how digital channels drive customer engagement and …€¦ · · 2018-01-232018-01-15 · hasan...

Hasan Askarov MBA, CIM | MEA Telecoms Professional | UAE | [email protected]

How digital channels drive customer

engagement and enhance CXHasan Askarov MBA, CIM

Dubai, UAE

23.01.2018

mailto:[email protected]


Table of Contents

Hasan Askarov

profile

United Arab

Emirates in

brief

Digital

landscape

Internet use

Mobile activities

Top active

social platforms

Social media

use

Why digital

channels matter

The benefits of

best in-class

eCare

Higher customer

satisfaction

Richer

differentiation

Higher brand

advocacy

Digital touch

points

Customer

engagement

Customer

preferences

PROFILE 01 02 03 04Brief

introduction

UAE in brief Digital in the

UAEDigitizing

Customer Ex.

Driving

Customer En.

Slide 4 Slides 6-9 Slides 11-21 Slides 23-27 Slides 29-37



Hasan Askarov MBA, CIM profileMarketing professional with 14+Ys of experience spanning across Turkey, Azerbaijan,

Russia and UAE working for industry leaders likes of Etisalat, Vodafone & Unilever.

Hasan Askarov MBA, CIM

Head of Marketing & Intelligence

Etisalat, UAE

Work Experience Education

Head of Marketing & Intellig.

Etisalat UAE

Jul 2013 to date

Head of Marketing & PD

Azerfon-Vodafone

Sep 2009-Jun 2012

Brand Group Manager

Azersun / Unilever

Apr 2006-Sep 2009

Master of Business Administ.

Warwick Business School UK

2014 [Distinction]

Senior Certified PM

IPMA Switzerland

2013

Professional Dip. in Marketing

Chartered Inst. of Marketing UK

2009 [The CIM]



Table of Contents

Hasan Askarov

profile

United Arab

Emirates in

brief

Digital

landscape

Internet use

Mobile activities

Top active

social platforms

Social media

use

Why digital

channels matter

The benefits of

best in-class

eCare

Higher customer

satisfaction

Richer

differentiation

Higher brand

advocacy

Digital touch

points

Customer

engagement

Customer

preferences


introduction


UAEDigitizing

Customer Ex.

Driving

Customer En.

Slide4 Slides 6-9 Slides 11-21 Slides 23-27 Slides 29-37



United Arab Emirates (UAE)



United Arab Emirates in briefUAE is an oil-rich country in the Gulf region with population of 9.4 million and

GDP reaching $400 billion USD and $75K USD per capita (adjusted).

POPULATION (MILLIONS) NOMINAL GDP (US$ BILLIONS) PPP-ADJUSTED GDP PER CAPITA (US$)

United Arab Emirates’ population will

reach an estimated 9.4m by the end of

2017. GlobalData expects UAE’s

population to grow at a CAGR of 1.4% to

reach 10.1m by the end of 2022.

UAE’s nominal GDP will reach an

estimated US$399.9bn in 2017, the fourth

largest in the region, and will increase at

a 7.3% CAGR to $567.5bn by 2022. Growth

will be driven by investment projects,

stronger performance in the non-oil

sector, the hosting of the 2020 World Expo

and the increase in oil production

capacity.

The PPP-adjusted GDP per capita in UAE

will reach $74,600 in 2017, the second

largest in the region after Qatar, and will

grow at a CAGR of 3.8% during 2017-2022

to $89,790.

Source: Global Data 2017, IMF, UAE FCSA, UAE NBS, UAE TRA, Dubai Stats Center, Abu Dhabi Stats Center.



United Arab Emirates in briefThe GDP is estimated to grow on average 3% over the next five years with

inflation rate hitting 4.5% in 2018 due to introduction of its first tax – VAT.

Source: Global Data 2017, IMF, UAE FCSA, UAE NBS, UAE TRA, Dubai Stats Center, Abu Dhabi Stats Center.

REAL GDP GROWTH (% PER YEAR) CONSUMER PRICE INFLATION (%) EXCHANGE RATE (AED:US$)

Real GDP growth will slow down from 2.8%

in 2016 to 2.7% in 2017 as OPEC-mandated

cuts in oil production, which we expect to

be extended to H2 2017, lead to a

reversal of the recent upward trend in

output. Increase in output again in 2018

and stronger oil prices will boost

economic activity in 2018.

Fuel prices will increase in 2017 in line

with growth in international prices,

pushing up transport and utility costs.

Subsidy cuts and new levies on various

services will push up prices. In 2018,

introduction of VAT and domestic demand

strengthening will mean that inflation will

remain elevated.

Given the UAE dirham’s peg to the dollar,

the dominant issue remains the strength

of the US currency and the weakness of

European currencies. The peg has

provided stability for decades, and

despite the lack of monetary flexibility,

the authorities seem committed to the

system.



United Arab Emirates in briefA duopoly market with almost $10bn telecoms services revenue growing at 3.8%

CAGR, mobile penetration surpassed 210% (on average two SIMs per user).

Source: Global Data 2017, UAE TRA, Etisalat AR, du AR, Virgin Mobile, Dubai Stats Center, Abu Dhabi Stats Center.

2017 PENETRATION IN A REGIONAL CONTEXT

REVENUE CAGR BY SERVICE TYPE



Table of Contents

Hasan Askarov

profile

United Arab

Emirates in

brief

Digital

landscape

Internet use

Mobile

activities

Top active

social

platforms

Social media

use

Why digital

channels matter

The benefits of

best in-class

eCare

Higher customer

satisfaction

Richer

differentiation

Higher brand

advocacy

Digital touch

points

Customer

engagement

Customer

preferences


introduction


UAEDigitizing

Customer Ex.

Driving

Customer En.




Source: GSMA, Internet World Stats, Okappy.



What happens in an Internet Minute



Internet use by countryThe growing number of internet users and mobile penetration in UAE is leading

the chart with whopping internet penetration rate of 96% leaving behind UK and

Canada with 92% and 91% respectively.

Source: We Are Social UK – Digital Media, UAE Digital Marketing Report 2016.



Digital in the UAE | Digital landscapeUAE has a population of 9.21M out of which 8.81M are active internet users,

which makes 96% internet penetration rate. The penetration rate of active social

media users is 68% and active mobile social user penetration is 61%.




Digital in the UAE | Internet useTotal active internet users in UAE are 8.81 million which makes them 96% of total

UAE population.




Digital in the UAE | Share of web trafficMobile Phones are leading the share of web traffic with 49% whereas, on 2nd

position, laptop and desktops came with 47% while tablets got only 4% of the

share.




Digital in the UAE | Frequency of int. useA whopping rate of the population use the internet on daily basis, 7% at least

once a week and 2% at least once per month and less than once per month

respectively 89%.




Digital in the UAE | Mobile activitiesMobile penetration is rapidly growing with 71% population are using the mobile messengers

while 62% population watch the videos on mobile. 41% of the population play games on

their mobile and 47% of the population using mobile for mobile banking and 60% of the

population use map services.




Digital in the UAE | Top social platformsCompare to last year (2015), few positions have been slightly changed. WhatsApp

climbed the first position in the chat app/messenger category leaving behind the

Skype compared to last year.




Digital in the UAE | Social Media useThe total number of active social media users in UAE are 6.30 million which

makes it 68% of the total population. Out of which 5.60 million are accessing

social media via mobile phones.




Digital in the UAE | Time spent with MediaIt’s not a surprise anymore that UAE population spends more time on the internet

than watching TV. Average daily internet use via a tablet or PC is 4 hour 25 min, while

average daily internet use via a mobile phone is 3 hour 37 min.




Table of Contents

Hasan Askarov

profile

United Arab

Emirates in

brief

Digital

landscape

Internet use

Mobile

activities

Top active

social

platforms

Social media

use

Why digital

channels

matter

The benefits

of best in-

class eCare

Higher

customer

satisfaction

Richer

differentiation

Higher brand

advocacy

Digital touch

points

Customer

engagement

Customer

preferences


introduction


UAEDigitizing

Customer Ex.

Driving

Customer En.




Digitizing CX | Why digital channels matterDigital contribution to Middle East economy is low compared with benchmarks.

Source: McKinsey Digital Middle East.

Share of digital contribution to GDP, %

USD 95 billion

potential..



Digitizing CX | Why digital channels matter

Digital media have expanded traditional customer care boundaries

Source: McKinsey.

Who has access to

customer queries?

Who provides the “customer service”?

Increasing automation

and sophisticated

digital channels

(including social media)

are triggering further

evolution.

UAE has a population of 9.21 million out of which 8.81 million are active internet users, which

makes 96% internet penetration rate. The penetration rate of active social media users

is 68% and active mobile social user penetration is 61%. There are 17.19 million mobile

connections that are twice the size of approximately entire UAE population.



Digitizing CX | The benefits of Digital/eCareDigital or eCare bring numerous benefits to the organizations from lowering costs

to higher customer satisfaction, richer differentiation and supreme brand

advocacy.

LOWER COSTS

Digital or eCare..

HIGHER

CUSTOMER

SATISFACTION

RICHER

DIFFERENTIATI

ON

HIGHER

BRAND

ADVOCACY

Assuming an operative is

able to handle multiple

chats in parallel, digital

chats are only just over

half of call center’s cost

(baseline), at 56 percent.

Online forums and FAQs

cost 12 percent of the

baseline, while

community solutions are

even lower at 9 percent.

The 15 percent of

respondents who started

and ended their service

journeys through digital

channels reported that

their satisfaction was 19

percentage points higher

than that of

“traditionalists”.

High-quality Digital or

eCare is a key component

in the differentiated

value propositions.

Many companies,

including US telcos have

used customer driven

online question and

answer forums to

acknowledge and reward

their strongest brand

advocates among

consumers.

Source: McKinsey.



Digitizing CX | The benefits of Digital/eCare

A purely digital journey drives higher customer satisfaction

Source: McKinsey.



Digitizing CX | The benefits of Digital/eCare

Better Customer Experience = Higher Revenue Growth

Source: U.S. Securities and Exchange Commission filings by JetBlue, United Airlines, AT&T, Comcast,

Charles Schwab, E-Trade, Amazon, and WalMart.



Table of Contents

Hasan Askarov

profile

United Arab

Emirates in

brief

Digital

landscape

Internet use

Mobile

activities

Top active

social

platforms

Social media

use

Why digital

channels

matter

The benefits

of best in-

class eCare

Higher

customer

satisfaction

Richer

differentiation

Higher brand

advocacy

Digital touch

points

Customer

engagement

Customer

preferences


introduction


UAEDigitizing

Customer Ex.

Driving

Customer En.




Driving Customer Engagement | Digital chs.



Driving Customer Engagement | Digital chs.The advent of digital technologies and interactions has complicated the traditional flow of customer

touchpoints. It used to be simpler: the bricks and mortar storefront, the domestic call center and the

use of postal direct mail were all closely managed. Now, the most critical customer interactions occur in

the digital world.

Source: Association Analytics, Crown Peak.



Driving Customer Engagement | Digital chs.Digital-savvy customers expect CSPs to entertain them on the channel of their choice and

at a time of their choosing. . CSPs must make further investments if they are to provide a

digital experience, including in systems that enable dynamic creation, launch and

personalization of offers.

Important benefits that CSPs expect from

digitisation

Channel capabilities that CSPs use to deliver

sales and support

Source: Digital Experience Index for Customer Engagement, Analysis Mason.




Source: The digital tipping point, VERINT.

Consumers’ preferred communications channel compared with what

businesses are planning to offer

Though customers

incline towards more

traditional channels,

once forced and used

the digital they stay

there forever..

TRADITIONAL DIGITAL




Source: The Northridge Group (NRG), State of Customer Service Experience 2016

Preferred communication channel for select customer service

inquiries/issues.

Phone Digital

Customers pick

the digital

channels for

basic stuff..




Source: Pew Research Center, 2016

Digital adoption by customer age brackets (or say generation)




John Legere, T-Mobile US CEO, Sep 2012 to date..

T-Mobile’s outspoken CEO John

Legere says that the carriers

have long “patronized” this

older segment of the market,

the very folks he says that

“invented wireless.” Rivals, he

says, offer senior-oriented

plans that curtail the number

of voice minutes and data. The

T-Mobile 55+ plan comes with

unlimited, talk, text and 4G

LTE data.According to T-Mobile, nearly three-fourths of the more

than 93 million Americans in the U.S. over the age of 55

have a smartphone, with Boomers spending an average of

149 minutes a day on handsets, compared to the 171

minutes consumed by Millennials.




Telco Digital KPIs (10M subs base)

Source: MEA Telco, Confidential.

3M monthly

visitors

2M monthly

active users

(20% of

active 90

days base)

0.8M monthly

sessions

(combined

web & app)

2.2M facebook

followers

1.8M twitter

followers

Sales Leads 27%

X/Up-sell 1.2M

services

Conversion Rate

25%

CC Contribution

18% (complaints &

inquiries)

Engagement – 1M

posts, tweets and

sharing..



Thank you

Hasan Askarov MBA, CIM

Email: [email protected]



how digital channels drive customer engagement and …€¦ · · 2018-01-232018-01-15 · hasan...

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