Performance Driven Customer Engagement

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1 Performance Driven Customer Engagement Concentrix Corporation President Chris Caldwell Japan Concentrix K.K. President Toshiyuki Namiki 2014 Concentrix Corporation

2 Agenda 1. Breaking New Ground through Thought Leadership and Innovation 2. How Customer Business Objectives are Changing 3. New Requirements for Customer Engagement 4. Proven Success: Thought Leadership Case Studies 5. Concentrix Engagement Approach in Japan 2014 Concentrix Corporation 2

3 Breaking New Ground through Thought Leadership & Innovation 2014 Concentrix Corporation 3

4 Building, Integrating, Expanding for over 40 years SYNNEX Acquires IBM Customer Care business 45,000+ Staff IBM Acquired Genelco Concentrix Acquires e4e Teleservices - India / US Concentrix Acquires Intelligent Outsourcing - Nicaragua Concentrix Founded B2B and B2C Sales, Marketing and Customer Support BSA Sales Founded B2B Sales and Technology Products Genelco Founded B2B Insurance Advisor and Software 1973 SYNNEX Acquired BSA Sales Daksh e-services Founded (India) IBM Acquired Daksh Concentrix acquires link2support - Philippines SYNNEX Acquires Concentrix Concentrix Acquires GEM - Belfast Concentrix Acquires Encover & Aspire - US / UK Concentrix Acquires Occidental Business Services Costa Rica Delivery Centers 1 ~ Concentrix Corporation 4 Note: Reflects only major delivery centers and excludes Contractors

5 Global Consistency, Local Intimacy Sweden United Kingdom Ireland Canada United States Spain Portugal Slovakia Hungary Bulgaria China Japan Mexico Nicaragua Costa Rica Colombia UAE India Malaysia Singapore Korea Hong Kong Philippines Peru Brazil Uruguay Australia Argentina New Zealand 2014 Concentrix Corporation 5

6 Concentrix High Value Business Services Delivered Leading companies are driving new revenue, improving customer experiences and lowering costs through a focus on customer interaction. Every customer interaction presents an opportunity, enabled by Concentrix Services and Technology... Concentrix blends innovation, experience and flexibility to provide unparalleled solutions for customer engagement and business transformation 2014 Concentrix Corporation 6

7 Operating Principles How we operate: The 3 Vs isibility elocity alue Visibility throughout the organization allows us to quickly see and address problems and opportunities Velocity lets us quickly adapt to, even anticipate, change in the marketplace and your business Value to our staff, clients, and shareholders is considered and upheld in all we do Our value as a strategic partner We are passionate about your customers, product, and brand We invest in technology and innovation to grow your business We are actively involved in your business at all levels of the organization We view each client relationship as a partnership, where we learn and grow together We build solutions built on decades of deep industry experience 2014 Concentrix Corporation 7

8 Changing Customer Requirements in the Digital Age Implications of the Digital Age Communication shift from private to public/social often linked to identities through social profiles* Changing Customer Requirements 63% of consumers think companies should offer social customer support 55% now expect it* Speed and convenience continue to trend; average aggregated device connectivity speed will be 4X greater in 2015 than 2011*** Nearly 40% of Internet activity is carried out on mobile devices*, By 2018, organizations that have fully invested in all types of online personalization will outsell companies that have not by more than 30%.**** 41% of consumers buy more from retailers who send personalized s based on past buying behaviors** *The Social Customer Service Year in Review for your 2014 Strategy *Conversocial **Return Path *** PwC 2014 **** Gartner, Predicts 2014: E-Commerce Becomes Digital for Those That Can Adapt Fast, Penny Gillespie et al, 26 November Concentrix Corporation 8

9 Differentiation in Your Ecosystem Improves Business Outcomes What s your Customer Strategy? Customer Engagement Strategy Customer Lifecycle Business Industry Management + Services + Vertical Expertise = Our People Passionate about your brand Technology Innovation Process Optimization Customer Engagement Speed & Flexibility Global coverage, local knowledge Every customer interaction in your ecosystem presents an opportunity, enabled by Concentrix people, services and technology. Improved Business Outcomes Operational excellence Customer experience Customer advocacy New business revenue Ecosystem performance 2014 Concentrix Corporation 9

10 Improved Business Outcomes are Critical to Meet Changing Customer & Business Requirements High quality interactions High quality execution A differentiated customer experience across multiple channels New customer acquisition and revenue Advocacy, loyalty and deeper relationships Digitally-enabled consumer Complex support needs Complex service activation Multi-channel active High loyalty and high expectations Clear insight Cost reduction and operational excellence 2014 Concentrix Corporation 10

11 New Requirements for Customer Engagement Evolution of the Customer Lifecycle Requires the Evolution of the Supporting Ecosystem Process Optimization and Performance Improvements are More Critical as Customer Requirements Evolve There is a Mandate to Leverage Advanced Technology Platforms, Experiences and Talents Across the Global Network 2014 Concentrix Corporation 11

12 [Namiki-san Part] 1. Concentrix: Breaking New Ground through Thought Leadership and Innovation 2. How Customer Business Objectives are Changing 3. New Requirements for Customer Engagement 4. Proven Success: Thought Leadership Case Studies 5. Concentrix engagement approach in Japan 2014 Concentrix Corporation 12

13 < Recap > The Important 3 Trends in Customer Care BPO in Japan The change of customers Customer Experience in every interaction is the most influential element for the decision making of purchasing The testimonials by family and friends are more powerful information for customers The change of clients Increase the demand to get the business results, rather than Cost reduction Shift from payment for work to outcome based payment. The change of BPO service providers Appear of the Global Players Utilize the advanced technology 2014 Concentrix Corporation

14 The Practical Approach by Concentrix for The Customer New Trend Provide the best customer experience in the every interaction with customer Product focus value delivery Customer Experience focus value delivery Plan Develop Marketing Sales Support& Service Campaign Management Technical Support Customer Care e-support Billings Cross- Media Marketing Concierge Product oriented marketing approach Demand Gen Evergreen Appeal product function and spec Direct Sales Data Management Contact to Close Service Revenue Generation Loyalty One way message delivery for broader target audience by Vendor 1 2 Understand customer and find the value for them (Acquire) Provide the service to Maximize the value in every interaction (Support) 3 Enhance the customer to Fan (Renew)

15 Customer Reference : The transformation of Customer Engagement Issue Down renewal rate and increase the sales cost to aquire of new customers, therefore profitability was getting worse. Actions and results Establish the end to end process Acquire Support Renew( Deployed Renewal Manager) Improve renewal rate from 50% to 75%(Large Electronic Parts Vendor) Increase up-sell rate by 30% (Healthcare Solution Provider) Increase warrantee contract rate by 43% Before Ad hoc customer contact by division Promotion & Campaign Sales Div Machine Contract Target Customer List Up After Integrated customer contact and support process Auto Renewal quotation Integrated Information Management with Partner/Reseller Customer Partner/Res eller Develop Integrated Customer DB Support Div Customer Maintenance Contracts Get new contract and issue bills Customer Integrated Contract Negotiation management with Customer Customer Up-sell/Cross-Sell

16 The Practical Approach by Concentrix for The Clients New Trend Realize the new service model Outcome Based Payment service. Former BPO Model Focusing on the Cost reduction The Latest BPO Model Focusing on the Business performance and outcomes Cost cutter model: Reduce the unit price of workers Fixed price Man hour base (Plan) Man hour base (Actual) Process Optimization model: Improve Productivity Variable price based on the usage Contacts volume Transaction volume Operating Time Innovator model: Achieve transformation goal Variable price based on the agreed KPIs Customer Sat Revenue of Cross- Sell and Up-Sell Man hour based Fee System Usage based Fee System Outcome Based Fee System Evolution of the Partnership

17 Customer Reference : The Outcome Based Fee System by Concentrix Credit Card Industry Usage based fee system by examination transaction volume SLA by Net Promoter Score(Penalty /Incentive) Electric Power company/insurance Usage based fee system by contract change / renewal transaction volume KPI by prospected customer opportunity pitch number to Field Sales Consumer Electronics Usage based fee system by productive operation work time and Web page production numbers SLA by Customer Sat Score (Penalty /Incentive) Outcome based fee system by Up Sell Revenue amount Retail & ecommerce SLA by response read time to customer in multi channel environment (Penalty ) SLA by Customer Sat Score (Penalty )

18 The Practical Approach by Concentrix for The BPO Service Provider New Trend Globalization and Utilize advanced technology Former BPO Model Manage by Country Concentrix BPO Model Manage by Global Global governance, local intimacy Reception for Europe Back Office Reception for China Back Office Japan Reception China Reception Europe Reception US Reception Management Management Reception for US Back Office Client Focal C 社 Reception for Japan Client Focal D 社 Back Office (China) Back Office(Ph) Management/Support(India) Analytics Center(US) Management Back Office Client Focal A 社 Management Client Focal B 社 Client Relationship Contract(Japan) 2014 Concentrix Corporation

19 The new approach and proposal by Japan Concentrix Small start and grow together Trial approach, step by step Analyze the result Outcome Assessment Analyze current status and define issues by quick assessment program Call Center productivity analysis Web Operation Analtsis Trial Execute Trial(PoC)and get the quick Win Run a few months Trial and proof of concept Visualize the ROI Test the SLA to optimize *PoC: Proof of Concept Provide outcome based fee system BPO service based on the PoC results Apply outcome based fee system Set the Incentive/Penalty by SLA Set the KPIs to contribute to Revenue Max

20 Thank You! 2014 Concentrix Corporation 20

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