John Stone IMedia Financial Summit Oct 2009

Using Telepresence to Attract and Retain Customers
John Stone III
Founder, President

Discussion
Considering Channel Strategies
Enhancing The Human Touch
The Role of Telepresence Technology
Key Issues to Consider

The Situation
Over the last ~25 years banks have emphasized direct channels for delivery efficiency
Direct channels drive profitable operations and customers appreciate the speed and convenience
However, at key moments, customers seek more personal service and advice for important transactions

Lifecycle Key Moments
Key moments span credit and investment plus deposit needs for individuals and small businesses

Retention/ Reduced Churn
Key moments introduce cross-selling opportunity and drive retention and profitability
Deposit
Services
7 Million customers
Card
Services
3 Million customers
2.0m
Cross-selling impacts (Illustrative)
0.56m
0.1m
0.5m
Investment
Services
0.8 Million customers
Small Business
Services
0.2 Million customers

Driving Retention/ Reducing Churn
Retention is particularly important in Financial Services
Profit Impact of 5% Increase in Retention
-Bain & Co.

Telepresence as a Digital Strategy
An immersive ‘visual presence’
Demographic-ready
Enhance the branch experience
Permission approach for the online channel
Extend relationship management and product/ service expertise
Leverage efficiencies and scale
Benefit from brand enhancement

What’s involved?
Unified Communications
Distance Collaboration
Purpose Built vs Standard Desktop
Expert call routing

Case Study Issues
Working with a top 10 retail bank client, we identified a range of issues to consider :
Product-Channel Alignment
Customer Experience
Operational Alignment
Technology

Product-Channel Alignment

Customer Experience
Will at home customers be comfortable using a 2-way video channel?
Is bandwidth at home sufficient or reliable enough? Systems easy to use?
Will the customers perceive this as “personal” service or another way for the bank to cut cost?
Are technologies ready for an immersive experience at a reasonable cost?

Operations
Does telepresence fit existing operations?
Location in branch to ensure privacy, use?
Environmental issues– e.g. lighting, seating
ATMs an appropriate channel Privacy? Availability?
Hours of operation impact the service profile?
What security issues must be considered?

Technical
Are technologies ready?
Network bandwidth - voice and picture sync/latency
Microphone and camera quality
Large screens and definition
Multi-party networking
Support materials and knowledge in live environment
Delivering to mobile devices

Telepresence: a Solution for PNB
Demographics support active adoption
Technologies are ready (if configured well)
Brand impact attracts new customers
Leverage for expansive networks
Position as ‘new value’, not a replacement or cost-avoidance
Piloting solutions will validate fit and synchronize with existing processes and infrastructure

Thank You