1. INTERNATIONAL CONFERENCE 7 TH – 9 TH MAY 2014

2. WHO IS CEUTA HEALTHCARE? Private company founded in 1994 – Celebrating 20 year anniversary this year! Sales and Marketing specialists Ceuta International Alliance 200+ employees

3. THE UK EXPERIENCED A VERY MILD AUTUMN & WINTER PERIOD

4. MARKET TRENDS: INCIDENCE DATA Cold & Flu incidence rates at their lowest in 15 years, Affecting footfall in pharmacy Incidence of Common Cold 2008 - 2014

5. So there is clearly work to do…... What have we been doing behind the scenes to change things? 5 MMMmmmmm?..

6. How can Fisherman’s Friends add more category value? NPD: New formats, new flavours Driving category awareness Driving sales outside of key season Deliver significantly enhanced category profit to retailers How can we replicate the brand’s international success? 6 *Nielsen Value data 2013 vs 2010 TWO FUNDAMENTAL QUESTIONS WE’VE BEEN ASKING OURSELVES IN THE UK……

7. 2014 FISHERMANS FRIEND RESEARCH PROJECT 7 QUANTITATIVE RESEARCH ON-LINE QUESTIONNAIRE Investigating issues such as; Motivations to purchase Frequency / Loyalty Perception of price Flavour Choice QUALITATIVE RESEARCH ACCOMPANIED TRIPS IN- STORE Investigating issues such as; Motivations at point of purchase Fixture Navigation Decision Tree (Impulse v Planned) Importance of price & promotion SIGNIFICANT INVESTMENT FROM BRAND OWNERS CONFIDENCE TO EXECUTE THE LONG TERM BRAND STRATEGY AND DELIVER THE VISION *Nielsen Value data 2013 vs 2010

8. WE FOUND THAT FF CONSUMERS ARE EXCEPTIONALLY LOYAL…. Only 1/3 rd of consumers would buy another brand in store if Fisherman’s Friend were not available Q9 If you went into a shop to buy some Fisherman’s Friend and all the flavours of Fisherman’s Friend you would buy were not available, which of these phrases best describes what you would do? Base: 300 interviews

9. KEY RESEARCH FINDING – FF FLAVOUR CONSUMERS ARE YOUNGER 45% of Blackcurrant consumers are 18-34yrs Q4 What flavours of FF lozenges do you purchase / eat? Base: 300 interviews

10. Very high level of acceptance of 75p, and relatively little drop- off even over the £1 price point Q13b We are going to show you a number of prices which could apply to the sachet type pack of Fisherman’s Friend. For each price tell us whether it is very acceptable, acceptable or unacceptable for a sachet of Fisherman’s Friend lozenges. (prices rotated) Base: 258 interviews (those buying sachet format) KEY RESEARCH FINDING – FF IS AN EXCEPTIONALLY PRICE INELASTIC BRAND

11. WHAT WERE THE KEY INSIGHTS FROM RESEARCH? 11 1.FF CONSUMERS ARE EXCEPTIONALLY LOYAL 2.FF IS AN EXCEPTIONALLY PRICE INELASTIC BRAND 3.FLAVOUR CONSUMERS ARE YOUNGER THAN ORIGINAL EXTRA STRONG CONSUMERS 4.FLAVOUR CONSUMERS HAVE A HIGHER PURCHASE FREQUENCY 5.HONEY & LEMON AND BLACKCURRANT ARE THE TWO MOST PREFERRED FLAVOURS BY CONSUMERS 6.BRAND STANDOUT WITHIN STORE IS POOR 7.25G IS A MORE PORTABLE PACK THAN 45G

12. Q. WHAT ARE THE IMPLICATIONS OF THIS? Q. WHAT ARE WE GOING TO DO ABOUT IT? 12

13. BRAND SEGMENTATION

14. 14 SEGMENT A – ‘LOYAL LEOS’ LOYAL LEOS 55ys+ Male bias Medicinal purposes Appeal of product “strength” Exceptionally high brand loyalty Very price inelastic ‘I remember my grandfather always had a pack in his green coat. He handed me one when I was eight and said I’d never like them! That was it, I had to try it and I’ve been buying them ever since’ ‘They last a good 10 minutes and I love them, their strength’ ‘They wouldn’t work or warm me up if they weren’t strong, perfect for hiking’ ‘They are the only cough lozenge I have grown up with’

15. SEGMENT B – ‘FREQUENT FREDDIES & FREYAS’ FREDDIE & FREYA 25-45 yrs No gender bias Appeal of strong flavoured lozenge Appeal of “sugar free”(stripes) Brand quirkiness / Price inelastic In line with FF international demographics ‘more like sweets’. ‘if passing the fixture and acting on impulse’ ‘It was developed originally for North Sea fishermen you know, to keep them warm and sooth their throats, no wonder they are strong but they do the trick’ ‘Looking at the fixture now it makes me feel like trying it again – especially the blackcurrant one, I didn’t know they did that’ “Sugar free is a real selling point” (female bias)

16. NEW PACK FORMAT: SEP 2014 3 x 25g packs Leverages the brand’s high consumer loyalty and price inelasticity to drive category value margin Competitive p/g vs 25g & vs 45g Addresses portability issue Loyalty Pack

17. NEW FLAVOUR: SEPT 2014 A winning combination, known and recognised by all for it’s natural, remedial qualities especially for coughs, sore throats, colds and flu ‘A winner’ ‘I’d try that in a flash’ Liked by all and strongly felt to encourage trial ‘I can’t believe that they haven’t done this already’ A combination that would bring new users into the brand Honey & Lemon flavour accounts for 18.2% of all medicated confectionery sales in the U.K.* Honey and Lemon *Nielsen, December 2013

18. FISHERMANS FRIEND BRAND - 5 YEAR VISION Double market share from 5% to 10% Retail value to £10M “Original Extra Strong” share of UK portfolio 75% to 40% Significantly enhance retailer category value and cash margin generation Multi-flavour market: annual flavour launch Reduction in seasonality via Segment B (Tropical launch) ATL focusing on; Brand equity ‘quirkyness’ Stripes / Sugar free Major event sampling 18

19. THANKYOU FOR LISTENING