Slide 1: 117th Annual General Meeting
117thAnnual General Meeting 10th May 2016 1
Slide 2: CEO Presentation Annual General Meeting
CEO Presentation Annual General Meeting 10th May 2016 2
Slide 3: Agenda
Agenda • Review of Performance • The Markets we Serve • Building Differentiation – Proposition – Tools – People • Focus on the Future 3
Slide 4: Profit Progression
Profit Progression Profit before Exceptional Items £000 £7m £6m £5m £4m £3m 4
Slide 5: Review of Performance
Review of Performance • Organic growth through focus on key sectors – e-Commerce, Third Party Logistics and National Accounts • Quality acquisitions • Focus on the Customer – Value added total packaging solutions with constant monitoring of customer feedback • Reducing Costs – Improved sourcing, opt
Slide 6: The Packaging Distribution Market
The Packaging Distribution Market The Total Packaging Distribution Total Market Share by Customer Market Segment Macfarlane Packaging 20% Macfarlane Macfarlane Share 9% Share 32% Local Local Major Competition 18% 23% 100+ National Competition 1 45% 10% eComm Regional Regional 17% Competition 9 25% 3
Slide 7: UK Protective Packaging Market
UK Protective Packaging Market eCommerce Growth National Accounts Acquisition Growth and 3PL Growth Market continues to Consumer trend Customers be highly towards internet continuing to fragmented – over purchasing is outsource non core 100 local companies increasing the activities rationalise repre
Slide 8: Macfarlane Differentiation
Macfarlane Differentiation Only 10% of the total cost of packaging consists of materials and pack design Choose the correct materials and pack design Improve the Increase Reduce Reduce Reduce speed of customer damage rate logistics cost storage costs packing loyalty 90% of the costs are hidden 8
Slide 9: Macfarlane Innovation Lab
Macfarlane Innovation Lab The objective of the MIL is to help customers....... • Understand their total packaging costs • Design packaging solutions that reduce costs and improve the user experience • Test the solution through use of the latest packing equipment and packaging materials • Agree the s
Slide 10: Macfarlane Innovation Lab video
Macfarlane Innovation Lab Click here to watch the video of our Innovation Lab 10
Slide 11: Customer Feedback
Customer Feedback • We measure and monitor customer feedback on a regular basis: – Monthly Mystery Caller – Annual Customer Survey – Monthly Net Promoter Score 11
Slide 12: Net Promoter Score - Comparison
Net Promoter Score - Comparison B2B Average 47 73 24 Best Performers -60 Worst Performers -100 0 100 12
Slide 13: Profitable Growth in Packaging Distribution
Profitable Growth in Packaging Distribution Growth Proposition Capability Internet Retail Reduce total cost of Expertise, knowledge and 3PL packaging customer referrals Rationalise packaging UK national network National Accounts supplier base to reduce costs IT capability Rationalise packaging Geogr
Slide 14: Focus on the Future
Focus on the Future • Macfarlane Packaging has built a strong leadership position in the UK protective packaging market • The market opportunity remains significant for both organic and acquisition growth • The Macfarlane customer proposition is clearly differentiated particularly in our key target
Slide 15: 117th Annual General Meeting
117thAnnual General Meeting 10th May 2016