our global mission

Page 2
America’s largest family shoe store
United States | Canada | Bahrain | Egypt | Jordan | Kuwait | Lebanon | Morocco | Qatar | South Korea | Philippines | Indonesia | Thailand | Israel |
Barbados | Jamaica | Honduras | Puerto Rico | Panama | Ecuador | Colombia | El Salvador | Nicaragua | Costa Rica | Guatemala | Peru |
Dominican Republic | United Arab Emirates | Kingdom of Saudi Arabia | Trinidad & Tobago | Australia | India | Ghana | Libya | Malta
Page 3
OUR GLOBAL MISSION
To become the first choice for style and value in footwear
and accessories for our target customer.
For more than 50 years, Payless has provided incredible value for on-trend
footwear and accessories. Today, we operate more than 4,400 stores in more than
35 countries around the world. Our position is simple: to be the “go-to” shoe store
that budget-conscious women can count on to be there for them and their family,
helping them look good every step of the way. We strive to offer the latest styles
that allow every woman and family to look fabulous…without spending a fortune.
From the early vision that our founders had for our brand to how we’ve evolved
into the company we are today, get ready to discover why everybody loves
to Payless!
Page 4
Payless began during a time of opportunity and growth.
Two World War II veterans and business-savvy
cousins, Louis and Shaol Pozez, had a shared vision of
offering affordable footwear in an easy-to-shop, selfservice store environment. Once their vision became a
reality, they discovered they could be the top choice for
customers who could not afford this type of footwear
other wise. Today, Payless is one of the largest
footwear retailers in the world. Our stores serve the
entire family, including women, men, kids and teens,
with shoes for every occasion. Our formula for success
is a powerful combination of trend-right styles at value
prices, wrapped up in a convenient, engaging shopping
Experience.
Page 5
From young professionals to busy mothers, we’ve
learned throughout our journey that “style savvy”
customers love fashion, which is why we offer ontrend, affordable shoes and accessories that suit any
style. The brands we offer also drive our desire to
satisfy our customers.
Page 6
We offer a variety of familyfriendly brands at every price
point, each with the same goal:
to build an emotional connection
with our customer. Our brands
add an element of exclusivity to
our products, as well as validate
our position as an on trend
footwear company. In addition,
our strategic use of brands has
created both successes and
growth opportunities for our
company.
Page 7
At Payless, we operate a range of successful
store formats, each designed to function in
high-profile shopping malls and prime retail
locations.
Our store sizes include:
• Flagship stores: 3,500 sf / 325 sq.m.
• Average size stores: 2,500 sf / 232 sq.m.
• Minimum size stores:1,800 sf / 167 sq. m.)
We strive to create an unforgettable shopping
experience through:
• Our easy-to-shop “Hot Zone” format, which
showcases key looks and trends at the
front of the store
• Our unique self-selection layout, which
allows customers to conveniently shop and
find shoes in their size
• Our utilization of end panels, Visual Impact
Area walls and other in-store fixtures to
communicate the freshness of our brand
• Our wide selection of fashionable footwear
and accessories for every style
Page 8
Page 9
In addition to creating a satisfying shopping
experience, we also employ passionate, specially
trained sales associates that are available to
provide the best customer service. We train our
store associates using a multi-step selling process
known as “SMILES”, which drives key behaviors
that lead to conversion and customer satisfaction.
These associate behaviors include explaining
the promotion, measuring kids’ feet, offering
assistance in shopping aisles, suggesting shoes
and accessories and checking stock in other stores.
The SMILES initiative helps drive conversion and
increase same-store sales by:
• Creating hourly goals and real-time reporting for
by-stores sales metrics
• Interactions with customers which are tailored to
their specific needs
• Streamlined operations, which allow for more time
with customers
• Emphasis on managing and coaching sale
associates
Page 10
Along with using selling steps in the
SMILES process to assist customers,
our sales associates also provide
a complimentary foot measuring service
just for kids. We offer this special service
in every store as a way to accommodate
children and their growing feet. Some
benefits of measuring kids’ feet include:
• Proper size and fit
• Easy on/off
• Wiggle room for toes
• Development of healthy, happy feet
Because children are always growing,
we recommend measuring kids’ feet
every 2-3 months so their feet stay in top
shape, every step of the way.
Page 11
As one of the largest footwear retailers in the world,
Payless is a brand that budget conscious consumers
can call their best friend. We’re down-to-earth,
trustworthy, friendly, confident, optimistic, supportive,
caring, lighthearted and empathetic. And, we’re one
of the few shoe stores that can provide all of the
following benefits for our customers:
OUR PRODUCT BENEFITS
• Offer a breadth of key styles and merchandise
assortment for each season
• Tailor assortments for every customer and
climate zone, as well as for special programs
• Leverage economies of scale and quality
through our wholesale process
OUR SERVICE BENEFITS
• Ensure our customers receive the right size by
measuring kids’ feet, as well as offering half size
and wide width styles
• Offer our Happiness Guarantee, a no-questionsasked money-back guarantee if customers are
unsatisfied with their purchase (where allowed
by law)
OUR EMOTIONAL BENEFITS
• Provide the ultimate customer service by treating
shoppers like we work for them
• Understand our customers and their lifestyle
needs
• Suggest products to ensure that customers are
satisfied and successful
Page 12
Along with these benefits, we follow a pricing strategy
that allows us to serve our customers and their
needs. Our strategy:
• Communicates the value we provide and
demonstrates the intrinsic value we offer
• Is consistent and easy to understand
• Uses promotional pricing to drive purchase
behavior and a sense of urgency to buy now
• Satisfies our financial need to sell large quantities
fast and at acceptable margins
• Consistently delivers high-quality products, which
is reinforced by our Happiness Guarantee
• Clearly communicates product features and
quality
By following this strategy and understanding our
customer, we are able to offer a large assortment of
products that serve the entire family, including
women, men, kids and teens.
Page 13
Payless ShoeSource and our associates have a strong tradition
of giving back to the communities where we work and live, and
we give in a variety of ways. The Payless Foundation supports
non-profit programs each year that help enrich the quality of life
in our communities and supports families in need. The
foundation offers grants and sponsorships to non-profit partners
in our home community, as well as donations to Payless store
communities impacted by crisis or disaster through our Payless
Store Community Disaster Relief Fund.
Payless has also donated more than $1 million in shoes each
year for the last six years to children in need through Payless
Gives Shoes 4 Kids, our product donation program, which
reaches children throughout the U.S., Canada, Puerto Rico and
Latin America. And, we have a team of amazing associates who
live our guiding principles of doing what’s right and inspiring
possibilities through their outstanding support of our annual
Choose to Give associate giving campaign, which raises more
than $1 million every year for nearly 100 local and national
nonprofit organizations.
Page 14
In 2013, Payless had $2.4 billion in annual sales. We also have
the #1 unit market share in the United States. Internationally,
Payless offers a variety of business models, including wholly
owned stores, franchise stores, joint venture stores and stores
within a store.
Online: Social Media
Direct Mail
In-store
Email
We spend more than $100 million annually on marketing.
More than five billion impressions are delivered each year
through:
Broadcast: Television
Fashion Magazines
Mobile
• Television
• Direct Mail
• Fashion magazines
• In-store
• Online
• Newspaper inserts
• Social/digital networks
• Radio
• In-house creative team
• Weekly magazines
• Customized marketing
by region
• Promotional development
around key selling periods
• Public Relations
• Direct Mail
Page 15

Payless connects with consumers who desire on-trend product at value
prices

The Payless self-selection rack system is the most efficient model for
selling footwear

The Payless service and operational model drives transactions while
delivering high customer satisfaction

Tailoring a portion of the merchandise specifically for the market

Marketing with understanding of holidays, pay period cycles, and spending
patterns and local tastes/preferences that impact conversion

Managing and understanding the complexity of growing a large, established
brand in the often fragmented and relatively undeveloped footwear market
which exists in many countries
Page 16
•
Commitment to invest in, and develop a network of
Payless ShoeSource branded retail stores
•
Management and merchandising in accordance with
the Payless brand standards to operate the network
of stores
•
Strong commercial knowledge and retail experience
operating within the local market
•
Recruitment and retention of high-quality staff
•
Purchase of product from the Payless assortment
and logistics from the country of export
•
Localized marketing materials and printing
•
Continued compliance with the terms of the contract
agreement, operational manuals and the Payless
ShoeSource brand standards
•
Point of sale (POS), inventory management and
other IT systems
•
Capital investment to establish and sustain the
business
Page 17
• Retail operations processes, training and continuing
guidance
• Trend direction and product sourcing
• U.S. marketing materials
• Store design standards and training
• Use of Payless trademarks
• Regular audits, training and oversight of brand standards
• Support from a dedicated team in the U.S.
Page 18
When working with a potential partner, we look for the
following criteria:
• A proven retailer with operations and merchandise
experience
• The financial capacity to develop a multi-store business
that delivers sustainable growth throughout the territory
• An established company with a thorough understanding
of the fashion and retail markets within which the partner
will operate
• A well-respected and professional business with a strong
record of corporate responsibility
• Strong business acumen and excellent attention to detail
• A willingness and ability to emulate the Payless
ShoeSource brand, culture and standards
Page 19
We hope you’ll become a member of the Payless family!
If you’re interested in becoming a partner or have any questions,
please contact Prabs Moodley or Andrew Lee
Prabs Moodley
[email protected]
Andrew Lee
[email protected]
3231 Southeast Sixth Avenue
Topeka, KS 66607-2207
U.S.A.
We look forward to hearing from you soon!
Page 20