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Subscribed 2015: Connected Products + Subscriptions = Relationships


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Whether you’re a new business launching a connected product or a traditional business shifting your delivery model, you’re asking yourselves a lot of questions. How do I map the endless customer touch points? And how does that enable customer longevity? Get the low down on the model that will optimize future business opportunities for connected products in this IoT world.

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Subscribed 2015: Connected Products + Subscriptions = Relationships

  1. 1. Evolving customer relationships through connected products and subscription
  2. 2. Cyril Perducat * * * * Cambridge, MA USAExecutive Vice President Digital Services Transformation
  3. 3. Schneider Electric We are the global specialist in energy management and automation FY 2014 revenues €25 B ~5% 43% ~170,000 of revenues devoted to R&D of revenues in solutions people in 100+ countries
  4. 4. Schneider Electric We develop best-in-class technology and solutions to make our customers’ ecosystem safe, reliable, efficient, and sustainable
  5. 5. Outcome economy Schneider Electric recognizes evolving customer expectations
  6. 6. Business transformation We have significantly transformed our company to address the new customer needs REVENUES SOLUTIONS (in % revenues) GEOGRAPHY MIX (in % revenues) €10 B €25 B 2005 2014 30% 43%
  7. 7. Internet of Things Connecting machines to control systems is an essential step in our solutions transformation Physical Systems Cyber Systems Cyber-Physical Systems Schneider’s Modicon recognized as the icon for 70’s Industrial Revolution
  8. 8. Customer first Solution is about end to end customer support and we built a complete portfolio WWW Green Buildings Finance Healthcare F&B Marine Retail Life Sciences Oil & Gas Smart Cities Utilities Hotels Cloud & Telecom Mining Transportation Data centers POWER (low and medium voltage; secure power) AUTOMATION SOFTWARE (enabling integration)
  9. 9. Digital strategy Schneider Electric Internet of Things pioneering story boosted by our digital strategy
  10. 10. Relationships Connecting our products, systems, services and software is essential in our digital journey … better understanding of their profile and need. We provide operational efficiency and sustainability services. New engagement model and customer value creation enable innovation in business models Connecting customers provides…
  11. 11. Business models Evolving customer relationship enables new business models Information provider Services provider Ecosystem brokerage > Dashboards > Reports > Alerts > Consulting > Digital services > Managed services > Field services > Monetize relationships within the ecosystem > Infrastructure as a services (SaaS) OPERATIONAL EFFICIENCY SUSTAINABILITY
  12. 12. Facility Insights Services and technology to improve facility performances and operations Digital Services Platform Measure 1 Collect & connect 2 Store & analyze 3 Empower 4 > Alarms > Reports > Diagnosis ComX’ 200Electricity Water & gas Assets CUSTOMER BENEFITS > Energy management > Asset Management > Enhanced partner relationship
  13. 13. Key takeaways Outcome economy requires customer focus Schneider Electric IoT pioneering is milestone in the solution shift Offer transformation requires consistency in the business model evolution