improving performance with customer insights€¦ · company aer experiencing poor customer...

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ImprovingPerformanceWithCustomerInsights

June29,2016

© 2016 Harland Clarke. All marks are the property of their respective owners. All rights reserved.

Presenta0onmaterialsandvideoreplaywillbeprovidedwithinoneweek.Haveques0ons?Usetheques0onspanel–we’llfieldthemaswegoandduringtheQ&Arecapattheendofthecall.

VoiceoftheCustomer,poweredbyCSP

Today’sSpeakers

2

StephenNikitasSeniorStrategistDirector,HarlandClarke

•  30yearsexperience,includingseniorexecu0veatfinancialins0tu0onsinNewYork,CaliforniaandMassachuseRs

•  LoanporTolioandaccountholderreten0onspecialist

JohnBeriganExecu0veVicePresident,CustomerServiceProfiles(CSP)•  Morethan30yearssalesexperience

•  Primarycontactforallsalesandmarke0nginquiries,contractnego0a0ons,andongoingclientprojects


Agenda

3 VoiceoftheCustomer,poweredbyCSP

StateoftheMarket:LatestTrends

GainingKnowledgeandInsightFromActualCustomers

HearingtheVoiceoftheCustomer:AllChannels,AllTouchpoints

Repor0ngforBranchManagersandExecu0ves

CaseStudies

Q&A

80%

48% 48% 46% 44% 36%28% 24% 20% 20%

0%

79%

38%33%

41%

26%

38%36%

21% 18% 17% 17%

0%10%20%30%40%50%60%70%80%90%

CommercialLoans SmallBusinessMarketShare

CommercialFeeIncome

RetailMortgages Non-TradiRonalLOBs

ImproveSales/MarkeRng

ExpandOnlinePresence

ConsumerLoans M&A ConsumerFeeIncome

ExpandBranchPresence

BANKS

LoanGrowthIsTopPriorityforFinancialInsRtuRons

4


76%

54%48%

39% 39%

26% 24%22% 22%

13% 9%

83%

52%

39%46%

24%

29%

18% 17% 16% 12%5%

0%10%20%30%40%50%60%70%80%90%

ConsumerLoans ExpandOnlinePresence

ImproveSales/MarkeRng

MortgageLoans Mergers MemberBusinessLoans

Non-TradiRonalLOBs

ConsumerFeeIncome

ExpandBranchPresence

SmallBusinessMarketShare

MemberBusinessFeeIncome

2016 2015

CREDITUNIONS

Source:What’sGoingOnIn2016–CornerstoneAdvisors

ConsumerInteracRons

5 Source:BAIConsumerMarketPulseSurvey

9.7

5.6

2.7

5.86.5

3.2

1.1

2

1.2 1 0.8 0.51.2

4.3

0

2

4

6

8

10

12

DebitCard CreditCard PersonalCheck

MobileBanking

OLB PrimaryFIATM

AnotherFIATM

AtBranch DriveThrough

AutomatedPhone

LivePhone OnlineChat RDC OnlineBillPay

AverageNumberofInteracRonsPerMonth


Bankvs.ConsumerPercepRons



Rela0onshipFocused–45%

CustomerServicePros–27%

Tradi0onal/ReliableBankers–21%

GeneralizedProviders–7%

Howbanksviewthemselves

CustomerServicePros–35%

Tradi0onalAndReliableBankers–34%

GeneralizedProviders–18%

Rela0onshipFocused–13%

Howconsumersviewbanks

Where’stheTrust?



45%

55%

73%70%

0%

10%

20%

30%

40%

50%

60%

70%

80%

LargeBank RegionalBank CommunityBank CreditUnion

TrustbyBankingCategory

> > >

GainingKnowledgeandInsightFromActualCustomers


WhatDoYourCustomersThinkAboutYou?

9

Youdon’tknowunlessyouaskthem

Salesandserviceexcellencedependsupontheirpercep0onsandfeedback

Howtheyfeelabouttheirexperienceishowtheyfeelaboutyourbrand

“Customersarenolongerbuyingproductsandservices–theyarebuyingexperiencesdeliveredviatheproductsandservices.”

– GregoryYankelovich,CustomerExperienceIQ


"Q&AwithGregoryYankelovich,"InsideCXM,June16,2014,hRp://www.insidecxm.com/qa-with-gregory-yankelovich/

WhyItMabers

10

1.  Ernst&Young2014GlobalConsumerBankingSurvey2.  Ibid.3.  AmericanCustomerSa0sfac0onIndex,Fornelletal,19964.  HarvardBusinessReview

CustomerExperienceImpacts

Thebobomline:41%ofcustomerswhoopenedanewaccountin2014didsobecauseofthecustomerexperience1

SaRsfacRon&loyalty:Customerexperienceisthemostcri0caldriverinincreasingcustomerloyalty2

Employeeperformance:“Op0mizingincen0vestructurestopriori0zecustomerservice,inves0ngintrainingprogramsandhighligh0ngserviceadvantages”isaTop10Trendin2016reportedbyBAIBankingStrategies

WhenDoneRight

!  Promotesacultureofservice

!  Increasescustomerknowledge

!  Providestoolstoimprovethecustomerexperience

!  Drivesresultsviaac0onabledata

!  Ensuresculturalalignmentthroughouttheins0tu0on

!  Offersinsightintomarketposi0on

!  Createsendlessimprovementloop

!  5%increaseincustomersa0sfac0oncanincreaseprofitabilityby25%to125%4

•  LoweraRri0on•  Moreproducts•  Morereferrals


WhyHarlandClarkeVoiceoftheCustomer?

11

•  Valuedeliveredataffordablepriceversusthecompe00on

•  Insightsanddatarepresenta0veofyourcustomersandbranchnetwork

•  Holis0capproachtocustomerexperiencemanagement

•  Financialins0tu0onexperienceandexclusivity

•  Solu0oncustomiza0onandflexibility

•  Analy0csandconsulta0on

•  Peergroupbenchmarkingbyassetsize,regionandstate

•  CSP—30yearsofthoughtleadershipinCustomerExperienceManagement(CEM)

“70%ofbuyingexperiencesarebasedonhowthecustomerfeelstheyarebeingtreated.”

– McKinsey


"The'momentoftruth'incustomerservice,"byMarcBeaujean,JohnDavidson,andStaceyMadge,McKinsey&Company,hRp://www.mckinsey.com/business-func0ons/organiza0on/our-insights/the-moment-of-truth-in-

customer-service

12

C A S E S T U D Y

VoiceoftheCustomerHelpsFinancialIns6tu6onAchieveCoreDepositGrowthof$641Million

Challenges•  Increasenewaccountholderacquisi0on•  Increasecoredepositgrowth•  Increasecross-sellexpansion•  Increasemarketshare

SoluRonImplementaservicequalityprogramusingVoiceoftheCustomertomeasureandtrackthecustomerexperience.Bankcustomersprovidingevalua0onsontheirin-personexperiencesproducedac0onableinforma0onforthefinancialins0tu0on.

Results•  Morethan43,000newdepositaccounts•  Morethan161,000newservices•  Increasednumberofproductsperhouseholdby0.5•  Increasedcoredepositbalancesby$641million

Manyvariablesimpactcampaignsuccess.Theinforma0ononearningsorpercentageincreasesthatiscontainedwithinthiscasestudyisprovidedfordemonstra0vepurposesonly.HarlandClarkedoesnotguaranteeorwarrantearningsorapar0cularlevelofsuccesswithacampaign.


> > > HearingtheVoiceoftheCustomer

13

AllChannels,AllTouchpoints


VoiceoftheCustomer

14

VoiceoftheCustomerdeliversac0onableintelligencetoimproveperformance,directlyfromthesourcethatmaRersmost–youraccountholders.

Usingavarietyofsurveymethodologies,weprovideinsightnecessarytoengageaccountholdersandbuildaconsistentcustomerexperience.


OurOmni-channelApproach

15

AllExperiences,AllChannels

•  Branch•  Callcenter•  Newaccountopening•  Lending•  Businessbanking•  Daily/regularinterac0ons

“89%ofconsumershavestoppeddoingbusinesswithacompanyaxerexperiencingpoorcustomerservice.”

–RightNowCustomerExperienceImpactReport


2011CustomerExperienceImpact(CEI)ReportcommissionedbyRightNow(acquiredbyOracle(R)),"CustomerExperience:EmpoweringPeople.PoweringBrands.WithOracleServiceSolu0ons."2012,hRp://www.oracle.com/us/solu0ons/customer-experience/cx-service-exec-strategy-brief-1730729.pdf

HowItWorks


AccountHolderPanels•  Sta0s0callysignificantnumberofevaluatorsreflec0ngaccountholderdemographics

•  Objec0ve,unbiasedresponses•  En0refootprintisrepresentedatallchannels•  Verba0mcomments

•  Iden0fiesemployee

PeerBenchmarking•  Allchannels•  Individualcriteria&keymetrics

•  Robustpeerdatabase•  Abilitytoself-directpeercomparison

Analysis&ConsultaRon•  Keydriversiden0fiedateachtouchpoint•  Execu0veOnReviewanalysis•  Coaching/trainingresources•  Strategicandcomprehensiverecommenda0ons

IdenRficaRonofKeyDrivers


WerunseveralstaRsRcalanddiagnosRctestsonyourcustomerdata•  academicallyrigorous,valid,andreliable•  stablewaytocomparetheimportanceofallsa0sfac0oncriteria

WeidenRfythekeydriversofyourcustomers’experience

WeuseyourdatatoidenRfytheemployeebehaviorsthathavethemostimpactonsaRsfacRonandloyaltyscores•  Plus,analyzewhichtransac0onbehaviorsareconnectedtooverallsa0sfac0on

•  Customerserviceskills*+

•  Professionalism*•  Timelymanner*

Definedbythecustomeras:•  Greetcustomer*•  Actinaprofessionalmanner*•  Makecustomerfeelwelcome*

Employeebehaviorthatinfluencescustomersa0sfac0onandloyalty

Howyourcustomersdefine“sa0sfac0on”behaviors

ExampleforXYZBank

*Indicateskeydriverofcustomersa0sfac0on+Posi0velyinfluencesloyaltyindexscores

CoachingandTraining

18

ResourcesandexperRsetoimprovefrontlinetraining

•  Ac0vi0es,ar0clesandexercisesdesignedtoprovidecoachingandtrainingspecifictoallofthecriteriaevaluatedandmeasured

•  TopicsincludeserviceaRributes,salesbehavior,telephonee0queReandmore

•  Newmaterialsandtopicsaddedquarterly

•  UnlimitedaccesstoSTARScoachingandtrainingresources

STARSApproachService&salesTeamworkA{tudeRecogni0onSuccess


ManagerDevelopmentandTraining

19

UsedatatohelpfinancialinsRtuRonscoach,moRvateandmanageemployeeswithintheiruniqueserviceclimate

Incorporatesalldataincluding:

•  Bankmetrics•  Customerservicedata

•  Leadershipdevelopmentplans

•  Employeeengagement/sa0sfac0onsurvey

SeveralcustomizabledeliveryopRons:

•  Cer0fica0ons

•  Coaching/mentoring•  Workshops

•  Online/webcasts


> > > ReporRngforBranchManagersandExecuRves


BenchmarkAnalysisReporRng(BAR)forManagers


BARDrill-DownReporRngforManagers

22

KeyMetricGauge RankTrendlineGraph

KeyMetricGauge,TrendlineGraphandRankshowhowyourfinancialins0tu0oncomparestoothersinyourpeergroup


ExecuRveAnalysis

23

OnReview:Highleveloverviewsforhigh-levelexecu0ves

TotalOrganizaRonKeyMetrics

PerformanceScore 96.64% +0.42

SaRsfacRonScore 9.66 -0.3

LoyaltyIndex 87.54% +2.51%

NetPromoterScore 88.40% +8.02%

OverallExperience 9.12 +0.10

Digital 9.58 -0.16

Comparisonsforillustra0ononly.Thesearefic00ousbranchnameswithfic00ousscores.

Channel2015MetricsandChangesinScores

SaRsfacRon Performance

Change+/– 2015Score Channel 2015Score Change+/–

+0.24 9.70 PersonalBanker 98.21% +.35%

-0.3 9.66 LobbyTeller 95.30% -.31%

+.24 9.52 DriveUpTeller 97.21% +.45%

+.05 9.31 CallCenter 96.32% +.01%

-.03 9.01 Online NA

+.02 8.88 Mobile NA

BranchComparisons

HighestScoringBranches CSPNormalizedIndexScore LowestScoringBranches CSPNormalized

IndexScore

(08)PrescoRValleyBranch +6.30 (03)AvondaleBranch -7.12

(09)CoRonwoodBranch +3.27 LSIOverflow -3.40

(01)LukeAFBBranch +1.27 (06)SurpriseBranch -2.42


> > > CaseStudies


25

C A S E S T U D Y

Mid-sizeFinancialIns6tu6onIncreasesReten6onWithBeGerCustomerService

Challenges•  Measure“voiceofthecustomer”acrossen0rebranchnetworkdownto

theemployeelevel•  Increasecustomerreten0on

SoluRonVoiceoftheCustomerwasimplementedateverybranchtoprovidedetailedfeedbackoncustomerexperiencesimmediatelyfollowingbranchtransac0ons.

Mul0channel,mul0touchapproachprovideddataon:•  Employeeperformance•  Branchenvironment•  Wait0mes•  Onlineexperiences•  Overallsa0sfac0onandloyalty

Results•  6%increaseincustomerreten0on•  50%decreaseinfirst-yearaRri0onrates•  Customersa0sfac0ongapscoresdoubledversuslocalcompe00on

Manyvariablesimpactcampaignsuccess.Theinforma0ononearningsorpercentageincreasesthatiscontainedwithinthiscasestudyisprovidedfordemonstra0vepurposesonly.HarlandClarkedoesnotguaranteeorwarrantearningsorapar0cularlevelofsuccesswithacampaign.


26

C A S E S T U D Y

VoiceoftheCustomerImprovesCustomerSa6sfac6onandEmployeePerformance

ChallengeIden0fykeydriversofthecustomerexperiencetoprovidethehighestlevelofservice.

SoluRonU0lizingVoiceoftheCustomerthefinancialins0tu0onaccessedreal-0mecustomerfeedbackfrommul0plechannels,drillingdowntothebranch-andemployee-level.ResultsTwoyearsaxerimplementa0on,thefinancialins0tu0onmeasuredsignificantimprovementinthreekeymetrics:

1.  NetPromoterScore(NPS)2.  Customeradvocacy3.  Customerloyalty

Manyvariablesimpactcampaignsuccess.HarlandClarkedoesnotguaranteeorwarrantearningsorapar0cularlevelofsuccesswithacampaign.


> > >

27

“Ifyoucanimproveyourlevelofcustomerreten=onbyjust5%,andsustainthat

improvementoverfiveyears,youcanimproveopera=ngearningsbyasmuchas100%”

-AmericanBanker


"AHigh-ProfitStrategyforBanks:FindtheTopCustomersandKeepThem,"AmericanBanker,July21,1993

Q&AWrapUp

TypeyourquesRoninthequesRonspanel

Stephen Nikitas Senior Strategy Director, Harland Clarke

John Berigan Executive Vice President, Customer Service Profiles (CSP)

PresentaRonmaterialsandvideoreplaywillbeprovidedwithinoneweek.Visitharlandclarke.com/webcastsforthisandpreviousevents.

harlandclarke.com/LinkedIn

harlandclarke.com/TwiRer

www.harlandclarke.com/webcasts


ThankYou

VoiceofCustomer,poweredbyCSP

improving performance with customer insights€¦ · company aer experiencing poor customer...

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