Kabel BW Selects SAP to Strengthen Connection to Customers

European Communications Company Expands SAP Footprint to Deliver Superior Customer Value, Help Boost Future Growth With SAP® CRM 2007

BERLIN and HEIDELBERG, GermanySAP AG (NYSE: SAP) today announced that Kabel BW, one of Europe’s fastest-growing providers of cable television and Internet and telephone service, has selected the latest version of the SAP ® Customer Relationship Management application, SAP CRM 2007, to strengthen its connection to customers and build its foundation for future growth. The company, which serves more than 2.3 million subscribers, also plans to enhance its existing deployment of SAP’s flagship enterprise resource planning application, SAP ® ERP, with the industry-specific SAP solution for telecommunications providers, the SAP ® Revenue Management and Contract Accounting application. The objectives of its modernization efforts are to streamline the company’s customer service and ultimately deliver superior customer value. The announcement was made at SAPPHIRE ® 2008, SAP’s international customer conference, being held in Berlin, Germany, May 19 – 21.

Kabel BW will leverage the integration between its existing SAP ERP application and SAP CRM 2007, along with industry-specific solutions from SAP, to boost business growth through the development of new and dynamic product and service offerings, and by targeting customers more effectively and through expansion of the company’s sales partner ecosystem. The new IT infrastructure will deliver the technology foundation for these business goals and is thus a key success factor of the project.

“In 2007 we increased our revenue by approximately 30 percent,” said Dr. Holger Puechert, CFO, Kabel BW. “Growth remains one of our key priorities and we needed a more modern IT system to help us meet this objective. We selected SAP as our technology partner because of its extensive approach to customer relationship management and because we were impressed by the flexibility, usability and the integration power of SAP CRM. With SAP, our goal is to deliver superior customer value to our customers and partners.”

Knowing the Customer as Competitive Differentiator
Following the modernization of its cable infrastructure, Kabel BW elected to augment and update existing IT systems with new functionality in order to better support customer sales, service, marketing and billing needs. Using the SAP ® Customer Relationship Management and Order Management for Telecommunications package, nearly 100 sales employees and more than 2,000 sales partners will be able to ensure the uniform delivery of customer services across all communications channels – telephone, e-mail, fax and post. Additionally, to help ensure more informed and efficient customer service, Kabel BW’s 700 employees will now have a comprehensive view of customer data and history – regardless of whether customer queries concern telephone, television or Internet service. The integrated approach to CRM will provide Kabel BW and its sales partners with unprecedented insight into customer needs and buying patterns – knowledge that is crucial for the company’s future growth. An integrated product catalog with telco-specific product modeling components within SAP CRM will also allow Kabel BW to package new service offerings quickly, efficiently and tailored to the specific needs of the customers, helping speed time-to-market.

In addition to SAP CRM, the company will leverage SAP ERP for asset management, logistics and analytical processes. Kabel BW will also implement the industry-specific application for accounts receivables and payment management, SAP Revenue Management and Contract Accounting. Through the SAP NetWeaver ® technology platform, the system is open to interact with third-party applications and will be closely integrated into Comverse Kenan FX, a billing system widely used in the telecommunications industry.

Kabel BW’s IT modernization project was launched on April 1, 2008. A team under the leadership of SAP special expertise partner movento, as well as experts from SAP Consulting, is responsible for the project management.

“Strong relationships with customers and powerful CRM software are key elements for a successful go-to-market strategy in the telecommunications industry,” said Bob Stutz, executive vice president and general manager, Product & Technology Unit Industries and CRM, SAP. “Kabel BW clearly recognizes the competitive advantage of IT and, as its trusted technology partner, SAP will work together with Kabel BW to successfully drive its growth strategy.”

Strong Momentum for SAP CRM 2007
The latest version of SAP CRM was launched in December 2007. (See December 4, 2007 press release, titled “SAP Unveils Next-Generation Customer Relationship Management Solution.”) It has been in unrestricted shipment since early March, two months ahead of schedule. Approximately 250 customers are currently implementing SAP CRM 2007 and many more have requested shipments. The application is also available with industry-specific functionality to help companies optimize their unique business process requirements and gain a competitive edge in their respective industries. At SAPPHIRE 2008 Berlin, demonstrations of SAP CRM 2007 will be available in a special area of the show, the CRM Village, located in Hall 1.

SAPPHIRE ® 2008 Orlando and SAPPHIRE ® 2008 Berlin
More than 15,000 customers, partners and technical experts are convening at SAPPHIRE 2008 to discover how SAP and its thriving partner ecosystem are delivering IT solutions that create value beyond the four walls of the enterprise, to create “business beyond boundaries.” SAP’s premier educational and networking event, SAPPHIRE is the one occasion where senior executives, business managers, and decision-makers can come together every year to explore how innovative business solutions foster long-term, profitable growth. SAPPHIRE ® 2008 was held in Orlando, Florida, May 4-7, and is being held in Berlin, Germany, May 19-21, 2008. For more information, please visit www.sap.com/sapphire.

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About SAP ® Customer Relationship Management

SAP offers market-leading customer relationship management (CRM) solutions, based on an enterprise service-oriented architecture, that help companies drive new growth, maintain competitive agility and attain operational excellence through customer-centric processes. Delivering best-in-class front-office capabilities with enabling end-to-end, industry-specific processes, the SAP ® CRM application enables customers to empower their teams, delight their customers and grow their business by driving rapid user adoption and enhanced productivity. SAP CRM is one of the core applications within the SAP ® Business Suite that is built upon the SAP NetWeaver ® platform. The software helps companies empower employees with the real-time information and analysis they need to gain customer insight, acquire new customers, boost customer loyalty and build lasting relationships.