Digital Predictions for 2015

Introduction

Ben StokesChief Experience Officer

JuniorCru

Prediction 1. Mobile payment providers cause major disruption.

So what are M(obile)-payments anyway?

Stored payment information on your phone + Ability to transact via NFC, QR Code, Bluetooth or

(allegedly) UltrasoundOR

Collecting payments via mobile device/s

Mobile payments projected to grow by 60.8% in 2015 (that

means 47 billion transactions)

Capgemini, 2014

Banks predicted to decline to half of the

800 billion m-payment transactions by 2024

Capgemini, 2014

Australia currently 4th in the world in terms of

the number of non-cash transactions in last 12

months

Capgemini, 2014

Aussies expect smartphones to replace

physical wallets by 2021

Lonergan Research, 2014

Mobile wallet

Tap & Pay with PayPass, withdraw up to $200 from a CommBank ATM, pay bills & pay friends.

Well established and well used.

iPhone 6 will store your cards and then pay via NFC – and uses Touch ID for security. Also works with Apple Watch.

Bad news it won’t support the majority of Australian cards for some time yet…

1.9M wallets, 37K merchants, 19 supported countries – completely deregulated. Significantly reduced transaction fees.

Not supported as a currency in Australia yet but rather an asset and is subject to CGT.

Westpac has also released a mobile payment App.

Google Wallet on par with Apple Pay but won’t be launching in Australia any time soon…

PayPal has a Wallet App that integrates with its mobile payment solution.

Coles has launched a Mobile Wallet but requires their credit card.

NOTABLE OTHERS

Mobile payment collection

$30 per month plus 1.5 per cent off the top if transaction value per month exceeds $1500.

Well known for innovation in the space and well priced to succeed.

No monthly fees.Buy your card reader for just $139, then pay just 1.95% for every payment you accept with Chip and PIN cards or by PayPal check-in.Major international competitor and likely to innovate quickly and provide value-added benefit through online payment network.

Pay 2.75% per swipe for Visa, MasterCard, Discover, and American Express. Backed by Twitter co-founder with plans to enter Australian market.

$99 One off feeFREE Tappr Application 2.4%+10cFor Visa & Mastercard

Local provider with headstart on local banking integration.

Get a Chip & Pin device for $179.95.Monthly Fee $29.95Transaction Fee 1.4%

Local provider with brandable platform.

But how does this effect marketing / customer

experience?

1. Mobile payment support will be a

differentiator

2. Mobile payment support will increase

loyalty

3. Mobile payment support will increase

cashflow

4. Mobile payment support will increase

geographic scope

4. Mobile payment support will transform

business models

Prediction 2. Internet of Things 2.0 creates a world where you can literally “program” your life.

What is the Internet of Things?

In practical terms, the interconnection of

uniquely identifiable (via IP address) “things” (machines, computing

devices etc.) via existing Internet

infrastructure

Things

What’s driving this trend?

Major tech players now investing significantly in

this space…

Google & Nest$3.2B

Apple & HomeKitDirect Nest CompetitorLaunching in earnest in

2015

LG is rolling out Smart ThinQ technology

across their appliances

Samsung Smart Home will compete head on with LG Smart ThinQ

Whirlpool backs Google with “works with Nest”

partnership

Companies & platforms dedicated to “smart”

home appliances, networks & devices are

proliferating

Services now allow you to program the

interactions between devices & other

software

So how can I program my life then?

But how does this effect marketing / customer

experience?

It does depend somewhat on your business / client’s

business…

1. Product innovation – go make some connected products!? And let your

customers program them into their lives…

2. Service innovation – focus on the small wins to create a better rounded

customer experienceB2B

Connected reception – use smart sensors

to notify of meetings, set mood lighting,

create welcome messages etc.

B2CIntegrate your services into

IFTT (or similar) so your

customers can program your

experience into their life

3. Retail innovation – use connected products to

make your in-store experience more immersive

Prediction 3. CXM pushes real-time engagement across the entire customer lifecycle.

What is CXM?

Think of it like CRM… but for the whole Customer Experience. It considers every touchpoint; every stage of the customer lifecycle; and finds unobtrusive ways to

measure, analyse and engage these customers at every possible opportunity.

The Goal

To create the highest level of influence, experience & engagement with your

customers at all times. To build a total view of your customers across all

lifecycle stages & touchpoints.

What’s driving this trend?

The evolution from marketing to customer

experience (CX) requires a far more 2-way experience

Customers don’t want to be “managed” they want to be

“engaged”

…and CRM is struggling to demonstrate consistent ROI

for clients

If CXM is not CRM then what does it look like?

Being a relatively new paradigm this is a little

fuzzy…

It’s more of an ecosystem than a holistic system… at

least for now

Awareness

Research

Comparison

Enquiry

Purchase

Experience

Loyalty

Advocacy

But all tied together with a holistic view of the

customer experience… which can be tricky!

Awareness Research Consideration Enquiry Purchase Experience Loyalty Advocacy

Think of it like one big funnel…

CXM helps progress customers through the customer lifecycle. It monitors, measures & analyses customer engagement; uses insights to

help optimise engagement at each point; and then maximises conversion rates at each & every stage.

With either centralised reporting / dashboard (harder) or disparate

reporting (easier/faster)

But how does this effect marketing / customer

experience?

1. Know where to focus your efforts

2. Perform complete lifecycle “conversion rate

optimisation” (CRO)

3. Better engage your customers

4. Draw better parallels between customer

experience initiatives & ROI

5. Better map and automate/personalise your

customer journeys

Summary

M-Payments to become a “must have” for business

Internet of Things to revolutionise customer experience in certain

industries & businessesCXM is big… but awesome

Thank you.