1+1=3 – how business eco-systems will change the world of business

Business eco-systems result in more than the sum of their parts. When companies join forces to create a business eco-system, together they are in a position to offer products and services over and beyond what the individual companies can offer. In this, Helvetia sees great opportunities to simplify customers' lives and to develop new business models. In an opinion paper, the insurance company, in collaboration with the Helvetia Innovation Lab of the University of St.Gallen, illustrates the effects that business eco-systems have on customers, investors, employees and partners.

17.05.2018 | Media releases

Business eco-systems (BESs) can supply customers with products and services that individual companies couldn't provide on their own, as shown in a joint opinion paper authored by Helvetia Insurance and the Helvetia Innovation Lab at the University of St.Gallen (HSG). "Business eco-systems will permanently change our economy. We assume that individual companies will be unable to compete with the more comprehensive offerings of BESs", explained Oliver Gassmann, Professor of Technology Management at the University of St.Gallen, when the opinion paper was presented. "Business eco-systems will simplify customers' lives. That's what makes them attractive", explained Philipp Gmür, Group CEO Helvetia. Martin Tschopp, Head of Corporate Development at Helvetia, added: "We see eco-systems as an opportunity to expand our business models and to develop new sources of income."

Great added value
The idea of a BES is simple: A group of companies together provides a service geared towards a customer need. However, this service is more than the sum of the individual contributions of everyone involved. One and one should not make two, but as far as possible three. As a result of the joint offering, customers can satisfy their needs easily, conveniently and in full from a single source.

Effects of business eco-systems on customers, ...
BESs have consequences for customers, investors, employees and partners of all the companies involved, as demonstrated by the opinion paper. Customers benefit because in an eco-system they get better products or services from a single source, which comprehensively cover their requirements. At the same time customers are offered a high degree of reliability and transparency via all the contact points.

... investors, employees and partners
The investors' perspective is also changed: BES enables new markets to be developed and new customers to be accessed. Thanks to superior products, better margins can be achieved or competitors can be displaced, as a bigger proportion of the value added chain is covered. At the same time competencies can be established through partners, reducing capital investment and risks. The demands placed on employees also change in an eco-system: The ability to adapt to different procedures, processes and cultures becomes more important. The partners develop customer-oriented solutions together, leading to the closer interdependence of the partners participating in the eco-system.

"Home" eco-system at Helvetia
Helvetia is convinced that BESs will fundamentally change the economy. Helvetia is currently in the process of establishing a "home" eco-system. This is based on MoneyPark, Switzerland's biggest mortgage broker, and is positioned as a competent and independent advisor for all questions related to home and real estate. The "home" eco-system incorporates other services from partner companies. The benefits described in the opinion paper are also of significance for the "home" eco-system. For example, Helvetia gains access to new customer groups and additional sources of income.

The opinion paper on eco-systems is available on the Internet at www.helvetia.com/opinion-papers.

Contact information

Analysts
Helvetia Group
Susanne Tengler
Head of Investor Relations
Dufourstrasse 40
CH-9001 St.Gallen

Phone: +41 58 280 57 79
investor.relations@helvetia.ch
www.helvetia.com

Media
Helvetia Group
Jonas Grossniklaus
Media Relations Manager
St. Alban-Anlage 26
CH-4002 Basel

Phone: +41 58 280 50 33
media.relations@helvetia.ch
www.helvetia.com

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About the Helvetia Group

In 160 years, the Helvetia Group has grown from a number of Swiss and foreign insurance companies into a successful international insurance group. Today, Helvetia has subsidiaries in its home market Switzerland as well as in the countries that make up the Europe market area: Germany, Italy, Austria and Spain. With its Specialty Markets market area, Helvetia is also present in France and in selected regions worldwide. Some of its investment and financing activities are managed through subsidiaries and fund companies in Luxembourg and Jersey. The Group is headquartered in St.Gallen, Switzerland.

Helvetia is active in the life and non-life business, and also offers customised specialty lines and reinsurance cover. Its business activities focus on retail customers as well as small and medium-sized companies and larger corporates. With some 6,600 employees, the company provides services to more than 5 million customers. With a business volume of CHF 8.64 billion, Helvetia generated underlying earnings of CHF 502.4 million in the 2017 financial year. The registered shares of Helvetia Holding are traded on the SIX Swiss Exchange under the symbol HELN.

Cautionary note

This document was prepared by Helvetia Group and may not be copied, altered, offered, sold or otherwise distributed to any other person by any recipient without the consent of Helvetia Group. The German version of this document is decisive and binding. Versions of the document in other languages are made available purely for information purposes. Although all reasonable effort has been made to ensure that the facts stated herein are correct and the opinions contained herein are fair and reasonable, where any information and statistics are quoted from any external source such information or statistics should not be interpreted as having been adopted or endorsed as accurate by Helvetia Group. Neither Helvetia Group nor any of its directors, officers, employees and advisors nor any other person shall have any liability whatsoever for loss howsoever arising, directly or indirectly, from any use of this information. The facts and information contained in this document are as up to date as is reasonably possible but may be subject to revision in the future. Neither Helvetia Group nor any of its directors, officers, employees or advisors nor any other person makes any representation or warranty, express or implied, as to the accuracy or completeness of the information contained in this document.

This document may contain projections or other forward-looking statements related to Helvetia Group which by their very nature involve inherent risks and uncertainties, both general and specific, and there is a risk that predictions, forecasts, projections and other outcomes described or implied in forward-looking statements will not be achieved. We caution you that a number of important factors could cause results to differ materially from the plans, objectives, expectations, estimates and intentions expressed in such forward-looking statements. These factors include: (1) changes in general economic conditions, in particular in the markets in which we operate; (2) the performance of financial markets; (3) changes in interest rates; (4) changes in currency exchange rates; (5) changes in laws and regulations, including accounting policies or practices; (6) risks associated with implementing our business strategies; (7) the frequency, magnitude and general development of insured events; (8) mortality and morbidity rates; (9) policy renewal and lapse rates as well as (10), the realisation of economies of scale as well as synergies. We caution you that the foregoing list of important factors is not exhaustive; when evaluating forward-looking statements, you should carefully consider the foregoing factors and other uncertainties. All forward-looking statements are based on information available to Helvetia Group on the date of its publication and Helvetia Group assumes no obligation to update such statements unless otherwise required by applicable law.