Piet Cooreman

1
CARDS EXPO Africa 2009
ATM Aggregation Convergence of Channels

• Piet Cooreman
• Area Manager Africa
• Lagos,
• 17 June 2009

2
Agenda

• Introduction Diebold
• Drivers to the ATM as Multi-Service Channel
• Branch Strategy
• Customer Service
• Profitability of the ATM

3
Diebold
Experience Dedication to
Self-Service

• 1859 Charles Diebold creates DIEBOLD bank
  security,
• 1969 First ATM sold and installed in the US by
  Diebold,
• 1990 Diebold IBM joint venture Interbold,
• 1997 Diebold buys back IBM shares, starts
  expansion
• 2000 Diebold acquires Self-Service Olivetti
  Bull in EMEA
• 2003 Introduction worldwide of Opteva Agilis
  family
• 2005 Introduction in EMEA of Managed Services
• 2007 Expansion in EMEA of Outsourcing

4
Diebold a global company

• On the New York Stock Exchange
• 3.2 Billion USD revenue worldwide
• 60 of revenues coming from services
• 60 of revenues coming from international markets
• Over 17,000 associates
• Over 500.000 Diebold ATMs installed worldwide
• Operations in over 200 countries (100 direct, 100
  thru partners)

5
Self-Service Market Share 2009
North America
Others
WNI 8
7
Diebold 1
in Self-Service in
North-America
DBD 53
NCR 32
Bank Segment (Includes Hardware, Terminal
Software, Professional and Traditional Services)
6
Diebold International today
11 plants worldwide Canton Budapest Shanghai
Ohio Hungary China
7
Africa and Diebold Presence
20 partners representing Diebold in Africa in 50
markets
Distributor HQ
Distributor Sub
8
Priorities Diebold EMEA

• Deposit Automation Solutions
• Added Value Services
• Total Outsourcing ( Managed Services)

Strategic Initiatives
9
Diebolds Vision Drivers to the Self-Service
Business
Branch Strategy
Advisory Sales Customer Relations
Profitability
Cost efficient Revenue generating
for Customer Retention and/or acquisition
10
Branch Transformation
Today
Tomorrow
11
A pleasant place with well lit ATMs (1)
12
A pleasant place with well lit ATMs (2)
13
Mobile Kiosks (1)
14
Mobile Kiosks (2)
15
Container Branches (1)
16
Container Branches (2)
17
Mobile Branches (1)
18
Mobile Branches (2)
19
Opteva family full range covering all needs 160
000 ATMs around the world
Indoors Cash dispenser Full Functions ATMs
TTW Cash dispenser Full Functions ATMs
Non Cash Terminal
121
161
562
760
522
522TTP
720
Drive-up
Merchant Deposit Terminal
Cash deposit recycling machine
TDD
740
328 EFD
328
20
Diebolds Vision Drivers to the Self-Service
Business
Branch Strategy
Advisory Sales Customer Relations
Profitability
Cost efficient Revenue generating
21
Unique features in
Security, Convenience
Flexibility

• Security
• Card reader anti-trapping, anti-skimming, and
  anti-fishing security features
• Consumer awareness mirrors
• Camera
• Ink dye staining of bank notes
• User friendly
• 151 Large viewable area
• Ergonomics of customer interface
• Full ADA Compliance
• Guidance LEDs reducing transaction time
• Minimized footprint service area

22
CONVENIENCE SPEEDleading to higher performance
Diebold Exclusive

• Reducing Avg. Transaction Time by 1/3 due to
• Guidance LEDs
• Single Note Divert

23
FLEXIBILITE

Demand for New Fonctionalities
Printing Statements
36.0
Cash Deposit
36.0
Top-up
33.4
Bill Payment
31.4
Cheque Deposit
24.2
Buying Tickets
18.1
Currency Exchange
9.8
Change Note to Coin
8.3
24
Opteva 760
Outdoors
Multi-functional ATMs
25
Opteva 760
Outdoors
Multi-functional ATMs

• AREA 1
• Card Reader

Area 1
Area 2
Advanced Function Dispenser (AFD)
26
Opteva 760
Outdoors
Multi-functional ATMs

• AREA 1
• Card Reader

• AREA 3
• Receipt Printer
• Statement Printer A4
• Passbook Printer

Area 3
Area 1
Area 2
Advanced Function Dispenser (AFD)
27
Opteva 760
Outdoors
Multi-functional ATM

• AREA 1
• Card Reader

• AREA 4
• Cheque Deposit (IDM)

Area 4

• AREA 3
• Receipt Printer
• Statement Printer A4
• Passbook Printer

Area 3
Area 1
Area 2
Advanced Function Dispenser (AFD)
28
Opteva 760
Outdoors
Multi-functional ATM

• AREA 1
• Card Reader

• AREA 4
• Cheque Deposit (IDM)

Area 4

• AREA 3
• Receipt Printer
• Statement Printer A4
• Passbook Printer

Area 3
Area 5

• AREA 5
• Bulk Note Acceptance
• (BNA)
• Envelope Deposit
• Card Reader

Area 1
Area 2
Advanced Function Dispenser (AFD)
29
Opteva 760
Outdoors
Multi-functional ATM

• AREA 1
• Card Reader

• AREA 4
• Cheque Deposit (IDM)

Area 4

• AREA 3
• Receipt Printer
• Statement Printer A4
• Passbook Printer

Area 3
Area 5

• AREA 5
• Bulk Note Acceptance
• (BNA)
• Envelope Deposit
• Card Reader

Area 1
Area 2
Advanced Function Dispenser (AFD)
AFD Coins BNA Automatic Exchange of
Foreign Currencies
30
Opteva 760
Outdoors
Multi-functional ATM

• AREA 1
• Card Reader

• AREA 4
• Cheque Deposit (IDM)

Area 4

• AREA 3
• Receipt Printer
• Statement Printer A4
• Passbook Printer

Area 3
Area 5

• AREA 5
• Bulk Note Acceptance
• (BNA)
• Envelope Deposit
• Card Reader

Area 1
Area 6
Area 2
Advanced Function Dispenser (AFD)
Dispensing Coins
AFD Coins BNA Automatic Exchange of
Foreign Currencies
31
Opteva 760
Outdoors
Multi-functional ATM

• AREA 1
• Card Reader

• AREA 4
• Cheque Deposit (IDM)

Area 4

• AREA 3
• Receipt Printer
• Statement Printer A4
• Passbook Printer

Area 3
Area 5

• AREA 5
• Bulk Note Acceptance
• (BNA)
• Envelope Deposit
• Card Reader

Area 1
Area 6
Area 2
Advanced Function Dispenser (AFD)
Area 7
Bar Code Reader (BCR)
Dispensing Coins
AFD Coins BNA Automatic Exchange of
Foreign Currencies
BCR BNA Bill Payment
32
Diebolds Vision Drivers to the Self-Service
Business
Branch Strategy
Advisory Sales Customer Relations
Profitability
Cost efficient Revenue generating
33
Total Cost of OwnershipGlobal Figures

• Average estimated annual costs per ATM
• Average 28,735
• N-Am. 27,588
• EMEA 28,700
• S-Am. 33,743
• Asia 22,675
• S-Africa 35,420

Hardware 13
Source Diebold Global Marketing - Year 2004
34
ATM Life Cycle Costs (TCO)
First-line Maintenance 12
The initial ATM purchase is just the beginning
Second-line Maintenance 8
Initial Purchase Cost (Depreciation)
Running Cost
Cash Replenishment 20
15
85
Cost of Cash 15
Processing 12
Telecomm. 8
Consumables, Security, Insurance 5
ALWAYS BEGIN WITH THE END IN MIND!
Infrastructure 5
35
Basic Opteva Some Unique Features to Increase
Your ROI Reduce Your TCO
USB Architecture
Enhanced Operator Interface
Screen Monitoring
Large Receipt Role
Advanced Dispenser 5 cassettes
Single Note Divert
36
The AFD some main Benefits
Diebold Exclusive

• BIGGER AUTONOMY
• 5 cassettes of 3000 notes 15.000 notes
  
  reducing the frequency of replenishments
  by 1/3 compared to
  traditional ATM
• Single Note Divert
  (5 times
  less rejected notes than competition)
  - optimizing the use of
  good quality notes
  - reducing the frequency of replenishments
  even more

37
The AFD some main Benefits
Diebold Exclusive

• BIGGER AUTONOMY
• 5 cassettes of 3000 notes 15.000 notes
  
  reducing the frequency of replenishments
  by 1/3 compared to
  traditional ATM
• Single Note Divert
  (5 times
  less rejected notes than competition)
  - optimizing the use of good quality
  notes -
  reducing the frequency of replenishments even
  more

38
The AFD some main Benefits
Diebold Exclusive

• BIGGER AUTONOMY
• 5 cassettes of 3000 notes 15.000 notes
  
  reducing the frequency of replenishments
  by 1/3 compared to
  traditional ATM
• Single Note Divert
  (5 times
  less rejected notes than competition)
  - optimizing the use of good quality
  notes -
  reducing the frequency of replenishments even
  more

Reducing TCO up to 10!!! compared to
traditional ATM ( up to 2/3 of HW or 100 of HW
maintenance
39
Reducing TCO Generating Revenue With Opteva
Basic Features
Projected Annual Savings
Reducing TCO
Generating Revenues
Sustained ATM Life-Cycle Cost Savings
40
Software Services ReducingThe Operational
Costs
Integrated Services
Event Monitoring SW Distribution
41
Software Services ReducingThe Operational
Costs
Integrated Services
Event Monitoring SW Distribution
Cash Management
42
Software Services ReducingThe Operational
Costs
Integrated Services
Event Monitoring SW Distribution
Cash Management
Security
43
Software Services ReducingThe Operational
Costs
Integrated Services
Event Monitoring SW Distribution
Cash Management
Security
Electronic Journal
44
Reducing the TCO of Your ATM
with Software
HardWare
SoftWare
Reducing TCO
Reducing TCO
Generating Revenues
45
How to Generate New Revenues?
How to increase the number of transactions?
Availability ? more trust, more customers

• More Functionalities
• ? evolve from cash dispenser to multi-functional
  ATM

Added Value Services ? optimize the use of the
ATM
46
Deposit Automation
Generating New Revenues
Integrated Services

• Allowing various services like
• Bill payment
• Forex
• Prepaid cards etc.
• Recycling

47
Added Value Services
Generating New Revenues
Integrated Services
Advertising
48
Added Value Services
Generating New Revenues
Integrated Services
CRM
Advertising
49
Added Value Services
Generating New Revenues
Integrated Services
CRM
Advertising
Biometrics
50
Added Value Services
Generating New Revenues
Integrated Services
CRM
Advertising
Biometrics
Customized Applications, p.e. mobile application,
bill payment, top up
51
Added Value Services
Generating New Revenues
Integrated Services
CRM
Advertising
Customized Applications, p.e. mobile application,
bill payment, top up
Biometrics
52
Reducing TCO of Your ATM
with Opteva basic features
HardWare
SoftWare - Services
Reducing TCO
Reducing TCO
Generating Revenues
Generating Revenues
53
Discussion

• OPTIMIZED PROFITABILITY

Reduced TCO Increased ROI
Depreciation of ATM in lt 1 year
54
Agenda

• Thank You!

• Questions Answers