Creating the most enjoyable and

consistent customer experience.

26th November 2015.

Stuart Douglas, Head of Customer Strategy.

Jessica Mustoo, Market Research Manager.

Our approach. • Why – what problem

were we trying to solve?

• What we heard.

• What we did.

• How we did it.

• What we achieved.

Why? what problem were we trying to solve?

Our focus.

What we heard.

We are always listening.

1,000,000 interaction surveys issued every month.

120,000 customer responses a month.

1,800,000 calls recorded every month with call listening and speech analytics on selected call types.

3,000 customer relationship surveys a month.

3,737 employees (81%) respond to our annual

survey on customer centricity.

Telling the customer story.

The right measures.

The right targets.

The right customers.

Support

Network

Billing

Value

Device

49%

26%

10%

9%

6%

NPS

Perception Customer

Experience Operational

Performance

Predictive

analysis

Our focus areas:

Network

Support

Value

What we did.

Network – customers told us.

Reliability is the most important factor.

To customers this means having coverage in the right

places and staying connected.

We needed to focus more in addressing indoor

coverage.

Network solutions

4G rollout targeting coverage black spots

Targeting coverage in the right places.

Fix indoor coverage.

No signal? No problem.

Network solutions

Three, rated the UK’s most reliable network.

Best Mobile Network Best Mobile Network

Road Trip Award Winner Most Reliable Network

Outcomes.

And we promote these accolades.

Outcomes – churn.

51 %

34 %

0 %

10 %

20 %

30 %

40 %

50 %

60 %

Q2 2012 Q2 2013 Q2 2014 Q2 2015

Network as a

reason for

leaving:

Support – customers told us.

Resolving customer problems first time is really important,

with the advisor owning the problem and

doing everything they can to solve it.

If something goes wrong we are proactive.

Providing support and inspiration.

We focus on issue resolution.

1.8m calls a

month

50k tweets and

Facebook comments

a month

1.5m store visits a

month (75% customers)

The associate who served me, is a

credit to Three. I was served with

charisma and intelligence, I cannot

speak highly enough

The person I dealt with was probably the

most efficient one I have ever dealt with

in a call centre. He could not have been

more helpful. He even rang me back to

check that the issue had been resolved.

We are driven to solve any problem first time, every time.

2.4m online support

visits every month

We are over the moon with the service we received. The guy who dealt

with our issue is a asset to your company. He went above and beyond

and resolved our problem in lighting speed.

If something goes wrong we are

proactive.

We provide inspiration and support.

Customer newsletter

Online support content

YouTube support content

Supporting local communities

with Three Discovery

Outcomes.

2013

Complaints (Ofcom) Most complained

about operator

2015

Least complained

about operator

First contact resolution 77% 84%

Satisfaction with agent 72% 83%

Outcomes – churn.

Service as a

reason for leaving:

43 %

20 %

0 %

5 %

10 %

15 %

20 %

25 %

30 %

35 %

40 %

45 %

50 %

Q2 2012 Q2 2013 Q2 2014 Q2 2015

Value – customers told us.

Customers want fair and transparent

pricing and to feel in control.

Fair and transparency pricing.

Roaming charges suck.

Our customers use their phones

abroad at no extra cost.

Charging extra for 4G

sucks. We don’t.

Being charges for 0800 calls sucks.

We made them free a year in our new plans.

Over spending sucks. Real time

access to usage and charges.

How we did it.

By testing and learning with our people and customers.

4G trial dashboard Three inTouch friendly user trial

Celebrating success.

Celebrations for milestones like

least complained about (Ofcom)

What we achieved.

Our people are engaged.

Employee engagement

scores.

Three - 2014

76% 56%

Ipsos MORI

benchmark average

7th best place to

work in the UK

-4

4 5

9

7

11 12 13 15

-5

0

5

10

15

20

Q2 13 Q3 13 Q4 13 Q1 14 Q2 14 Q3 14 Q4 14 Q1 15 Q2 15

More customers love us!

Source Ipsos MORI

Q1-Q2 2015 YouGov SMIX Research. Overall NPS

Competitor network

‘A’ ‘B’ ‘C’

+11 +2 -9

Net Promoter Score.

Target

Target

We have seen strong growth in our

profitability. With a 31% increase in

earnings year on year.

£165m

2010

£547m

2014

Earnings (EBITDA)

Customer base

(active)

5.1m 8.4m

Our industry isn’t trusted but we wanted to be

different.

We did this by listening to our customers.

We learned that network, support and

value matter most.

By focusing on these and engaging our people

we have transformed our business.

Summary.

When stuff sucks we #makeitright

Thanks