oppenheimer 19th annual consumer growth and e …/media/files/t/...diversified product strategy...
TRANSCRIPT
Sandra HarrisExecutive Vice President and CFO
Oppenheimer
19th Annual Consumer Growth
and E-Commerce Conference
June 19, 2019
We are making some forward looking statements today that use words like “outlook” or “target” or similar predictive words. Such forward looking statements involve risks and uncertainties detailed in our recent periodic reports as filed in accordance with the Securities and Exchange Act of 1934. These risks and uncertainties may cause actual results to differ materially from our statements today.
Visit www.tupperwarebrands.com
Forward Looking Statement
Tupperware Brand Today
Iconic and trusted global
brand
Purpose-driven by 3 million
independent sellers
Relevant relationship and social
selling model
Strong pipeline of innovative
products
Broad global geographic footprint
*Americas includes North America, 24%, and South America, 18%.
Broad Global FootprintShare of 2018 Sales
Americas*
42%44% in 2006
1.3 million sales force
70% OF SALEScomes from emerging markets
Europe*
27%36% in 2006
0.7 million sales force
Asia Pacific
31%20% in 2006
1.0 million sales force
Units with over $100MM Sales in 2018
U.S. & Canada$200+ M
Brazil$200+ M
China$200+ M
Tupperware Mexico$100+M
Fuller Mexico$100+M
Germany$100+M
Indonesia$100+M
FOOD CONSERVATION MOVE / ON THE GO
Award-Winning Innovative Product Designs
Relevant Relationship and Social Selling Model
RELATIONSHIPSCommunity
DEMONSTRATIONPersonal, Connected,
Service
INNOVATIONWOW Moments
QUALITY & DURABILITY
Eco Story
VALUE SEGMENTPREMIUM SEGMENT
Diversified Product Strategy Targeted to Both Emerging and Established Markets
$90 <$25
Strong Pipeline of Innovative Products
Strong Pipeline of Innovative Products
PurposeInspire Women to cultivate the confidence they need to enrich their lives, nourish their families, and fuel communities around the world.
Recruit New Sellers
Onboarding & Training
Leadership Development
Meetings & Events
Group Demonstration
Recognition & Rewards
Relevant Relationship and Social Selling Model
+GROW THE SALES FORCE FORCE
SUPPORT CONSISTENT ACTIVITY
Global Growth Strategy and Transformation Initiatives
Our Bold Destination:
Every country has an aspirational leadership opportunity that is visible, flexible and
profitable for all stakeholders.
Consumers can easily access the brand and engage with our community
on their terms.
Salesforce can easily sell our innovative and
demonstrable products to consumers with minimal administration and no
logistics required.
Leaders can easily lead to attract, train, and
promote a consistently engaged and confident
Salesforce.
Consumers Our People
Business Leader
Tupperware
Fulfillment InsightsSales ForceCustomer Hostess
Acce
ss Po
ints
DIGITAL ORDERS & RETURNS
Better BusinessHappy Consumers Happy Sales Force
Europe
Implement minimum administration & no
logistics model in Continental Europe
Asia Pacific
Streamlineinfrastructure
Model changes & enhanced earning
opportunity
From industrial... To community center
From warehouse... To warm and inviting
Contemporary and Accessible
Global Growth Strategy
More Engagement
Online Presence
Enables consumer to access the sales force
and products
Making MORE Connections Through Online Visibility and Digital Marketing
Digital EngagementEnterprise SystemsSales Force Systems
Enables sales force to connect with consumers
Enables employees & company to function
more efficiently
Enables SF to track their sales activity
• Tupperware Branded Content
• Post Recommendations
• Post original content to Sales Force Social Networks
• Engage with Prospects
• Ongoing training for all levels of experience
TupSocial
Our geographically targeted mobile applications drive customer sales and sales force efficiency – in 27 units.
Applications enable:
Customers to easily to order products online and offline
Customers to browse online catalogs
Sales Force to easily manage events
Sales Force to easily track trainings and business opportunities
Rolling Out Mobile Applications Worldwide
Global Growth Strategy
More Access
• Consumers access us on their terms
• Any time, any device
• Online, offline
• New platform for demonstration
Enhance and Diversify Online Presence
• Facilitate demonstration with technology
Immersive Demonstration Selling Experience
Access More Customers with Demonstration SellingOvenware Fast Microwave
SteamingChef Cooking Drinking
Solutions
Food Conservation
Move/On the Go
Kitchen Essentials
• Hands on demonstration in Studio for both consumers and sales force
• Cooking Classes
• Meal Prep
Immersive Demonstration Selling Experience
Growing from around 300 studios in 10 markets to over 1,000 studios in 13 markets by 2022
Targeted Studio Expansion
Increase Visibility Through Experience Studio Expansion
Accelerating our Transformation
Redeploying $80 Million in Annual Cash Flow to Advance Progress
Invest $100MM
Asia Pacific: Enhanced sales force earnings and business models
Europe:Contemporized service model
Europe:Streamline internal operations
Sales force size and
activity growth
$50MM Annualized Savings
in 2022
Mid-single digit local currency sales growth -
2022
Fund Transformation Initiatives - $100M through 2022
Dividends
27 cents per share quarterly
Reduce debt to below 2x/EBITDA
Potential Share Repurchases up to $100 million in 2019
Investing in the Business, Maintaining a Strong Balance Sheet and Commitment to Dividend
Opportunity for P/E Expansion and
Competitive Shareholder Return
P/E and Dividend Yield Comparison: As of 5/1/19
P/E+ Annualized Dividend Yield++
Tupperware 5.8 4.6%Compensation Peers Group (All) 23.5 2.1%
Compensation Peers Small/Med Capitalization Companies* 15.5 2.4%
S&P 400 Mid Cap** 18.8 1.7%
S&P 400 Mid Cap Consumer Discretionary** 14.4 1.5%
Why Tupperware?
Strong Global Brand
Diversified Portfolio for Sustainable
Performance
Opportunities for Sales
Growth and P/E
Expansion
Competitive Return of Capital to
Shareholders