OUR BUSINESS MODEL Our business model rests on three solid foundations: our scale, our customer focus and our diversification We help people and businesses prosper through our environmental, social and governance practices. Santander’s purpose is to help people and businesses prosper. We want to be the best open financial services platform by acting responsibly and earning the trust of our employees, customers, shareholders and communities. We must be Simple, Personal and Fair in all we do. Our loyalty strategy enables us to create value for our stakeholders. Our talented and engaged team helps boost customer loyalty, enabling us to generate solid shareholder returns and to support society. Left to right: Mercedes and Ángel; Hafssa and Llatifa; José Luis Martínez Costas; and Eric Conway Our business model rests on three solid foundations: Local scale and global scope. Our local scale is based on three geographic regions, where we maintain a position of leadership in our ten core markets. Our global businesses allow for greater collaboration within the Group to generate higher income and efficiencies. Customer-centric approach. The unique personal relationships we build strengthen customer loyalty. Santander has 148 million customers in markets of over one billion people. Our more than 100,000 employees deal directly with our customers every day in our vast network of branches and customer service centres. 44% of all our sales are online, and the use of digital channels is growing (6.1 million more mobile customers in 2020). Diversification. Our geographic and business diversification make us more resilient under adverse circumstances. We have balanced geographic diversification between mature and emerging markets. Geographic diversification: North America, South America and Europe Our operations also are properly diversified in customer segments (individuals, SMEs and large corporates). And our global businesses strengthen our local franchises. Our strengths enabled us to deliver strong underlying results in an extremely challenging year. REVENUE € 44.6 bn +0.3% RETURNS 7.44 % 2020 underlying (RoTE) CAPITAL 12.34 % +69bp CET1 Growth Our commercial activity ended the year close to pre-pandemic levels. Profitability We increased our efficiency ratio and net operating income. Strength Throughout the crisis, our balance sheet has remained rock-solid. Our non-performing loan ratio declined and we continued to generate capital. MORE INFO UNDER BUSINESS MODEL AND STRATEGY OUR STRATEGY Our strategy for the Santander of the future pivots on three initiatives to drive sustainable growth FIND OUT MORE You might like Mercedes Cruz Hilpas, starting up to start afresh #Responsible Banking#SMEs#Financial Inclusion#Stories Supera COVID-19 fund: the story of Santander and researcher José Manuel Martínez #Responsible Banking#Stories Agroatlas and Santander: sustainability as a path towards progress and inclusion #Responsible Banking#SMEs#Stories Our belief in renewable energy: a story of progress and sustainability #Responsible Banking#Climate Change#Stories This is how Santander is backing small and medium-sized enterprises in Spain #Responsible Banking#SMEs#Stories USEFUL LINKS LEGAL LINKS OF INTEREST © Banco Santander S.A. All rights reserved. Corporate Headquarters: CGS Av. Cantabria s/n 28660 Boadilla del Monte, Madrid (Spain) COOKIE CONFIGURATION For Banco Santander, it is important to adapt to your tastes and preferences. To this end, we use proprietary and third-party cookies to differentiate your experience from that of other users, for analytical purposes and to deliver personalised advertising based on a profile drawn from your browsing habits. You can configure cookies or accept all of them. This banner will remain active until you run one of the two options. For further information, please consult our Cookie Policy. CONFIGURE COOKIES It only takes you a few seconds ACCEPT ALL COOKIES