White Paper: Customer Experience Optimization For The Financial Services Industry

IR Kn OwlE dgE S ERIES August 2009

Customer Experience
Management and the
Financial Services Provider
A Blueprint for Online &
Multi-Channel Engagement

In today’s highly commoditized financial services
industry, there is no margin for error when it
comes to attracting and retaining high-value
customers. Firms must now offer more channels
of communication, more customer options, and
faster responses than ever before.

Customer Experience Management 1
and the Financial Services Provider
A Blueprint for Online & Multi-Channel Engagement

This knowledge paper examines and explores
the key elements that will allow financial
services providers of all types to continue Consumers of all ages are
to evolve their approach to addressing the
questions and concerns of their unique continuing to use the web as
customer base. Perhaps now more than ever, one their primary conduit to banking,
of the best ways to differentiate your institution in
the financial services industry is through exceptional credit card, insurance, brokerage
customer service, beginning with your contact center
and web properties, and extending out to include
and virtually every other type of
assisted channels, mobile and new media as part financial service.
of a next generation, multi-channel approach to
managing the customer experience.

Whether the journey begins on a smartphone, The power of the web has also extended its reach
via a new social media channel, directly on your to include mobile technology that allows financial
corporate web site, or via a direct call to your services customers to engage with their providers
contact center, best practices demand speed, wherever and whenever they choose. According
consistency and a truly uniformed approach to to ForSee Results and Forbes.com, 27% of online
managing customer interaction. investors with mobile phones use them to access
investment web sites.iii
The Web as the Lynchpin of a Multi-Channel
Customer Experience For most if not all financial services institutions,
To say that the web has become an important tool increasing customer satisfaction online is just good
for customer interaction would be more than just business. Not only do such solutions and strategies
a “minor” understatement. The financial services promote a seamless, multi-channel experience for
industry is facing a veritable explosion in the the customer, they also provide the institution with
number of online customer service interactions the ability to improve both overall loyalty and
over the coming years. Due to the increased bottom line savings by moving customers to the
convenience, independence, speed and value of most cost effective service channel.
the Internet, consumers of all ages are continuing
to use the web as their primary conduit to banking, The web sites of financial service firms of all types
credit card, insurance, brokerage and virtually every have a fairly large impact on the overall success
other type of financial service. of the entire firm. Investment firms for example,
typically find that their customers use the web more
In fact, Forrester Research predicts that 92 million, or than perhaps any other channel, so it’s critical
76% of all U.S. households are expected to engaged that the experience be productive and in line with
in financial service interactions online by 2011.i And expectations. Even credit card providers, who are
this move online is no longer unique to the younger typically seen as a commodity solution, can and
generation. According to recent research from should strive to differentiate themselves on service
HSBC, while 62% of people ages 21 to 34 conduct that, more often than not, involves the web at some
the majority of their banking online, approximately point during any sales or service engagement.
40% of Americans ages 45 to 69 are now doing most
or all of their banking online as well.ii Satisfied online customers are more profitable,
more loyal, and more likely to engage in positive
word of mouth, and if they increase their use of
the web site for informational and transactional
service, cost savings increase through the value of
right-channeling.


With Opportunity comes Challenge: Online, the Status Quo
the Multi-Channel Reality
The picture is not all rosy however. As more and does not Suffice
more transactions, sales and service interactions in
the financial services industry continue to involve Damaging Effects of POOR SITE DESIGN
on the Web, your firm’s opportunity to influence Although the online growth trends for financial
customer perceptions about brand, net promoter services firms continue to trend upward, and multi-
score, loyalty and advocacy increasingly begins online. channel customer experience has taken on a new
The new reality now demands that organizations meaning in recent years, many web sites are not
of all types provide rapid, concise information to designed with a clear customer focused approach
customers across a variety of self-service and assisted and as a result struggle with navigational elements,
channels, and this can be a daunting mandate. layout, content that reads as collateral, site depth
and complexity, static FAQ’s, and the ubiquitous
The financial services industry has been widely site search that returns numerous links. In addition,
recognized as a leader in customer experience many firms offer a ‘disjointed’ customer experience
management for good reason, with retail banks across assisted and self-serve channels, with
in particular being lauded as pioneers in creating information flow in the contact center often lacking
new and innovative ways to manage the customer continuity to web interaction.
experience in the emerging multi-channel
environment. Much of this progress has been built A recent Jupiter Consulting survey revealed that 54%
on gaining insight into customer value and then of consumers visiting a web site came looking for
leveraging this information by tapping in to the product and/or service information, 45% came to
unique insights that are sometimes only available do an online bank transaction and 23% needed
via online interactions. contact information.iv

Once on the site, a third of customers had a difficult
time finding the information they were looking
Many financial service providers for, and the top three reasons that customers leave
sites early are directly linked to poor site design and
are not able to provide a truly service flaws (see Figure 1 next page).
consistent experience across
Site Search and FAQ’s Prove Inadequate
multiple channels during any Most corporate search platforms often do little to
given inquiry process. help the situation. Approximately 63% of consumers
continue to be frustrated with web site search
because it cannot understand the real question and
57% believe search results are not related to their
That said, many financial services web sites are not specific topic of interest.v As most of us know from
designed using a customer centric process and as experience, web site users who utilize search often
a consequence users cannot find relevant content have to hunt and peck through large numbers of
and information quickly. In addition, many financial possible links to find answers buried somewhere in
services providers are not able to provide a truly the detailed content of search results.
consistent experience across multiple channels
during any given inquiry process. For example, Static FAQ systems, the other pervasive alternative,
providing customers with the ability to seamlessly only deal with a subset of questions and require
transition between online and offline (self-service visitors to “find a question”. Many self-service
and assisted channels) is often non-existent for solutions today lack relevance, speed and accuracy.
many financial services firms. The resulting Research indicates that approximately 47% of
frustration causes consumers to either leave and go customers are looking for a faster navigation path
to a competitor’s web site or re-connect in a more and 33% want a tool to provide a single accurate
expensive channel – such as email, phone or to a response or advanced FAQ (see Figure 2 next page).
branch for example.


Figure 1
Site Visitor Frustration Can Lead to Devastating Results:
Lost Sales and/or Tarnished Brands

leave the website and go to a competitive website 45%
Be less likely to visit the site again 45%
Be less likely to buy from them online 40%
leave the website and give up 24%
Contact customer service via e-mail 24% Site visitors are
more likely to opt for
Have a more negative overall perception of the company 21% an alternative site
Contact customer service via phone phone regarding my experience 18% than both to contact
Be less likely to buy from them offline 18% customer service.

Tell others about my negative experience 16%
I have never been dissatisfied 4%

Question: If you find yourself dissatisfied with your ability to find the 0% 20% 40% 60% 80% 100%
necessary information you sought when first arriving on a website or a
specific product/service page, which of the following are you likely to do?
Percentage of Site Visitors
(Select all that apply) Select responses shown.

Figure 2
Effective Navigation Tools Resonate with Site Visitors

Ability to easily navigate from home page and find what I seek 47%
The ability to send an e-mail to customer service 36%
Frequently Aked Questions (FAQ) web page 33%
Question box that enables you to enter a question
and get a single, accurate answer 33%
Search tool that offers a list of search results 30%
Text-based online chat 13%
Call back option, where I enter my information 47% of customers are
and phone number and customer service calls me back 13% looking for a faster
navigation path
A link to information About US that is easily found 12%
and 33% want a tool
none of these would be helpful 8% to provide a single
The ability to make a phone call to the company via my PC, cllicking a accurate response or
button and talking through my computer’s microphone (VoIP) 5% advanced FAQ.
Other 2%

0% 20% 40% 60% 80% 100%

Percentage of Site Visitors


Financial Services Customers are Goal Oriented 3. ASK: Relates to customers seeking assistance to
Customers come to interact with financial services correct or rectify a customer service problem – often
web sites and service agents armed with a goal caused by a failure to meet customer needs and
in mind, and usually they have a specific context expectations in the DO and BUY categories.
associated to their visit or inquiry. We can group these Example: ASK (Goal Oriented) - a customer has
key objectives into three major categories: DO, BUY a dispute with the timing of a bill payment
or ASK. The definition and an example of each of made online. A customer may have the
these three categories are as follows: following ways of asking the same question:
• Can I report a bill payment problem online?
1. DO: Involves the desire to perform a task that leads • How do I report a bill payment issue?
to the customer engaging in an assisted or self-service • How do I correct a billing error?
transaction online or started online and concluded in
• What action should I take to correct a
another channel.
payment problem online?
Example: DO (Goal Oriented) – when a customer
wants to transfer funds from a savings account
The DO, BUY and ASK goal categories help us
to a 401K. During this process a customer may
understand that there is a solid link between
have a simple question which can be phrased in
customer intention and customer action,
numerous different ways:
often in the form of a question or search
for information. More importantly we learn
• What is the maximum amount of money
that while there is often only one common
I can transfer to my 401K?
destination or piece of information that will
• How much money can I move to a 401K? allow customers to achieve their goal, they
• What are the 401K limitations? often travel down a number of disparate
• How do I transfer funds to my retirement paths to get there.
account and what is the ceiling?

2. BUY: Involves any task related to the intended
and/or final purchase of a product or service – this
may start and conclude online or in another
channel, and often requires multiple channels to
complete the process.
Example: BUY (Goal Oriented) – when a customer
wants to acquire a new Visa travel rewards
card. During this process the customer may
have a question which can be stated in many
ways, for example:

• How do I apply?
• Can I apply online for a Visa card?
• What do I need to apply for a reward card?
• Where can I apply for a Visa travel card?


The Expanding
Interaction Ecosystem
Assisted and Self-Service Figure 3
There is a lot of confusion surrounding the key Customer Interaction Ecosystem
channels and interaction points that can most
effectively influence the customer experience. Self-Service Assisted Service
For many financial services firms, both the web
and the contact center must now deploy a variety Internet Contact Center
of strategies and technologies in order to service • Search • Agents
their multi-channel customer base. Defining the • Contact Us / Ask Us • Email
key elements of an effective customer interaction • FAQ • Click-to-chat
• Virtual Assistant • Click-to-talk
ecosystem will help bring some clarity to the situation. • Instant Answers Cross • Collaborative browsing
• Help Channel • Lead Generation
Most customer interaction platforms (see Figure 3) • Web Content • Call Center Platform
require the capability to manage customer queries • Databases • Enterprise Platform
• Secure site • CRM Platform
across two primary sub-categories: • Applications, Tools • Virtual Assistant
and Calculators • Instant Answers
1. Assisted Service – Assisted-service provides or
enables human interaction with customers via phone
or face-to-face interaction as well as the Internet (email, Intranet
chat or click-to-call). This type of service is generally • Search
best suited to the sort of complex, multi-faceted • Ask Us
interaction that can best be executed by trained • FAQ
• Virtual Assistant Support
customer interaction personnel. • Instant Answers
• Help
2. Self-Service – Self-service solutions offer • Content
support via electronic means and allow customers • Databases
to access information quickly, or perform simple
transactions, often over the Internet. Self-service
solutions can include status quo offerings such as site
search or FAQ’s, or next generation solutions such
as virtual assistants or instant answer agents.

Part of the role of self-service is to transition qualified
sales and service leads to the most appropriate
assisted-service channels. It is worth noting that
employees and call center agents also have self-service
needs that functions within the contact center,
branch platforms or Intranet.


The Right Channel –
The Right Time
Customers want the option to be able to transition The Road toward Next Generation Customer
easily from self-service to human assistance (via Experience Capabilities
email, click-to-chat and click-to-call, etc.) to get help Today’s leading financial services firms should deploy
and advice for more complex products, services both the technology and the customer engagement
and transactions. Ideally, this should and can be processes to allow them to:
accomplished in a single session with no loss of • Identify the customer goal
context or information. For a financial services Actively and intelligently determine the
firm, the goal is seamless cross-channel information customer goal by engaging them online
delivery. For the firm’s customers, this translates into (increasingly regarded as the seminal first point
a positive customer experience. of customer interaction)

• Equip the customer with access to quick,
consistent information
A positive cross-channel Provide customers with an effective solution so
experience can substantially that they may self-serve

increase First Contact • Connect the customer to service channels
Resolution rates Provide a natural and consistent cross-channel
escalation at the correct point in time relative to
the product or service complexity

A positive cross-channel experience increases • Provide consistent answers
the ability to achieve first contact resolution. Offer consistent information and overall
Understanding early stage web activity, customer experience throughout the interaction, across
queries or online information requests can allow multiple touch-points and interaction platforms,
firms to segment customers and move those including emerging channels such as mobile
identified as key prospective customers quickly to a text messaging and new social media channels
seamless cross-channel experience to complete the such as Twitter and Facebook
sales or service interaction that much quicker.

Most financial services firms are nothing if not multi-
channel businesses, and as such they must address
their customers’ needs as they progress through their
journey towards achieving their goals. Best practices
demand that organizations be equipped to manage
the customer experience via the preferred channel
of the customer – whether it’s online via self-service,
online via assisted service, or offline through a phone
or in person.

For some financial services firms, this process can
be hindered by silos of informational hierarchies –
with marketing owning the web site, contact center
owning many of the customer interactions and with
neither communicating effectively with the other. Or,
silos may exist with technology systems – each group
has all the information but getting the information
out to the customer is the roadblock.


6 Things You Can do nOw
1. Add Intelligent Self-Service Options 5. Right-Channeling
If you haven’t already, look towards adding Make sure you are channeling customers into the
intelligent self-service options such as a virtual right information funnel through intelligent
assistant to your web site or mobile platform escalation. For example, it may make more sense
These technologies are quickly becoming a key to push certain inquiries to self-service, while
component of the multi-channel customer “triaging” high value or high issue customers to
experience, and provide a number of strong assisted channels
benefits, including:
• Making it easy and convenient for customers to 6. Make Your Phone # Accessible
get the right answer to many of their questions The phone is not obsolete. Some customers will
the first time, thereby increasing first contact come to your web site with the sole purpose of
resolution finding a phone number they can use to contact
• Allowing customers to type their question and you with – make sure that number is available
get an immediate, accurate answer, with a high to them
degree of accuracy.
• Improving key metrics such as net promoter
(CEI/CSI) score, brand and customer loyalty –
while reducing re-connect costs and increasing
sales/transactions

2. Overcome Silos of Information Bottlenecks
Strive to overcome silos of information “bottlenecks”
so that information about the customer and status
of their inquiry is shared across different channels
( For example, a call center operator should not
need to ask the same questions that have already For More Information
beenanswered online) For more information on cost effective ways to enhance
the customer experience at your organization contact:
Mike Hennessy
3. Include Customer Feedback IntelliResponse
mike.hennessy@intelliresponse.com
Incorporate customer feedback opportunities
at each touch point, including online and via
assisted channels About IntelliResponse
IntelliResponse enhances the multi-channel customer experience for
businesses and educational institutions via its Instant Answer Agent, a
4. Test and Test Again! question-and-answer software platform that allows web site visitors and
service agents to ask questions in natural language, and get the “One Right
“Test” your new technologies and processes with Answer”, regardless of the hundreds of ways the question may be asked.
customers directly to confirm that they are “valued”
This industry leading On Demand software platform is used by both
by the customers that use them consumers and contact center agents. With more than 200 live, customer-
facing implementations answering 50 million+ questions with one right
answer, IntelliResponse is the gold standard in first line
customer experience management.

Some of the world’s most recognized corporate brands and higher
education institutions trust their customer experience management needs
to IntelliResponse - including ING Direct, TD Canada Trust, Scotiabank,
Penn State University, The Ohio State University, University of British
Columbia and Harvard University Extension School.

i
US Online Banking, Five Year Forecast, 2007, Forrester Research
ii
HSBC Direct, 2008
iii
ForSee Results, Forbes.com, April, 2009
iv
Jupiter Research, 2008
v
Jupiter Research, 2008

Copyright © 2009, IntelliResponse Systems Inc. All rights reserved.
The trademarks identified herein are the trademarks or registered
trademarks of IntelliResponse Systems Inc. or other third party.

White Paper: Customer Experience Optimization For The Financial Services Industry

Recomendados

Recomendados

Mais conteúdo relacionado

Destaque

Destaque (8)

Mais de IntelliResponse Systems Inc.

Mais de IntelliResponse Systems Inc. (12)

Último

Último (20)

White Paper: Customer Experience Optimization For The Financial Services Industry