Digital technologies and innovations impact all our interactions. In commodity services such as payments and retail banking, traditional levers are no longer sufficient to resist the fierce competition, catalyzed by new players: customer experience is the new differentiator.

1. Competitive importance of user experience and the impacts of digital
transformation in digital payments and banking
November 2015
Ekaterina Diakonova – Chappuis Halder & Co.
ediakonova@chappuishalder.com
+ 33 6 31 51 70 54

2. 2
Chappuis Halder & Co is a management consulting firm, delivering international,
business-oriented and hands-on projects
Chappuis Halder & Cie is a consulting company specialising in Financial Services. We have expanded geographically from our
origins in Geneva, now serving clients in all of the major financial centres across the globe. Our main focus is on 4 business
areas: Insurance, Retail & Private Banking, Corporate & Investment Banking & Commodity Trading.
CH&Cie expertise is anchored in the deep sector and functional knowledge of our consultants; all of us have a financial
services background, and know the sector inside out. Because we do nothing else, and we operate across the globe, we are
able to bring a rich seam of best practice ideas and benchmarking data to our clients.
 New York
 Montreal
 Geneva
 Paris
 London
 Luxembourg
 Hong Kong
 Singapore

3. 3
CH&Cie is supporting banks with pragmatic innovation capabilities to deliver the NEXT GEN BANKING
 CH&Cie has set-up an international
market watch to follow the latest
trends and identify the new
opportunities
 CH&Cie is able to test on the field the
latest innovations to be sure it is a good
practice to get inspiration from
 CH&Cie is in contact with key players
leading the path to innovation, start-
ups, though leaders, industry most
advanced players
With an international footprint,
CH&Cie identifies new trends to
generate new ideas
With hands-on consultants,
CH&Cie scopes and organizes the
project to develop the concept
CH&Cie partnered with eYeka to
turn an idea into a concept with a
crowdsourcing approach
 Based on the first idea selected by
CH&Cie, eYeka is launching a contest to
a community of worldwide contributors
to challenge the idea and turn it into a
concept to be developed
 In 3 weeks, a pool of concepts is
collected and filtered from a business
point of view by CH&Cie, then shared
with the bank
 CH&Cie’s consultants have all
operational and concrete experiences
 CH&Cie can gather all the required
expertises, from IT to regulatory
compliance
 CH&Cie has developed a pragmatic to
scope a project in 4 workshops and to
deliver a concrete action plan
1 2 3
Ideas based on expertize /
convictions
Concept back-tested and
adjusted through
collaborative innovation
Action plans to quickly
deliver a first concept
(MVP)

4. 4
Retail banking and payment industries are going through major changes, catalyzed by new entrants
Finance is a “more-
business” on large
audience
…
Next Gen
Banking
Banking is an
experience and not a
service
Regulation is no
longer a barrier for
new entrants
UX is key to provide a
service focusing on one use,
providing a powerful UX
Authorities favor financial
inclusion, supporting new
entrants in the industry
The success is to be able to manage a large
volume of users to make banking a
sustainable business
800 million users
(e-commerce)
8,5 million users, 40% of
Kenyan adults
1% of Whole Foods
transactions after 1
month (US)

5. 5
We are moving into an experience economy
The worlds largest taxi
company, owns no vehicles
The worlds accommodation
provider, owns no real estate

6. 6
I PayI ChooseI want something I Have it
The purchase process is a complex journey with multiple touchpoints: payment is only one moment
in a customer journey – but the one generating the value

7. 7
I Pay
CREDIT
The options for the customer are almost infinite: how will he make his choice ?
CUSTOMER MERCHANT

8. 8
+In 2002
Improve the User Experience by providing value
 Guarantee on goods and delivery
 Assistance for dealing with merchants
 Multi-currency accounts
 Assistance for dealing with customers
CUSTOMER MERCHANT

9. 9
Amazon dash button to re-order with a single press
1
Place it
2
Press it
3
Get it

10. 10
Differentiation is not to reinvent the product but to provide a consistent UX
UX
Delivery
Servicing
Rewards
Payment
Advice
Product

11. 11
To achieve success, an outstanding UX is based on 8 main pillars
UX
Community & Social
 Banking part of the online social
environment: access to P2P expertize,
sharing with peers, etc.
 P2P services
Always on & Real-Time
 Omni-channel, multi-device
 24/7 access whatever the channel
 Real-time updates, alerts
 Users can provide feedbacks and ideas
to improve the offer
Co-construction
Empowerment & Coaching
 Tools to take decision
 Nudge approach
 Coaching, advice, access to expertize
Rewarding
 Loyalty programs: users want to be
recognized for their loyalty
Simple, Design, Useful
 Match specific user’s needs
 Simple use, no complexity
 Useful information
Personal
 No more “one size fits all”
 Strong level of personalisation (UI, offers,
savings & budget management, etc.)
 Personalized advice
 Fair-cost pricing, transparency on fees and business models
 Clear communication (on overdraft, scoring, etc.)
Transparent
Fun & Emotion
 Banking part of the day-to-day life, less
boring, more fun

12. 12
Payments is now a commodity service aiming at generating more value : traditional
levers are no longer sufficient to resist the fierce competition, catalyzed by new players
Customer experience is the new differentiator with payment being frictionless and
driver for adoption. There is not always a need to re-invent the products and services,
a useful and consistent experience is key
Customer experience goes far beyond the User Interface:
 It relies on operational processes
 Is part of a global customer journey
 It is supported by technology and IT
 It should be continuously optimized based on data analytics
Customer experience is a competitive advantage: lessons learned

13. Thank you !
Ekaterina Diakonova – Chappuis Halder & Co.
ediakonova@chappuishalder.com
+ 33 6 31 51 70 54