1.2 Strategy and 2021 targets
The Next Frontier 2019-2022 strategic plan leverages the unique nature of the Group’s platform model, presented in the introduction, to transform Edenred into the everyday companion for people at work. It enables the Group to provide these stakeholders with the full range of services and payment solutions they need to make their working lives easier, all accessible from a single virtual wallet.
The platform model, coupled with the shift to digitalized processes and pooled support services, gives rise to significant scale effects, making it possible both to bring new solutions to market and to swiftly, extensively and cost-effectively roll out innovation and thereby generate profitable growth.
Despite the current epidemic, Edenred’s fundamentals have not wavered, and this strategy has proved effective, more than ever.
Capitalizing on the platform’s unique characteristics, Edenred has based its strategic plan, Next Frontier 2019-2022, on several drivers of sustainable and profitable growth.
18.104.22.168 Expanding and strengthening Edenred’s presence in existing businesses
Edenred operates in still largely underpenetrated markets (see section 1.1.1) that offer significant growth opportunities, notably as programs and distribution channels go digital. Digitalization remains an important avenue for growth, particularly in the Employee Benefits segment in Europe, where the adoption rate has still not reached its full potential.
Leveraging the methods and tools put in place under the previous strategic plan, Fast Forward, Edenred has developed a systematic approach based on an array of operating drivers, which are primarily designed to further penetrate its markets. Thus equipped, Edenred will now notably continue to implement initiatives targeting the strategic SME market, where penetration is significantly lower than among middle-market and large companies. To capture the potential of its existing base of clients, partner merchants and end users, Edenred intends to develop tools for retention, cross-selling and monetization of value-added services.