1. BUSINESS
STRATEGIES FOR
A DIGITAL AGE

2. Matthew Tod
Leader of Customer & Digital, PwC
Mike Greig
Leader of Global Digital
Transformation, PwC
Nevzat Aydin
CEO, yemeksepeti.com

3. How can we be more effective
through social and mobile
channels?
How do I become disruptive
in my industry
How do I ensure my digital
capabilities capitalise on my core
business and technology assets?
How can I arrive at 10% topline
revenue growth that innovators
are projecting?
How can I design an experience
that will better engage
customers?
How can my company behave
more like a startup?

5. The ‘new normal’ of weak economic
growth in the EU and US (in
absolute terms and relative to the
emerging markets) has undermined
many of the drivers which
businesses relied upon to underpin
success before the financial crisis.
Real GDP, 2000=100
50
100
150
200
250
300
350
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
Leading emerging market economies
United States
European Union
* Average GDP growth rate, 2000-2017, Leading emerging market economies are: Brazil, China, India,
Indonesia, Mexico, Russia and Turkey
Source: IMF, PwC forecasts and analysis

6. Businesses that can combine the right levers can achieve
exceptional growth
Share price performance of customer-focused, innovative and digital businesses
compared with the FTSE 350 and a basket of emerging market indices
Source: PwC analysis
0.5
1.0
1.5
2.0
2.5
3.0
3.5
4.0
4.5
Dec2008
Mar2009
Jul2009
Oct2009
Jan2010
May2010
Aug2010
Nov2010
Feb2011
Jun2011
Sep2011
Dec2011
Apr2012
Jul2012
Oct2012
Jan2013
Innovation
Digital
Customer impact
Globalisation

7. What do we mean
by ‘Digital’?
Business change, triggered and
enabled by digital technology
AnalyticsMobile
Social Cloud

8. 79%
Of smartphone users
are using devices to
shop at least once a
month
10%
Higher revenue growth
forecast for companies
who prioritise
innovation to a greater
extent than their peers
50
Billion
Predicted number of
connected devices by
the year 2020
79%
Of enterprise IT spend
is outside of the CIO’s
budget
Disrupt or be disrupted?
*See Appendix for citations

10. A new and different type
of customer is emerging
in the digital age
The decade of digital change we live in is
fundamentally changing the DNA of the
customer.
The digital generation is growing up –
making digital the new norm in both the
B2C and B2B markets.
This creates issues, threats and
opportunities for all businesses.
And one thing is clear: continuing as is or
just trying harder is unlikely to work.
Illustrative representation
Are you ready to survive,
grow and win in the digital
age?

12. Digital can be
used to push
the frontiers of
eCommerce,
with a first
digital wave
philosophy
First digital wave
example
Shop for your
groceries in the
tube station

14. Tesco helps you
Set
your goals
Your household
members
Understand your
consumption
Hit your budget
Eat more healthily
Eat more organic and “bio”
products
Support local producers
Help sustainability

15. Tesco helps you
Your healthy eating dashboard for August 2012
Calories
per day
Units
of alcohol
per day
Grams
of salt
per day
“Bad”
fats
Fresh
fruit & veg
per day
Worse than desired target
Better than desired target
We can give you a “healthy eating
dashboard” for your family that will
make it fun to eat healthily
Understand your
consumption
Hit your budget
Eat more healthily
Eat more organic and “bio”
products
Support local producers
Help sustainability
Set
your goals
Your household
members

16. For example, some players are trying to push the
understanding of how value is consumed in music
EXAMPLE - Different ways to sell & buy music
• Physical medium
• No interaction with the
customer after purchase
• Emphasis on product
• Emphasis on demand chain
Buy CDs and own your
personal “physical collection” of
music albums
Real objective =
Understand consumption
and revolutionise the
industry
• Online purchase of product
• Physical medium
• No/limited interaction with
the customer after purchase
• Emphasis on product
Use the convenience of the
internet to buy CDs online and
own your personal “physical
collection” of music albums
Real objective =
Sell CDs (through the
internet)
• Digital medium
• No/limited interaction with
the customer after purchase
• Emphasis on experience
• Emphasis on demand chain
Buy and own your personal
“virtual collection” of
music ‘tracks and albums’.
Personalise you experience
with Playlists
Real objective =
Sell Apple devices
• Digital medium
• Continuous interaction with
the customer after purchase
• Emphasis on experience
• Emphasis on consumption
chain
The world’s music is virtually
yours for a monthly
subscription.
We will pay the artists fairly
based on how much their music
is listened to
Real objective =
Understand consumption
and revolutionise the
industry

17. Nike +: Fitness =
a goal enabled by a non-fictional
game
Convenience
of
transaction
Functional
affinity
Emotional
affinity
Individual
outcome
(self-challenge)
Individual
outcome
(Comparison with
others)
Collective
outcome
(Interaction with
Others)
Community &
societal outcome
Buying these
trainers was a nice
experience
I like these trainers Nike is a “cool”
brand
By tracing my runs
on the Nike+ portal
I can keep to my
training plan and
become fitter
By comparing my
running results to
others’, I can learn
how to train better
Nike+ has helped
me stay in touch
with my friends
who like running
and have more fun
with them
Nike+ can educate
people to
appreciate
exercise, and have
fun and stay
healthy
Features
Image
Features
Individual result
Image
Features
Individual result
Image
Features
Collective result
Individual result
Image
Features
Community result
Collective result
Individual result
Image
Features

18. AT&T digital life – A lifestyle portfolio of solutions expected to
add $1 billion to AT&T revenues
8am 12pm 4pm 10pm
No hunting for keys
Avoid the grocery-bag juggle
by setting the door to unlock
automatically when the
garage door is opened
Prepare for arrival
Come home to a cosy house.
Remotely turn on lights or
adjust the thermostat, to
prepare the house before
you arrive
Door locks
Door package>
Light switch
Energy
package>

19. AT&T digital life – Customers control their smart homes using
handheld devices
Security
24 hour home monitoring,
24 hour battery backup, wireless
keypad, keychain remote &
recessed sensors
Door package
Allows trusted third parties into
the home remotely with
automated door locks, checks to
see whether doors open
Water control package
Shuts of water from main source
Camera package
Live video inside and outside
the home
Energy package
Control appliances, lighting and
thermostats
Water detention package
Detect water leaks

20. Responding to the challenge

21. The more consumption data you capture, the more you
will learn and be able to tailor your offering, creating a
competitive advantage
Personalised and enhanced value
Consumption data
The
company
The customerTrust
Customer as a
partner, not as a prey
of astute marketers
Monetisable
customer
advocacy
Personal
outcomes

22. Changing faster than ever before
Know
Know your
customer
and your
ecosystem
Define
Define what
your
success
looks like
Evolve
Innovate
your
business
Create
Create new
value
Accelerate
Accelerate
your execution
through
technology-
enabled
change
Protect
Protect you from
the risks of the
digital economy
(cyber, tax
implications, etc.)
Faster organisational learning

23. STRATEGY
Disruptive Business
Models
Opportunity
Visualisation
Value Migration
Wargaming & Fierce
Competitor Design
Scenario Planning
Capability Roadmap
Tax Structure/
Strategy
Talent & Culture
The skills we all need to respond to the "World in Beta"
Maximising
business value
INNOVATION
Immersion &
Acceleration Labs
Rapid Prototyping
Minimum Viable
Product Definition
Internet of Things
Visioning (e.g.
wearables, NFC,
sensors, etc.)
Experience Radar
Moving into
whitespace
EXPERIENCE
Human Centered
Design
Journey mapping
Prototyping & Concept
Visualisation
Data Visualisation
User Experience and
User Interface
Concept and Usability
Testing
Ethnography &
Behavioural
Economics
Creating superior
user engagement
TECHNOLOGY
Business
Transformation
E-Commerce
Content Management
Social, Mobile & Local
Platforms
Marketing Platforms
Sales & Service
Enablement
Cyber & Information
Security
Enterprise Integration
Objectively viewing
the connected world
ANALYTICS
Social Impact
Marketing Attribution
Mobile Outcomes
Predictive Analytics
Multi-Channel
Behaviour
Segmentation
Media Effectiveness
Identifying insights
that matter
ACTIVATION
& OPTIMISATION
Lead Acquisition and
Nurturing
Outcome Optimisation
(Media Buying, Social
Engagement, Mobile,
etc.)
Re-targeting
Shopper Marketing
Tax Efficiency
Operate & Transfer
Locking in business
value

24. Working session….

25. Strategy for a digital age – There are four catalysts…..
Transformationfocusarea
Consumption
data
Collaboration & social
media
Channel integration Transaction
data
Mobility & access
anywhere
How do you facilitate better knowledge sharing, collaboration & productivity across your extended
organisation?
How do you adapt your business processes to support the production and management of new digital
products and services?
What technology architectures and platforms are needed to underpin enhanced business agility,
performance, security and efficiency?
How do you successfully engage with customers across all channels to grow revenues and drive
advocacy?
What opportunities does the digital landscape create for your business? What new value propositions are
required to monetise digital value?
5
4
3
2
1
Employee &
networks
Core process &
structure
Tech, infra &
security
Customer
experience
Business model
Data

26. The second digital wave
Digital will add a new source for differentiation: Outcome and consumption value
what could this look like for your industry?
Customerexperience
Companypromise
Products are defined by sectors, but outcomes transcend sectors
Value proposition layers
Brand1
Product2
Price3
Touch points4
Outcomes and
consumption
5
First digital wave
Digital (through the rise of social media and
online platforms) has radically altered how
organisations interact with their customers and
operate in the value chain
I
Second digital wave
Digital is going to create new sources of
differentiation by leveraging consumption data to
enable customers
to achieve their outcomes better
II

27. How PwC is responding

28. PwC – Client centric global
collaboration’s solution
Global digital experience = a flexible
framework for app delivery
Client and team collaboration =
a series of line of service apps enabling
teams and clients to work together how
they want

29. PwC – Roadmap of capabilities (plus demo of app and transform)
Data
(surfaced via search and
business spplications)
Shared Capabilities
Infrastructure – Global
Platform – Standardised
Vertical apps
ProfileLanding Pages
Team calendar
Tasks
Content Social
Documents
Search
Standardise,
Globalise,
Cloud enable
Reports
Issues
MobileApp Store
Surveys
Web analytics
Collaboration
Globalcollaboration
Business
scenarios WorkspacesData

30. Speaker contact details
Mike Greig
mike.greig@uk.pwc.com
Matthew Tod
matthew.tod@uk.pwc.com

32. This document has been prepared for general guidance on matters of interest only, and does not constitute professional advice. You should not act upon the information contained in this document
without obtaining specific professional advice. No representation or warranty (express or implied) is given as to the accuracy or completeness of the information contained in this document, and, to the
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© 2014 PricewaterhouseCoopers LLP. All rights reserved. In this document, "PwC" refers to the UK member firm, and may sometimes refer to the PwC network. Each member firm is a separate legal
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