Absa Group Limited · JSE:ABG
Absa — Barclays Africa Group — UBS Financial Services Conference October 2017
16 slides from Absa's conference presentation, October 2017
Slide 1: Barclays Africa Group
Barclays Africa Group Jason Quinn, Group CFO UBS Financial Services Conference October 2017
Slide 2: Bancassurance diversifies our earnings
Bancassurance diversifies our earnings Group earnings mix 1H17 (%) WIMI earnings split FY16 (%)* 3 7 9 19% 15 38 13 4 49 22 26 14 74% Retail Banking SA Business Banking SA Life Wealth and IM CIB SA RBB Rest of Africa Short-term Fiduciary CIB Rest of Africa WIMI Distribution Note: * Excludes other 2
Slide 3: We began integrating financial services in the 1990s
We began integrating financial services in the 1990s … AIFA Absa Acquired First Life Acquired Assurance Kenya Global Alliance Absa (Mozambique) Created Trust Absa Fund Absa Asset WIMI Managers Management 1915 1970 1980 1991 1992 1997 2008 2011 2012 2013 2015 Absa Investment Absa Insurance Launched S
Slide 4: As increases participation in financial services
… as increases participation in financial services Banks often at the heart of most Emerging middle class of 300 consumers’ borrowing and million people and growing by 10 savings decisions million every year Banks uniquely placed to use extensive customer data and insights to actively promote covera
Slide 5: Our bancassurance model puts customers at its core
Our bancassurance model puts customers at its core BANK BENEFITS CUSTOMER BENEFITS SOCIETAL BENEFITS • Convenience and increased access to • Broader customer insurance and other financial services • Increased insurance proposition set penetration • Trust in banks high in SA Banks can offer • Source
Slide 6: Bancassurance models are evolving
Bancassurance models are evolving Integrated Model High Holding Company WIMI Bank Insurance Company Models differ between markets Customer and still evolving Joint Venture Insurance Bank Company Joint-Venture Penetration Customer Strategic Alliance Bank Customer Insurance Company Distribution Agreem
Slide 7: WIMI's offerings and distribution
WIMI’s offerings and distribution WIMI Solutions Multi-Channel Distribution (SA) • Credit life • Customers*: c1.6m • Retail advisors Life • Complex life Penetration**: c60% • • Wealth advisors Insurance • Accident • PBT: R1bn Face to • Funeral cover • Financial Planners (tied) Face • Other (incl. EB
Slide 8: Our integrated model offers strategic advantages
Our integrated model offers strategic advantages #1 ONE CUSTOMER One view of customer to drive behavioural analytics and insights SINGLE VIEW OF CUSTOMER VALUE PROPOSITION Seamless customer segmentation and full customer value propositions USE THE BANK BRAND Get the bank to benefit from the full cus
Slide 9: #1: One customer
#1: One customer Unstructured Data Semi-Structured Data Structured Data - Social Media - XML - Legacy Source Systems - Blogs - Web logs - Manual loads - Documents, PDF - Machine generated - Extract files - Email BETTER BIG DATA USAGE Operational Sales Risk Omni-channel Customer Business Product effi
Slide 10: #2: Seamless marketing
#2: Seamless marketing What are you! | Why stop }at banking? @ BARCLAYS Why stop at banking when you can do so much more? M ore thana bank Abyouresd = ewe yor go Bank. Inware. Prosper Everything you need to manage your financial growth Bank. Invest. Insure. Prosper. @ BARCLAYS Ge ABSA @ SARCLAYS @ B
Slide 11: #3: Omni-channel access
#3: Omni-channel access Source: Adapted from EY, The Journey Toward Greater Customer Centricity, 2013 11 |
Slide 12: #4: Loyalty for all
#4: Loyalty for all Chore What's the point of points? your account and get i exclusive Springboks benefits We reward you with cash. —/?» GABSA Features Store oa! your che ccount with feature QO G C) Ww ind lifestyle benefits to sult your pocket , Accident Protect Expedites Road Accident fund see and
Slide 13: Life Insurance aims to be a top 3 risk insurer in Africa
Life Insurance aims to be a top 3 risk insurer in Africa Geographic Footprint: (The What) Value of new business(%) Life Insurance, covering death, disability, critical illness and 3 8 13 retrenchment, as well as funeral and investment products, while operating in • South Africa 38 44 33 • Botswana 4
Slide 14: Building diversified, multi-capability investment business
Building diversified, multi-capability investment business From 2014 strategic direction broadened with Investment Investments retail platforms, helping to building scale and Management asset gathering Cluster Active Asset Transitioned from an integrated asset Active Asset R129 Collective Investment
Slide 15: Short-term aims to be preferred provider to our clients
Short-term aims to be preferred provider to our clients Geographic Footprint: (The What) Highlights & Focus Areas Property and Casualty insurance in SA and Centre of Excellence for Rest of Africa • Pricing interventions & claims cost initiatives improved margins but negatively impacted sales (Kenya
Slide 16: Disclaimer
Disclaimer Forward-looking statements Certain statements (words such as ‘anticipates’, ‘estimates’, ‘expects’, ‘projects’, ‘believes’, ‘intends’, ‘plans’, ‘may’, ‘will’ and ‘should’ and similar expressions in this document are forward looking. These relate to, among other things, the plans, objectiv
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