Online not just an addon channel:

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• Online - not just an add-on channel
• The RaboDirect launch in Ireland
• Greg McAweeney
• General Manager, RaboDirect

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Rabo who?

• A Cooperative bank for more than 100 years
• Largest financial services provider in the
  Netherlands
• AAA Rated Bank
• Worlds Safest Privately Owned Bank in 2004
• Rabobank.nl is Europes Largest Online bank
• Rabobank Ireland in IFSC since 1994
• Acquired ACCBank in 2001
• Own 37 of Eureko (owner of Friends First)
• RaboDirect.ie Irelands first internet bank

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A complex market to enter
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Why Ireland?

• OPPORTUNITIES
• Excellent GDP growth rates
• High margin creates potential for low cost
  operators
• SSIA factor
• Existing presence in Ireland
• Customer disenfranchisement
• Lack of competition
• Young population

• CHALLENGES
• Zero brand awareness
• Customer inertia
• Low broadband penetration
• Online banking population not massive
• Tackle online security concerns
• Anti competitive tactics

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RaboDirect Model Commoditise Products
Personal Advice/ Physical Service
Self Service
Traditional Retail Banks
Product Complexity

• Commoditise
• Transparency
• Low cost delivery
• Value Advocacy

Migration

• RaboDirect
• Deposits
• Mutual Funds
• Lending

Level of Customer Advice
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The Evolution of an e-consumer
Sources Mintel/Jupiter

• This evolution can take up to 2 years
• Its vital that this transition period is
  shortened
• Address the barriers head on

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But arent all banks the same?

• Hostility to Irish banks in focus groups
• We are actually different
• Cooperative (no institutional shareholders to
  please)
• Distinct brand values that we try to incorporate
  across all channels including customer
  correspondence
• Pioneering Challenger Brand
• Straight talking cut out the bank speak
• Honest
• Empathetic with our customers
• Slightly irreverent but not disrespectful
  (hopefully!)

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Integrated Communications
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Mix of traditional and new media

• Multimedia agency?
• Traditional media accounts for the majority of
  our spend
• Internet spend will grow disproportionately
• Traditional media spend will become less
  effective as media becomes more fragmented
• Ad avoidance is a real issue for online as well
  as offline
• Electronic channels are excellent for generating
  sales leads
• Selective email marketing is more effective than
  telemarketing

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Consumers Key Concerns
Lack of Physical Branch Presence
Reassuring Factors

• Emotional requirement in case of problems/issues
• Representation of commitment to Irish market
• Reassurance on accountability in the case of
  disputes

• Telephone call centre in Ireland
• Irish support/backup
• Link with ACC Bank
• Worlds Safest Private Bank

Awareness Familiarity with the Brand

• Endorsements/recommendation from Irish financial
  experts
• For some, would only rely on personal
  recommendation
• Advertising campaign to raise awareness
• PR essential
• Promote 3 rate in financial rate tables

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Campaign Platform
A) Life is more interesting when youre direct
B) Everyday interaction depicting direct
conversation while acting normally.
C) Introduce Rabodirect with no nonsense
Direct deposit account 3
E) Rabodirect the straight talking online bank
D) Revisit interaction for final punchline to
create balance/equilibrium
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Overall Campaign Objectives

• Standout
• Recall
• Memorability
• Brand attribution
• Raise brand awareness
• Raise awareness of 3 deposit product
• Stimulate visit to website/call freephone number.

1. To Cut Through
2. Link the brand with the advertising
3. Convey product message 3
4. Stimulate interest/ call to action
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Outdoor execution that became viral
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Swings Both Ways
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TV Commercials

• Three 30 second TV commercials
• Targeted at different demographics

• Most effective branding medium
• 22 spontaneous recall
• Connecting RaboDirect with product messages
• Straight talking theme is working
• Price inflation

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Online Campaign

• Started across a broad range of portals and
  business sites
• Identified the sites which do not yield clicks
• Affinity promotion with pigsback.com
• Offline media helps drive traffic online

• Trial and error
• Performance-based fee approach
• SEO hugely important
• Integrated campaign creative
• Banners only half the story

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Ezine
Straight Talk 2 versions Prospect
Customer Allows us to communicate with people on
a regular basis who may not visit the website
frequently Promote special offers and articles
of interest Run customer surveys Finance tips
from an independent journalist
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WOM motivate customer discussion

• New media messages are passed using the Net,
  mobile phones, MP3 players (podcasting)
• Content 2 key characteristics
• Meet emotive or rational goals of the
  influencer
• Can pass them on easily
• More than 60 of online Europeans are engaged in
  online activities, 20 have looked at online
  product reviews

WOM An honest targeted conversation based on
something valuable that creates buzz Objective
to encourage as many prospects as possible to
talk about a brand or product to as many friends
or acquaintances as possible
Source Forrester Research
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WOM Examples
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Plans for the Future?

• Marketing
• Potential for Discussion Boards, RSS, SMS alerts,
  microsites
• Make more effective use of CRM
• Engaging the customer interactively is key
• Evaluate media plans on an ongoing basis
• Products
• Target SSIA maturity
• Continue to develop direct investment offering
• Personal lending products

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Contents

• Contents
• Section 1 Title of section
• More detail
• More detail
• Section 2 Title of section
• More detail
• More detail
• Section 3 Title of section
• More detail
• Section 4 Title of section
• More detail