1. 85707853/252 | Commercial in confidence Learning from best practices on Customer Experience & Telco 2030 workshop Samena CMO Day 2nd Chapter Erik Almqvist, Adam Gibbs, Fran Gonzalez, Edwin Grummitt, Nirnay Mangilal, Carlos Pinto, Gergana Rangelova, Sean Rivett, Filippo Vigano 29 th of September

2. 85707853/252 | Commercial in confidence The last 30 years of telecom history (condensed version!) 2 Telecom history until today  Typically the first entrant’s positioning, advantage through wider network coverage  Position left for further market players: risky as it leaves the player vulnerable to margin squeeze  Customer experience opens up a new source of competitive advantage and differentiation, which is much more sustainable than e.g. price positioning Network Price Customer Experience  Typically the second entrant’ positioning, advantage through speed to market and service innovation Service innovation & speed to market  Customer experience opens up a new source of competitive advantage and differentiation, which is much more sustainable than e.g. price positioning Customer Experience  Typically the second entrant’ positioning  Position left for further market players: risky as it leaves the player vulnerable to margin squeeze Service innovation Price

3. 85707853/252 | Commercial in confidence The path towards customer excellence starts with eliminating dissatisfaction, moving towards differentiation 3 Three step journey to superior customer experience Fix the basics Consistent customer experience with the right KPI’s Creating a unique customer experience  Identify and eliminate key drivers of customer dissatisfaction  Fix the customer experience throughout the whole customer lifecycle  Add customer experience differentiator Eliminate dissatisfaction SatisfyDifferentiate

4. 85707853/252 | Commercial in confidence The telecom industry scores in the 0-30 NPS range, whilst top performers score in the 60-80 range Promoters Passively satisfied Detractors  Unhappy customers who have had a poor customer experience with the company and who spread negative word- of-mouth comments about the company  Satisfied but unenthusiastic customers who stay with a particular company more due to inertia than true loyalty and who can be easily wooed by the competition  Loyal enthusiasts who keep buying from a company and urge their friends and colleagues to do the same 9 8 10 7 5 6 4 3 2 1 NPS Score  Most telecom operators score in the NPS score range 0 to 30  Top performers have an NPS of 60–80  Harley Davidson: 81  Amazon: 73  GiffGaff MVNO 73  Apple: 66 Referral very likely Referral very unlikely NPS scoring

5. 85707853/252 | Commercial in confidence Best Practices from other industries and MVNOs 5 Best Practices in Customer Experience All trademarks and logos belong to their respective owners Experience How?Key Message It gives its customers the chance to transform who they are Define yourself through the product It connects with its customers through superior design Superior design It delivers a personalised shopping experience Leverage the power of information to deliver a personalised experiences It’s a social business developed, implemented and run by customers The Community of users define and run the service It builds a passion through a rich company history, endless journeys and stories It delivers an exciting element through industrial and user interface design It utilises all the customers information to provide customized recommendations It partners with customers to build and run their business NPS 73 NPS 81 NPS 73 NPS 66

6. 85707853/252 | Commercial in confidence Typically consumer decisions are taken on the basis of emotions (‘customer experience’) - logic is then used to rationalize the decision 6 How telecom customers make decisions I really like my operators’s humorous way of describing their packages “I just got a great deal from my operator”

7. 85707853/252 | Commercial in confidence Global customer experience leadership is a multistep journey where the most successful traditional operators of the world are only about half way 7 The journey ahead Source: Analysys Mason 1 A line not yet crossed in Telco customer experience 2 4 5 6 Fixing the basicsEnsuring consistency in all touchpoints, implementing the right KPI’s Implementing across all products and services, segments and touchpoints Seeing the whole customer, understand and develop what really drives value 3 Global leadership in customer experience Creating a unique customer experience, link to financial value

8. 85707853/252 | Commercial in confidence What if … we could look into the crystal ball and see the telco of the year 2030… already NOW? The telco of 2030

9. 85707853/252 | Commercial in confidence Each one of you will be part of a team…two tables forms a team! 9 Workshop teams 1 234 Team Barracuda Screen x Represents a table with number x Team Alligator Team Barracuda Team Alligator Team Falcon Team Hammerhead Team Camel Team Giraffe 8 765 Team CamelTeam Eagle 9 101112 Team Dolphin Team Giraffe

10. 85707853/252 | Commercial in confidence Teams, moderators and questions 10 Team moderatorQuestion Team Alligator AdamWhat kind of experience will customers expect from telcos 2030? Team Barracuda Carlos How will telcos utilise customer information to improve customer experience (ex. Amazon)? Team Camel Erik How will telcos transform into social businesses (ex. GiffGaff the MVNO)? Team Dolphin Edwin How can affinity/emotions be built between the customer and a telco (ex. Harley Davidson). How can telcos build on the five senses? (ex. Emirates)? Team Eagle FilippoWhat will the telecom shopping experience of the future look like? Team Falcon Fran What will the customer service experience look like (call centre, web, person, other...) Team Giraffe Sean What will the payment experience of the future look like? What will loyalty schemes look like? Team Hammerhead Nirnay/GerganaWhat will the retention and leaving experience look like?

11. 85707853/252 | Commercial in confidence Team Alligator – Moderator Adam 11 Question What kind of experience will customers expect from telcos 2030? Prediction 1 Prediction 2 Prediction 3 Prediction 4 Prediction 5 3 top predictions per group shall be presented

12. 85707853/252 | Commercial in confidence Team Barracuda – Moderator Carlos 12 Question How will telcos utilise customer information to improve customer experience (ex. Amazon)? Prediction 1 Prediction 2 Prediction 3 Prediction 4 Prediction 5 3 top predictions per group shall be presented

13. 85707853/252 | Commercial in confidence Team Camel – Moderator Erik 13 Question How will telcos transform into social businesses (ex. GiffGaff the MVNO)? Prediction 1 Prediction 2 Prediction 3 Prediction 4 Prediction 5 3 top predictions per group shall be presented

14. 85707853/252 | Commercial in confidence Team Dolphin – Moderator Edwin 14 Question How can affinity/emotions be built between the customer and a telco (ex. Harley Davidson). How can telcos build on the five senses? (ex. Emirates)? Prediction 1 Prediction 2 Prediction 3 Prediction 4 Prediction 5 3 top predictions per group shall be presented

15. 85707853/252 | Commercial in confidence Team Eagle – Moderator Filippo 15 Question What will the telecom shopping experience of the future look like? Prediction 1 Prediction 2 Prediction 3 Prediction 4 Prediction 5 3 top predictions per group shall be presented

16. 85707853/252 | Commercial in confidence Team Falcon – Moderator Fran 16 Question What will the customer service experience look like (call centre, web, person, other...) Prediction 1 Prediction 2 Prediction 3 Prediction 4 Prediction 5 3 top predictions per group shall be presented

17. 85707853/252 | Commercial in confidence Team Giraffe – Sean 17 Question What will the payment experience of the future look like? What will loyalty schemes look like? Prediction 1 Prediction 2 Prediction 3 Prediction 4 Prediction 5 3 top predictions per group shall be presented

18. 85707853/252 | Commercial in confidence Team Hammerhead – Nirnay and Gergana 18 Question What will the retention and leaving experience look like? Prediction 1 Prediction 2 Prediction 3 Prediction 4 Prediction 5 3 top predictions per group shall be presented

19. 85707853/252 | Commercial in confidence Table 1. Team Alligator

20. 85707853/252 | Commercial in confidence Table 2. Team Alligator

21. 85707853/252 | Commercial in confidence Table 3. Team Barracuda

22. 85707853/252 | Commercial in confidence Table 4. Team Barracuda

23. 85707853/252 | Commercial in confidence Table 5. Team Camel

24. 85707853/252 | Commercial in confidence Table 6. Team Camel

25. 85707853/252 | Commercial in confidence Table 7. Team Dolphin

26. 85707853/252 | Commercial in confidence Table 8. Team Dolphin

27. 85707853/252 | Commercial in confidence Table 9. Team Eagle

28. 85707853/252 | Commercial in confidence Table 10. Team Eagle

29. 85707853/252 | Commercial in confidence Table 11. Team Falcon

30. 85707853/252 | Commercial in confidence Table 12. Team Falcon

31. 85707853/252 | Commercial in confidence Table 13. Team Giraffe

32. 85707853/252 | Commercial in confidence Table 14. Team Giraffe

33. 85707853/252 | Commercial in confidence Table 15. Team Hammerhead

34. 85707853/252 | Commercial in confidence Table 16. Team Hammerhead

35. 85707853/252 | Commercial in confidence Table 17. Team Hammerhead