Banks have used automation to remove friction points for customers to great success. However, automation cannot replicate human interaction, which is more important when it comes to making big financial decisions. Banks have addressed convenience and are working on trust, building customers’ confidence comes next. This will require highly-skilled humans, with automation supporting them behind the scenes. In this session, you will learn: The importance of emotionally connecting with customers The role the branch can play in creating these connections The new tools available to respond to the fast pace changes in the marketplace

1. Next Branch:
Humanizing CX
Jean-Pierre Lacroix
President SLDNXT

2. Challenge:
Banks are loosing
their emotional
connection

3. Left brain thinking is winning
EFFICIENCY
Self-service transactions
ENGAGEMENT
High value relationships

4. EFFICIENCY:
Digital
Transformation

5. 5
ATM Video ATM Digital
Branches
Smart
ATM
Universal Banker Robotics
Biometrics
Security
Focus on transactional efficiencies

7. 7
More technology changes to come
The 10 biggest U.S. banks, plus major credit card companies, have applied for at least 2,679
patents since 2013 in hot technologies where fintech startups are encroaching.
Relecura Inc.

8. 8
Technology has
not only
changed the way
people bank . . .
it is changing the
way people
think

9. 9
Trust a big issue
9% in the UK are likely to trust
recommendations based on AI
algorithms
Global study on trust & tech, HSBC/IPSOS Research, 2017

10. SECTION TITLE HEADLINE | SUBHEAD
10
ENGAGEMENT:
Humanizing CX

11. Customers
want better
relationships
and not
technologies
Consumers
reacted poorly
11
42%
58%
59%
41%
42%
58%
23%
77%
I like the idea
I would rather
talk to a teller
0% 50% 100% 150% 200% 250%
How do you feel about experimental bank branches
that have no tellers and every transaction is automated?
Gen Z Millennials Gen X Baby Boomers
Timetrade:TheStateofRetailBanking:ConsumerSurvey2016
15%
37%
40%
47%
49%
I believe I get better rates
when negotiating face to face
I equate the comfort of branch
experiences to shopping in a store
I like my overall branch experience
I receive more value from my bank
when speaking to someone in person
I trust my bank more when
speaking to someone in person
Why do you see yourself going to branches in the future?
Accenture Research: 2016 North America Consumer Digital Banking Survey

12. 12
SLD Stealth Attrition Study 2017
Visits remain high
36%
of consumers are
not satisfied with
the financial advice
banks are
providing.

13. 13
SLD Stealth Attrition Study 2017
Why?
70%
of the banking
relationship is
transactional and
less focused on
expertise.
I don't really think about it
A way to manage day to day financial needs
A good place to have a checking account
A place I have to use to access my money
A resource for professional financial insight and advice
A trusted relationship that has long-term benefits
I do not have a primary financial institution
Don't Know
0 0.055 0.11 0.165 0.22
3.68%
2.45%
18.32%
3.42%
20.86%
20.16%
16.56%
14.55%
How do you view your relationship with your primary financial
institution? Please select one from the list below that is the most appropriate.

14. 14
SLD Stealth Attrition Study 2017
However:
40%
of business growth
comes from
providing expertise
and supporting
financial well- being.
Invests in your financial well-being
Provides a plan to help you reach your financial goals
Finds new ways to improve how you conduct your business
Rewards you for being a loyal customer
Finds ways to save you money
Provides access to financial experts
Customizes products and services to fit your needs
Takes overall relationship into account when quoting fees and rates
0.34 0.358 0.375 0.393 0.41
38%
37.6%
41%
36.9%
35.1%
39.5%
37.1%
37.6%
Customers would you be willing to add more products, consolidate to
one account and actually pay more if their primary financial service
provider offered a much better experience.

15. 15
Loyalty
comes from
more
engagement
with people
in branches.
SLD Stealth Attrition Study 2017

16. SECTION TITLE HEADLINE | SUBHEAD
16
Strategy #1
MOVE FROM FUNCTIONAL TO EMOTIONAL

17. 17
The Emotionally
Connected customer
generates
52%
more annual value
than one who is
Highly Satisfied.
Motista 2016 Study

18. 18
Emotional connections provide
multiple growth factors
Motista Study, 2017

19. 19
Motista 2016 Study
Emotional connections also drive
loyalty

20. SECTION TITLE HEADLINE | SUBHEAD
20
Strategy #2
MOVE FROM TRANSACTION TO IMMERSIVE

21. 21
Opportunity: Immersive Emotional Experiences
Informative Engaging Seamless
ExperientialPersonalFrictionless

22. Better CX across life stages
22

23. SECTION TITLE HEADLINE | SUBHEAD
23
Strategy #3
EMPLOYEE ENGAGEMENT AND
SALES CHOREOGRAPHY ENGINEERING

24. 24
People matter
64%
seek advice
from people
My bank branch manager or staff
Friends and family
Non-bank advisers
Bank website
Online reviews
A competing bank website
Google or online search
Don't know
0% 7.5% 15% 22.5% 30%
10.64%
11.16%
0.61%
6.65%
6.35%
18.32%
29.38%
16.89%
SLD Stealth Attrition Study 2017

25. 25
Shift from transaction to advice ecosystem
Convenient Transactions Financial Confidence Ecosystem

26. SECTION TITLE HEADLINE | SUBHEAD
26
Strategy #4
MOVE FROM LINEAR TO AGILE PROCESSES

27. 27
v i s i o n
requirements
stories
Product Backlog
Progress through ideation, collaboration and testing
SCRUM
ROLESProduct
Owner
Scrum
Leader
Stakeholders
Users
Team
Members
Why not
look at what
is behind
high tech’s
success?
Agile has been a powerful
lever for driving consensus
based innovation

28. DESIRE: the ultimate
definition of brand
loyalty
Book release in June
2018

29. THANK YOU!JEAN-PIERRE LACROIX
jplacroix@sldnxt.com
TEDDY MA
tma@sldnxt.com