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Building Analytical Organizations and

Benefitting from them:

The Entercard Experience

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Our mission is to make our customers’ everyday

lives easier by offering them smart payment and

financing solutions

We have over 80 products and 2 million customers across the Nordic region. Our pride is our

engaged people who enable us and our partners’ businesses to grow.

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In 2005, Barclays Bank and Swedbank

formed a Joint Venture to become the

leader in consumer financing in Scandinavia

EnterCard offers credit cards

and consumer loans

EnterCard was established based on

global competence and local expertise

Credit cards

and consumer loans

Services the

customers demand

Offer modern and smart solutions

Around 80 products and more than 50

partners including COOP, LO, Swedbank,

British Airways, and a number of independent

savings banks.

2 million card holders

450 employees

Joint Venture between

Swedbank and Barclays

Bank

2005

Sparebankkort

1999 EnterCard

2000 Swedbank

2003 +

Our History

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All our partnerships are unique

We use advanced analytical methods to find the right solutions to strengthen the relationship

between the partner and their customers or members.

Most of our partners are banks, larger retailers or membership organizations.

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Four strategic cornerstones: regulatory compliance and capability are

fundamental efforts for all of these

1 Powerful distribution and retention strategy

▪ Grow cards and consumer loans through partner distribution with

significant customer bases

▪ Grow consumer loans through agents, affiliates, online and cross-

sales for open market

▪ Strengthen retention strategy to prevent churn (requiring partner

commitments)

2 Simple and digital customer interfaces

▪ Simplify customer on-boarding journey

through common application system*

▪ Invest in future payments and lending

innovation

4 Automated and lean processes

▪ Continuous lean improvement to optimise customer

experience and increased quality and control

▪ Automate processes to gain efficiency and quality

▪ Increase self-service through digital engagement

▪ Consolidate and modernise IT platforms

REGULATORY

COMPLIANCE

3 Analytics to maximise returns

▪ CLM step-change to maximise customer engagement and value

▪ Strengthen agile data capabilities to enable new data sources

and uses (e.g. trigger based events)

▪ Strengthen digital analytics to grow online sales and improve

profitability

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Partner needs

Customer needs

Essentials For an Analytical Organization

Customer needs Partner brand

re:member

Ability to Measure

• Availability & accesibility of

performance metrics & data.

• Availability and accessibility

of Performance reporting &

MI.

Ability to Analyze & Innovate

• Analytical Skills.

• Analytical Tools.

• Data Sources.

Ability to React & Execute

• Culture of Data based

Decision Making.

• Embeding Analytics into

Business.

• Business & Analytics

Exchange of Ideas.

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Entercard Journey- Analytical by Nature

Company Always

Prided to have

Analytics Culture

Parents with

strong Analytical

Competencies and

Cultures

Test & Learn

Culture heavily

imbedded in both

Marketing & Risk

Management

Started with an

Analytical DNA

Investment in Data as

core competency

Strong Data

Systems were

developed from

inception

Developed

Regional Data

Warehouse- 2013

Developed

Processes to

regularly evaluate

external or new

data sources. 2013

Strengthen Performance

measurement & MI

Data cubes for

easily accessible

and detailed

Portfolio reporting

2012

Visualization tools

to bring reporting to

life. 2014

Management

Reporting

accessible through

mobile devices

2015

Real-time tracking

of Digital channels

2016

Strategic Analytics

Function set up-

Developing Analytics

as a Competitive

Advantage- 2013

Investing in Analytical

Skills.

Increasing Penetration.

Analytical Capabilities

strengthened outside

conventional areas

like Risk Management

and Marketing

Analytics

Investing in Speedier

& efficient Execution

Development of Data

Driven Customer Life

Cycle Management.

2015

Standardization &

Automation of

customer

Interactions 2015

Trigger Based

Customer Interaction

2015

Analytics in the

Boardroom

Management

decisions are Highly

data driven.

Business Cases are

heavily supported by

data.

Reduction of time

between

Business question

being raised &

Answers being found

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Case Study:-Customer Life Cycle Management- How

Data and Analytics Transformed it.

• Customers were treated with a number of campaigns and interactions not all of these interactions were profitable.

• It was difficult to measure the marginal impact of these interactions on the customer engagement and profitability.

• Significant number back book customers were migrating from higher profitability segments to lower profitability segments

and it was nor clear why.

• Reporting and MI Customer attrition and Balance attrition more visble and broght the problem up for business

discussions

Ability to Measure- How it helped in identifying the problems

Data Reporting

Me

asure

Three years back we started closely analyzing our customer management programme.

This is what data told us:

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Case Study:-Customer Life Cycle Management-

Continued

• Individual customer interactions were not having the desired effect on engagement & profitability.

• Some of the campaigns were sent too early and were targeting self activators and were not profitable.

• Customer behaviour was changing and customers were looking for a wider range of products.

• Customer needs were time sensitive so calendar based customer offers were not producing desired effect.

Ability to Analyze & Innovate.

Unders

tand

Innovate

• We redefined customer segments based on Behaviour & Lifestyle.

• Programmes were developed which were standardised and cosnsitent within segments and stage in life cycle.

• Predictive Analytics was developed to predict different customer behaviour allowing proactive action.

• Models were developed to optimize offers based on customer needs, preferences and behavioural triggers.

Based on available data we tried to understand the root cause of the problem:

...and come up with a number of data driven solutions

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Case Study:-Customer Life Cycle Management-

Continued

• Customer interactions were standardized across customer segments and Life Cycle stages.

• Customer interactions were completely automated to reduce time to market.

• Channels were optimized (and Digitalized) to reach maximum customers and improve returns on marketing investment.

• Customer interactions were made trigger based to become more timely and relevant for the customers.

• Offers and products were optimized using models based on customer behaviour and preferences.

• Control segments were set up to read performance and react fast.

• Performance MI was developed to continously was performance from,

Ability to React & Execute

React &

Execute

Changes were made to benefit from the solutions which were implemented in a test & control set up

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Conclusions & Summary

• Entercard started with inheriting a strong analytical and performance culture from its parents.

• Analytics was recognized as a core competency and a competetive advantage.

• To have an analytical culture it is critical to have

• Ability to measure performance

• Ability to analyze and innovate.

• Ability to react and excute

• Entercard invested heavily in Data, Reporting Analytical tools, Analytical skill building and building a company

wide analytical culture.

• Data and Analytics is heavily embeded in every part of the business and seen as driving continous improvement.

• Data driven Customer Life Cycle Management programme presents a case where customer management was

transformed using analytics.

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