WORLDLINE_REGISTRATION_DOCUMENT_2017

B

Worldline positioning and strategy Industry andmarket overview

B.1.2.1

The digital revolution is driving new customers behaviors

A similar process is underway in other sectors, creating new digital businesses with potential to create new markets and drive even further non cash payment transaction growth. Transport systems worldwide are pursuing “smart transport” ● solutions that make use of technology to improve fare collection, facilitate multi-modal transportation, improve traffic flows and provide better information to passengers on their travel options. Governments are increasingly relying on digital technology ● to make government services and recordkeeping more efficient, to enhance healthcare information systems, and to improve traffic and parking enforcement as well as tax collection. In parallel, the increasing universe of connected devices is ● creating a new “Internet of things” that is expected to enable a range of new services using connected vehicles, connected appliances and other Connected Living applications, to improve product performance (preventive maintenance, warranty cost, product launch reliability, etc.) or customer satisfaction (new and extended services, pay per use business model, advices on product use, etc.). These trends are creating a range of new markets with significant growth potential: Forrester forecasts that Western European online retail sales ● will grow at an average of 11.3% annually to 2022 and with groceries not included will make up 20% of all retail sales; Market Research Future forecast that the global ● Machine-to-Machine Connections market is expected to grow to $ 27.05 billion by 2023, at 4.9% CAGR. Smartphones, tablets and other mobile devices, such as connected cars or smart watches, have experienced dramatic growth in recent years. The rise of the internet, 3G and 4G mobile connectivity means consumers are used to a world of always on connectivity. As a result, their expectations when engaging with the commercial world have increased, from the moment of initial engagement through the purchase and payment, consumers expect a smooth end-to-end experience, irrespective of whether this is on the internet, face-to-face or cross-channel. New Fintechs have often been quicker to exploit this than traditional incumbents, refining the customer-facing interaction to provide a seamless experience.

Today, the average consumer in the developed world owns and uses several connected devices and is “super social” (i.e. Facebook). Consumers go online multiple times a day and do so from multiple locations, including on the go or in a store, and share their experience with their networks. The always-on, always-connected nature of mobile and other devices is creating new opportunities that allow traditional distributors, manufacturers and new digital businesses to connect with their customers and their network wherever they are, increase the frequency of their interactions and increase sales and payment activity. As Forrester notes, “consumers are embracing mobile, social, tablets, and cross-touchpoint experiences like click-and-collect and no longer think in terms of channels, instead expecting seamless service on every touchpoint”. Challenge for retailers is to answer these omni-channel consumer expectations immediately, and in this context, retailers need to implement new services such as Drive solutions, as well as Digital Stores through virtual shelves, mobile seller, or dynamic brand content to engage shoppers in an innovative way and to improve store efficiency. This increased interaction creates new sales opportunities for retailers, while also providing rich customer data that can help companies better understand and anticipate consumer needs. At the same time, these new consumer preferences create significant IT challenges for retailers. Forrester notes that as customers continue to embrace multichannel services, retailers are finding that using manual workarounds for “siloed” systems can no longer support the growing volume of orders. This is forcing retailers to revisit their systems and reinvent the operations; this does include a unique cross-channel repository of data (product catalogue, prices, offers, etc.), innovative payment solutions such as wallet or mobile Terminals to make the sales process easier, processing of big data and advanced data analytics, and implementation of contextual advanced services such as indoor location, interactive products, or proximity marketing.

26

Worldline 2017 Registration Document

Made with FlippingBook - professional solution for displaying marketing and sales documents online