Channel transformation

Transcription

1 Channel transformation

2 Theme 1 Swedbank s approach to IT and business development March 2018 Theme 2 Our customer offering May 2018 Theme 3 Digitalisation of lending process and digital payment solutions September 2018 Theme 4 Channel transformation December 2018 Swedbank

3 In 2018 we have held a series of events showcasing initiatives to ensure future competitiveness Our infrastructure is a flexible core platform enabling us to change with customer behaviour supported by our innovative culture and increasing use of intelligent automation tools Improving customer experience, relevance and sales by leveraging our trust, customer data, digitalisation and products through specialised units to increase sales and provide cross-selling opportunities A continuously innovative channel transformation Improve customer experience and sales through customer data and digitalisation in savings and lending products. Scale up current business model and capture growth potential THEME DAY 4 Swedbank 3

4 We enable people, businesses and society to grow WANTED POSITION The many households and businesses see us as the leading bank and financial services platform MARKET SHARE Loans (p) Loans (c) Deposits (p) Deposits (c) Payments Funds 23% 18% 20% 16% 36% 21% Our customer relationships are built on mutual trust and loyalty We are profitable and sustainable 46% 37% 55% 43% 59% 42% 31% 18% 34% 19% 50% 42% Almost half of the population in our home markets are Swedbank customer Together we make a difference for our customers and society 34% 19% 40% 26% 49% 37% (p) private (c) corporate Loans corporate excluding the Swedish National Debt Office and repurchase agreements Payments include BankGiro for Sweden, domestic payment transactions (Estonia, Latvia, Lithuania) Swedbank 4

5 We are a digital bank with physical meeting points Swedbank 5

6 Working together to deliver channel transformation How? Customer Experience What? Value proposition What? Needs solution Customer Customer interaction Offer Solution Operational Business Area Customer Service / Channels Segment Management Product Support & Operations Development needs Product and service range Tactical Group Digital Banking Customer Value Management Product Development & Operations Deliver development Strategical CEO Swedbank 6

7 Swedbank s business model creates value RoE 14.7% 15.2% 15.8% 15.1% 13.5% YTD % STABLE EARNINGS 75% DIVIDEND PAY-OUT RATIO 6 YEARS IN A ROW C/I 45% 45% 43% 39% 39% YTD % MARKET LEADING COST EFFICIENCY CREDIT IMPAIRMENT RATIO 0.01% 0.04% 0.09% 0.00% 0.03% 0.08% LOW RISK YTD 2018 Swedbank 7

8 Channel transformation Our starting position Aligned business strategy with the driving forces in our environment. Our transformation journey well underway Service and accessibility drive our transformation Flexibility in both our organisation and our channels to provide the solutions customers desire Channels are transformed in phases, not through a big bang Our channel transformation aims to increase customer loyalty, sales and cost efficiencies Swedbank 8

9 Lotta Lovén, Head of Digital Banking Enabling a friction free banking experience

10 Trends driven by customers expectations FUTURE PHYSICAL CHANNELS BRAND AND LOYALTY PLATFORMS (COOPERATION) UNDERSTANDING & TRUST EXPERIENCE & INSPIRATION SIMPLICITY Swedbank 10

11 Customers want to meet us on their own terms, where and when their need arises and expect the freedom to move from touchpoint to touchpoint at their will CHANNEL INTERACTIONS Swedbank 11

12 We have a clear ambition in the channel strategy Excellent and friction free customer experience Personal meetings as added value Leveraging 3 rd party collaborations We are a digital bank with physical meeting points and the many households and businesses see us as the leading bank and financial services platform in our markets Swedbank 12

13 Friction free experience is key to maintaining the customer relationship 24/7 service & 1 minute response time through virtual assistant INSTANT Omni-channel experience through Customer Relationship Management Personalised activity feed through Personal Financial Management Personalised offers through Next Best Actions INDIVIDUAL Personal meetings in all channels Accessible in third party touchpoints through APIs ACCESSIBLE EVERYWHERE Swedbank 13

14 Customer meeting points change with behaviours 2011 MOBILE APP 2018 INTERNET BANK MOBILE FIRST TRENDS IN CUSTOMER INTERACTIONS BRANCHES CONTACT CENTER Swedbank 14

15 Digitalisation drives continuing change 2011 MOBILE APP 2018 THIRD PARTY INTERNET BANK MOBILE FIRST TRENDS IN CUSTOMER INTERACTIONS BRANCHES CONTACT CENTER IoT DEVICES Swedbank 15

16 We anticipate and act on changes in customer behavior 2011 MOBILE APP 2018 Abonnemangshjälpen Wallet THIRD PARTY INTERNET BANK Mobile BankID Mobile securities and fund trading Swish MOBILE FIRST Push notifications E-documents Digital expense overview Digital on boarding Consumer loans SmartID Digital KYC Capacity management tool CRM E-signature Virtual assistant in the app Responsive IB in Baltics Customer feedback tool Mortgage commitments Mortgage commitments Next-bestactions New corporate mobile app Biometric authentication in app Smart cash flow Expense control E-signing corporate Private app in English Search functionality in app Remote meeting capabilities Multibank aggregation Expense control Remote meeting capabilities Virtual assistant as first line in CC Virtual assistant in all channels TRENDS IN CUSTOMER INTERACTIONS BRANCHES CONTACT CENTER IoT DEVICES Swedbank 16

17 Customers are taking advantage of our digital tools 50% Digital share of sales 53% Increasing number of digitally active private customers, million Sweden Baltics 40% % Q3 20% Number of digital customer interactions, Sweden and the Baltics, million >83% customer satisfaction in digital channels forecast 2018 Logins Internetbank - Total Logins App - Total Shake for balance - Total Swedbank 17

18 2018 deliveries enabled further automation and potential for aggregation INSTANT Virtual assistant in mobile app Order replacement card through virtual assistant and robotics Update of Baltic app for private with digital wallet INDIVIDUAL CRM platform including 360-view of customer data and engagement for Sweden Aggregation solution in place for Sweden First step of proactive offers in ATMs in Baltics ACCESSIBLE EVERYWHERE Electronic documents in mobile app for Sweden Responsive I-bank in Baltics Improved self-service availability in lending, cards and payment flows Swedbank 18

19 Proactivity and personalisation in focus for 2019 INSTANT Digital on-boarding in Baltics Virtual assistant as first line in Contact Center Sweden Virtual assistant available in Baltics Biometric authentication in Baltic app for private Possibility for customers to see, track and manage ongoing tasks in internet bank and app INDIVIDUAL A more personalised start page in the mobile app with content, next best actions and campaigns, as well as partner integrations offering value adding services Account aggregation and first step in activity feed with expense control Visualisation of cash flow in internet bank in Sweden ACCESSIBLE EVERYWHERE Remote meeting capabilities: chat, video and co-browsing App for private customers in English New corporate app Swedbank 19

20 Dynamic app prepared for the future A more personalised and engaging experience A first step for integrating services from 3 rd party collaborations for added value A rich overview of the customer s finances with clear suggestions of next best actions Swedbank 20

21 Agile development based on customer feedback and behaviour FEEDBACK CRM BEHAVIOUR ANALYTICS CHANNEL STRATEGY INITIATIVES & DELIVERIES CUSTOMER EFFORT SCORE CUSTOMER MEETING SCORE INVESTMENT PLAN PROTOTYPING & CUSTOMER INVOLVEMENT Swedbank 21

22 A toolbox to secure effective channel transformation Swedbank 22

23 Strong Group level coordination with execution in Business Areas SUPPORTING TOOLBOX & PROCESSES COORDINATING & IMPLEMENTING ACTIVITIES STRATEGIC INITIATIVES DELIVERIES & ENABLERS KPI Service concepts COORDINATION BY DIGITAL BANKING Next step Digital onboarding & KYC First step remote advisory tools Analyses (customer flow, channel usage) SWEDISH BANKING BALTIC BANKING Next step virtual assistant Processes and ways of working Capacity Model Future customer meeting visualisation and guidelines 1 Meet and interact with customers irrespective of channel 2 Streamline our physical channels to enable efficient service and advisory 3 Support customer digital journeys 4 Grow our business via digital sales & service capabilities 5 Governance, steering and measurement Open Banking/Premium APIs Aggregation & Personal Financial Management tool Corporate boost Fully digitalised mortgages & digitalised small loans corporates New advisory platform CRM development and distribution of personalised offers VALUE REALISATION THROUGH ACHIEVING TARGETS Swedbank 23

24 Swedbank s ecosystem creates customer value and business opportunities Other platform Our offering, channels, advisors and service are our platform Swedbank products and services Others financial products and services Beyond banking Swedbank 24

25 Charlotte Elsnitz, Head of Baltic Banking Christer Trägårdh, Head of Swedish Banking Executing the channel transformation

26 Utilising our digital tools and our platform to create value for all stakeholders A friction free banking experience REVENUE GENERATION MARKET LEADING COST EFFICIENCY CUSTOMER SATISFACTION Swedbank 26

27 Swedbank s channel network today BALTIC BANKING SWEDISH BANKING Population: 6.2m Surface: 0.2m km 2 Customers: 3.5m Internet bank Mobile bank Internet bank Mobile bank Population: 10.1m Surface: 0.4m km 2 Customers: 4.3m LATVIA ESTONIA Branches across the Baltics Contact centre locations Branches 5 Contact centre locations Flexible meeting places Flexible meeting places LITHUANIA ATM network 200+ Branches in 59 savings banks SWEDEN 250+ Real estate broker offices (Fastighetsbyrån) Swedbank 27

28 The evolution of channel transformation PHYSICAL CHANNELS DIGITAL CHANNELS PHYSICAL CHANNELS PHYSICAL IN DIGITAL DIGITAL CHANNELS DIGITAL IN PHYSICAL Our digital and physical channels interact in a way that we can reach our whole customer base in a customer friendly way Swedbank 28

29 Focus areas in our channel transformation Meet and interact with customers irrespective of channel Streamline our physical channels to enable efficient service and advisory Support customer digital journeys Grow our business via digital sales & service capabilities Governance, steering and measurement Swedbank 29

30 Transforming our customer meetings Meet and interact with customers irrespective of channel Streamline our physical channels to enable efficient service and advisory Support customer digital journeys Grow our business via digital sales & service capabilities Governance, steering and measurement Swedbank 30

31 Service offer based on customer needs On-boarding Daily needs Support / Guiding Qualified advisory Prospecting Robo-advice Virtual assistant Automation Swedbank 31

32 Key principle: Customers choose the channel and format that suits their current needs PHYSICAL MEETING GUIDED WHEN POSSIBLE Personal service DATA DRIVEN AND PRO-ACTIVE ADVISORY AND OFFERS REMOTE MEETING AUTOMATED SERVICE SELF SERVICE ESCALATION Swedbank 32

33 The content of personal service is changing and so are the ways of working CHANGE IN CONTENT OF PERSONAL SERVICE CHANGE IN WAYS OF WORKING DIGITAL SUPPORT DIGITAL GUIDING ADVISORY LOCAL NETWORKING & CSR CUSTOMER RELATIONSHIP MANAGEMENT SALES CRM REFERRING TO SPECIALISTS THE PERSONAL MEETING SUPPORT ONBOARDING CASH DAILY BANKING SHARED OPERATIONS Swedbank 33

34 Streamlining our physical channels Meet and interact with customers irrespective of channel Streamline our physical channels to enable efficient service and advisory Support customer digital journeys Grow our business via digital sales & service capabilities Governance, steering and measurement Swedbank 34

35 Multiple channels with distinct roles complementing each other BRANCHES CONTACT CENTERS MOBILE & INTERNET BANK Advice, guidance, sales and support Local presence and brand representation REMOTE Calls, mail, chat, social media and other digital communication Daily banking including financial control and transactions Sales and after sales FLEXIBLE MEETING PLACES COMPETENCE HUBS VIRTUAL ASSISTANTS DISTRIBUTION Guiding and supporting Roaming, e.g. at customer Fixed locations, e.g. in shopping malls or at partners Complex needs Qualified advisory and sales Specialists Guiding and support Transactions Internal support Front end to robotised processes Automated advice and sales PHYSICAL DIGITAL 3 rd PARTY Swedbank 35

36 Existing flexible meeting places SWEDBANK REPS AT REALTORS POP-UP SHOPPING MALL [ Fastighetsbyrån ] Flexible meeting points FLEXIBLE MEETING PLACE IN LIBRARY Partner presence Remote meetings EXAMPLES Swedbank 36

37 Broadening customer usage of our digital tools Meet and interact with customers irrespective of channel Streamline our physical channels to enable efficient service and advisory Support customer digital journeys Grow our business via digital sales & service capabilities Governance, steering and measurement Swedbank 37

38 Promoting our digital environment to customers DIGITAL SUPPORT Here s how to get Swish BRANCHES & CONTACT CENTER EDUCATION MARKETING & COMMUNICATION DIGITAL GUIDING Swedbank 38

39 Growing our business Meet and interact with customers irrespective of channel Streamline our physical channels to enable efficient service and advisory Support customer digital journeys Grow our business via digital sales & service capabilities Governance, steering and measurement Swedbank 39

40 Sales driven by data analytics and centralised CVM SALES AS A RESULT OF RECEIVING AN ACTIVE OFFER IN THE BALTICS 1/3 of sales are offers based Smarter data driven offers tailored to customer needs Increasing focus on service messages allowing the customer to control their finances digitally SHARE OF AUTOMATED OFFERS BY MESSAGE CATEGORY IN THE BALTICS 28% Service communication 13% Feedback gathering 59% Direct marketing Swedbank 40

41 Increasing digital sales and services in Sweden 80% FUNDS AND EQUITIES DIGITAL ONBOARDING MORTGAGE COMMITMENTS 70% CONSUMER LOANS Swedbank 41

42 Creating value Meet and interact with customers irrespective of channel Streamline our physical channels to enable efficient service and advisory Support customer digital journeys Grow our business via digital sales & service capabilities Governance, steering and measurement Swedbank 42

43 Channel transformation progress is measured and followed in three dimensions SALES Valuable advisory meetings and focus on sales CUSTOMER SATISFACTION 0 Increased satisfaction locally in every customer meeting EFFICIENCY Change ways of working and free up time Swedbank 43

44 Steering through clear activities and constant follow-up Focus areas Meet and interact with customers irrespective of channel Streamline our physical channels to enable efficient service and advisory Support customer digital journeys Grow our business via digital sales & service capabilities Governance, steering and measurement Activities (Examples) Implement and execute on agreed ways-of-working Improve contact center service levels Use digital guiding in every possible customer meeting Drive digital sales through data based offers Digital guiding Contact center response time Digitally active customers Digital sales Measurement (Examples) Customer satisfaction Swedbank 44

45 Our starting position Aligned business strategy with the driving forces in our environment. Our transformation journey well underway Service and accessibility drive our transformation Flexibility in both our organisation and our channels to provide the solutions customers desire Channels are transformed in phases, not through a big bang Our channel transformation aims to increase customer loyalty, sales and cost efficiencies Swedbank

46 Swedbank will keep improving the customer experience and continue to create value HOW OUTCOME RESULT CUSTOMER RELATIONSHIPS 15% RoE TARGET CUSTOMER SATISFACTION MARKET LEADING COST EFFICIENCY CUSTOMER LOYALTY LOW RISK Swedbank 46

47 BIRGITTE BONNESEN GROUP CEO GREGORI KARAMOUZIS HEAD OF INVESTOR RELATIONS Q&A CHRISTER TRÄGÅRDH HEAD OF SWEDISH BANKING CHARLOTTE ELSNITZ HEAD OF BALTIC BANKING LOTTA LOVÉN HEAD OF DIGITAL BANKING Swedbank

48 Theme 1 Swedbank s approach to IT and business development March 2018 Theme 2 Our customer offering May 2018 Theme 3 Digitalisation of lending process and digital payment solutions September 2018 Theme 4 Channel transformation December 2018 Swedbank

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