We measure the achievement of our strategic objectives through the use of qualitative assessments and the monitoring of quantitative key performance indicators ("KPIs"). In so doing we examine our business carefully, including seeking the opinions of our customers and of the wider public. This allows us to better understand where we have improved our service and proposition, and the areas that we should prioritise for further attention.

The following table sets out the key KPI focus areas, strategic objectives, the relevant measure and its performance over the last two financial years.

						Key		Achievements
KPI Focus		Strategic Objectives		Measured By		2012		2011
		Driving Growth
Service		To provide market leading levels of service, and ease of use for our customers		Better interfaces Growth on mobile Orders delivered in full (low substitutions) Orders delivered on time or early		Webshop enhancements New generation apps App check out 28% Website on mobile checkout strongly growing Delivered as ordered 98.3% Deliveries on time or early 92.7%		Webshop enhancements Apps on additional platforms App check out 18% Delivered as ordered 98.3% Deliveries on time or early 92.3%
Range		To provide a wider range than available in traditional store-based channels, with superior freshness and product life guarantees		Ocado own-label growth New ranges		Total SKU count over 28,000 Non-food over 8,000 SKUs Several speciality lines launched Biggest "free from" range of nearly 800 SKUs		Total SKUs 20,000 Non-food 3,500 SKUs Guarantee of life on all fresh produce
Price		To improve consumer confidence in our pricing to reassure customers they are receiving a good value shopping proposition		Ocado own-label growth Promotional strategies		Launched Low Price Promise basket match Own-label sales up over 70% Promotional activity similar to industry leaders		Tesco Price Match on c.7,000 SKUs Saving Pass launched
		Delivering Profitability
Optimising operations		To drive efficiency and the lowest operating cost model through investment in technology and automation		CFC efficiency measured by units per hour ("UPH") Service delivery efficiency measured by deliveries per van per week ("DPV") Product waste (as % of revenue)		CFC 120 UPH DPV 151 Product waste 0.7%		CFC 111 UPH DPV 145 Product waste 0.7%
Building capacity and leveraging scale		To invest carefully in our capacity in CFC1 and to bring CFC2 to the point of opening To fit out and open new non-food fulfilment centre To ensure capacity in our distribution spoke network Leverage of administrative expenses		CFC1 capacity measured by orders per week ("OPW") CFC2 progress Non-food fit out progress and opening Spoke development Administrative expenses as a % of revenue		Average OPW over 123,000, peaking at over 140,000 CFC2 build completed, first orders delivered in February 2013 Non-food fulfilment centre opened in January 2013 Oxford spoke opened Administrative expenses increased as a % of revenue due to investments in non-food and other resources		Average OPW of 110,000, peaking at 131,000 CFC2 build commenced Bristol and Wimbledon spokes opened Administrative expenses being supported by single "shop"