Slide 1

Netcentives Inc. 475 Brannan St. San Francisco, CA 94107 415. 615. 2000 www.netcentives.com NASDAQ: NCNT Netcentives Inc. 475 Brannan St. San Francisco, CA 94107 415. 615. 2000 www.netcentives.com NASDAQ: NCNT Loyalty Marketing Development Slide 2 Charter To design, develop and deliver the core software components underlying Loyalty Networks and Reward Systems offered by Netcentives. Mission To create a componentized and productized technical solution for on-line and off-line Loyalty and Reward programs that will enable easy deployments and configurations that leverage advances in the products developed by the other Netcentives Development groups. Slide 3 Our Goal To Create a complete Loyalty & Reward System Framework that is Secure in Access, Transmission and Storage of data Based on Modular Components Built with N-tier Distributed Architecture Customizable by the user with predefined Configurations and Extensible Interfaces Robust, Reliable, Automated and ensures data Integrity Scalable in performance Supportable Day to day SNMP Monitoring Periodic Upgrades Flexible to accommodate the differing Customer Environments of Operating Systems and DBMS So that Netcentives can be successful in being the leading provider of infrastructure for Loyalty & Reward solutions Slide 4 Loyalty Marketing System Slide 5 Who We Are Slide 6 The Backend Tier The Transactional Database Must Be Secure Reliable Scalable Flexible We did this by: Logical Access Layer Transaction Based Processing Analytical Indexing / Extendable Business Logic Feature Driven Designed by Business Process Slide 7 Designed Around the Member Who is the Member? Identity Name Address Email Address Profile Gender Age Education Income Family Slide 8 What does the Member Want? Interests Shopping Awards Special Offers Contact preferences Newsletters Earning Receipts Statements Text/HTML Slide 9 When the Member Transacts When the Member earns Transactions and Balances Periodic Statements Transaction Receipts When the Member redeems Comprehensive catalog options Fulfillment tracking and notification Quality Customer Service Slide 10 Business Processes Business Promotion Management Promotion Integrity Begin and End Dates Dynamic Funding of Balances Per Transaction Limits Account Management Notifications Business Support Standard Reports Data Transfer to Data Warehouse Slide 11 Business Processes Redemption and Supplier Management Transactions Shipping Information Order Status File Layouts Delivery / Confirmation Catalogs Segmentation Brands / Categories Costs Product Information Slide 12 Flow of Information Slide 13 The Transaction Tier RewardBroker Key Server Netcentives Payment System Key request via SSL RewardBroker Ping via UDP or HTTP Slide 14 Reward Broker Secure transaction submission A Web-based Java tool that provides loyalty market services to businesses. Functionality includes: Promotion management Transaction integrity should network connectivity be interrupted Slide 15 Payment System The middleware that receives incoming RewardBroker transactions Key Server Provides the symmetric keys at the request of a RewardBroker Slide 16 Promotion Manager Allows promotions to be created and administered through a Web browser interface The following types of promotions can be configured through the Promotion Manager: --SKU --Loyalty promotion --Earn x points per $ spent --First time purchase award --Tiered promotion Slide 17 Promotion Manager (cont.) The Promotion Manager has a modeling feature which allows a user to predict the cost of a particular promotion You can run multiple promotions at the same time using the Promotion Manager Slide 18 Reward Deposit Allows records to be entered directly to the CURRENCY_TRANSFER table via a Web browser interface Up to 300 records at a time can be entered via RewardDeposit Slide 19 Database flow CURRENCY_TRANSFER NETC_Transactions, NETC_TransItems RewardBroker Promotion Manager Tables Internet Find active promotions Query to find who should receive awards Insert awards and then query to find new awards Slide 20 The Client Tier Accessing information that resides on a secure network Slide 21 Types Information Member Identity & Profiles Identity Profile Preferences Business Promotion Settings Promotion dates Limits Balances Settings Transactional Records Earnings Redemptions Transfers Slide 22 Who needs this Information Employees Customer Service Account Managers Accounting Business Partners Loyalty Network Provider Enterprise Organization Third Party Suppliers Product Suppliers Mileage Programs Slide 23 How to get to this information? Direct Access to the Secure Network Client Server / Applet Applications The Reserve 1.x for Member Maintenance Account Maintenance 1.x Dragon for Customer Contact Complex Security Required Assigned passwords Separate password for each access Separate and duplicate equipment Limited to local employees ONLY Slide 24 Our Solution Universal Authentication An infrastructure for Internal and External users that opens the door to the secure network and enhances security Slide 25 UA Features A single entry point that provides a streamlined access to applications One logon to access all supported applications Personal Access Portal Enhanced system security Application and data access based on clearly defined roles Same access method for Internal And External user Slide 26 UA Architecture Provides a secure infrastructure that will support individual external users Allows for timely implementation of anticipated future business requirements Slide 27 The Personal Portal Slide 28 UA Administration Administration is provided by a central on-line tool for the maintenance of Universal User records and their related information Add Universal User Assign User to Network Assign User Roles Set Authorization Limits Set Data connectivity Set Roles to Applications Slide 29 Membership Maintenance Extranet Access Secure with SSL Technology Customer Service Center Netcentives and Partnered Maintaining Member's Information Viewing and updating profile Viewing and updating preferences Viewing earning transactions Viewing redemption transactions Changing email addresses Changing passwords Combining accounts Manual awarding of points Slide 30 Merchant Account Maintenance Extranet Access Secure with SSL Technology Account Managers Merchant Business Partners Maintaining Merchant Information Setting up merchant accounts Funding of merchant accounts Establishing merchant promotions Automatic fund transfer Email notification of predefined actions Merchant account reports Feature based self configuration Slide 31 Redemption Services Administration Extranet Access Secure with SSL Technology Redemption Administrators Redemption Supplier Partners Manages the Redemption Fulfillment Process Establish Suppliers Define file layouts Validation of Redemption Transactions Supplier Fulfillment File Generation Supplier Response File Processing Search/List Supplier Files Locate Redemption Transactions Modify Redemption Transactions Manual Redemption Transactions Slide 32 Netcentives Secure Rewards Architecture Commerce Applications Commerce Applications Netcentives Central Reward Transfer Fraud Control ( Authentication ) Secure LAN Communications ( Encryption) Consumer API Account Database Member & Merchant Accounts Netcentives Central Reward Transfer Fraud Control ( Authentication ) Secure LAN Communications ( Encryption) Consumer API Account Database Member & Merchant Accounts Suppliers Web Server SVTP Members SVTP Web Server Payment Server Payment Server Internet Air Travel Auto Rentals Electronics Flowers Jewelry Sporting Goods Vacation Packages and more... Air Travel Auto Rentals Electronics Flowers Jewelry Sporting Goods Vacation Packages and more... Merchant Centralized Credit Card Operation Merchant Centralized Credit Card Operation Reward Broker Reward Broker SVTP Reward Broker Reward Broker