Growth Opportunities in Mice & Keyboards Logitech Analyst & Investor Day Rory Dooley, SVP PC/Mobile November 9, 2011
Forward-Looking Statements This presentation contains forward-looking statements, including the statements regarding key growth drivers for mice and keyboards, and our planned product introductions. These forwardlooking statements involve risks and uncertainties that could cause Logitech’s actual performance to differ materially from that anticipated in these forward-looking statements. Factors that could cause actual results to differ materially include: If our product introductions and marketing activities do not result in the sales and profitability growth we expect, or when we expect it If we fail to successfully innovate in our current and emerging product categories and identify new feature or product opportunities If we do not timely introduce products, or if market acceptance of those products is less favorable than we expect If significant demand for peripherals to use with tablets and other mobile devices with touch interfaces does not develop, or if market reaction to our peripherals for tablets is less positive than we expect More information about these and other factors impacting Logitech’s business and prospects is contained in Logitech’s periodic filings with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the fiscal year ended March 31, 2011, our Quarterly Report on Form 10-Q for the fiscal quarters ended June 30, 2011 and September 30, 2011. Logitech does not undertake to update any forward-looking statements, which speak as of their respective dates.
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Agenda The growth opportunity for mice and keyboards Tablet peripherals Mac and PC in developed markets
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Tablet Peripherals
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Tablet, Notebook, Desktop
100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0%
Tablet Notebook PC Desktop PC
2010
2011
2012
2013
2014
2015
Gartner’s WW Forecast:, 3Q11 Update
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Benefit of Connectivity (Internet & Email) Drives Tablet Usage
EMAIL: BUSINESS PERSONAL
Source: Tablet Market Segmentation, Logitech/Lieberman (lrw), Sept 2011 6
Tablet Accessory Usage Rate iPad Attach Rates Tend to be Higher Than on Notebook PCs
Usage Rate Protective sleeve/case
73%
Headphones or earbuds
51%
Bag
35%
Stand (not built into a case)
26%
External keyboard
26%
Docking station
24%
Headset with a cord
23%
Camera attachment accessory
23%
Bluetooth headset
22%
Television/Monitor connector kit
16%
External wired speakers
15%
External bluetooth speakers
9%
External mouse
1%
Source : Logitech Platform Study, November 2010, US iPad Owners
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Tablet Owners Looking for Productivity Solutions Email Activity Driving Need for External Keyboard TOP 3 FUTURE NEEDS WITH TABLET 69%
70%
71%
72%
73%
74%
75%
76%
77%
Provide Protection
As Productive as my Laptop
73%
Use in different environments
Source: Tablet Market Segmentation, Logitech/Lieberman (lrw), Sept 2011
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Tablet Owners’ Purchase Intent Highlights Desire to be More Productive
Purchase Intent External mouse
47%
Stand (not built into a case)
32%
Camera attachment accessory
30%
Headset with a cord
29%
Television/Monitor connector kit
28%
External wired speakers
28%
External bluetooth speakers
28%
Bag
28%
Protective sleeve/case
25%
External keyboard
23%
Headphones or earbuds
22%
Docking station
22%
Bluetooth headset
22%
Source : Logitech Platform Study, November 2010, US iPad Owners
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Ultra Portable Logitech Keyboard Case for iPad2 Logitech Fold-Up Keyboard for iPad
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At Home Logitech Tablet Keyboard for iPad
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From Mono-platform Zero Maintenance to...
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…Multi-platform
Edit Movie on iMac Write a Note on iPad Answers a Text on iPhone Back to Movie Editing on iMac 13
Tablet Accessory Purchase Intent Demonstrates Need for Better Productivity Experience
Purchase Intent External mouse
47%
Stand (not built into a case)
32%
Camera attachment accessory
30%
Headset with a cord
29%
Television/Monitor connector kit
28%
External wired speakers
28%
External bluetooth speakers
28%
Bag
28%
Protective sleeve/case
25%
External keyboard
23%
Headphones or earbuds
22%
Docking station
22%
Bluetooth headset
22%
Source : Logitech Platform Study, November 2010, US iPad Owners
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Tablets Meet the Mouse
Windows 8 supports the mouse and keyboard on tablets 15
Mac and PC in Developed Markets
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Illumination & Wireless
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Zero Maintenance with Solar
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A Real Mac Product
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PC Platform OS is Evolving Mac Leads the Way
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Big Bang Theory for Mice Scroll wheel popularity boomed after Microsoft included scroll-wheel support in Office 97. As a result, scroll wheels became standard on the mouse.
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Touch is the Next Big Bang
Point. Click. Scroll
Point. Scroll. Swipe
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Already on the Market with Touch
MX Air Wireless Touchpad
diNovo Mini Wireless Keyboard K400 23
When the OS Supports Touch… Mac OS X Lion
Windows 8
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Summary Key growth drivers for mice and keyboards: On-the-Go solutions for tablet productivity Multi-platform devices for the fixed environments (office, home) Expansion of zero maintenance Touch functionality on mice and keyboards with the launch of Windows 8
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