subscribed 2015: connected products + subscriptions = relationships

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Evolving customer relationships through connected products and subscription

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Evolving customer relationships through connected products and

subscription

Cyril Perducat

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*

Cambridge, MA USAExecutive Vice PresidentDigital Services Transformation

Schneider Electric

We are the global specialist in energy management and

automation

FY 2014 revenues

€25 B ~5% 43% ~170,000

of revenues devoted to R&D

of revenues in solutions

people in 100+ countries

Schneider Electric

We develop best-in-class technology and solutions to

make our customers’ ecosystem safe, reliable, efficient, and sustainable

Outcome economy

Schneider Electric recognizes evolving customer

expectations

Business transformation

We have significantly transformed our company to address the new customer

needs

REVENUES

SOLUTIONS(in % revenues)

GEOGRAPHY MIX(in % revenues)

€10 B €25 B2005 2014

30% 43%

Internet of Things

Connecting machines to control systems is an essential

step in our solutions transformation

Physical Systems Cyber SystemsCyber-Physical

Systems

Schneider’s Modicon recognized as the icon for 70’s Industrial Revolution

Customer firstSolution is about end to end

customer support and we built a complete portfolio

WWW

Green Buildings

Finance

Healthcare

F&B

Marine

Retail

Life Sciences

Oil & Gas

Smart Cities

Utilities

Hotels Cloud & Telecom

Mining

Transportation

Data centers

POWER(low and medium voltage; secure

power)

AUTOMATION

SOFTWARE(enabling integration)

Digital strategy

Schneider Electric Internet of Things pioneering story

boosted by our digital strategy

RelationshipsConnecting our products,

systems, services and software is essential in our digital

journey

… better understanding of their profile and need.

We provide operational efficiency and sustainability services.

New engagement model and customer value creation enable innovation in business models

Connecting customers provides…

Business models Evolving customer relationship enables new business models

Information provider Services provider Ecosystem brokerage

> Dashboards > Reports> Alerts

> Consulting> Digital services> Managed services> Field services

> Monetize relationships within the ecosystem

> Infrastructure as a services (SaaS)

OPERATIONAL EFFICIENCY SUSTAINABILITY

Facility InsightsServices and technology to

improve facility performances and operations

Digital Services Platform

Measure

1Collect & connect

2Store & analyze

3Empower

4

>Alarms>Reports>Diagnosis

ComX’ 200ElectricityWater & gasAssets

CUSTOMER BENEFITS

> Energy management

> Asset Management> Enhanced partner

relationship

Key takeaways

Outcome economy requires customer focus

Schneider Electric IoT pioneering is milestone in the solution shift

Offer transformation requires consistency in the business model evolution

HELP PEOPLE MAKE MOST OFTHEIR ENERGY