A draft presentation to stimulate reflections on business models in the private banking industry

1. Business Models in Private Banking discover, understand and define © Arvetica 7th of February 2008

3. UBS

4. Geneva Private Banks

5. Investec

6. Syz

7. Independant Asset Managers

8. Mirabaud Asset Management

9. Sodi

10. EFG

11. Swissquote

12. TIGER21

13. CONCLUSION multiple business models are competing in private banking

15. WHICH … path should I choose? How can I make the right decision?

16. WHAT … actually is a business model?

17. Practice Shows: Understandings Diverge

19. what do we offer? WHAT?

20. whom do we offer it to? WHAT? WHO?

21. how do we do it? WHAT? WHO? HOW?

22. what‘s in it for us? WHAT? WHO? HOW? $? € ?

23. 9 Bricks to Describe your Business Model WHAT? WHO? HOW? $? € ? CLIENTS

24. 9 Bricks to Describe your Business Model WHAT? WHO? HOW? $? € ? CLIENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS

25. 9 Bricks to Describe your Business Model WHAT? WHO? HOW? $? € ? CLIENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS OFFER CLIENT SEGMENTS

26. 9 Bricks to Describe your Business Model WHAT? WHO? HOW? $? € ? CLIENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS OFFER CLIENT SEGMENTS ACQUISITION CHANNELS

27. 9 Bricks to Describe your Business Model WHAT? WHO? HOW? $? € ? CLIENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS OFFER CLIENT RELATIONSHIPS CLIENT SEGMENTS ACQUISITION CHANNELS

28. 9 Bricks to Describe your Business Model WHAT? WHO? € ? CLIENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS OFFER CLIENT RELATIONSHIPS CLIENT SEGMENTS REVENUE FLOWS ACQUISITION CHANNELS HOW? $?

29. 9 Bricks to Describe your Business Model WHAT? WHO? HOW? € ? CLIENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS OFFER CLIENT RELATIONSHIPS CLIENT SEGMENTS REVENUE FLOWS ACQUISITION CHANNELS KEY RESOURCES $?

30. 9 Bricks to Describe your Business Model WHAT? WHO? HOW? € ? CLIENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS OFFER CLIENT RELATIONSHIPS CLIENT SEGMENTS REVENUE FLOWS ACQUISITION CHANNELS KEY RESOURCES $? CLIENT SEGMENTS CLIENT SEGMENTS KEY ACTIVITIES

31. 9 Bricks to Describe your Business Model WHAT? WHO? HOW? € ? CLIENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS OFFER CLIENT RELATIONSHIPS CLIENT SEGMENTS REVENUE FLOWS ACQUISITION CHANNELS KEY RESOURCES $? CLIENT SEGMENTS CLIENT SEGMENTS KEY ACTIVITIES CLIENT SEGMENTS CLIENT SEGMENTS PARTNER NETWORK

32. 9 Bricks to Describe your Business Model WHAT? WHO? HOW? $? € ? CLIENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS OFFER COST STRUCTURE CLIENT RELATIONSHIPS CLIENT SEGMENTS KEY ACTIVITIES PARTNER NETWORK REVENUE FLOWS ACQUISITION CHANNELS KEY RESOURCES

33. HOW … can we sharpen our business model and achieve innovation?

34. eric calling

36. VISUALIZE: co-create to draw your business model

38. ASSESS: question your business model acquisition and distribution channel assessment strengths (+) (-) weaknesses our channels have a strong reach among our target clients our channels only reach a fraction of our target clients we know how effective each of our channels is we don’t know how successful our channels are we know how cost efficient each of our channels is we don’t know how costly our channels are we use our most costly channels for our most profitable clients unprofitable clients regularly use our most expensive channels … …

40. INNOVATE: ideate, prototype, iterate, decide

41. INNOVATE: ideate, prototype, iterate, decide WHAT? WHO? HOW? $? € ? CLIENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS CLIENT SEGMENTS OFFER COST STRUCTURE CLIENT RELATIONSHIPS CLIENT SEGMENTS KEY ACTIVITIES PARTNER NETWORK REVENUE FLOWS ACQUISITION CHANNELS KEY RESOURCES

43. PLAN: draw a project roadmap and align your enterprise Strategy direction new business model

44. PLAN: draw a project roadmap and align your enterprise Strategy Structure power direction new business model

45. PLAN: draw a project roadmap and align your enterprise Strategy Structure Processes power direction information new business model

46. PLAN: draw a project roadmap and align your enterprise Strategy Structure Processes Rewards power direction motivation information new business model [Galbraith 2001]

47. PLAN: draw a project roadmap and align your enterprise Strategy Structure Processes Rewards People power direction skills/mind-set motivation information new business model [Galbraith 2001]

49. IMPLEMENT: just do it…

50. smoking gun

51. Thank you.