Ing Groep N.v. · EURONEXT:INGA
Ing Groep — Investor Day (March 2019)
12 slides from Ing Groep's investor day presentation, Mar 25, 2019
Slide 1: How our customer focus drives shareholder value in Retail
How our customer focus drives shareholder value in Retail Investor Day 2019 Ignacio Juliá Vilar, Head of Retail Frankfurt • 25 March 2019
Slide 2: Key points
Key points • ING Retail has been successful in growing primary relationships, which accelerates long-term value creation in our retail franchise • Growth in customers and digital traffic translates into sales, higher revenues and strong financial results • Digital leadership is reflected in the succ
Slide 3: Sustained primary customer growth in Retail
Sustained primary customer growth in Retail Number of Share of Product Value Cross-buy clients Primary value Primary customers* ING Retail (in mln) 25% 29% 33% >16.5 Growing by ~1 mln 12.5 8.4 10.4 primary customers per year 2014 2016 2018 Ambition 2022 Primary as a % of total retail customers * Def
Slide 4: Customers increasingly expect more in a mobile-only world
Customers increasingly expect more in a mobile-only world Mobile is becoming the primary channel, also in banking… …and in mobile other players set customer expectations 26% Personal of customers is already Instant mobile-only Relevant and growing fast* Seamless * Based on active customers with at l
Slide 5: Reinforce a 'virtuous circle' of customer engagement
The key to grow primary relationships and create value, is to reinforce a ‘virtuous circle’ of customer engagement • Each customer interaction is an opportunity to offer a relevant product or service to our customer… Better More • …and to get to know the customer better customer interactions experie
Slide 6: We convert growth in digital interactions into digital sales
We convert growth in digital interactions into digital sales… Customer behaviour changes drastically… …mobile interactions grow fast… …which we convert into digital sales Channel mix* among active customers who Customer interactions with ING per channel Annual non-deposit sales per 1,000 contact us
Slide 7: Resulting in income diversification and higher ROE
…resulting in income diversification and higher ROE Diversification is driving income growth… …leading to strong growth in profitability and returns Retail income (in € bln, private individuals only) Retail underlying profit before tax (in € bln, private individuals only) CAGR: +7% 9.0 Δ € mln (CAGR
Slide 8: Primary customer relationships reinforce the 'virtuous circle'
Primary customer relationships reinforce the ‘virtuous circle’… Primary customers interact more… …buy more products… …and are more sticky Average number of interactions Average number of products % of active customers that left ING per customer, 2017 per customer, 2017 per segment, 2017 4x 2x 10x 19
Slide 9: Which drives profitability, reinforced by our digital model
…which drives profitability, reinforced by our digital model Primary customers generate superior returns Digital customer engagement enables strong returns and Profit before tax, per average private individual customer, 2017 (in €) low costs to serve Income per average private individual customer, 2
Slide 10: We have successfully extended relationships into the digital world
We have successfully extended relationships into the digital world Digital sales are picking up strongly across countries – also for more complex products Channel mix for non-deposit sales (in % of total) Total Sales Payment accounts Consumer loans Investment products Mortgages 100% 100% Digital mod
Slide 11: We will capture significant untapped value across retail markets
We will capture significant untapped value across retail markets Across markets, we are at different stages… …with different key accelerators to capture value potential High Provide best-in-class customer experience Unite to grow (primary) customers be+nl (% of Primary customers and cross-buy) Retai
Slide 12: Important legal information
Important legal information ING Group’s annual accounts are prepared in accordance with International Financial Reporting Standards as adopted by the European Union (‘IFRS-EU’). In preparing the financial information in this document, except as described otherwise, the same accounting principles are