Presentation to Group Carrefour Direction Veille & Innovation

November 2006

• We have identified an opportunity that will conservativelygenerate an additional £60 million for Retail Partnersover the next five years

• The opportunity takes no floor space and requires nocapital investment by Retail Partners

• The opportunity is well supported by a number of leadingsuppliers including P&G, Mars and Unilever

Executive Overview

The Light Agency

• The Light Agency is a multi award winning, international mobilemarketing services company with a blue-chip client list including P&G,Mars, Unilever, Warner Music Group and News Group Ltd.

• Our flagship technology M BAR GO® is widely recognised as the bestsolution for connecting mobile phones with retailer’s EPoS systems, aview shared by both the retail and marketing industry and by one ofthe world’s leading handset manufacturers.

Who are The Light Agency?

We have won more awards than anyoneelse in mobile-to-retail marketing

Revolution

Most Innovative Digital Business

2005&

Best Useof

Wireless 2006

Retail Solutions

EuropeanRetail

TechnologySolution ofthe Year

Mobile Marketing

Most innovative use of

mobile inmarketing

&Best example

of mobile creatingcustomer benefit

DR Intelligence

IntelligentInnovation Award

&FMCG Award

& Intelligent Application

of Data (Mobile) Award

Retail Week

RetailTechnology

Initiative of theYear

Red Herring

100EuropeAward

• M BAR GO® is patent protected solution that we describe as aglue which sticks three worlds together; mobile handsets,EPoS systems and an intelligent, flexible database.

• M BAR GO® is compatible with all handsets across all mobilenetworks. It is compatible with most EPoS systems and we canconfirm that it is compatible with many of Carrefour Group’ssystems.

• M BAR GO® enables us to send targeted discount coupons toopted-in members of clubs.

• M BAR GO® is proven, supported by leading manufacturersand very scaleable.

What is M BAR GO®

M BAR GO®Consumer Experience

M BAR GO® Benefits

1. More savings in store – instant gratification

2. Enhances the shopping experience through an interactivetwo-way dialogue

3. Mobile is the most ubiquitous consumer electronics device;your customers are never without their phone

4. Wider customer appeal. No need to clip coupons or forget tobring coupons to store

5. Extra mobile-related features e.g. free ringtone or game withpurchase

6. Multi-channel - easy to use in store & online

Groupe Carrefour customers benefitfrom M BAR GO® in a number of ways

1. Substantial new marketing revenue stream

2. Creates improved dialogue with customers

3. Increases transactional value and drives traffic to store

4. Improves customer data/targeting- Real time basket data/customer data- Price Modelling- Ability to drill down to individual store level

5. Powerful tool to clear stock

6. Ability to integrate into multi-channels (online, in-store) toprovide immediate ROI measurement on marketing spend

7. Creates a buzz in the marketplace

Groupe Carrefour benefits fromM BAR GO® in a number of ways

Manufacturers benefit from M BAR GO®

1. Offers are targeted using real-time shopping data

2. Robust pricing model and targeting

3. Faster turnaround than paper coupons

4. Real-time reporting of redemptions

5. Further branding opportunities for both manufacturer andretailer (e.g. Baby development tips sent to mobile whencustomer buys Pampers enhances the shopping/productexperience)

The customer experience

1. Customer opts in to the club by text to a shortcode

2. Barcode is sent to customer’s mobile phone - We call thisbarcode a Unique ID. No two mobile phone subscribers areever issued the same Unique ID.

3. Member receives offers - Offers become more targetedevery time the member redeems offers.

4. Member requests offers - Members can text us at any timeasking for a special deal.

M BAR GO® Consumer Experience

5. Member shows their Unique ID at point-of-sale - TheUnique ID is scanned by the sales assistant using a standardbarcode reader.

6. Discount is given automatically - One scan of the barcode,regardless of how many offers are being claimed.

7. Thank you message – Retailer/Advertisers can choose tosend a thank you message to the consumer for purchasingtheir brand or reward the customer with content, ringtones,mobile top ups etc.

M BAR GO® Consumer Experience

Here are just some ideas how Groupe Carrefour canenhance the customer experience:

• Invite to special events in store• Target new product alerts• Competitions• Store Openings• Integrate the multi-channel message• Instant gratification

How Group Carrefour can maximisethe M BAR GO® ConsumerExperience

Client Testimonials

Manufacturer testimonials - P&G

““M BAR GO represents an amazing opportunity forM BAR GO represents an amazing opportunity forP&G to connect with consumers, offering a directP&G to connect with consumers, offering a directresponse call to action via mobile.response call to action via mobile.

With the right retailer buy-in the technology couldWith the right retailer buy-in the technology couldgenuinely genuinely revolutionise revolutionise the direct to consumerthe direct to consumermarketmarket””..

P&G UK

Manufacturer testimonials - Unilever

““M BAR GO® offers such a fantastic means ofM BAR GO® offers such a fantastic means oftargeting, from location of shop through to actualtargeting, from location of shop through to actualshopper shopper behaviour behaviour (what else do they purchase with(what else do they purchase withour products? How often? etc...).our products? How often? etc...).

We would definitely recommend working with thisWe would definitely recommend working with thistechnology, as well as the teamtechnology, as well as the team””..

Unilever UK

Data Analysis

Segmenting & targeting

• The M BAR GO® Database collects all of the customer’stransactional data when the barcode is scanned

• TLA is able to segment and target customers based on theirproduct preferences, purchasing habits, frequency of visits,time and date etc

• By targeting a customer with the right offer at the right time wegenerate a behaviour change

• We can also send time stamped offers, seasonal offers,invitations, updates, rewards, games, ringtones etc.

Segmenting & targeting

Sainsbury’s Case Study

• Sainsbury’s invited TLA to conduct a pilot within a televisionregion; 35 stores in the city of Hull in their ‘Sainsbury’s atJacksons’ stores

• TLA funded and managed technology integration, consumermarketing, staff training, manufacturer support and customersupport

• The case study has won over a dozen industry awardsincluding European Retail Solutions Grand Prix and RetailWeek

Sainsbury’s Case Study

• Over 6% of population signed up to club in first two months

• Over 250+ brands supporting the programme

• Less than 14 days IT resource was required from Sainsbury’shead office

• Average transaction value of programme members is doublenon-members’

• Average items in basket of programme members is doublenon-members

• Manufacturers report significant uplift in sales when online withprogramme

Sainsbury’s Headline Results

0

2,000

4,000

6,000

8,000

10,000

12,000

08/07

/2005

15/07

/2005

22/07

/2005

29/07

/2005

05/08

/2005

12/08

/2005

19/08

/2005

26/08

/2005

02/09

/2005

09/09

/2005

16/09

/2005

23/09

/2005

30/09

/2005

07/10

/2005

14/10

/2005

21/10

/2005

28/10

/2005

04/11

/2005

11/11

/2005

18/11

/2005

25/11

/2005

02/12

/2005

09/12

/2005

16/12

/2005

23/12

/2005

30/12

/2005

06/01

/2006

Membership

0

200

400

600

800

1,000

1,200

1,400

Redeem

ers

Members

Redeemers 5+

We beat our membershiptarget and our members arehigh-redeemers6% of local population signed up to club in first two monthsClear evidence of consumer acceptance

Source: Innovetra Basket Analysis. Dec 2005

£4.89

3.6

£8.72

5.9

£10.42

7.05

Av. spend per basket Av. no. of items per basket

Jacksons regular customerJacksons SSS customer Feb 06Jacksons SSS customer July 06

SHOP SCAN SAVEincreases basket size

We generate higher sales forour brand partners

£1,999.27

£3,247.05

£1,513.07

£2,328.72

£430.61

£869.76

£1,341.90

£2,350.82

£1,845.30

£4,218.83

£0.00

£500.00

£1,000.00

£1,500.00

£2,000.00

£2,500.00

£3,000.00

£3,500.00

£4,000.00

£4,500.00

Nescafe 100g Nescafe 100g Fairy LiquidOrig 500

Fairy LiquidOrig 500

PedigreeDentastix

PedigreeDentastix

Charmin 4pack

Charmin 4pack

Persil 1kg /1.1kg

Persil 1kg /1.1kg

P14 P15 P15 P14 P15 P14 P15 P16 P15 P16

ON OFFER WITH 'SHOP SCAN SAVE'

NOT ON OFFER

@ c

onst

ant R

RP

High rates of interactionindicate loyalty and interest

Oct-Dec 2005 we received over 25,000 txts (av. 250/day).

Mobile Market Overview

Mobile phone ownership and usageis universal and growing in the UK

Mobile handset penetration 82% (age 16+) 50% 2+ handset penetration

there are more mobile phones in the UK than people

Very high turnover of older phones 18m new handsets sold each year

Rapid growth set to continue 2010 will index 270 vs 2005 (retail value)

Source: Mintel Apr 2005

Every socio-demographicgroup uses a mobile phone

The younger the consumer is,the more likely he/she is toown a mobile phone; muchhigher levels of penetrationwill be seen in future years.

Don’t forget the oldergeneration; 75% of 55-64sown a mobile phone.

Source: Mintel Apr 2005

81.4C2

78.1D

65.5E

76.3Scotland83.5C1

77.9North85.6AB

78.2Yorkshire &Humberside

79.7North West57.065+

82.9East and WestMidlands75.355-64

79.6Wales83.245-54

82.2South West89.735-44

83.8South East/EastAnglia91.925-34

81.5Greater London93.215-24

82.5Married80.1Women

87.8Single82.2Men

Mobile phone penetration (%)

Mobile phones are not justfor phone calls

1 Mintel Apr 2005 2 KPMG 2004

SMS represents one third of all mobile traffic txt users more likely to be C1C2D1

(AB 25% text traffic, C1 32%, C2 36%, DE 35%)

UK ringtone market worth £120m in 20042

twice as much as CD singles market

3m cinema tickets distributed in ‘05 via mobile phones

Why mobile?More shoppers own a mobile than justabout any other consumer electronicsdevice.

Your suppliers are investing heavilyinto mobile marketing. Our brandpartners, P&G, Unilever,Masterfoods, Nestlé and Coca Colajust to name a few are focusing onmobile marketing opportunities.

Mobile is the only marketing channelthat can deliver immediate interactionin-home and in-store.

Groupe Carrefour: Mobile Club Forecast

• We have developed a model for projecting membershipacquisition of a mobile savers club for Carrefour retailers

• The model assumes stores recruit 5 members per day and thatthe Carrefour subsidiary has 500 stores

• The model does not take into account new storeopenings/expansion

• An accurate projection can be created on request by GroupeCarrefour retailers to The Light Agency

Membership Projections

Five members/day per store

Membersopted-in to

M BAR GO®

3.6 million

2.7 million

1.8 million

900,000

Year 4

Year 3

Year 2

Year 1

• Manufacturers are charged in two components;- 7 pence per offer sent- 15 pence per offer redeemed

• Members receive 5 offers a week

• Redemption rate of 2% built into revenue model

• The following pages show revenue after direct costs (SMS)

Revenue Model

Two members/day per store

£46 million

£34.5 million

£23 million

£11.5 million

AnnualRevenue afterdirect costs

Membersopted-in to

M BAR GO®

3.6 million

2.7 million

1.8 million

900,000

Year 4

Year 3

Year 2

Year 1

• The Light Agency will fund all costs associated with technologyintegration and rollout including;

- EPoS integration associated IT costs- Staff training materials- Head office support- Member support line

• Groupe Carrefour will fund all internal (store) marketing topromote the service to its customers.

• Groupe Carrefour will receive between 30% and 50% ofrevenue after direct costs (dependant on number of membersrecruited in store).

Commercial Proposal

Carrefour Revenue Share

50%

45%

35%

30%

CarrefourShare

£23 million

£13.8 million

£8 million

£3.45 million

CarrefourRevenue

£46million

£34.5million

£23million

£11.5million

AnnualRevenue

afterdirectcosts

Membersopted-in

toM BARGO®

3.6 million

2.7 million

1.8 million

900,000

Year 4

Year 3

Year 2

Year 1

• Our programme with Sainsbury’s has recorded a significantincrease in Average Transaction Value amongst members(non members ATV = £4.89/ members ATV = £10.42)

• This represents an increase in ATV of 113%

• We achieve this uplift in ATV by persuading the shopper tobuy more items (non members = 3.6 items/members = 7.05items)

• For the purpose of this presentation we have assumed anincrease in ATV amongst members of 20% and an ATV of€20 and visits a store 24 times a year

Increasing Turnover by IncreasingAverage Transaction Value

€345.6million

€259.2million

€172.8million

€86.4million

Recording a20% uplift

€1,728million

€1,296million

€864million

€432million

HistoricalATV

Membersopted-in

toM BARGO®

3.6 million

2.7 million

1.8 million

900,000

Year 4

Year 3

Year 2

Year 1

Increasing Turnover by IncreasingAverage Transaction Value

Groupe Carrefour Launch Strategy

• We will establish operations in close proximity to your offices

• We will work with your EPoS supplier, your IT team and youronline agency to integrate M BAR GO® with your systems

• We will engage with your category managers to understandyour preferences for manufacturer partners

• We will develop training, support and incentive programmesfor your sales consultants

• We will provide exemplary support to your customers, stores,suppliers and head office

• We will grant channel exclusivity for 12 months from the timeof a national launch

Carrefour Launch Strategy -Our Commitment

• We will respect your members and will never share theirinformation with any third party

• We will never send your members an offer without asking youto sign-off on the message and the offer first

• We will provide you, your customers and your suppliers withexemplary service

• We will make it easy for you to audit our data

• Wherever possible, we will adapt M BAR GO® administrativeprocedures to follow your standards

• We will hold ongoing dialogue with your managers tounderstand how we can improve M BAR GO® for you

Carrefour - Our Long termCommitment

• M BAR GO® can be easily integrated into Carrefour’s EPoSsystems

• We will consult with your EPoS suppliers and engage directlywith them to manage integration

• Integration typically takes less than 60 days

• Full documentation of the M BAR GO® integration will beshared with Carrefour

• Once integrated, M BAR GO® will be rolled out nationwide withthe next release/update of your EPoS

EPoS Integration Strategy

• Multi-channel recruitment strategy: Television, PR, Radio, In-store (Colleague and POS), Word of Mouth, Online, FieldMarketing, Viral Campaigns

• TLA would leverage their strong relationships with leadingmanufacturers including P&G, Unilever, Mars, Coca Cola forfurther incentives

• Sales consultants will be rewarded for signing up members tothe programme

Member Recruitment Strategy

Further Innovation fromThe Light Agency

Take snap ofadvertisement or

packaging with camera phone

Send by MMSto 62111

Receiveoffers and/or

content

Show yourmembershipID barcode atthe checkoutand receive

your discounts

Snap works with any camera-phone

• SNAP SEND SAVE technology instantly matches pictures taken byconsumers to any hosted media

• A scalable, flexible patented solution which deploys image recovery, patternrecognition and image matching algorithms

• Service supports all camera phones using picture messaging on thehandset – including self-service interfaces for visuals, mobile content, andaccess to usage data

• High capacity messaging and mobile application infrastructure has beendeveloped with support for MMS, SMS, and WAP, and web servicesinterfaces are provided for third-party integration

SNAP lets shoppers connect withbrands with one easy click

Overview of service

• Entertainment As Reward (EAR) is a loyalty program and can be comparedto Nectar and Air Miles.

• EAR is targeted at Generation X and Y (18 to 35 year olds)

• Members of EAR earn points by shopping in the right places, buying theright brands, using the right mobile network or bank and partying in the rightplaces

• Members of EAR spend points on entertainment,which is downloaded to their mobile phone or PC

• The flagship tenant of EAR will be a Mobile Network Operator

• Partners of EAR will include:RetailersLeisure & HospitalityBank/Building Society

• Other sponsors of EAR will include:Handset manufacturersFMCG manufacturersAirline/Hotel/Car rental

Thank youFor more information please

contact Marc Lewis, Chairman,+44 7980 296 605