disruptive customer experience

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Disruptive Customer

Experience

dis·rupt “to cause (something) to be unable to continue in the normal way : to

interrupt the normal progress or activity of (something)” Merriam-Webster

© 2013 SAP AG. All rights reserved. 3 © 2013 SAP AG. All rights reserved. 3

The King of All Disruption

"Innovation distinguishes between a leader and a

follower." ("The Innovation Secrets of Steve Jobs," 2001)

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When Jobs returned to Apple the computer looked like…

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He challenged his design team to “think differently”

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This is what they came up with…

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Which led to one innovation after another

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And redefined the

way we buy and

consume media

today

Other Famous ‘Disruptors’

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Elon Musk

Founded in 2003

Tesla Roadster, the first fully electric

sports car

Began production of Model S luxury

sedan in 2012

Global Sales of Tesla S have now

surpassed 25,000

Tesla S now has 43% Canadian EV

Market Penetration

TESLA Motors

I am the

real life

IronMan

Oh ya…I

also

manufacture

spacecraft

and launch

rockets!!!

© 2013 SAP AG. All rights reserved. 11 © 2013 SAP AG. All rights reserved. 11

Angela Ahrendts

Established in 1856

Most famous for their iconic trench coat –

worn by Humphery Bogart in Casablanca

When Ahrendts joined Burberry in 2006 they

had lost their mojo

Revenues tripled under Ahrendts and

Burberry became cool and fashion forward

again

Ahrendts also recognized that if you wanted

to sell a premium product for a premium price

you had to provide a premium customer

experience.

Burberry

Oh ya… I am

heading to Apple

as Global Retail

& Online Head

I made

plaid cool

again!

© 2013 SAP AG. All rights reserved. 12 © 2013 SAP AG. All rights reserved. 12

Tony Fadell & Matt Rogers

Co-founded by former Apple engineers Tony

Fadell and Matt Rogers in 2010

Tony Fadell known as "one of the fathers of

the iPod” for his work on the 1st generation

product

Nest was named one of MIT Technology

Review’s 50 Disruptive Companies 2013

edition

Developed a $250 sensor-driven, Wi-Fi-

enabled, self-learning, programmable

thermostat that has revolutionized the

industry.

It is estimated that Nest ships between 40,000

& 50,000 thermostats/month

Nest Labs

We just sold out

company to

Google for $3.2B

We now

also make

smoke

detectors

Level Setting The current state of Customer Experience in Utilities

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Phone is still #1 with your customers

According to research by consulting firm Fifth Quadrant. In

2012:

• For 71 % of consumers, talking with a live agent over the phone was

still the top preference, especially for registering complaints (66 %),

making purchases (62 %), and asking technical questions (70 %)

• Live agents resolved 88 % of issues on the first attempt; for interactive

voice response (IVR) systems, it was 81%. Web self-service had the

lowest resolution rate at 66 %.

Source: CRM Magazine, April 2013

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However it is losing ground rapidly to email, chat & social

• In Fifth Quadrant's rankings, the phone dropped 15 percentage points

in the past year alone, down from 86 % in 2011.

• At the same time, consumer preference for email grew to 64 %, up

from 51 % in 2011.

• Chat grew to 28 %, up from 19 % in 2011.

• Text and social media came in at 10 % each, up from 4 % and 3 %

respectively in 2011.

Source: CRM Magazine, April 2013

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But wait, there is more…

Research demonstrates that the top

three statistically significant factors

driving customer engagement and

advocacy are the customer’s:

• 1) emotional experience during a

service interaction

• 2) level of resolution achieved, and

• 3) degree of effort expended in the

interaction

Source: Whitepaper: Social Media as a Customer

Service Channel: Key Considerations, Fifth Channel

Consulting

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Social Media Stats

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Social Media Stats

How SAP is helping

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Pre-

2013

2013

2014

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The Choice Disrupt or be disrupted!

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Or

Do you want to be…

THANK YOU!

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