SQLI is pleased to announce the launch of Move Up 2020, a new strategic plan to establish the Group as Europe's leader in connected experience and benchmark partner to tier one brands that use digital to drive customer experience. Move Up 2020's ambitious development goals are the next logical steps in the creation of value that began with Ambition 2016.
Using digital to drive customer experience
As they build on their leadership, today's major brands are investing massively in customer experience, in all of the emotions and sentiments their clients experience before, during and after purchasing a product or service. This experience is the outcome of all of the interaction that a customer has with a brand or company.
To integrate this new paradigm in their strategic thinking, some of the business world's biggest names like Nespresso, L’Oréal Professionnel or Seb Group have called on SQLI to help develop this new experience. In response, the Group provides these brands with all of the resources (marketing, consulting, technological) needed to create and enrich customer experience through digital - hence the notion of "connected experience".
Through Move UP 2020, SQLI's aim is to become a benchmark partner to tier one brands that use digital to drive customer experience.
A strategic arsenal increased tenfold for mass deployment around the world
Drawing on its experience, SQLI has defined Move Up 2020 and its carefully-selected targets, with an exhaustive analysis leading to the compilation of a list of high-potential strategic sectors including Banking/Insurance, Consumer goods, the Luxury industry and Smart Utilities.
The new plan will also capitalize on the fundamentals born out of the previous strategic plan, Ambition 2016. Over the past 3 years, SQLI has built up a base to underpin its international development that includes:
- 5 entities in Europe working closely with major brand decision-making centers in France, Belgium, Luxembourg, the United Kingdom and Switzerland;
- 3 Innovative Service Centers in France, South Africa and Morocco.
Today, SQLI's Innovative Service Centers regroup more than 500 digital technology experts working in agile mode. Over time, the Group's aim is to double its strike force, enriching each entity with new talent and creating a new center of excellence in India as it strengthens its internal expertise and increases its workforce from 2,000 to 3,000 talented profiles.
Double digit annual growth in revenue and Editda of over 12% in 2020
After Ambition 2016, where the aim was to place SQLI at the heart of digital transformation for companies and bring its financial performance ratios in line with sector standards, Move Up 2020 will see the Group become a benchmark player with:
- average annual growth of over 10% for the duration of the plan;
- an EBITDA(1) margin of over 12% at the end of the plan (7% in 2015).
SQLI's choice of EBITDA as the new indicator for operational performance stems from the Group's desire to build up technological assets with a high value-added where development can be capitalized and amortized.Its targets focus primarily on the company's organic growth which will be completed by targeted acquisitions. Beyond, SQLI's vocation is to play an active part in the increasing consolidation of the sector.
5 performance levers
SQLI Group’s ambitions are built around 5 levers for performance to be set in motion from 2016:
- strategic mix, for a better connection with demand from our customers and with their needs. The Group's aim is to increase its core digital offer so that it represents 40 to 70% of revenue for its global offer;
- international, for select connections with the best and most profitable digital markets. The Group is targeting Northern European markets where margins are stronger;
- influence, for a better connection with strategic customers. Through SQLI Consulting, the Group aims to attract and valorize opinion leaders to establish outposts and improve customer relationship management;
- expertise, for a better connection with the "real" world, with the real priorities and challenges of customers. SQLI will give Europe's major brands the means to deploy their digital platforms worldwide via its nearshore and offshore Innovative Service Centers;
- execution, for a better connection with operational excellence. The Group will continue to perfect its structure and organization for even greater performance & profitability.
Each of these levers should lead to an increase of approximately 1 point in EBITDA and offset the investment needed to implement the ambitious strategy. The expected increase in profit margins will be generated by a change in the company's sales mix (offers with a high value-added in regions with higher margins) and by the application of "best practices" in the company's management.
A sustainable and responsible approach
These financial ambitions are part of a much broader vision than customer satisfaction alone. SQLI is committed to a sustainable and responsible approach to:
- its employees, by strengthening its employer brand and the values (Creative Spirit, Commitment, Forward Thinking) that rank it as a "Best place to work";
- its shareholders, by adhering to a policy of regular dividend payouts and rejecting any financial operations that do not generate value;
- its environment, notably via its SQLI for Good ! programme launched in partnership with NGO Live for Good (skills sponsorship, mentoring, incubation).
SQLI will publish its turnover for the first half of 2016 on 28 July after the close of trading.
(1) Ebitda = current operating income + net depreciation and amortization and provisions.