Orange Sa · EURONEXT:ORA
Orange Sa — France Telecom — Investor Day (June 2004)
36 slides from Orange Sa's investor day presentation, Jun 10, 2004
Slide 1: Building the integrated broadband communication services Group
France Telecom investor day, June 10th 2004: Building the integrated broadband communication services Group 1
Slide 2: Sales & Services
Sales & Services 2
Slide 3: Has something changed in the value chain?
Has something changed in the value chain? 3
Slide 4: Agenda
Agenda ! Why a Sales & Services Division? ! N°1 for sales and services in France ! Benefits from an integrated model ! 2004 initiatives 4
Slide 5: Why a Sales & Services Division?
Why a Sales & Services Division? ! Controlled distribution – Key for retaining share of value on maturing markets – Faster services launch – Faster diffusion of new services – Faster customer learning of new features ! High tech requires high touch ! Enabling customer interface for customized offers
Slide 6: FT shops
FT shops © France Telecom A standalone Division for sales and services 6
Slide 7: Why a Sales & Services Division?
Why a Sales & Services Division? ! By implementing the integrated operator model each product line benefits from: – Better market intelligence – Stronger branding – Improved sales effectiveness and versatility – Integrated customer support – Shared costs – Develop usage A key lever for FT's integrat
Slide 8: International footprint summary
International footprint summary United Kingdom Belgium " 2 own Mobistar shops " 248 own Orange shops " 122 Mobistar exclusive affiliated retailers France Poland " 620 own FT shops " 106 Orange exclusive " 192 own TP shops affiliated retailers " 25 own Centertel shops Already 1,315 controlled shops i
Slide 9: Roadmap and objectives
Roadmap and objectives ! Reconfigure for better integration and efficiencies – France fully integrated by year end 2005 – Roll-out integration internationally ! Expand retail network coverage in France – New shop formats to be introduced – From 620 to 800 shops by year end 2006 ! Apply TOP program t
Slide 10: Agenda
Agenda ! Why a Sales & Services Division? ! N°1 for sales and services in France ! Benefits from an integrated model ! 2004 initiatives 10
Slide 11: Interacting with customers the way they want
Interacting with customers the way they want Mobis tore orange.fr wanadoo.fr On line Outlets Call centers Outbound call centers Hotline Hotline Orange Wanadoo Orange “700” In France 47% of persons aged 15+ interacted with France Telecom in 2003* *Source: CSA, Oct. 2003 11
Slide 12: The n°1 sales and customer support network in the French mass market
The n°1 sales and customer support network in the French mass market 5,800 salespeople 620 FT shops Own shops Affiliates 106 Orange exclusive affiliated retailers Inbound calls Orange “700” 8,100 representatives Outbound calls Call centers for Mass market orange.fr On line sales wanadoo.fr voila.fr
Slide 13: Online sales properties
Online sales properties # of contacts per month Full Group product line ~ 1.8 M Fixed line universe ~ 2.5 M Mobile universe orange.fr ~ 2.1 M wanadoo.fr ~ 9.5 M Internet universe voila.fr ~ 6.5 M Consumer electronics 0.5 M Infotainment universe ~2M Number 1 for audience in France 13
Slide 14: The n°1 sales & customer support network in the French Enterprise market
The n°1 sales & customer support network in the French Enterprise market* Sales teams with customer- Sales & support dedicated salespersons and support personnel 4,200 representatives Inbound calls Enterprise Call Centers facing 280,000 Enterprise sites with Outbound calls Enterprise Call Centers te
Slide 15: Call centers
Call centers © Patricia Dufrien / France Telecom © Patricia Dufrien / France Telecom 15
Slide 16: Call centers
Call centers © Patricia Dufrien / France Telecom 16
Slide 17: Technical support & field engineering
Technical support & field engineering Customer Care 5,500 representatives Orange & Wanadoo Hotlines Hot lines 1,600 Fixed line representatives hot lines Self care orange.fr wanadoo.fr 11,100 Field engineering representatives Installation & maintenance 18,200 representatives providing local service,
Slide 18: Orange Distribution highlights
Orange Distribution highlights ! 600 people dedicated to increase sales of FT products in competitive channels ! More than 4,000 point of sales visited ! Contracts with main retailers – Best Sales Force FT = 7.7 Competitor n°1 = 7.2 Competitor n° 2 = 7.1 – Best Distribution hotline FT= 7.1 Competito
Slide 19: Agenda
Agenda ! Why a Sales & Services Division? ! N°1 for sales and services in France ! Benefits from an integrated model ! 2004 initiatives 19
Slide 20: Benefits for the Group (1/2)
Benefits for the Group (1/2) Each product line benefits from: ! Market intelligence – Capacity to listen to the voice of the customer & collect market intelligence at the local level ! Branding – Brand awareness of France Telecom shops: 97% for Fixed, 90% for Mobile, 79% for Internet (Source: CSA, O
Slide 21: Benefits for the Group (2/2)
Benefits for the Group (2/2) Each product line benefits from: ! Sales effectiveness and versatility (continued) – Additional contact and cross-selling opportunities – FT retail network own initiatives to stimulate customer visits in shops (accessories, Training coaches, thematic in-store campaigns,
Slide 22: FT stores: Fixed line, Mobile and Internet products in a single place
FT stores: Fixed line, Mobile and Internet products in a single place © France Telecom A "One stop" shop concept 22
Slide 23: Agenda
Agenda ! Why a Sales & Services Division? ! N°1 for sales and services in France ! Benefits from an integrated model ! 2004 initiatives 23
Slide 24: 2004 key initiatives
2004 key initiatives ! Moving toward a more integrated sales & service network in France – First pilot in the Paris area ! Consumer market – Densification and relocation of shops – Orange: Expand controlled distribution for best customer experience – Implement a needs based segmentation – Develop se
Slide 25: Integration in progress: current situation
Integration in progress: current situation Fixed Internet Mobiles Direct Sales Sales & Services in France Indirect Sales Wanadoo Orange Customer & Wanadoo Orange Technical Support Outbound Wanadoo Orange calls Self Care Wanadoo Orange Field engineering Some coordination between dispersed assets 25
Slide 26: Integration in progress: year end 2004 plan
Integration in progress: year end 2004 plan Home Personal Direct and Indirect Sales & Services in France Sales Customer & Personal Technical Support Outbound calls Personal Self Care Personal Field engineering A first step towards a full integrated sales & services network 26
Slide 27: First pilot scheme in the Paris area
First pilot scheme in the Paris area ! Common customer service for Home and Personal – 50,000 Paris customers in pilot scheme – Global view of customers and their uses – Global view of products: Fixed, Mobile, Internet, TV – Incentives for cross selling – Objective is to improve customer loyalty ! H
Slide 28: Densification and relocation of shops
Densification and relocation of shops ! Add new shops in high customer traffic areas – approx. 50 net new shops opened in 2004 – approx. 90 net new shops planned in 2005 – approx. 40 net new shops planned in 2006 > from 620 to 800 shops planned by end 2006 ! Relocate 35 to 40 shops in 2004 for incre
Slide 29: New multimedia stores showcasing the Group integrated offer
New multimedia stores showcasing the Group integrated offer Stimulate adoption of multi- access devices and services Stimulate adoption of new uses through customer coaching Innovative store format for capturing better share of high value customers 29
Slide 30: FT stores: increase presence in high traffic shopping zones
FT stores: increase presence in high traffic shopping zones and where customer reside © France Telecom © France Telecom Shopping centre shop City centre shop Redesigned store formats for consolidating market share of residential customers 30
Slide 31: FT retail network own initiatives to stimulate customer visits in shops
FT retail network own initiatives to stimulate customer visits in shops © France Telecom © France Telecom Increase revenues and margin by Increase satisfaction selling accessories and multimedia and usage through demos peripherals 31
Slide 32: Develop self-care usage
Develop self-care usage ! 3000 voice portal – Improve the effectiveness of customer interface through unstructured speech recognition – Stimulate sale of services # Investigate, subscribe, check, use, activate ! francetelecom.com Internet portal – Stimulate sale of products and services – Stimulate
Slide 33: Towards self-care integration
Towards self-care integration Communication Services Web & High Tech Sales Culture & Leisure Web Product Sales Wap Phone Fixed Line Service, Sales Phone & Configuration Self-care Web Integration for customer benefit 33
Slide 34: Leverage CRM now on the Enterprise market
Leverage CRM now on the Enterprise market Marketing Campaign Managers 100 representatives Generalist Sales Team Inbound call centers 2,500 representatives 400 representatives Specialist Salespeople 150,000 & Technical Support Outbound call center customers 800 representatives 100 representatives Bil
Slide 35: Customer facing TOP initiative
Customer facing TOP initiative ! Overall objective – Reach best-in-class operational performance levels – Drive operational performance for market power – Allocate resources for best market return : sales, profitability, customer loyalty ! Eight TOP “chantiers” – Operational excellence of Customer R
Slide 36: Conclusion: expected results
Conclusion: expected results ! Position Sales & Services as the provider who best responds to customer needs through integrated solutions with superior customer support and coaching ! Further develop cross-selling & cost synergies in direct channels & better cooperate with indirect channels ! Roll-o