Hyper personalised and always-on.

Customer experience with Vodafone and Pega

4-8%Companies that excel at customer experience grow revenues 4-8% above the market.

Bain & Co. 2015

Executive summary

Stronger together

Customer centricity

Partner with Pega

seamless journey across all channels isn’t easy. But

it’s necessary to creating those magic moments

which build loyalty and lifetime value. Execute it

flawlessly and Vodafone can own the CX space.

Pega can help Vodafone achieve this vision with a

digital customer engagement platform that builds

on your existing environment. We’ll manage the

end-to-end journey so that fast and agile

applications overlay legacy systems like billing and

activation that take time to adapt. That means

supporting every back-office change so you enjoy a

fast and seamless transition from old to new.

Today, customer experience (CX) is about to overtake

price and product as the most important brand

differentiator. Vodafone has the potential to excel at CX

in a unique and powerful way – one that differentiates

you from other communications providers who are

‘going digital’.

By knowing your customers inside out, Vodafone can

deliver on your promise of being a customer-centric

organisation. Where you interact with customers at

exactly the right time and place. Where every

experience is completely effortless and feels like it has

been choreographed for the customer. Delivering a

Customer experience is the new battleground

Pega and Vodafone | Executive summ

ary

3

Today’s ever-changing customer journey

Today’s customer journey is non-linear, cross-channel,

and increasingly digital. It touches not just marketing,

but also sales, service, and operational functions. The

customer is in the driving seat and because your

markets, channels, data, and business functions are

siloed, it’s difficult to serve up the engaging

experience customers demand. However, with Pega,

there’s a different approach. Our platform uses AI to

make decisions on the next best action so you can

engage in real time and with the right context.

Pega’s automation goes one step further by finding

repetitive processes to eliminate or optimise so your

people can focus on putting the customer experience

squarely in the centre of your business.

Customer experience excellence is an absolute

necessity. At Pega, we know the importance you place

on getting it right. In fact, “providing the best real-

time, contextual and personalised customer

experience” plays a key role within the Vodafone

Group strategy and is an important differentiator for

your business. Equally, it’s also at the heart of your

mission to be a digital first, customer-centric

organisation that better reflects the needs and

expectations of its customers.

From helping a customer browse a product or service

on your website to buying in a way that fits in with

their daily lives, you want customers to have the most

engaging and inspiring experience possible.

Experiences that mean they want to join Vodafone

and stay with Vodafone, because of the standard of

service you provide.

Vodafone’s commitment to customer excellence

Executive summary

Vodafone and Pega are two businesses that know each other

well. We have successfully collaborated with Vodafone Group

and operating countries including the UK, Germany, Italy,

Turkey, and Spain. Right now we’re implementing digital

transformation underpinnings across customer service and

support, sales and operations, and most recently to implement

the ‘Always on Marketing’ (AoM) platform at group level.

We want to continue helping you address your challenges and

grow. Leveraging AI from the heart of the AoM programme,

Pega’s Customer Decision HubTM will use advanced analytics

and interaction history to help you deliver the right contextual

actions at the various stages of the omni-channel journey.

As well as marketing, you can deploy next-best-action

strategies in a variety of other areas such as sales, customer

service, risk and operational decisions. You’ll be able to think in

your customer’s shoes, build for an omni-channel world, and

get real value and ROI fast.

Two businesses. One aim

Pega and Vodafone | Executive summ

ary

Our vision for Vodafone is to build agility and best-practice CX into your existing environment. We want to:

5

Deliver rapid improvements to

your existing customer services,

sales, and marketing performance.

Enable Vodafone to capitalise on new

market opportunities without being constrained by complex legacy

systems.

Use machine learning and

automation to increase efficiencies

and deliver immediate results.

Help you introduce more self-service options that are convenient for customers and

cost-effective for Vodafone.

Create a plan for transitioning from

old to new systems without impacting

your business performance and

ability to grow.

.

Customer expectations vary little across the Vodafone

footprint. Everyone wants the same personalised

experience from any channel and any device. Siloed data,

processes, and systems make it difficult to meet this

challenge. That’s why every operating country can benefit

from a standardised approach to ‘always-on’ experience.

Where the cloud can turn complexity into a simple,

impactful and hyper-personalised message for one.

Legacy systems and their associated complexities are no

longer just IT’s domain. Business executives from all

service industries recognise that fragmented processes

create problems for customers, not just back-office teams.

Vodafone is no different. By addressing the issues that

hold you back, Pega can help you compete on the most

important battleground – customer experience.

Understanding your challenges

Stronger together

We can help Vodafone overcome legacy constraints and meet your strategic objectives to:

• Deliver personalised and consistent

customer experiences across every channel

• Provide connectivity that’s ‘always-on’,

reliable and secure

• Wow customer with ‘more for more’

propositions that are excellent value

• Reward customer for loyalty

• Make the most of a diverse and

talented workforce

• Grow converged services that are

multi-dimensional

• Become an NPS leader in all markets

“If there’s one reason we have done better than our peers in the internet space over the last six years, it is because we have focused like a laser on customer experience.”

Jeff Bezos, Amazon CEO

Pega and Vodafone | Stronger together

Working to achieve results, fasterEvery time a customer calls, emails, tweets, or chats

is an opportunity for real engagement that can

differentiate Vodafone in the era of ‘best customer

experience’. Pega can help break down the walls to

innovation and make every moment count; set

meaningful business outcomes, and deliver

incremental benefits to customers and your

bottom line.

Seize the benefits of agile digital engagementMost customer problems can be solved with the

right experience and information to hand. But so

many answers are locked away in siloes. It’s time

to let them out. Pega can help you harness the

power of sales, service, and marketing knowledge

on one end-to-end platform.

Win new customersYour sales teams are probably spending too

much time on manual processes – not productive

conversations that can lead to closing deals.

Pega works hard to understand the intricacies of

your current environment so we can equip sales

and marketing teams with intelligent insights that

can ramp up revenues, faster.

7

Pega: A partner to accelerate changeWorking with Vodafone on your first step towards

end-to-end customer engagement has been a real

privilege. We understand the full context of your

legacy systems, challenges, and ambitions to be

leaders in customer experience and want to be a

part of the journey.

A complete transformation to an ‘always-on’

customer experience isn’t easy. Especially when

you need to build up from a vast, complex

foundation in order to maximise value and reduce

risks. We appreciate your commercial priorities and

share your vision for agile solutions that deliver

impact through iterative change. We want to help

you deliver quick wins and develop a platform that’s

ready for next-generation applications as you

become more and more customer obsessed.

Your employees can’t become empathy experts without

context. Agents need to know exactly what customers

want and why they need it. Without a personalised

approach, they can’t turn around a bad experience and

win back trust. Predictive intelligence can help make

complicated processes easy for customers, even when

the back-end doesn’t look so pretty.

Be known for new ideasRepetitive processes and duplicate data can wear

down service teams so there’s no room for

inspiration. By embracing automation, your people

don’t have to tab, search, copy, and paste.

Productivity bots can take the hard yards out of

improving everyday tasks like managing orders,

returns, and upgrades. With the freedom to focus on

the customer, your people can go beyond the basics

and start exceeding expectations.

Keep existing customers

Stronger together

See the world as your customers do

Pega and Vodafone | Customer centricityWalt Disney said it best, “Do what you do so well

that they will want to see it again and bring their

friends.” The fact is, creating strong engagement

between your company and your customers is a

business opportunity that should not be

overlooked. Most businesses are failing when it

comes to the customer experience, which is your

opportunity to draw in those same customers and

bring them closer towards Vodafone.

To achieve this, you need start looking at the world

in the same way your customers do: through

multiple touchpoints and all the different

processes, systems and transactions that happen

within those touchpoints.

Take the problems that Vodafone faced with overly

complex customer service and order management

functions. Working together has enabled us to

address these challenges. Today they are both

much simpler, and significantly faster. It’s

advancements like these that start to deliver the

kind of experiences that your customers not only

want – but expect.

“Do what you do so well that they will want to see it again and bring their friends.”

Walt Disney

9

Remember everything about your customersIn most organisations, customer views are fragmented

and incomplete. When consumers reach out for help or

marketers attempt to create tailored offers, it’s often

more frustrating than it should be. The Pega Customer

Decision HubTM is designed to remember everything

about your customers so you can always recognise

them and provide service that exceeds their

expectations. Real-time decision-making means you

can process data such as lead scoring, response

likelihood, propensity to purchase, and churn risk to

create a personalised profile for each customer.

Compiled data is then used to drive predictive analytics

and help identify potential future needs and outcomes.

Deliver an end-to-end experienceUnderstanding the customers end-to-end experience

is vital. Only by looking at the customer’s experience

through his or her own eyes–along the entire journey

taken–can you really begin to understand how to

meaningfully improve performance.

Predict customer needs with an ‘always-on’ digital brainPega’s AI-powered CRM suite is transforming the way

enterprises drive greater engagement across the entire

customer journey. Think of it as an ‘always on’ digital

customer brain that always allows you to put the

customer first. Powered by predictive analytics and

proven AI, the brain senses your customer needs and

always knows their mind set along the journey. It then

informs your systems, touchpoints and customer-

facing employees as to the right action to take at any

given moment in time.

Customer centricity

Customer Decision HubTM you’ll make best action

decisions across web, store, mobile, and chat.

What’s more, you’ll delight your customer, build a

better reputation, and enhance customer trust

and loyalty.

Anticipate and react to customer needsYou’ll be able to deliver personalised, consistent

connected experiences to customers across every

channel and every device. And, we’ll help you

achieve greater engagement with your ‘always on’,

‘always connected’ customers, anticipate and react

to their needs, and dynamically recommend the

next best actions – in real time. Most of all, robotics

and powerful end-to-end automation will give you

an important jump on your competition. Chatbots

for example are great at relieving time poor

employees, so you’ll benefit from faster, higher

quality customer interactions almost immediately.

Your opportunity to lead the wayToday there is a huge opportunity for you to take a

technological leap forward and lead the way in the

key area of customer experience. We’ll help you

define end-to-end customer journeys across

multiple touchpoints. So you can convert more new

customers and better serve existing ones. And

you’ll have the advantages of real-time discovery

and analytics to monetise your digital services.

Make better, more profitable decisions faster You’ll not only be able to collect the right data, but

equally important you’ll have the right tools to

aggregate, analyse and use it more effectively.

Being AI-enabled, you’ll be able to take the right

action at every customer interaction and with

powerful data insight, be able to predict a problem

even before it happens. In fact, with Pega’s

Pega and Vodafone | Customer centricity

11

Open the doors to new ways of workingPartnering with Pega will enable you to break down the

walls to innovation, increase productivity and empower

your people to design applications with low-code,

cloud-based visual tools that turn complexity

into simplicity.

What’s more, we can help you think more multi-

dimensionally (across products, channels, and even

regions) for every type of customer. We will bring

together your fragmented systems, silos and projects

under one platform. A powerful platform that enables

you to roll out new products, regions, or channels

without the problems of copying or rewriting your

application. It’s also a simple to use platform that can

start to deliver results in just weeks.

Remove legacy constraintsWith Pega, Vodafone will become a lot more agile

and be able to orchestrate work between humans,

robots, systems, and applications. You’ll also need to

be ready for those unexpected changes in the

market such as process re-engineering, new

applications and new collaborations. With cloud,

robotics, and business process automation you’ll

finally be able to remove legacy constraints so you

can serve customers quicker, and improve the

performance of your sales and service.

Customer centricity

peer group recommendations about the best

offers in every industry. Accenture have

monitored the impact on communications

companies and concluded that people have never

been more motivated to switch.

Sprint needed a new approach to retention if they

were going to keep customers happy and reduce

churn. They empowered agents with real-time,

contextual information that reflects how

customers see their organisation. Agents now

have insights on the latest sequence of events so

they can respond to customer needs with the

next-best action. And because of its AI-brain, the

platform learns from patterns of behaviour so

that Sprint can understand what combinations

leads to unhappy customers.

Best of all, the Pega PlatformTM is so intuitive it

doesn’t require involvement from IT. The teams

responsible for retention are in complete control of

the systems they use.

We’ve had the pleasure of working with

communications companies in every part of the

world. We understand global market pressures

and what they mean to Vodafone. We also know

your local markets and the challenges you face

from new ways of working. We can use our

extensive experience in technology to ensure the

latest learnings are applied to your journey.

Here are some success stories that can inspire

your thinking.

Sprint rebuilt their retention strategy in 13 weeks and reduced churn by 10%

The digital era has given customers access to

information 24/7. People spend so much time on

their mobiles it’s easy to read industry blogs and

Pega and Vodafone | partner with Pega

Partner with Pega

“We’ve seen a 50% increase in net promoter score. And ultimately, what matters, 14% churn reduction.”

Roger Sole, CMO, Sprint

13

Scotiabank accelerates customer engagement with agile AI for over 11,000 agentsUsing Pega’s Customer Decision HubTM, Pega MarketingTM, Pega Customer ServiceTM, and the Pega PlatformTM, Scotia developed their “Digital Factory” – an agile laboratory they could use to bring new products and experiences to market in record time.

Banking is no longer a Monday-Friday business – it’s about being available 24/7, 365 – wherever and whenever the customer comes calling. Scotiabank knew it needed a drastically different environment than its legacy systems were designed to handle. They knew they had to embrace real-time, personalised engagement – which meant getting new products, offers, and services to market faster, removing inefficiencies, and automating the decision-making process.

EE have quadrupled sales by embracing context-driven communicationsLike all communications companies, EE was determined to use every touchpoint as an opportunity to grow revenues. But with thousands of potential scenarios to accommodate, they needed to simplify how they acted on customer insights operationally.

They decided to flip their proactive strategy on its head by adopting predictive analytics from Pega. Now their agents have insights that are actionable on real-time inbound calls. Data about each customer’s contribution, cost to serve and risk of leaving is analysed by the Pega platform to calculate an offer that’s completely bespoke. This one-to-one investment approach has reduced churn and the returns rate by 10%. The number of successful offers has quadrupled and EE makes £4 more on every transaction. A 5% uplift in NPS proves that one-to-one engagement is the key to transforming customer satisfaction as well as

profitability.

“Pega is not just another vendor in the hype cycle. We use AI to automate decisions… making better contextual offers, more personal interactions, and respecting the customer’s preferences for communication.”

Jim Saleh, Sr. Director, Process Automation COE, Scotiabank

Scotiabank implemented the Pega Customer Decision Hub in less than two months. Prior to Pega, they selected which offers to show customers based on four-five week old, segment-level information – and the lag in data had depressed their results. Often by the time they engaged the customer, it was too late – they had missed the window of opportunity, as the customer’s needs had changed. With Pega and an eight week agile deployment, Scotiabank:

• Can now open commercial accounts in < 20 mins• Saw a 50% reduction in deployment time• Reduced an 18-day onboarding to 8 minutes

A proven track record of customer success

Cisco digitised their global service chain, cut service costs by 80% and boosted productivityAs one of the largest communications companies in

the world, Cisco is expected to provide a network

that’s always-on and always responsive. They knew

that maintaining availability in the digital era meant

digitising their customer services too.

By partnering with Pega, Cisco implemented

real-time “sense and respond” capabilities across

their global service chain to ensure customers

receive fast, accurate and consistent answers.

Process optimisation has eliminated four million

hours of customer waiting time and 93% of human

touchpoints that don’t add any value. Intelligent

call routing means customers speak to the right

person, the first time, and receive help in less

than half the time it previously took to solve their

problems. Not surprisingly, dispute management

is down by 12% and team productivity is up by

25%. Cisco’s ambition for world-class customer

service now means a frictionless experience for

customers with very high expectations.

To discover more, contact:

Kevin Taylor, Client Director for Vodafone Pegasystems Office: +44 1189651600 Mobile: +44 7884 665155 kevin.taylor@pega.com www.pega.com

Pega and Vodafone | partner with Pega

15

American Express are building services around new standards for personalised careCredit card companies like American Express must

contend with challengers who are digital natives

and consumers who are in a new position of

influence. They knew their customer service had

suffered by comparison and set out to build a

solution around the customer and the local,

personalised service they expect. American Express

calls this new focus “Relationship Care”.

A change in culture and passion to serve

customer needs is behind an integrated solution

that provies outstanding care, regardless of

location. Pega helped design the end-to-end

system based on a new relationship serving model.

Experts were brought in to optimise business

processes and knowledge management technology.

The results have paid off handsomely. Customer

satisfaction has tripled and spend has increased

by 10%. Expense and service margins have

decreased and attrition rates are four times

lower. Not surprisingly, customer handling time is

lowest for the best agents and the most satisfied

customers. With a new commitment to

deepening relationships, American Express has

successfully transitioned from a transactional,

cost-orientated business. Now they’re fully behind

winning “hearts, minds, and wallets” through

extraordinary care, at the right margin.

“The thing I like about Pega, as we’ve gone on this journey, is the integrated platform and all of the capabilities we have there. We keep discovering how we can push the envelope. And so far, we’ve not found a limit to that boundary of how far Pega can take us.”

Steve Power, Senior Director, Order Management Services, Cisco

“We set out to create an integrated solution that meets the needs of customers and exceeds their expectations.”

Jim Bush, Executive Vice President, World Service, American Express

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