ANZ Plus Investor Briefing Session 1 Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Matthew Wilson - Jarden - Analyst : Good morning team, Matthew Wilson, Jarden, thanks for your presentation. Just sort of standing back, based on your experience and research with customers, are apps a retention or acquisition strategy? Are customers clearly captivated enough by banking such that they will switch to the perceived best digital experience, or does it just lower the entry barriers associate with it, apps essentially become homogenous while the old branch footprints weren't necessarily? So in essence, is it an advantage for ANZ? Then I've got one other question if I may.

Question: Matthew Wilson - Jarden - Analyst : Okay.

Question: Matthew Wilson - Jarden - Analyst : Okay. And then secondly, it's a cheeky question, but you pointed it out in your biography, Mo, could you compare and contrast ANZ with CBA from a digital perspective?

Question: Matthew Wilson - Jarden - Analyst : Are you referring to the fact that CBA never transferred the retail bank by and large onto SAP, so they're still running very old ledgers with respect to home loans and retail and unsecured consumer loans, et cetera? I think it's still on a deposit system.

Question: Matthew Wilson - Jarden - Analyst : Understand. Thank you.

Question: Jonathan Mott - Barrenjoey - Analyst : Two questions, if I could. The first one just on products and then the second one just on some of the financial data that you've put out. The first one, there's a little thing that you say no cash telling, it's going to be fine for those first customers that come over, but you'll probably be left with the tail when you source migrate some of the people. How are you going to deal with the blow back with the elderly, disadvantaged and some of the people in rural areas, especially given the focus that the Treasurer has on access to physical presence and distribution as you move off Classic and move everyone essentially onto digital?

Question: Jonathan Mott - Barrenjoey - Analyst : Okay. And the second question, just on the financials. On slide 23 you talk about the cost to acquire and cost to serve and I always like reading footnotes and it says, the cost to serve is based on variable costs including distribution, operations, and product cost. If you fully costed including the fixed costs as well, how would those numbers look? Obviously, not down 35%, what is it on a fully costed basis?

Question: Jonathan Mott - Barrenjoey - Analyst : Thank you. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. MARCH 04, 2025 / 12:00AM, ANZ.AX - ANZ Plus Investor Briefing Session 1

Question: Brian Johnson - MST Financial - Analyst : Thanks very much for the presentation. Mo, I'd just like to question one thing, or two questions, but the first one is, UBank, I can actually see other, as far as I can work out, I can see other bank accounts that aren't NAB, aren't UBank, I can also see my superannuation. Did I incorrectly hear what you said on the presentation? Because I think other banks do offer that.

Question: Brian Johnson - MST Financial - Analyst : Mo, do you reckon the customer actually realises that though?

Question: Brian Johnson - MST Financial - Analyst : The second one is, at the last ANZ Plus briefing that we had, you actually spoke about, well, I can remember someone speaking about home loans and I see on the slide that it's coming soon. It's been coming soon for quite a while, but last time we spoke, you said that there'd be no differential between the pricing between the branch and the broker channel. Can we just get some feeling on what is the intention there with this new home loan to come? Will it be available on the app? Will it be available through the broker channel through ANZ Plus? Will there a pricing differential between it?

Question: Brian Johnson - MST Financial - Analyst : And Jill, just a final one if I may. ANZ Plus at the moment, one of the slides you referred to web banking and sorry, I can't see all the slides in front of me, could you just reiterate the point that you were making on that? Is it available online banking at the moment or is that something that's coming?

Question: Brian Johnson - MST Financial - Analyst : Thank you very much.

Question: Brian Johnson - MST Financial - Analyst : Thank you.

Question: Carlos Cacho - Macquarie Group - Analyst : Thanks. Thanks for the presentation and the chance to ask a question. Mo, I'd be interested, given your background in wealth and obviously the focus on financial wellbeing from your time at CBA and now ANZ. If you're looking at -- if you are looking at or you do have the capability to add other kind of savings and investment products to the platform? Like the roundup feature is great but I presume the customers who are most interested in that feature are probably also interested in other forms of investments, you know, be it -- kind of fractional shares or ETFs or something like that. So is there scope down the line to expand this to offer other things? I know that you're going to have a partnership with CMC Markets for share trading with ANZ now.

Question: Carlos Cacho - Macquarie Group - Analyst : Great. Thank you. The second question, in the slides it's been noted the cost to acquire and the cost to serve the deposits. You do have a home loan product, obviously not the full suite yet, that is currently in there. Can you give us any indication of how that is comparing in terms of the cost to serve and the cost to acquire versus ANZ Classic? Now, is it tracking as good as the deposit side or maybe not quite there yet?

Question: Carlos Cacho - Macquarie Group - Analyst : Great. Thank you very much.

Question: Andrew Triggs - J.P. Morgan Securities Australia Ltd - Analyst : Thanks and appreciate the presentation. Mo, I'm just interested in your thoughts on the suitability of ANZ Plus for ANZ's Commercial customers, noting that it can't do cash telling. When do you think it'll be ready to serve customers at the smaller end of [commercial] because I think that's the strategy from Clare Morgan?

Question: Andrew Triggs - J.P. Morgan Securities Australia Ltd - Analyst : So just to be clear, Mo, it would be a different iteration of ANZ Plus or would they see the same thing that a retail customer would?

Question: Andrew Triggs - J.P. Morgan Securities Australia Ltd - Analyst : Okay, thank you. And could I just get your perspective please on how important turning off ANZ Classic is to drive efficiencies within the bank? I mean, that was always, I guess, the end goal was to save the -- avoid the dual run costs, but there's (inaudible) probably in making more of the lower cost to serve and acquire over recent times. So just your perspective on how important turning off Classic is to driving those efficiencies?

Question: Andrew Triggs - J.P. Morgan Securities Australia Ltd - Analyst : No problem. Thanks, Jill.

Question: Matthew Dunger - BofA Global Research - Analyst : Thank you very much and interesting comment, you just noted half of the customers are Classic as well on ANZ Plus. I'm just wondering, as you're running multiple systems with Plus and Classic, how do you get a single customer view, both from a KYC perspective but also from a sales perspective and customer insights?

Question: Matthew Dunger - BofA Global Research - Analyst : Yes, just if I could ask one last question on the customer proposition in the Suncorp migration looming. What features need to be switched on at the moment to ensure a seamless migration of these customers? What are you most focused on developing in the meantime?