Pascal Spelier, May 7th 2014

Digital Customer Experience, two steps ahead

2

3

Three drivers for change

Changing

customer

behaviour

New

technology Changing

regulations &

legislation

4

The customer wants change

Lack of trust has changed the relationship between

bank and customer

The credit crisis changed the purchase drivers

Traditional retail banking customer is shifting to

new generation retail banking customer

Customers demand transparency and simplicity

Customers become more and more self-directed

Social medial create a fundamental shift in the way

we communicate

5

Technology creates new opportunities

25 years ago, introduction of internet

10 years ago, introduction of social media

5 years ago, introduction of smartphones

Big data

Quantified self

Internet of things

6

Regulations limit opportunities

Basel III

Solvency II

Local regulations & legislation

7

How will the drivers for change impact

your business?

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9

We live in a digital era

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11

Inside Out Paradigma Shift Outside In

Single Channel

Customers experience single

touch point.

Banks have a single type of

touch point.

Multi Channel

Customer sees multiple touch

points independently

Channels are functional &

technical silos).

Cross Channel

Customer sees multiple touch

points as part of the same

brand.

Single view but banks operate

in functional silo‟s.

All Channel experience

Customers experience a

brand, not a channel within

a brand.

1980 2000 1967 1990

ATM Online Banking Internet Banking Call Centre

2010

Mobile Banking

201?

Video Banking? Virtual Banking?

201?

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Measuring Customer

Experience

13

• Current, Depository

Accounts & Payments

• Creditcards

• Loans

• Mortgages

• Information Gathering

/ Decisioning

• Transacting

• Problem Resolution

• Account Status &

History

• Branch

• Internet

• Mobile

• Phone

• ATM

14 2013 2014

Since its launch in 2011, the banking CEI

decreased for the first time in 2014

15

Price

Product

Service

(Digital)

Customer

Experience

The road to loyal

customers

„Commodity‟ Distinctive by „value added services‟

16

Challenge 1:

How can you create an All Channel Experience?

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Customer

Journey Awareness Orientate Buy Receive Use Service Advise

Creating a seamless (Digital) Customer Experience

by (re)designing the Customer Journey

18

Customer

Journey Awareness Orientate Buy Receive Use Service

Each Customer Journey has a customer side

and an organization side

Processes

Midoffice Customer

Relationship

Management

Customer

Financial

Management

Document

Management

Communication

Management

Business Process

Management Security

Advise

19

„Beware of putting lipstick on a

pig‘‘

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The future of banking is online

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US research

indicates…

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36% of Dutch customers never visit bank

branches

Only 3% buys financial products

Most of the low-value transaction can be

fulfilled in other ways through other

channels (cash withdrawal, deposit, pick up

cards, et cetera)

Europeans older than 40 prefer to use

branches, while younger people prefer

online banking

Highly educated people with high income

prefer online banking

Younger people embrase online banking

Source: Forrester « European Banking Customers Continue Migrating Away From The Branch »

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Branch

ATM

Phone

Internet

Mobile

Branch

ATM

Phone

Internet

Mobile

Branch

ATM

Phone

Internet

Mobile

Branch

ATM

Phone

Internet

Mobile

40%

50%

60%

70%

80%

90%

20% 25% 30% 35% 40% 45% 50% 55%

Customers with positive experience with channel (%)

Channel Im

port

ance (

%)

2011 2014 Gen Y (18-34 years) Others

Gen Y drives importance digital

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Kids are our future Financial Education

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Digirati: 9% more turnover,

26% more profit

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Challenge 2:

How to become really digital?

hello customer

ISN’T THIS

ENOUGH?

self

directed

CAN I DO

MY OWN BANKING? the customer is

becoming part of

the processes!

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Customer- and bank: one online environment

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29

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Online Mortgage

File

Integration offline and online

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Pro-

active Chat

support

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Do you like this coat ?

How ‘social’ is your branche?

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‘Facebook likes’ online and offline

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Challenge 3: „leveraging mobile‟

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Isn‟t it time for a mobile strategy? P

late

au

Time

1 “I want an app too”

2 Mobile 1.0 ‘quick & dirty’

3 Mobile 2.0 ‘neatly integrated’

4 Mobile, leveraging touch points

1

2

3

4

36

Isn‟t it time for a mobile strategy? P

late

au

Time

1 “I want an app too”

2 Mobile 1.0 ‘quick & dirty’

3 Mobile 2.0 ‘neatly integrated’

4 Mobile, leveraging touch points

1

2

3

4

37

Your website Anytime, Everywhere?

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Your website Anytime, Everywhere!

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The smartphone is the most powerful

sales- and service channel of the future

NL: a mobile

customer has 11 times more

„contact‟

40

Report car damage by using mobile

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Personal messages

in a secured mobile environment

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Push notification

or in-app message when leaving Europe

43

Sales & Services

• Behavorial targeting

• Block debit/credit card

• Buy travel insurance

• Change limit ATM

• Change limit debit card

• Etcetera

44

Location Based Services using beacons

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Hypothesis:

Digital isn‟t personal

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Challenge 4: What moves the customer?

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"Consumers don‟t think

how they feel. They

don‟t say what they

think and they don‟t do

what they say."

David Ogilvy – the Original Mad Man

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ABOUT ME

Entrepreneur Ik ben Don (47) en ik run mijn eigen Reclamebureau. Ik heb het in de

afgelopen jaren laten groeien tot 15 man personeel en 7 vaste freelancers,

met wie ik vaak samenwerk. Ik ben weinig thuis, maar woon wel samen.

MY LIFE

Gerneral

management

Sales &

Marketing

Operations

MY COMPANY

DAY TO DAY ACTIVITIES

//////////////////////////////////////////////////////////////////

Ik werk veel, vaak en hard. Daardoor heb ik weinig

tijd voor andere zaken. Hobbies heb ik niet.

Tijdgebrek is sowieso een issue. Ik kan moeilijk zaken

uit handen geven.

Mijn doel met het bedrijf is om verder te groeien,

dan 15 man personeel en 7 vaste freelancers, zodat

ik financieel onafhankelijk kan zijn.

Sinds de oprichting zijn we hard gegroeid door de

inzet van mijzelf en mijn medewerkers: work hard,

play hard. Iedere dag weer richten we ons op

tevreden klanten.

Mijn dagen zien er altijd anders uit, ik moet altijd

mijn tijd verdelen over verschillende zaken,

waaronder de verschillende vrouwen in mijn leven.

Ik ben verantwoordelijk voor het aantrekken van

nieuwe klanten en de creatieve campagnes.

Ik bezoek naast mijn werk af en toe ook beurzen en

congressen. Cijfers interesseren mij niet. Daar heb ik

mijn accountant voor.

“Risk doesn‟t

scare me”

Example persona partly in Dutch

Don Draper

49

Entrepreneur

Kleinere risico's zijn voor mij bedrijfsrisico‟s.

Bij grotere risico‟s kijk ik ook naar

verzekeringen, mocht het nodig zijn!

55% Krant

Kantoor Thuis

Digitale body language

ABOUT MY COMPANY

Algemeen

Eigen medewerkers

Vriendingen

Concurrenten

Accountant

“In het verleden zocht ik

àlles zelf op, maar

tegenwoordig laat ik steeds

meer over aan mijn

medewerkers”

INFORMATION CHANNELS

CUSTOMER PROFILE

Ik ben al jaren klant bij USAA. De

adviseur heb ik via een vriendin leren

kennen. Daar heb ik toen niet veel tijd

aan besteed.

RISKS

Vriendinnen

////////////////////////////////////

Werkervaring

Krant

Café

Beurzen & congressen

Netwerkverenigingen

Use business media

“Its important to keep

business going”

55% TV

55% Radio

55% Computer

TIME SPEND PER LOCATION

50

Age, income,

location Transactions

Products/ser

vices bought Property,

unemployment Preferences

regarding

products/services

Preferred

channels Sustainable

customer

relation

Last product

bought and

value

Engagement

with different

media

„Depth‟ of

product

categories

Behaviour

regarding

recurring sales

or switch

Use of services

Taking part in

loyalty

program

Customer DNA

Use devices

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„Feature‟ Vector Customer X: (A,B,C,D,E,....K)

Share of wallet

Preferred

channels Churn

Life events

Next best sell

Et cetera

Customer DNA

Derived from data

Bron: IBM

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More rocket science: clustering

Bron: IBM

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Data-driven

persona‟s

Rank Action Cluster % of

Customers

% of Spend

1 Brand lovers 7% 35%

2 Regular customers 12% 15%

3 Online „socialites‟ 8% 14%

4 „Poor‟ customer 7% 6%

5 Promising customers 2% 7%

6 Make me an offer 11% 5%

7 Negotiators 2% 4%

8 Try and find me 5% 2%

9 Non loyalists 36% 8%

10 Spoiled customers 1% 2%

11 I‟ll be back, maybe 3% 1%

12 Just looking, not buying 6% 1%

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Persuasive

Marketing

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The future marketeer is a nerd with empathy

Privacy as a currency

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Capgemini created the All Channel

Experience approach, which is about

helping organizations to engage with

customers at every stage of the journey in all

their channels. We can offer organizations

our vision, knowledge, experience and hands

on execution power regarding the following

subjects

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Capgemini created the All Channel Experience approach, which is about helping organizations to engage

with customers at every stage of the journey in all their channels. We can offer organizations our vision, knowledge,

experience and hands on execution power regarding the following subjects:

(Digital) Marketing, Sales & Services

Integrating and optimizing the commercial- and service activities in

all relevant physical & digital channels

(Digital) Customer

Experience

Transformation

• Are all the required channels present?

• Do channels perform?

• Do right customers use right channels?

(Digital) Channel Strategy

• Too many channels?

• Are channels integrated?

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Pascal Spelier

Managing Consultant All Channel Experience

Banking & Insurance

Reykjavikplein 1,

Utrecht, The Netherlands

Mobile:+31 (0) 6 53 29 90 17 pascal.spelier@capgemini.com

Thank you!

@spelier