HOW WE DID THE INVESTIGATIONS

The Sad Case ofStagnoBank – Part 3

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Prelude – StagnoBank - Part 3

This deck accompanies the Sad Case of StagnoBank - Part 3 Videoat http://youtu.be/ByiamsM6NPI

You find this case by searching with keywords “BSI Teradata Case StagnoBank.”

This deck is designed to answer questions about the Teradata technologies shown in the story. We’ll cover mobile banking, self-service banking, multi-channel analytics, digital marketing, and customer campaigns using Aprimo.

For best effect, run it in Powerpoint animation mode.

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Note from the Investigators

Hi Everybody,

We’re the brains behind the scenes and wanted to answer your questions about “how did you do the StagnoBank brainstorming so fast?”

This write-up will give you an idea of our clients’ architecture and some details of the BI screens.

Take a look, and if you still have questions, send them to us at the www.bsi-teradata.com FB page!

Yours truly,

Mathieu Ames and Jodice Blinco

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Scene Synopsis

• Jodice’s Office at BSI HQ – Simon explains the situation, shows Jodice KPIs and reports, and commissions the work

• Jodice kicks off the Project with Max, Mercedes, and Mathieu

4 Weeks Later

• BSI Conference Room – readout of ideas for Better Marketing (Max), Better Customer Service (Mercedes), and Mobile Apps (Matt)

• Wrapup Meeting with Simon, in Jodice’s office

• This deck show’s Matt’s work on Mobile Apps – Part 3; see also Part 1 for Max’s, and Part 2 for Mercedes’ ideas

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Scene 1: Problems at StagnoBank! Meeting of Simon (CMO) and Jodice (BSI)

Simon and Jodice … in her office talking

• Simon: “I’m the new CMO, only on the job for 3 months, but everywhere I turn, we have problems”

• Big issue – we’re a big, old bank, perceived as “behind the times.” No appeal to younger households.

• Asks Jodice to do a quick BSI project to come with turnaround ideas. One of the areas to evaluate is better mobile apps.

Simon, StagnoBank’s

CMO

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StagnoBank’s Mobile App - Problems

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Our chief Jodice assigns Matt the area of consumer apps, mobile, and geospatial

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Scene 2: Readout (4 weeks later)What Did Matt Come Up With?

Matt Ideas “Consumer Intelligence” budget/ planning apps

“My Bank Looks Out for Me” alerts

Use Geospatial to drive customer education

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Matt’s Idea #1: Consumer Intelligence Apps

Mercedes focused on customer service, but Matt doesn’t think that will be enough – people don’t always call the care center. Much more activity is done with self service, so he focuses on that area, especially mobile web apps.

• One way to “get ahead of the competition” is to offer people more value in return for a long-term banking relationship> Traditionally banks capture and store “their data” about the

customers

• Matt’s IDEA: Why not open up the system via mobile apps and “share the data,” and “share the insights,” using consumer (mobile) apps?> Just like business people have “BI” tools, why not give the

consumers some “CI” (consumer intelligence) tools???

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Matt’s 1st Focus: Self-Service Apps

• To do this, StagnoBank will need to give customers access to “their data” and let them download that data and do interesting things with it – e.g., write their own apps, or more likely, download third-party apps that provide useful budgeting and planning tools> Today, many banks already give people “reports” like your

monthly statement, but those are canned and not the same as giving them data or apps

• Note: the bank might build some, but not all, of these apps itself> StagnoBank might form some customer forums, hold some

competitions for the best StagnoApp> That might be the quickest idea of tapping into consumer ideas

(and create a cottage industry of application developers!)> A positive side effect for the bank is to gain insights on other

customer needs

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Matt’s Idea #1: Consumer Intelligence Budget/Planning Apps

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Matt’s Idea #1: Consumer Intelligence Apps

• Examples can include budgeting and credit scoring – and the more of this they do on the Bank platforms, the better! > Here’s a sample Budgeting Application. Does simulations of

“what happens to my net worth if I get a part-time job that brings in $500 per month, don’t increase my spending, and when grandma dies I inherit $10,000?”

• Makes customers sticky. If you spend time building out “Your Budget,” you are unlikely to move to another bank. The bank also can serve you better, the more they know about your needs.> Could also get some “buzz” going, e.g., a younger customer txts

a friend: “StagnoBank provided me with cool budget and planning apps – you have to check them out.”

> Goal is to get younger customers so excited they use word-of-mouth marketing to turn things around, build up the number of StagnoBank younger customers

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Matt comes up with another app, perhaps a little futuristic but at some point, there needs to be much more transparency about your credit score, and how to improve it. In this case:

1. You pull your data from this bank into the app and add any other financial info from other sources

2. You establish short-term and long-term goals/needs3. App comes back with a plan of action for getting you what you need

to do in order to realize those goals and needsLike:

which bills to pay off to increase your credit score – to help you qualify for a bank low interest loan for a mortgage,

car loan, or low interest credit card

The app develops an action plan based on your individual needs and not just generic advice. The plan also includes suggestions for relevant banking products and services. The core idea: the consumer “plays around” with the apps; that activity drives them to the bank for additional products and services

Matt’s Idea #1: Consumer Intelligence Apps “Increase Your Credit Score” Self-Serve App

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Credit Improvement App

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Matt’s Idea #1: Consumer Intelligence Apps Summary

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Idea #2: Alerts that “Look Out For Me”

1. Ben and Casey want to buy a new house, and they know rates have dropped a bit. It’s not worth it for them to buy until rates drop a little more, but they don’t want to miss the “low.”

2. Ben enters a trigger:

Notify us if the 30-day moving average for house loansstarts going up

3. Home loan rates were dropping, but are now going up

4. When StagnoBank sees an inflection point, Ben gets a notifier

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Behind the Scenes – Teradata Technologies

• StagnoBank will need to evolve its architecture to use what Teradata calls “Active” Technologies. These include:> Active Load – all information flows from the bank’s operational systems into

Teradata in trickle feed or mini-batch mode. This ensures that Teradata “knows” the up-to-date state of all customers, as well as updated internal information like today’s interest rate changes

> Active Alerts – when Teradata “sees” a condition change (like a loan rate decrease), it checks to see if anyone has subscribed to be notified of those

> Active Access – Teradata can provide access to wider sets of users of data and insights, extending the value of the system from the bank’s internal users to the end customers running Consumer Intelligence apps

> Active Integration – using modern Service Oriented Architectures, Teradata can link to all the front-end systems, including the one that drives mobile phone communications (as well as ATMs and Contact Centers)

> Active Workload Management – the bank will need to give consumer-oriented interactions the highest priority so customers get sub-second response times (interrupting traditional BI jobs momentarily)

> Active Availability – as the bank moves towards more of these real-time, active workloads, it will need to engineer redundancy into the system

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Active LoadIntra-day data acquisition; Mini-batch to near-real-time (NRT) trickle data feeds measured in minutes or seconds

Active AccessFront-Line operational decisions or services supported by NRT access; Service Level Agreements of 5 seconds or less

Active EventsProactive monitoring of business activity initiating intelligent actions based on rules and context; to systems or users supporting an operational business process

Active Enterprise I ntegrationIntegration into the Enterprise Architecture for delivery of intelligent decisioning services

Active AvailabilityBusiness Continuity to support the requirements of the business(up to 7X24X365)

Active Workload ManagementDynamically manage system resources for optimum performance and resource utilization supporting a mixed-workload environment

Product MarketingCall Center ExecutiveSuppliersCustomers ProductProduct MarketingMarketingCall CenterCall Center ExecutiveExecutiveSuppliersSuppliersCustomersCustomers

“Active”

I ntegrateOnce

UseMany

Active LoadIntra-day data acquisition; Mini-batch to near-real-time (NRT) trickle data feeds measured in minutes or seconds

Active AccessFront-Line operational decisions or services supported by NRT access; Service Level Agreements of 5 seconds or less

Active EventsProactive monitoring of business activity initiating intelligent actions based on rules and context; to systems or users supporting an operational business process

Active Enterprise I ntegrationIntegration into the Enterprise Architecture for delivery of intelligent decisioning services

Active AvailabilityBusiness Continuity to support the requirements of the business(up to 7X24X365)

Active Workload ManagementDynamically manage system resources for optimum performance and resource utilization supporting a mixed-workload environment

Product MarketingCall Center ExecutiveSuppliersCustomers ProductProduct MarketingMarketingCall CenterCall Center ExecutiveExecutiveSuppliersSuppliersCustomersCustomers

“Active”

I ntegrateOnce

UseMany

The Six Active DW Elements

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Behind the Scenes – Mobile Technologies

• StagnoBank will need connect Teradata to its mobile architecture.

• Many of the Teradata BI partners – MicroStrategy, Cognos, Business Objects, Microsoft, and Air2Web – have mobile programs that:

> Provide an editing and dialogue tool for presentment of information on any of a variety of mobile platforms, accommodate their screen formats and gesture capabilities for the user interface

> Provide the APIs for passing SQL queries to the database> Work with a variety of networking infrastructures> Work with a variety of mobile phone operating systems

• By the time Teradata sees the request, it is a web service request that contains SQL. Teradata unwraps the web service package, runs the SQL, and provides the answer, which is then wrapped as a web service response and returned.

• The next page shows an Air2Web infrastructure implementation.

20©2010 Air2Web, Inc. |20

Air2Web MessagingPlatform

Teradata &Teradata Partners

“The Corporate Memory” -Teradata Warehouse & Teradata Campaign

Management System

Mobile Dialogue Editor

& Publisher

Individual Consumers& Handset types

MobileNetwork (Carriers)

Mobile Message Routing - Example

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Behind the Scenes – Alerts

• Event Based Marketing from Aprimo uses a “trigger” to identify a need to communicate, and then automatically executes a communication to a customer through a defined channel (e.g., email, text)> Ben sets a “trigger” rate, which is captured in his customer profile

in Teradata. It can be changed as often as needed> This “trigger” is filtered by the current interest rate using a

formula/business rule developed by the bank (e.g., on UPDATE, if customer trigger > current rate, then send text to customer)

> This business rule can be as sophisticated as necessary, to include a calculation of “inflection point” on interest rate movements, which can be compared with Ben’s trigger

> When a trigger fires, a message to “push” to the end device is constructed and sent by Aprimo to the mobile infrastructure

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• It’s one thing to build these apps, but you also have to educate people on how to access and use them> Younger people will probably figure this

out on their own; older people and techno-phobic people will need some handholding

• “Education” could be a marketing campaign, run using Aprimo> Where StagnoBank has Points of Presence

– like ATMs and Branches, we can use those to deliver awareness and app education campaigns

• Reinforce a reason to come into those unused branches to talk … > “Hey! Have you heard about the Stagno

Mobile Apps Initiative? – come in and learn”

Matt’s Idea #3: Geo Apps for Education

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• Example: Ellen is withdrawing cash from the ATM outside the branch

• We know our mobile app expert Suzie is available to do an explanation right now (web service callout to check her calendar)

• System splices in one extra customized page while awaiting cash to dispense

• Suzie meets Ellen at the door with a cup of coffee or a smoothie for her!

• Raises consumer awareness of the StagnoBank apps

Idea #3 in Action: Drive Education at Branches

One element of a multi-channel “campaign for Mobile App Education” (based on Aprimo technologies from Teradata) could drive an extra screen for selected customers when they are withdrawing cash from a physical ATM

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Behind the Scenes: How Does It Work? Augmenting ATM Workflows with Teradata

• Segment/Event – App Education Campaign

• Planning for Multi-Channel Communications

• Personalization

• Aprimo Relationship Manager

• Aprimo Customer Info

At the ATM

• ATM Aprimo Real- Time Interaction Manager Client

• ATM

• Mail/Email

• Call Center, Web

• Branch/Teller

PROFILE (TD)

PLAN (TD)

COMMUNICATE (ATM)

FULFILL (ATM, +…)

Tera

data

Ap

rimo W

orkfl

ow

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Idea #3: More Options

Other Geo-Mobile Phone Education Examples:• When we detect an existing customer is within 100 yards of a branch,

and has their StagnoApp enabled (and has granted permission for StagnoBank to contact them), an invite SMS goes out to their mobile to encourage them to come into the branch – could be like the previous example - come in for education on apps

• StagnoBank could send other messages:

You were charged for exceeding your Bank Credit Card limit last month. If you have time to come into this branch, we could help you to avoid this in the future!

or

We can confirm you’ve just received a significant deposit of $980. If you need to think of ways to invest this, pop into the branch, and we can talk about options for investing …

• Consumers can also use StagnoBank mobile/geo apps to find the nearest ATM to can avoid costly fees

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Idea #3: More Options

Consumer-initiated App Example

• Where is the closest ATM? (to avoid fees from other bank’s ATMs)

• How It Works> This triggers a Teradata geospatial query to via the app API. > Sends the consumer’s lat/longitude location to Teradata> Teradata uses the customer’s location to calculate distance to StagnoBank’s

5 nearest ATMs and send a map with overlap to the mobile device> Customer could pick one> And then get directions (using a mobile devices navigation app with

location of the selected ATM as the destination.)

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Summary: Matt Ideas on Self-Serve Apps

Matt Ideas “Consumer Intelligence” budget/ planning apps

“My Bank Looks Out for Me” alerts

“Geospatial Apps” to drive customer education

Matt#1

Matt#2

Matt#3

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Vote for Matt! (he wants to get promoted)

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Scene 4: Jodice Sums Up the Three Ideas with Simon

• Simon likes the ideas• Says he’ll take them back to the Bank• And come back the next week with what they want to do

next. Will probably want to invite the BSI Team over to the bank to present …

Simon’s happy!So

Jodice is happy!

And it’s good to keep the Big Boss happy!

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Summary – All Ideas From the BSI Team

Max Ideas Event-Based Campaigns to increase relevance

GoldenPath Analysis to increase channeleffectiveness

Attribution Analytics and Digital Marketing Optimization

Mercedes Ideas “One and Done” screens for contact center agents

Customized button pushes on the Interactive Voice Response

Same agent call routing

Matt Ideas “Consumer Intelligence” budget/ planning apps

“My Bank Looks Out for Me” alerts

“Geospatial Apps” to drive customer education

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For More Product Information

• If you’re in the banking industry, you may want to look at Teradata offers at http://www.teradata.com/industry-expertise/financial-services/

• For more Teradata information, see: www.teradata.com. If you’re interested in more case studies or information about the 6 Active technology elements, search on keyword “Active”

• For more information on Aprimo Relationship Manager, see:  http://www.aprimo.com/Products_.aspx?id=2265

• For more information on Aprimo Real-Time Interaction Manager, see: http://www.aprimo.com/Products_.aspx?id=2266

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THANKS FOR WATCHING!Check Out Mercedes’ and Max’s Ideas, Too!

Mercedes:Better Customer Service

Max:Better Marketing

Part 2:

Part 1:

BEST BANKING DECISIONS POSSIBLE

You can find all of our BSI episodes at www.bsi-teradata.com or on YouTube (keywords: BSI Teradata Case)

How We Did It Powerpoints available, too, at www.slideshare.net (keywords: “BSI Teradata Case”)