Tchibo mobil. Sustainable Success for more than 8 years. Maria Mehrens Hamburg & Munich, April Titel TT.MM.JJJJ Abteilung Name

Transcription

1 Tchibo mobil Sustainable Success for more than 8 years Maria Mehrens Hamburg & Munich, April 2012 Titel TT.MM.JJJJ Abteilung Name

2 Content Tchibo mobil how it started Who is Tchibo? Tchibo Mobil, the First MVNO in Germany What happened since the launch of the first Tchibo mobil product? How are Tchibo mobil s products presented und communicated What s next 2

3 Tchibo Mobil has two strong partners: Tchibo and Telefonica Germany Tchibo is one of Germany s leading Retailers >7.000 employees 3.5 b EUR Revenues (in 2010) Key Products: Coffee and Non Food Main Non Food Divisions: -Tchibo Mobil - Green Energy -Tchibo Travel - Flowers POS >800 own shops (500 with integrated coffee bar) Tchibo Corner at leading retailers Depots ~ , thereof POS with Non Food Products 5th strongest German Online Shop (in visits) Integrated Operator offering Mobile & Fixed telecommunication services for consumer and business ~ employees >5 b EUR Revenues (2011) ~25 m customers No. 4 in the market Other wholesale partnerships of Telefonica in Germany Schlecker Kabeldeutschland Netzclub Türktelekom Unity Media. - Key Facts World s fourth-largest coffee roaster (ranked behind Nestlé, Kraft & Sara Lee) Market leader in Coffee in GER, PL, A, CZ 3

4 Tchibo mobil is set up as a Joint Venture Both partners give access to their key assets and expertise Telefonica provides Network Access and Capacity Product Knowhow Wireless services Voice, SMS, Data Premium Serv. Support Tchibo mobil Joint Venture Creating an innovative wireless offer to address needs of Tchibo customers Entrepreneurship Product proposition Marketing Hardware sourcing CRM, Customer Service, Logistics Finance & Analysis Tchibo provides Brand Shelfspace Communication Channels Catalogues POS Online Sales Outlets Online Depot Support Seit 4

5 Facts about Tchibo History From coffee mail-order firm to major multi-channel supplier of consumer goods Depots Tchibo introduced in acquires Expansion to bakeries and Central and the Eduscho pastry shops Eastern group of The traditional Europe companies; Online sales coffee range launched is enhanced with a regularly changing Tchibo range of high- mail-order quality Non arm Tchibo Food items direct The first established, Tchibo coffee Travel Entry into the specialist retailer range supermarket 2002: opens in Hamburg, launched sector with the depot system Tchibo is established by the merchants Max Herz and Carl Tchiling, Mail-order sales of roasted coffee in Germany featuring on-site tasting Shops introduced in Switzerland Shop openings in Czech Republic and launch of Tchibo Mobil Market entry and shop openings in Turkey Launch of Tchibo Single Portion Capsule System Cafissimo, Shop openings in Poland Shop openings in Hungary Launch of sustainable coffee range / 1.3 million Private Card owners Shop openings in Slovakia 5 5

6 The Tchibo Business Model Overview Tchibo with a unique selling proposition (USP) built on three key pillars Coffee (incl. Coffee Service) Coffee Bar Unique Business Model Non Food 6

7 The Tchibo Business Model Non Food Weekly changing product themes Tchibo offers 52 weekly changing product themes, each with products over the year, Tchibo covers more than 75% of all non-food product categories The themes of this impulse-driven business model are selected based on seasonal needs and consumer trends Serving customers by pre-selecting the best products from various categories such as Clothing (e.g. women s wear, men s wear, etc.), Living (e.g. home textiles, kitchen products, etc.) and Lifestyle (e.g. sport products, etc.) 7 7

8 Facts about Tchibo The unique multi-channel distribution system Overview Tchibo Stores Special Tchibo stores with their renowned friendly Tchibo staff Depots Shop-in-stores / concessions in supermarkets, bakeries, drugstores, etc. Tchibo branded shelfspace (no own Tchibo staff or cashier system) Mail order E-commerce Thib Tchibo direct Monthly catalogue (mailing) Special catalogue for Tchibo club card members B2B Product + Service Coffee Service packages for business clients such as hotels, offices, coffee bars, gas stations ti etc. (out-of-home coffee business) 8 8

9 Backup The Tchibo Business Model Non Food Kids & Active: Kids wear 9 9

10 Tchibo mobil started with a groundbreaking innovation. Tchibo mobil Launch of Tchibo mobile tariff in October 2004 First 24/7 tariff in the German market (one price at any time to any destination within the German network) 20% below average market prepaid price/minute First German offer with easy and transparent tariff structurecopied from every discounter since launch Win-Win-Situation for both partners 50%-50% JV ensures value creation for both partners and dedicated resources for new tariff development, marketing and inlife management O 2 : new gross add and revenue potential in a special market/customer t segment with very loyal l customers average customer is ~ 45 years old Tchibo: Profit-Share in a growing and very profitable business area, expansion of brand image, CRM-know-how 10

11 Development of MVNOs in Germany O 2 started t with Thib Tchibo an amazing development Market Split (estimate) market penetration 127% 130% 132% 133% New brand ba offers MNO Direct Share 1% 2% 4% 5% 6% 7% 10% 15% 18% 21% O 2 started t the MVNO market in Germany with Tchibo in 2004 E-Plus followed with Aldi, than 2 second brands Simyo and Base Sep Dec Mar June Sep Dec New brands in m CB Source: teltarif, E-Plus results, Market Intelligence estimates, press articles 11

12 New brands market development New brands continuously growing with E-Plus as clear market leader Number of new brands New brands market development New Brand market shares Dec 2011* absolute figures in mn SIMs/ EOP* in % New O brands 2 Telekom 117 in % of 14% 18% 21% 23% total 18% % 82 Vodafone New brands 17% New 78 MNOs brands % E-Plus MNO Basis: 25,8 mn Slow down of new brand growth New brand segment with increasing share in customer base, adding 3,5 mn new brand customers in 2011 E-Plus is clear market leader in new brands *Note: Source: New Homepages, Brands market Market smaller Intelligence due to integration of Alice customers into O 2 core brand. New brand figures retrospectively altered. 12

13 New Brands The 8 largest brands taking almost ¾ of the total t new brands market New Brands Market Shares Dec 2011 in % Aldi 22,9% Fonic 9,0% Simyo 8,5% 1&1 8,4% Congstar 7,9% Klarmobil 6,7% Tchibo 5,9% Blau 5,2% Comment Market mostly distributed among 10 major brands, which are taking together more than 75% market share Aldi has been the most powerful retail brand in the discount segment for many years Fonic very successful through online and retail presence Basis: 25,76 mn customers Source: Market Intelligence estimates; Strategic Insight Study 13

14 New Brands Market Definitions The new brand market is divided id d into 3 main categories Description Examples Discount 2nd brands & branded d reseller (BSP) MNO partner or subbrands brands New Brands Service Provider Discount Discount brands from classical service providers and their subsidiaries (Freenet, Victorvox) Infrastructure (ISPs) Mobile offers from DSL and cable providers 14

15 Development of the Tchibo Partnership Growing Product Portfolio and Growing Customer Base Postpaid launch Community launch -Postpaid Flat -Prepaid Flat -Community Flat Relaunch Postpaid Free Community Promotions Mobile Data Tariffs 9 Ct. Tariff Data Stick Offers Smart Phone Bundles >1.5 m Profitable growth for both partners through innovative and flexibile product developments Prepaid launch

16 Presentation of Tchibo Mobil in Tchibo Shops Tchibo mobil own shelf with permanent presence in all Tchibo shops was a key achievement in the course of the partnership Category and Tariff are highlighted in most shops Window - Integration Focus Space Standard Presentation In Tchibo Shops Pedestrian stopper 16

17 Tchibo Mobil at Tchibo Depot Distribution (Retailers) Integration in the Tchibo Non-Food-Shelf with own permanent Tchibo Mobil Presence Clear Focus on Category and Tariff Shelf-Integration in current Sales-Phase Promotion as 2.Communication Space 17

18 Online Communication & Distribution with permanent presence of our mobile shop with high flexibility for testing new products and showing fast changing offers 18

19 Strategic Link to Tchibo Loyalty Programme Permanent Link between Tchibo Loyalty Card PrivatCard and exclusive Tchibo mobil offers via their Bean collection programme Targeting PrivatCard - Customers Aktuelles Beispiel für PC-Angebot mit exklusivem PC-Vorteil 19

20 Lessons Learned Clear committment to achieve MVNO targets from both sides Alignment of targets common target for both partners! Become relevant for your retail partner Understand retailer needs fast and help them to sell your product Consider the processes of your partner before designing new products Concentrate on the most important needs for your partner: e.g. customer satisfaction Don t neglect a winning tariff model 20

21 Strategy for Tchibo mobil ARPU Up Develop CRM Mgt. Develop Value Customers Combine Prepaid Cost Control with Postpay Payment Convenience Capitalise on Customer Loyalty highest CSI Help customers to understand new technologies in mobile 21

22 Thank you. Any burning questions? 22