store or re-use existing sign Zip-tied centrally to the handlebars - zipties must be cut off Plastic sleeves must be extremely Tools needed: BLACK Nikko EK90 RED Nikko EK90 Plastic A5 sleeves

Hole punch BLACK thin zip-ties

YES!YES!

BLACK Nikko EK90

RED Nikko EK90

NO NO Zip ties not cut No red line through RRP

X 99 bikes BRAND GUIDE

Merchandising Pricing 5. Yellow Discount Post-Its • Indicates a MASSIVE SAVING on a bike or accessory line • Price always marked in thick RED Nikko EK90 • Discretely stuck with tape over the sale price (must be cleaned off when post-it removed)

6. Yellow A0 Sale Signs • Tied to the roof with fishing wire • Stuck to external windows with no visible sticky tape • Repetition in straight lines is good • Removed as soon as the sale is over

Merchandising Pricing 5. Signage Area • Designated area in every shop • Must be kept clear for sign writing at all times • All signage material and implements kept neatly in the one spot at each shop

“How To’s” in Corporate • Merchandising, instore signage + printing → Instore Signage • Merchandising, instore signage + printing → Merchandising Guidelines In Detail • Merchandising, instore signage + printing → Link to Print Systems Australia 99 bikes BRAND GUIDE

Workshop Workshop Process 1. Book it in • Smile • Use names, Introduce yourself

2. Diagnose it • Qualify: Ask at least 5 OPEN questions to find out what the customer is looking for in their service • Recommend: What’s in it for them? • Quote and Close: Tell the customer how much your service is going to cost

3. Fix It • Immediate impact is important • Things most important to the customer: Immediate Impact - clean, brakes, tyres are pumped up Overall Impact - GEARS, safety (cranks, pedals, handlebars, headset) • The customer will notice the GEARS the most when they are next riding their bike. They will make a judgement of the service based on that

4. Book It Out • Delivery: Comments in Retail Express. Talk to the customer and deliver the bike to them yourselves

5. Repeat and Referral Customers Expectations: • Mechanic books own jobs in whenever they are there or whenever possible • Must get permission from the customer to charge even a $1 extra over the quoted amound • Call the customer with a decent explanation if the job will not be completed in time. What are the benefits to them? • Bikes are always test ridden – check tyres, brakes, gears, cleanliness • Comments written for every service • Mechanic delivers bike back to customer whenever possible

“How To’s” in Corporate • • • • •

Workshop → Checking a bike in for a service Workshop → First/Standard/Ultimate Service procedure Workshop → Daily mechanic numbers spreadsheet Workshop → OHS checklist Workshop → Workshop prices menu

Workshop Workshop Cards Are an absolute minimum standard in our workshop communication system. A workshop card is used every time a customer’s bike is booked in for a service and is not removed until that service has been completed and the bike picked up and paid for. Expectations: • Every field on the card is filled out in full • Every workshop bike has a white name tag on it and corresponding workshop card • Mechanic must call customers whose jobs have been awaiting pickup for longer than 2 weeks • Mechanic to check through workshop cards weekly Process: • The mechanic/sales consultant enters all details on the workshop card appropriate to the action needed • Workshop card is placed on the ‘next available service day’ • Once the work is done, mechanic charges out and staples a sales receipt to the back of the workshop card • Mechanic SMSs customer to inform them the job is completed • Workshop card is placed in the ‘Completed repairs ready for pick up’ box

Points System • Workshop white boards are divided into days with 80 service points allocated to each day (mechanic can decide if they’d like more points) • Area for the ‘parts on order’ for organisation • Perspex box for ‘completed services ready for pick up’

Workshop Points Allocation Ultimate Service

40 points

Standard Service

20 points

Race Tune Up

10 points

Wheel Build

10 points

Bike Build

10 points

Free First Service

5 points

Mechanic decides other points for adhoc jobs

99 bikes BRAND GUIDE

Workshop Knowledge Guru The Knowledge Guru is a fantastic resource for providing comprehensive information to employees about bikes, how they work and how this knowledge relates to sales. The Knowledge Gurus are appointed as trained coaches and will assess whether a staff member passes the course and no longer needs one on one support. Expectations: • Every staff member must complete the 20 modules, Team Leaders can make exceptions for team members who have adequate knowledge • New staff members must be certified in the first 7 modules within their first 3 months • Team Leaders keep a record of their team’s progress • Team Leaders can book in more sessions if they feel more coaching is needed

Warranty A product that is deemed faulty by a supplier Expectations: • Every shop has a warranty folder divided into 2 areas 1. Incomplete warranties 2. Warranty forms for each supplier/completed warranties • A case can only be deemed as a ‘Warranty’ by a Supplier, 99 Bikes can investigate the case until then • General Rule: goods should not be given out in exchange for a “faulty product” without a supplier deeming it as a warranty Process: • Advise customer that this will be investigated ASAP, can take up to 2 weeks to get a response • Fill in orange warranty form and attach bottom of form to the item • Call supplier and inform them of story and update form until an outcome is reached • ‘Goods Out Board’ must be filled out for any goods that must be sent back to the supplier • Call customer to regularly inform of progress and update orange form accordingly • If we receive a credit note from supplier, sell another item to the shop floor to give to the customer

OH&S (occupational health & safety) Expectations: • Every novice must be shown/trained around potential hazards in the workplace. • Every person must sign the register to acknowledge that they have been trained • This must happen during their first week • No one can use any tools in the workshop until the register is signed

Employee Benefits Salary and Incentive System Salary and Incentive System is structured to reward the right people and deliver optimal business outcomes. • • • • • •

A base wage 8% up to cost of seat (COS) Further 2% once COS is reached 20% above COS 30% over and above $15,000 modified margin Team Leaders receive a profit share, which can be paid from a loss year to date.

Employee Benefits Employee Benefits: The following are the benefits available to every employee: • • • • • • •

Staff prices on product - cost +8% Healthwise - fitness + lifestyle Moneywise - financial planning Advantage - cheap travel Global Ball - achieve the target and see the world! Conferences and external courses – learn and grow Certificate 4 in Leadership

Business Ownership Scheme (BOS) Business Ownership Scheme (BOS): Allows approved TLs to buy into and share the profits of their team. The BOS is a no-risk investment as the TL can at anytime request to leave the BOS and have their full original investment returned. There are 3 types of BOS: • Profit BOS • Turn Around BOS • New Store BOS

Annual Leave Annual leave – 4 weeks per annum • Must be approved by Team Leader and entered into the store’s Google calendar • Annual leave cannot be taken for longer than two weeks at one time. Only exceptions are allowed with approval from General Manager and Team Leader • Staff should consider out annual leave approval already given when requesting leave to ensure the store is not negatively affected

99 bikes BRAND GUIDE

Employee Benefits Staff Purchases • All staff purchases must be processed by another staff member • COST plus 8% for items costing 99 Bikes less than $1000 • BIKES and GROUPSETS over $1000 can be processed at cost and should be processed separately by your Team Leader • Must inc Build cost $50 • All customer procedures MUST be followed (you are effectively a customer – just at a great rate!) Includes: • Deposits on ordered items • Yellow tags filled out • Item cannot be taken from store till completely paid for • Finance is available to staff purchases provided the merchant fees are covered – discuss with TL and Finance Leader • MUST be ONLY for Personal Use OR as a gift (completely paid for by the staff member) • Goods bought from the shop using staff discount and sold on for profit is an abuse of staff privileges and will result in immediate dismissal • Defacto or husband/wife qualify for COST plus 8% • Immediate Family, Best Friends – 20% off (5 people per staff member) • Good Friends – 9% off

Emails and SMS Emails and SMS: Every person has their own 99 Bikes email address. Regular communications are sent to all via email and SMS to ensure important updates are received through various methods. Each shop has 3 email addresses: SUBURB@99bikes.com.au orders_SUBURB@99bikes.com.au workshop_SUBURB@99bikes.com.au

Google Calendars Google Calendars: Every person has online access to individual, team and company calendars to ensure awareness of upcoming meetings, training, annual leave and events. • Support office creates a new email address • Select Store and Company calendars to view

Employee Benefits Salary Sacrifice Staff are allowed to sacrifice up to $1,100 per Fringe Benefit Tax year (1 April 2010 to 31 March 2011). Two methods to salary sacrifice: Receive less in your pay packet: 1. Create sale with items to salary sacrifice – do not apply any payments – leave as an Awaiting Payment 2. Email request to salary sacrifice to Accounts Team (accounts@99bikes.com.au) including the invoice number and when the sacrifice can occur (e.g. next retainer run, next commission run, split over 3 pay runs) 3. Complete Sacrifice Agreement located in Corporate (Corporate>Salary Sacrifice) and fax to the Support Office (07 3852 1991) 4. At the designated pay run the Accountant will withhold from the salary and apply this amount to the relevant invoice (payment method: Direct Deposit). If there pays off the Awaiting Payment the goods may be taken from store. 5. Accounts Team updates Salary Sacrifice ledger in Head Office>Accounts>Wage Files>Other Payroll Docs>Salary Sacrifice Claim reimbursement for previous purchase: 1. Email request to salary sacrifice to Accounts Team (accounts@99bikes.com.au) including the invoice number and when the sacrifice can occur (e.g. next retainer run, next commission run, split over 3 pay runs). Invoice should be fully paid. 2. Complete Sacrifice Agreement located in Corporate (Corporate>Salary Sacrifice) and fax to the Support Office (07 3852 1991) 3. At the designated pay run the Accountant will withhold from the salary and pay the staff member the withheld amount separately (within two days of pay run).

Product Launches Product launches: Bike Gurus and the Stock Leader attend these each year and communicate back to their teams.

Corporate ‘Corporate’ is the number one reference guide that contains written documents and tools needed to run a shop. To ensure version control, ‘Corporate’ is edited by the Support Team and is accessible from the desktop on every computer in a shop. LINK TO LIST

99 bikes BRAND GUIDE

Employee Benefits Uniforms Uniforms: Every person is expected to wear a uniform to ensure we are well presented for our customers. â&#x20AC;˘ Everyone receives three uniform shirts and two shorts when they first start

Well groomed Name Badge Ironed 99 shirt Black Fox shorts Closed, neat shoes

Appendix Store Checklist

99 bikes BRAND GUIDE

Marketing System Session For Shops Purpose To develop a plan to retain the customers we have, while increasing their repeat purchase and to build our customer base and referrals in our community.

STEP 1.

How Much Do We Spend On Marketing?

• Calculate annual marketing shopdraw • Rent and fit out costs • LSM (Tight-ass Tuesdays, Demo Days etc)

STEP 2.

Understanding Our Business

• How does our customer experience measure up now? • What are the first impressions customers have related to; cleanliness, windows, brochures, uniforms answering enquiry (phone, email & walk-in)

STEP 3.

Sales Experience And Process

• What do we do well? • What mistakes have we made and what did we learn? • How do we build our team, make it successful & retain our people?

STEP 4.

Understanding Our Customers & Database

• How many customers do we have full contact details for? • How do we communicate to customers? • How do we get feedback from our customers?

STEP 5.

Understanding Our Enquiry

• Calculate total shop enquiry • What is our % of repeat customers? • Determine your shops repeat enquiry category • Check off LSM activity

STEP 6.

Who Are Our Competitors?

• Who are our main competitors and what are there USPs? • How do they market to people in our community?

Marketing System Session For Shops

STEP 7.

What Is Our Product?

• Based on diaries write down % of each product category our customers enquire about • What are our opportunities to sell more product? • How do we present this product to our customers?

STEP 8.

What Are Our Guarantees?

• Do we live by and implement all our guarantees? • Do they fit with our shop positioning and USP?

STEP 9.

What Is Our USP?

• What services or products that we offer our customers are unique to us? • Do they set us apart from our competition • Do our sales people fit with our positioning and USP?

STEP 10.

Our Goals

• What is the shop profit, enquiry, commission and $ per file goals? • Where do we sit in the marketplace? • Do we want to change and if so how?

STEP 11.

Customer Retention & Acquisition

• What can we do to keep our customers and to get them to refer people to us? • How can we improve the shop walk-in enquiry and conversion? • How do we attract new customers?

STEP 12.

Shop Presentation

• What can we do to make our shop and front of shop more inviting and attractive so people want to walk-in? • What service standards do we have to ensure customers have an excellent initial and ongoing impression of us?

99 bikes BRAND GUIDE

Sales Boosters (Summary) Purpose To give each individual consultant and the team a good understanding and ownership of the 7 step sales process. Additionally, each consultant should walk away with a personal commission goal and action plan to achieve this goal.

STEP 1.

WHY ARE WE DOING A SALES WORKSHOP?

• Go through 7 basic Sales Steps • Improve skills and develop new individual and team skills • To increase conversion rates • Develop a sales goals and action plan

STEP 2.

SETTING INDIVIDUAL & TEAM GOALS

• What are your current commission averages? • What would you like them to be and how would you increase? • Discuss as a team earning potential from increasing commission • Set and write down individual commission goals

STEP 3.

THE SALES CYCLE – INTRODUCTION

• Go through each step of the sales cycle

STEP 4.

WHAT IS EACH SALES PERSON GOOD AT?

• Each individual comment on their strengths in the sales cycle • The team should comment as well on each others strengths

STEP 5.

WHAT SHOULD BE IMPROVED?

• What parts of the sales process could you improve • The team should comment as well on each others improvements

STEP 6.

IDENTIFY ROADBLOCKS

• What are the roadblocks to selling in your team? • What can be done to remove them?

Team Sales Workshop (Summary)

STEP 7.

THE SALES CYCLE – DETAIL?

• Go through each of the 7 steps in detail if doing an extended session • USE INVOLVEMENT AND ACTION ACTIVITIES (fun for each section) • Music and movement facilitate learning

STEP 8.

SETTING INDIVIDUAL & TEAM GOALS

MY SALES ACTION PLAN (To laminate and keep somewhere on my desk) My current YTD commission average is

______________

I want my end of year commission average to be

______________

Sales Step Action required What are the top 1 – 4 Sales Steps I will work on? 1.

By when

2. 3. 4.

• How will you stay motivated to follow through on your plan? • How can your team help you?

99 bikes BRAND GUIDE

Notes