IBM AI for Customer Care Company Pain Points The customer care industry is underperforming as it struggles to evolve in an increasingly digital world. Evolving customer demands Customer dissatisfaction is rising as needs aren’t being met. Benefits Watson can increase customer satisfaction and decrease cost simultaneously. And at the same time keep your agents happier and more empowered IBM’s solutions for Customer Care brings together our best-of-breed AI technology to help organizations create a seamless and superior customer experience. With our technology SI’s can help organizations build an Assistant that gives their customers a 'one stop shop', to solve their problems, whether simple or complex, as efficiently as possible. 50% 73% 61% of customer calls go unresolved or require escalation of US consumers say “valuing their time” is the most important thing a brand can do of failed customer support calls could have been solved with better access to data USD $62B 70% 85% Estimated loss of sales in the US due to poor customer service of consumers will choose messaging over calling if given the choice of all customer interactions will be handled without a human agent by 2020 30-45% 91% USD $8B Chatbots will save businesses more than USD 8 billion per year by 2022, a huge increase from the USD 20 million estimated for 2018 average employee turnover at call centers, more than double the rate for all industries combines of unsatisfied customers will not return for a repeat purchase or service USD 4000+ 45% USD $1M more to hire a call center service agent, and an additional USD 4,800 or more to train them of shopping carts are abandoned due to lack of immediate support potential annual savings for every second shaved off the average handling time per call Learn more https://www.ibm.com/watson/partnerships/ 75% 1 in 3 29% Of an agent’s time is devoted to agents doing manual research, while valued customer interaction is at a dismal 25% millennials think chatbots provide better, more efficient tech support Chatbots will contribute to cutting customer care costs by up to 29% © 2098 IBM Corporation

Future of Customer Care 1 Lower Operating Cost 2 Improved user experience 3 New Revenue Streams Increased efficiency of agents Automation through virtual agents (VA) replaces repetitive labor and allows human agents to focus on more complex tasks that require expertise and creativity (escalate to live agents only if needed). Increased call deflection rates Virtual agent technology provides first call resolution decreasing the number of routine calls escalated to CSR. Omnichannel experience New channels such as messaging, mobile chat and web chat will decrease reliance on an IVR lowering operating costs and customer frustration. Improved efficiency Advanced analytics helps to reduce errors, increase execution speed and promote continuous learning and improvement. Lowest cost channel Being able to seamlessly transfer customer interactions between bots and human agents keeps customers within the lowest cost of service channels. Informed and consistent customer service Increasing first contact resolution with contextually relevant answers that can either be custom-trained or pre-trained. 360-degree view of the customer Virtual agent integration with multiple data sources inside and outside the enterprise provides a holistic customer view. Meet the customer on their terms Omnichannel system allows the customer to choose their preferred channel and engage whenever they want. Better anticipation of customer needs Advanced analytics and virtual agents allow for a more informed and personalized conversation. Cognitive product recommendations Advanced analytics helps identify which products to upsell customers through virtual agents. New channels of revenue Uncover retail opportunities both in store and online through cognitive kiosks, robots or mobile apps. Geo-location analytics Advanced analytics consumes geographic data to make better decisions and offer more customized recommendations. Trend identification and correlation Make sense of data to create trend analysis to deliver better offerings. Implement proactive care processes to enhance revenue generation through next best action. Today’s digitally connected consumers are demanding unprecedented levels of 24x7x365 customer service. But most call centers are slow to respond due to aging technology and processes that rely solely on Interactive Voice Response Systems (IVR) and human agents. As organizations look to digitally transform their business and retain customers, the opportunity to modernize the contact center has become a top priority. Companies can bring impactful change to contact centers by embracing Watson’s AI- powered virtual agents, integrated with chat/messaging for seamless transfers to live agents—scaling operations and transforming customer care, while reducing costs and delighting users. (Source: CEB, Kick-Ass Customer Service, Matthew Dixon et al., January - February, 2017.) Why AI driven customer care? Why start today? 270 billion calls to customer service per year Cut costs by 29% 70% decrease in call resolution time © 2098 IBM Corporation

IBM AI for Customer Care Solutions Customer Care Virtual Agent understands end user questions in natural language and enables an intuitive and human-friendly interface for customers. Watson Assistant Watson Discovery Live Agent Handoff Customer Care Voice Agent helps you answer more customer calls faster by interacting with callers using natural language to provide self-service over the phone. Watson Assistant Watson Speech to Text Watson Text to Speech IBM’s Voice Agent Improve customer service, increase satisfaction, and reduce churn. Watson offers AI solutions for customers and agents across multiple channels. Agent Assist understands agents' questions in natural language, enabling agents to find answers to their questions with AI powered search. Watson Assistant Watson Discovery Watson Knowledge Studio Agent Assist with Discovery for Salesforce delivers an AI powered search for agents to resolve customer cases quickly and efficiently from within their Service Cloud console. Watson Assistant Watson Discovery Watson Knowledge Studio Salesforce Cloud Learn more https://www.ibm.com/watson/partnerships/ © 2019 IBM Corporation