Connecting consumers to a digital future - Singtel
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Group Consumer Connecting consumers to a digital future As consumers’ lives become more digital, we’ll bring them the convenience they need, connecting them to everything they love just as they’d want it. With our unparalleled network experience and digital services, access to mobile financial services and rich entertainment content, smart living will be even faster and easier. We’re investing in new technologies and innovations to open up a world of digital possibilities, enriching their experiences, and connecting them to a digital future. 29
Group Consumer Singapore As Singapore’s fastest and widest network provider, delivering a great customer experience is our number one priority. We are committed to going beyond coverage and connectivity to deepen our relationship with customers. Besides the latest devices and a wide range of plans, we also offer a host of innovative digital and lifestyle products and services that enhance their lives. Engaging A digital customer experience content More customers are engaging with us through our digital channels with Singtel TV subscribers watched a total of 1.1m 179,000 managing services through My Singtel app and hours of television a month. 26% of sales transactions carried out online. Source: SG-TAM CATERING TO CUSTOMERS’ popular shows such as Game of with the first Singapore-Australia 5G DIGITAL LIFESTYLE NEEDS Thrones. augmented reality video call, made To enrich our customers’ digital to our Optus colleagues in Sydney, lifestyles, we developed exciting EXTENDING NETWORK LEADERSHIP Australia. new products and services to On the network front, we continue to meet their diverse needs. Our all- deliver on our commitment to provide DOUBLING DOWN ON CONTENT AT digital mobile plan, GOMO caters superior connectivity and coverage. HOME AND ON-THE-GO to millennials and digital natives For a record 17 consecutive quarters, Quality content is an important who need huge data allowances we topped IMDA’s 4G quality of part of our customer engagement and fuss-free terms which allow service chart with a 99.9% outdoor strategy. We continue to enhance our them to sign up for and manage coverage score. Singtel TV and Singtel CAST offerings their plans online. We now offer an to connect customers to premium Amazon Prime membership that We are paving the way to 5G by content at great value and on their comes with 2-hour delivery times launching Singapore’s first 5G pilot preferred platforms. During the for groceries and entertainment network and first live 5G facility year, Singtel TV launched e-Le, our content perks. We also refreshed in collaboration with Ericsson and second in-house Asian entertainment our XO plans with an expanded Singapore Polytechnic. Called 5G channel, extended our Premier League line-up, bundled with 24 months Garage, the facility allows companies rights and added Discovery lifestyle of premium HBO GO content on to ideate and test 5G use cases. channels, as well as the full-suite of us, so customers can watch hugely We also created network history HBO channels. We now offer Premier 31
OVERVIEW League matches to everyone in We know many of our customers are increasingly turning to our self-help BUSINESS REVIEWS Singapore, with the contract-free gamers who count on us for reliable platforms such as our 24/7 self- Sports Plus pack on Singtel CAST. and secure broadband connectivity. serve kiosks and My Singtel app In 2018, we added an ultrafast for on-demand assistance. More POWERING UP OUR HOME broadband service with a dedicated than 65% have opted to complete SERVICES 1Gbps bandwidth specially designed transactions on these channels. Singapore’s Open Electricity for gaming. We will continue harnessing Market initiative marked a new technologies such as AI, to provide chapter for us. We launched Singtel TRANSFORMING THE CUSTOMER customers with top-notch service Power to offer electricity plans to SERVICE EXPERIENCE innovations that add value and our customers for the first time, We are choosing to engage our convenience to their lives. GOVERNANCE AND SUSTAINABILITY partnering Geneco to deliver savings customers in new ways, strengthening to residential households. With the our digitalisation efforts across key addition of Singtel Power, we are touchpoints – at our Singtel shops, excited to be a convenient one-stop online shop, hotline, web chat and shop for our customers’ power and My Singtel app. In addition to making communications needs. purchases online, customers are PERFORMANCE FINANCIALS ADDITIONAL INFORMATION Singtel Consumer Singapore CEO Yuen Kuan Moon with Jonathan Spink, CEO, HBO Asia mark our collaboration in the presence of iconic Game of Thrones characters, the ‘Night King’ and his ‘White Walkers’. Singapore Telecommunications Limited | Annual Report 2019 32
Group Consumer Australia Optus is going further to connect customers with exceptional service, network and value. These three areas underpin our vision to become a world class digital service provider and stay ahead of the game. Leading the Mobile network way in 5G leadership Launched Australia’s We have invested 1st commercial 5G service. A$5.9b since 2015 to improve our networks. On our way to deliver 1,200 Our 4G network reaches 2020 5G sites by 97.3% of the population. LEADING IN 5G TECHNOLOGY 5G sites by March 2020, more Optus Since 2015, Optus has invested A$5.9 In January 2019, Singtel, Optus and customers will soon be enjoying the billion to improve our network reach, Ericsson successfully made a 5G 5G experience. capacity and quality. Our 4G service video call between Singapore and now covers 97.3% of the Australian Australia which used augmented Fixed wireless access is the first population and we will continue to reality - a worldwide first. This proved usable application for 5G. As 5G improve our network in the areas our 5G agility and was a key step in infrastructure rolls out, mobile, IoT where Australians live, work and play. our commitment to lead 5G delivery and applications yet to be invented in Australia. We also revealed the first will leverage our next-generation In regional Australia, we reinforced details of our game-changing Optus network and provide Optus customers our commitment to a strong 5G Home Broadband service in the with even more amazing experiences. nationwide network with our Australian Capital Territory and in executive team striking out on visits the process, became the first carrier PROVIDING PREMIUM NETWORK across the nation, including Hobart in Australia to offer customers a 5G COVERAGE and Launceston in Tasmania and fixed wireless access service. Optus continues to deliver premium Adelaide and the Barossa Valley in network coverage and connectivity Southern Australia. The executive With our comprehensive spectrum that customers need, where they team spoke with customers, local assets and robust plan to deliver 1,200 need it, at a competitive price. businesses and community groups, 33
OVERVIEW and unveiled investment in the live and on-demand content, along CREATING THE OPTUS OF BUSINESS REVIEWS areas visited. The independent with expert analysis and highlights. THE FUTURE and respected P3 Connect Mobile With our business transformation now Benchmark for 2018 ranked Optus as Optus has doubled down on football in full swing, we are embracing new number one across voice and data for content, extending its Premier League technology and looking to efficiencies smaller towns and roads – rights and adding UEFA Champions through digitalisation, advanced a recognition of the strength of our League, UEFA Europa League and analytics and AI as we evolve network. UEFA Nations League to Optus Sport. into a more innovative and agile organisation. Along with this strong, growing Along with this, National Geographic’s nationwide network, Optus offers enhanced, new-look app, in We are making sure our customers GOVERNANCE AND SUSTAINABILITY Australians choice, value, and partnership with Optus, provides see the benefits too. We know more competitive pricing. users with a personalised content and more customers wish to make experience that offers live streaming changes and solve issues digitally, so DELIGHTING CUSTOMERS channels, an immense photo library, we continue to provide more digital WITH CONTENT digital articles, National Geographic options for them to do so, including We also know many of our customers magazine archives and more than in-app features for My Optus app value content, and our content 3,000 captivating short-form videos such as activation, and improved offerings are delighting customers. As and documentaries, including messaging and engagement. the home of elite European football, new content produced with Optus Optus Sport provides customers with exclusively for the app. PERFORMANCE FINANCIALS ADDITIONAL INFORMATION Singapore Telecommunications Limited | Annual Report 2019 34
Group Consumer The CEO Conversation Connecting customers to a digital future Increasingly connected digital lifestyles have dramatically changed what customers expect of telcos. Consumer Singapore CEO Yuen Kuan Moon and Optus CEO Allen Lew share how Singtel and Optus are evolving to better serve the digital consumer and stay competitive. As the Singapore and Australia experiences. Sustained mobile can expect us to go bigger on markets get more crowded, how network investment emphasises digital and lifestyle services and are Singtel and Optus staying our network leadership claims be the one-stop shop for all their ahead of the competition? particularly with the introduction of communications and lifestyle needs. Optus 5G Home Broadband – the Moon: We are upping the ante to first service of its kind in Australia. Allen: The telecommunications create more value for our customers. Our exclusive content is a key industry has undergone significant From connectivity to content, we differentiator. Our customers can’t disruption and the landscape we face are creating a range of services get enough of Optus Sport and our today is very different from before. and products that give our different expanded global content offering Our world is increasingly reliant on customer segments what they need with National Geographic. mobile devices and network access. at best value rates. One example is Mobile devices are often the first our XO mobile plans bundled with up Our focus areas of exceptional value, thing we look at in the morning and to 24 months of HBO GO which gives exceptional network and exceptional the last thing before we go to bed customers the services they need customer service are also resonating – and in between, they allow us to with the content they want. with our customers. communicate, share and stream with our family, friends and co-workers. As technology evolves, the Singtel What is the focus of your strategy? With increased dependency on our customer experience is being services, customers’ expectations are transformed radically. We have Moon: We are focused on higher than ever and we’re going ramped up digitalisation, making it accelerating the next phase of further to deliver against them across faster and easier for customers to our transformation, to go beyond all parts of our business. engage with us. 26% of our customers our core carriage foundations to now make purchases online and deliver the best customer experience What services are important to the about 65% engage with us through possible, whether it’s online or in- digital consumer and how are you digital self-help channels. person. Our customers tell us they differentiating yourselves in these want more content, convenience areas? Allen: Optus continues to and digital engagement, with differentiate through our premium none of the fuss. This presents a Moon: Exclusive and differentiated national network, exceptional value great opportunity to deepen our content is what sets us apart and offers and game-changing customer relationship with them. Customers customers are thrilled with our 35
OVERVIEW BUSINESS REVIEWS GOVERNANCE AND SUSTAINABILITY We are focused on accelerating With increased dependency on our the next phase of our services, customers’ expectations transformation, to go beyond are higher than ever and we’re our core carriage foundations going further to deliver against to deliver the best customer them across all parts of our experience possible. business. Yuen Kuan Moon Allen Lew CEO, Consumer Singapore CEO, Optus PERFORMANCE Singtel TV and Singtel CAST offerings they want it. For example, with exploring potential 5G use cases, of Premier League football, Discovery sports being such a huge pastime building an ecosystem and preparing lifestyle channels and ethnic content in Australia, I’m proud that Optus is our core infrastructure for when on in-house channels Jia Le and e-Le. broadcasting all 52 matches of the spectrum is allocated and standards On average, each household watches 2019 FIFA Women’s World Cup which are finalised. more than 100 hours of content a commences in June and cements month across multiple platforms our reputation as the premium Allen: 5G is here, and it’s a game so content is a key priority and we broadcaster of elite football in changer. It presents significant FINANCIALS will continue to invest in boosting Australia. consumer and enterprise our line-up. In addition, customers opportunities, and as a provider of can expect more personalisation, As we enter a 5G era, what can 5G services, I see a major role for such as real-time recommendations customers expect from you in this Optus in the digitalisation of the on products and services relevant area? economy and the economic benefits to their needs, and smarter, on- that will result from it. demand, digital customer service. Moon: We are seeing 5G deployed as fixed wireless access solutions We have launched our 5G Home Allen: Globally, there’s a significant in large countries to enable high- Broadband plans and set a robust ADDITIONAL INFORMATION shift in viewing behaviour and speed internet. In Singapore, it’s rollout plan to deliver 1,200 5G video consumption. Optus has long a different story. With residential sites by March 2020. Soon, Optus recognised that content is king in a fixed broadband penetration customers across Australia will be digital world and we are investing rates at almost 94%, consumers enjoying the 5G experience. to bring premium content to our already enjoy one of the world’s customers where they are, whenever fastest connections. We are actively Singapore Telecommunications Limited | Annual Report 2019 36
Group Consumer Regional Associates As consumers in the emerging markets grow increasingly reliant on their phones for access to essential services, our regional associates have seen the demand for data and digital services increase dramatically. This has spurred the Singtel Group to build a regional ecosystem of digital services to serve the some 690 million mobile customers across our regional footprint. Asia’s first cross-border Game on mobile payment alliance Our inaugural PVP Esports Championship attracted over 18,000 VIA connects and will soon more than add some 6m mobile wallet 14m gamers from around the region with the mobile wallet users and live finals watched by 13m users to over 1.7m 200,000 viewers online. merchants in merchants in the region. Singapore and Thailand DIGITALISING TO ENHANCE gaming directly through their own and Globe expanding their fixed CUSTOMER EXPERIENCES mobile apps, such as My Airtel, AIS wireless home base in the Philippines. The growth in demand for digital Play and Telkomsel’s MAXstream. services across the region has seen IMPROVING MOBILE FINANCIAL our associates respond quickly To meet the growing demand for OFFERINGS with innovative digital products data, our associates collectively As a Group, we are improving our and services. They are investing invested S$8.9 billion in their mobile financial offerings to bring resources to digitalise processes, networks over the past year to deliver greater convenience to customers developing channels such as online faster, seamless connections and and drive financial inclusion. We self-care services and fielding prepare for the next generation of are enhancing our mobile wallets, virtual assistants to help them better connectivity. expanding our merchant networks engage customers and handle the and introducing more services that higher volumes of interactions from a They also continue to push services will help our customers, in particular growing customer base. Digitalisation and solutions for small homes and the unbanked or under-banked, plug has also allowed them to deliver businesses that complement their into the digital economy. In Indonesia, more targeted and personalised mobile offerings, with AIS making Telkomsel’s Tcash is now LinkAja, a content such as music, video and inroads with AIS Fibre in Thailand, single mobile payments platform to 37
OVERVIEW facilitate cashless transactions, from growth potential in the region. To PVP Esports Championship was a BUSINESS REVIEWS utilities and transport payment to realise that vision, we debuted VIA, huge success with the live finals e-shopping, all without the need for Asia’s first cross-border mobile played before a sold-out audience a bank account. In the Philippines, payment alliance. VIA gives travellers and broadcast on major streaming Globe has embarked on data-driven the convenience of using their local platforms such as Twitch, Facebook lending, assigning a “trust score” wallets that are part of the alliance at and Douyu. to customers based on their GCash participating merchants in the region usage to determine credit worthiness. at competitive exchange rates, and We are extending our gaming focus widens the reach of small merchants by exploring opportunities with In Singapore, Dash partnered to millions of consumers. Initially like-minded partners to drive the with Apple and VISA, extending its launched between Singapore and development of a vibrant gaming GOVERNANCE AND SUSTAINABILITY acceptance network internationally Thailand with AIS and Kasikornbank, community in the region. We signed through ApplePay and VISA VIA will soon be available in more an MOU with South Korean gaming Contactless points, and added countries such as Malaysia through giant SK Telecom to grow regional Myanmar to its existing remittance Axiata Digital’s Boost wallet and Japan gaming leagues, develop content corridors. through Netstars. and explore game distribution, with the aim of delivering a more BUILDING A MOBILE FINANCIAL ENGAGING CONSUMERS THROUGH holistic gaming experience for our SERVICES ECOSYSTEM ACROSS GAMING AND DIGITAL CONTENT millennial customers. THE REGION To connect with a millennial audience, The Group is leveraging its telco the Group is moving towards assets and scale to build a mobile becoming a leader in offering high financial ecosystem that will unlock quality gaming content. Our inaugural PERFORMANCE FINANCIALS ADDITIONAL INFORMATION Singtel and AIS executives with Guest of Honour Thailand’s Minister of Digital Economy and Society, Dr Pichet Durongkaveroj (centre), at the launch of VIA in Bangkok. Singapore Telecommunications Limited | Annual Report 2019 38
Group Consumer Regional Associates The CEO Conversation Building an ecosystem of digital services for the region Consumers are adopting a more digital lifestyle as the region pushes toward a connected digital economy. How is Singtel leveraging the strengths of the Group to stay ahead? International Group CEO Arthur Lang shares his thoughts on our regional strategy. Some of Singtel’s associates deliver fibre broadband in Thailand Why have you decided to expand are facing fierce competition and Globe ready to launch 5G fixed into mobile financial services with in their markets. What is wireless home broadband services in Dash and VIA? the Group’s strategy in this the Philippines later this year. We’re challenging environment? also focused on product and services Arthur: The domestic wallet innovation to deliver a better customer business is fragmented and hard to Arthur: It remained a challenging experience for our 690 million mobile differentiate, with demand for mobile year for Airtel, but the market customers. For instance, in Indonesia, financial services – not just payments in India is starting to stabilise a vibrant hub for start-ups, Telkomsel – on the rise. Against this backdrop, and return to a healthier and established an investment fund to we see the potential for our mobile more sustainable structure. help promising companies accelerate wallet Dash to be the foundation on With customers consuming an growth. This is with a view of tapping which to develop a larger ecosystem average of 11Gb of data each into their ideas to enhance our content of financial services. As we expand month, I remain optimistic about and digital services offerings that will its merchant network and add more India’s future in a data-driven help us monetise data growth. services, Dash is evolving into an economy. Elsewhere in the region, app for all our customers’ everyday we are starting to see reduced The associates remain some of the financial and lifestyle needs whether headwinds. strongest operators in their markets, in-store or online. Our associates are and with high mobile penetration and also executing similar strategies with It has always been our strategy mobile-first lifestyles in the region, their own mobile wallets. to lead in network superiority I am excited about the tremendous and we are strengthening this growth potential of Asia’s emerging We created VIA, Asia’s first cross- leadership through continued markets as we build a regional border mobile payment alliance, to investment which has seen AIS ecosystem of digital services. differentiate our wallets from many 39
OVERVIEW pool of customers. The reach of the BUSINESS REVIEWS network has tremendous potential to benefit everyone. With such a platform, we can branch out to offer a greater range of financial services. We look forward to engaging the rest of our associates and inviting more partners to VIA as we enter into the second stage of this journey. You’ve also made similar bold GOVERNANCE AND SUSTAINABILITY moves in esports. How do your esports initiatives synergise with your other digital businesses? Arthur: Our esports initiatives are part of the Group’s larger efforts to grow our digital content business and engage millennial and Gen Z audiences. Our services such as The associates remain some of the strongest content, high-speed broadband and payments, along with the operators in their markets, and with high billing relationships we have with mobile penetration and mobile-first customers, put us in a unique position to offer digital services, making PERFORMANCE lifestyles in the region, I am excited about gaming more accessible while improving the experience. the tremendous growth potential of Asia’s emerging markets as we build a regional The aim is for PVP, our gaming brand, to be a major ecosystem partner in ecosystem of digital services. the regional gaming and esports scene. Through our PVP Esports Arthur Lang leagues and collaboration with like- CEO, International Group minded partners, we hope to bring FINANCIALS gaming into the mainstream and connect with gamers and youths. localised wallet systems and to interoperable platform that allows We are excited to be sponsoring address the fragmented payments any wallet to easily tap into a larger Singapore’s first esports SEA Games scene in the region. We see both consumer and merchant network teams in 2019 and look forward Dash and VIA as twin engines of across Asia. This means partners can to bigger things to come. We growth in mobile financial services. access a huge addressable market see tremendous opportunity in with us as we build up the alliance, the network effect of the gaming ADDITIONAL INFORMATION How are you building on VIA to just as our customers will enjoy community and believe in the long- create a larger financial services greater connectivity and shopping term prospects of this market. ecosystem? options across the region. Arthur: VIA is the key to connecting This also opens up smaller hyper- the region and beyond with an local merchants to a much larger Singapore Telecommunications Limited | Annual Report 2019 40
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