«How to make it happen» How IBM is fueling the evolution of retail innovation, store transformation & FMCG consumer engagement

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1 «How to make it happen» How IBM is fueling the evolution of retail innovation, store transformation & FMCG consumer engagement

2 Leaders will take a systematic and integrated approach to drive enterprise innovation by creating the right ecosystem Systems of of Record Record Systems of Insight Systems of Insight Enterprise Enterprise Innovation Innovation Enabled by Cloud Pervasive Security Intelligence Systems Systems of of Engagement Engagement Systems of Engagement How are you harnessing mobile and social to transform relationships with customers, employees and citizens? Systems of Insight How are you harnessing Big Data for competitive advantage? Systems of Record How are you transforming your existing IT systems for the requirements of the new era? IBM Corporation

3 IBM Strategy Enable systems of engagement for enterprises. And lead by example. WHAT WE SEE SHIFTING Social. Mobile. Data. Together they are empowering people with knowledge, enriching them through networks and spawning expectations for real value in return for their information, with enterprises they trust. CONSIDER: 2x as many people in 2013 were willing to share their geolocation data in return for personalized offers compared to the previous year. 84% of smartphone users check an app as soon as they wake up. 2/3rds of U.S. adults say they would not return to a business that lost their personal, confidential information. $1T of upside potential in online retail sales if buyers trust more. 4/5ths 80% of U.S. adult smartphone users keep their phones with them 22 hours per day. 5mins. The response time users expect from a company once they have contacted them via social media. 57% of individuals are willing to trade their information for a personalized offering. 84% of Millennials say social and user-generated content has an influence on what they buy. 70% of Boomers agree. 57% of companies in 2014 expect to devote more than 25% of their IT spending to systems of engagement. (Almost double the investment one year ago.) IBM CONFIDENTIAL

4 OUR POINT OF VIEW: A systematic approach to engagement is now required. THEREFORE IBM IS: We are enabling systems of engagement for enterprises. And leading by example. Speed and responsiveness Personalize interactions Earn the right through security INVESTMENT 8 companies acquired in mobile. MARKET IMPACT 69% year-to-year revenue growth in Mobile. companies acquired in security. Kenexa as a centerpiece acquisition in social. INTELLECTUAL CAPITAL 4, % 12 patents in social, mobile and security. year-to-year revenue growth in Social Business. 19% year-to-year revenue growth in Security. EXPERTISE 3,000 mobile development and delivery professionals added more than 1,000 in 2013 alone. 6,000 security professionals. 25. security labs globally 10 security operation centers globally. 15 billion security events monitored daily in 130 countries. 2,800+. social business experts, including 200 behavioral scientists PORTFOLIO Gartner positions IBM as a leader in its Magic Quadrant for Social Software in the Workplace. IBM Social and Digital Analytics applies behavioral sciences and analytics, supported by IBM GBS. Top banks globally use IBM Security Solutions 7 of the top 10 in the US, 9 of the top 10 in UK and 2 of the top 4 in Australia. 60% of Fortune 100 companies are using IBM s social business solutions. IBM AS AN EXAMPLE 200,000 social communities. Sales Connect: 85% of sellers transitioned. Client Collaboration Hubs: 30,000 IBMers collaborating. IBM CONFIDENTIAL

5 Analytics The double revolution of Mobile and Analytics sparks the Individual Enterprise IBM Institute for Business Value Systems of Insight Systems of Engagement Insightful Enterprise Individual Enterprise Integrated ecosystems Insight at the point of engagement Contextual actions in the moment Functional Enterprise Situational Enterprise Systems of Records Mainframes and Minis Desktops and Laptops Mobile Tablets, Phones, and Wearable

6 Mobility Innovation Mobility is becoming a major business priority, with numerous applications across the enterprise Context-driven interactions Customer Management Marketing and Sales Research & Development Supply Chain Talent Management Finance Management Instant Expensing

7 The four characteristics of the Individual Enterprise How to make it happen? 4 Critical Sucess Factors

8 IBM MobileFirst Portfolio Development Engagement Operations Security Development Engagement Operations Security

9 Strategy Design and Innovation Project Management and Operations Change Management and Operations Mobile Platforms Data Analytics Cloud Business Solutions

10 1. Agile New ways of working - iterative, rapid and agile 2. Mobile Integrated mobile development 3. Dedicated Concentration of experience design, analytics and strategy skills 4. Innovation Hands-on innovations and demos 5. Co-location With clients and the best of IBM

11 IBM MobileFirst Portfolio IBM MobileFirst Platform IBM MobileFirst Protect IBM ExperienceOne Efficiently build, secure, continuously improve and operate mobile apps that make a difference for customers or employees Cross-platform or native-only Essential backend infrastructure for a mobile app One platform, get it your way: cloud; on premise; ios edition Seamlessly secure and manage your devices, applications, content and transactions Advanced mobile management Secure productivity suite Secure gateway access Secure document sharing Advanced threat protection and prevention Understand, engage and optimize mobile customer interactions to maximize the moments that matter most Push notification and mobile campaign management Mobile customer experience analytics, and digital analytics Intelligent location detection Mobile store and commerce

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17 Customer Dialogue with IBM ExperienceOne 360 Customer View (1) Data Collection delivers an accurate view of customer transactions attitudes, opinions, and preferences Compose Customer 360 View of Individual (2) Analyze the Customer360 data to uncover insights Elaborate Segmentation Models Gain Actionable insights Ready to Buy Propensity to Buy Social Network Demographics Customer Attitudes Preferences Locations Interactions (incl. Digital) Purchases Multi-Channel Distribution Customer Experience Introducing new and integrate existing channels to respond to changing markets Interaction on web, , social media, customer service, cash, smart phones, kiosks interface, store, ecommerce store, banners, ads etc... Campaigns Execute Marketing withing Optimized Offer Automate campaign creation & execution Cross-channel campaigns Intelligent multi-wave campaigns Personalized content and offers Triggered actions, follow-ups Loyalty Lifestyle Price Sensitivity Potential Spend Market Basket Shop Trip Type Dashboards Follow-up and Measure Track and report results and efficiency Shop Trip Purpose

18 USE CASES

19 Augmented Reality for Planogram Compliance 19

20 2. Equip Employees with Modern Mobile Technologies Empower employees with mobile app for greater productivity, customer service, merchandising & supply chain management Associates check availability and locate products Managers balance staffing with customer traffic Associates match customer preferences with offers Simplify operations and support execution with speed Sales Assist Pick & Pack

21 THANK YOU Vincent Malarme Retail & FMCG Industry Laurent Boes Disruptive Technologies

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