“ eBiz with eCom in Bridging Digital ” Project Sponsor: Ms. Dang Tuyet Dung, Head of PFS Project Leader: Mr. Au Duc Chung, Head of eChannels, PFS Organization: Techcombank Nominated by: Vietnam E-Commerce & Information Technology Agency

CONTENT  About Techcombank  The purpose of Project  Project Content  Conclusion 2

Who We Are Vietnam Technological and Commercial Joint Stock Bank, more commonly known as Techcombank, is one of the leading commercial banks in Vietnam. Since our establishment in 1993, we have experienced strong year-on-year growth and outstanding performance, consistently achieving high annual increases in both total assets and turnover.

What We Do We serve around 55,716 enterprises and 2.8 million individual customers through our three core business strategies: Personal Financial Service, Small and Medium Enterprise Banking, and Transaction Banking. Through these strategies, we are able to offer financial products and services which address the needs of different and diverse categories of customer. We are confident that by continually improving on all aspect of our product and service delivery, we will be able to achieve our ultimate goal of becoming the Best bank in Vietnam.

The year 2012 saw us maintained our network while only place new branches and ATMs where they can best serve our customers… We now have 316 branches and 1,247 ATMs throughout the country. Sustainable Growth – Maintain our Network

We now serve around 55,716 enterprises and 2.8 million individual customers all over the country. With these numbers, we have managed to keep our share of customers. In 2012, we focused more on serving our current customers, especially corporate customers, trying to maximize the added values that we can bring to them. This is in line with our approach of sustainable growth. Sustainable Growth – Maintain our Customer Base

Major AWARDS in 2012 Best Trade Finance Bank in Vietnam 2012 Best Bank in Vietnam 2012 Best Domestic Bank in Vietnam 2012 Best Best FX Bank for Corporate & FIs in 2012 Best Bank in Vietnam 2012 “Best Bank in Vietnam 2010” awarded by Euromoney Best Emerging Market Banks in Asia 2012 Best Cash Management in Vietnam 2012 Best Trade Bank in Vietnam 2012 Best Retail Banking of the Year in Vietnam 2012 Best Cash Management in Vietnam 2012 Best Trade Bank in Vietnam 2012

Background and Purpose

9 Orientation 1. The orientation of Vietnam government. The government has announced a long-term strategic development of information and communication technology (ICT): - Promoting e-government to become a strong country on administrative reform - Encourage the development of enterprise e-commerce to the world economic integration 2. Techcombank defined. - Market segmentation goals, - Design and implementation of products and services of modern banking - Service and convenient are competitive factors leading

The trend of the market potential The rate of user / user population the Asia Internet The rate of growth of the number of people using the Internet in some Asian countries  The activity of online sales accounted for approximately 12%.  Paying cash still accounted for 93% high.  The age of internet users in Vietnam tends to rejuvenate the main focus in the age group

Purpose 11 A Multi-Channel, Multi-Product Environment requires a revamped Delivery Approach. Seek to Minimize Distribution Costs, While Maximizing the Customer Experience Techcombank today are under enormous pressure to both improve service quality and reduce costs Services and convenient are competitive factors leading The problems of Techcombank ?

Project Content

st ECOM project developed electronic banking channels to provide individual customers and Businesses a full range of products and services of the bank. 13 ECOM: Scope and Scale e-Com is deployed from 5/2007, but from 2010 officially put into operation with the goal of developing alternative channels to diversify the products and services and cost savings.

ECOM: Scope and Scale Public, billing, e-Com and invest service, tradition Banking transactions VIP Customer Bussiness Customers Back office Student Workers Public, billing, e- Com. Billing e-Com Service, Billing Public, billing, e- Com and invest service,

Marketing & Educate Customer Raise awareness Improve service on channels of e- banking Hold event/training/presentation about e-banking Draw attention to “convenience & service” Budget: 4 Billions Attract customer Promote service & function to gain more new customer, increase volume of transaction via e-channels Release promotion campaign to attract more new customer Budget: 10 Billions Develop Branding & Advertising Implement MKT campaigns related to online banking to remind customer Budget: 4Billion TypeChannelsCooperatorFrequency External Communication Direct Sale team Hold event/ campaign Release news/flyer/poster. Send /sms directly to customer Mass media Social network seller Internal Education Center Merchant related departments (MKT, S&D..) Media agency Monthly Once on project schedule In-house education Organize internal training course Sale- kit Presentation Release news on common channels (GAU/ intranet…) Related departments (MKT, S&D…) Direct Sale team Monthly Once on project schedule Promotion Promotion for customer Give incentive for seller Sponsor for events related to e- commerce/ online transaction Merchants Sale team E-com Organizations As release a new service Remind annual

16 Achievements: Save Cost Transaction Cost Saving Total transactions on Counter (base on 2012) 12,600,000 14,400,000 16,800,000 % Rate transaction can be convert to e-Channels3%8%15% Total transactions can be convert to e-Channels 378,000 1,152,000 2,520,000 Cost for each transaction from Counter (base on 2012) Cost for each transaction from e- Channels (base on 2012) 0.25 Total cost for all transactions on Counter 756,000 2,304,000 5,040,000 Total cost for all transactions on e- Channels 94, , ,000 COST SAVING ($) 661,500 2,016,000 4,410,000 Transaction Cost (USD) 10/2013 4,410,000 ( USD )

Volume 13 bil VND i-Bank: 42,016 bil VND Customer MobiPay: 75,000 by 2013 i-Bank: by 2013 HomeBanking: by 2013 Fee: bil VND HomeBanking: bil VND MobiPay: 260 mil VND i-Bank: 5.76 bil VND Achievement Shopping Air-Ticket E-Payment Connections: Insurance  Prudential Life  Ace Life  Vietnam Airlines  Jetstar  25 international airlines Telecom  Mobile: Viettel, MobiFone  Internet: ADSL FPT Electricity  3 Electricity corporations  200 electricity sub- branches  22 cities  6 payment gateway  3000 website  200,000 online shop Top-up  All mobile prepaid  E-Wallet : NganLuong, Bao Kim, VTC, Vinagame

Public Collection & Billing eCommercePayment Gateway Interactive windows (Pay now) Direct connection (Pay later) Internet Banking Mobile Banking ATM / POS OTC Interactive TV Kio|sk Call Center IVR Invidual Customer Bussiness Customer Achievement - Connections

ECOM with Social Benefits Aviation Railways Electricity, Water Insurance Movie tickets Supermarkets,... Online Shopping business Taxes, Customs Registration and Business Registration Change, Domain Name Registration,... Smartlink BankNet Onepay VnPay... Banking services via Internet Banking, Mobile Banking,...

20 NEXT STEP Invest Technology Development HR Busines Development Products & Services Development Marketing & Communication

st ECOM development has proven to be the right direction, profitable for the bank as well as enhance the image, the position of the bank, and bring customer experience and new gadgets. The success of the project, as well as the strong commitment of the participating Techcombank has created a breakthrough with the e- commerce market, when there is full chain (consumer-banking-Merchants- government), to help Vietnam ecommerce solid strides. st ECOM project has become a model of banking institutions participating in e-commerce are trying to reference and inheritance. This has contributed to the formation of common standards in e-commerce connections, helping this sector grow rapidly over. 21 CONCLUSION

22 Q & A