Revenue ManagementFabricio ZonziniVP Disruptive Growth APAC

Connection with Strategy

Personal Introduction

CPI

NR/HL

• Maximize revenue potential in comparison to CPI

Growth Index Evolution

• Drive aggressive expansion plan while still maintaining a strong revenue management agenda

Volume Share Evolution

12.3%

13.4%

15.0%

17.5%

1pp

0.9pp0.3

pp0.1

Org var

Share

2011 2012 2013 2014

Revenue management is a driver of both revenues and market share in a sustainable way.

Grow NR/HL ahead of CPI Allocate resources for market share expansion

2012 2013 2014 2015

100

127

106

Pro

mo

tio

nC

ont

ract

NL

AB

White Areas

Stage 1 (Early)

Stage 1 (Late)

Stage 2 (Early)

Stage 2 (Late)

Stage 3

Consolidate

NL AB Top CD/TT

KA

100%

100%

100%

100%

100%

30%

50%

50%

100%

100%

20%

30% 30%

100% 100%

Packages/ Price Segments

Premium

5%< --- ---

5-20% --- ---

20-35% --- ---

>35% --- ---

>35% 15-30% ---

>35% >30% ---

>35% >30% >25%

Core+ Core

100% 100% 100% 100%

100% 100% 100% 100%

• Distribution and investment type align with channel focus

• Align with distribution expansion approach

• Strengthen controls in order to build competitiveness in portfolio, channel and geographic coverage

+9%

Rate: 10%

Mix: 90%

• Key mechanism for supporting trade up and mix strategy.

• Rate increase coupled with strict investment controls.

NR/HL CAGR

1H12-1H15

Revenue Management – Strategic Priorities

Mix Designed for Trade-Up

Right portfolio/price in the right channel

Support Market Share Expansion

Centralization & Process Control

TT

CD

• Portfolio built with clear price architecture

HarbinBudweiser

• Build PTC laddering to facilitate trading up• Revenue management to support share

gains through penetration and/or frequency

Super Premium

Premium

Premium +

Core++

Core/Core-

Core+

• Build PTC laddering to facilitate trading up• Continuously lifting the premium ceiling

premiumness through innovation and pricing

90% Mix contribution to Net revenue / Hectoliter growth(Actual 1H12 – 1H15)

Strategic Priorities – Mix designed for Trade-up

Mix Designed for Trade-Up

NL AB CD TT

Product placement and

investment guidelines by

channel to protect

premiumizationobjectives

BRAND(communication)

PACK(lead)

Promotional pricing

(Y/N)

Alum. bottleSmall Bottle

Big bottle Big bottle Cans

NO NO YES YES

Distribution and investment type align with channel focus

Strategic Priorities – Right portfolio/price in the right channel

Right portfolio/price in the right channel

Resource allocation to support right brand growth

NO PRESENCE HIGHLY DISTRIBUTED

NL/KAAB

CDTT

Expansion direction

Inve

stm

ent

Leve

l

CH

AN

NEL

S

Strategic priorities – Support market share expansion

Support Market Share Expansion

Core Segment Requires clear

pricing strategies

• Pricing strategy specific to segment and brand positioning

Premium Image Commands

Premium Price

not keeping pace with

19% 27%50%

80%

0%

50%

100%

2012 2013 2014 2015

Rate as % of CPI(H1 all years)

10% Rate contribution to Net revenue / Hectoliter growth(Actual 1H12– 1H15)

Investment Guideline

Centralized pricing

Commercial Process

Platform Enablement

AB iPrice

$i

AB iTarget

ii

AB iInvest

i

Discount Declining(% of revenue)

2013 2014 2015H1

Strategic priorities – Centralization and process control

Centralization & Process Control

COMPLEX

CENTRALIZED

OPERATIONAL

DE-CENTRALIZED

1

2

3

4

SUB-OPTIMIZATION

CONFUSION VALUE CREATION

CONTROL

2010

2012

2015

FUTURE

Continuous improvement – Journey