Convergence of Digital

channels & Datamurray.howe@suncorp.com.au

Not quite as advertised

1. Suncorp context

2. Strategic positioning

3. Application, Implementation,

Innovation

1. Suncorp context: Who we are

�One company. Many brands

�8.5 million customers

�Touch 40% of adult Australians

�Banking Insurance Wealth

Resourcing

Investment

1. Suncorp context: Journey

From To

Operational Strategic

Patchwork Community of practice

Feast or famine Continuous investment

Line management Board

Functional Value chain

Ignore Defend...embrace

Management attention

Management focus

Strategic posture

Planning

2. Strategic positioning

1. 2. 3.

2. Strategic positioning

1.

2.

Lower the cost of growthSelf service

Shift from high to lower cost to serve channels

Optimise sales & retention at point of contact

Leverage common platforms and capability

Superior customer experiencesReduce customer effort

Strengthen brand connections

2. Strategic positioning

Transaction to Customer

centric

•Recognise and collect data from

throughout the value chain

•analyse large volumes of

interaction data

•think of ourselves not just as a

F/S company but also as a Data

company

• Full service experience (aided

or self) initiated online

• Consistent experience off-line

across channels (call centre,

branch, advisor)

• Conversation is remembered

between transaction contacts

• Social conversations are

accounted for in anticipating

future conversations

Complex easy; easy faster

• Make the complex simple and

the generic personal

• Make it easy to match product

solutions to individual needs

• recommend related products

• Recognise to personalise

channel experience

���

Deliver service x-channel over

time

3 strategic outcomes for digital

2. Strategic positioning

Transaction to Customer

centricComplex easy; easy faster

���

Deliver service x-channel over

time

We need this

To get theseTo get these

1. Rich source of interaction data

2. Easiest to deploy

3. Marketing opportunity is obvious

4. Potent mix for disruptive innovation

2. Strategic positioningConvergence of data and digital

1.Application

2.Implementation

3.Innovation

3. Dimensions to consider

Resolve ‘why’ to invest

Resolve ‘how’ to invest

Potent mix for disruption

3. ApplicationReal time marketing today

Latency of days to weeks

� Transactional � Structured � Constrained capacity

�Manual � Batched � Authenticated customer

3. ApplicationReal time marketing tomorrow

Latency of milliseconds to hours

� Transactional � Structured

� Behavioural� Interaction� In & out of

system

� Unstructured

� Unconstrained capacity

� Machine learning

� Real time� Near real

time

Current

interaction

3. ApplicationMedia optimisation > channel attribution

Introducer Influencer Closer Sale

Introducer Influencer Closer Sale

Introducer Influencer Closer Sale

Introducer Influencer Closer Sale

100%

100%

33% 33% 33%

25% 50% 25%

3. ApplicationMedia optimisation > content performance

Content relevance

L

H

HCost of engagement

Performance

Search

Integrated

Brand

3. ApplicationMedia optimisation > content performance

Content relevance

L

H

HCost of engagement

Performance

Search

Integrated

Brand

�

�

3. ImplementationInteraction architecture > today

Visitors

Web front endsTransactions

only

Transactions

only

Operating

systems

Management

systems

Marketing response

Interaction Post Interaction

3. ImplementationInteraction architecture > tomorrow

Visitors

Web front endsTransaction

data only

Transaction

data only

Operating

systems

Management

systems

Interaction

data

Interaction repository &

engine (simple real-time

analytics)

Near real-time

complex analytics

Marketing

response

Interaction Post Interaction

3. ImplementationOrganisational structure > from

Traditional Boundaries

Marketing

Brand DM AnalyticsChannels

Sales / Service

Product /

PricingITPR

3. ImplementationOrganisational structure > to

Marketing

Brand DM AnalyticsChannels

Sales / Service

Product /

PricingITPR

New X-Functional Relationships

Digital

Data

3. ImplementationOrganisational structure

From this To this

3. ImplementationInvestment can be phased

now

next

later

Analyse

Test retrieval

Capability

Capacity

Discover value

Act

Business rules

Experiment

Demonstrate

Roll out

Collect

New data

Test storage

3. Innovation

Deloitte Digital Disruption 2012

60% of incumbents face digitally led disruption

�Disruptive innovation seeks to redefine value on

which existing business models are based

�Disruptive innovations thrive in emerging markets

which are hard to analyse and often too small for

incumbents

�Disruptive innovations initially appeal to fringe

customers and are less profitable than existing

segments

3. InnovationIncumbents struggle with disruptive innovation

�Knowledge sharing is encouraged x-functionally

�Operational systems are simple and adaptable

�Experimentation is low cost and rapid with learning

focus

� Information is valued as core asset

3. InnovationAgile businesses leverage data & digital capabilities

Thank you

murray.howe@suncorp.com.au