The idea of these next 3 slides is to show that customers have changed but banks haven’t.
This section will focus on what we know right now – consumer data from our study plus channel volume forecasts.
For today’s discussion, I’d like to focus on the US statistics. Branch sales are certainly not going away. 61% of US consumers preferred to open their accounts in the branch. However, we can ignore that 19% of consumers don’t just consider opening accounts online but actually prefer to do so. An even greater number prefer to research products online before going in to the branch. The question I would ask is “How many branches are familiar with the information being delivered online? How many are ready for a more informed consumer?”
Focus on the US – at the aggregate level, only 19% prefer to open accounts online. But there are definite demographic differences with 30% in the 18-34 range preferring to open accounts online and only 10% in the 55+ category preferring to open accounts online. Numbers are higher across the board for researching. This preference for online will continue to grow as the 18-34 segment is backfilled with new, younger consumers.What this means is that the bank has to be prepared to meet customer needs in all of the channels. What’s important is knowing which customer prefers which channel. It doesn’t mean that you need to offer every function in every channel but that you adjust your strategy to match customer tasks to the preferred channels. We’ll talk more about this in a few minutes.
This section will focus on what we need to do to adjust to the new consumer and build agility so that banks can be more adaptable in the future.
Goal of slide – show need for agility. Be available where customer prefers to perform tasks.
Identify prospects – Branch: customer request or teller conversation. Online: Need automated data to provide a targeted offer.Make contact – Branch: In person. Online: Based on point of contact i.e. online ad will vary from ATM screen message or mobile text offer.Qualify lead – Branch: Ask personal questions, conversational. Hopefully a prescreened offer to give the customer. Present offer – Branch: Determine the right account and explain why it is the best option. Online: Customer researches accounts or uses an online wizard.Answer questions – Branch: In person. Online: Customer should be able to call contact center, send an e-mail, or start a chat conversation.Open account – Branch: Typically paper forms that are then keyed in by branch personnel. Online: Customer does the keying.Interestingly, the processes that we’re currently putting in place to improve sales through the self-service channel can help us improve the process in the branch, as well. Let’s look at how we interact with customers in 4 different branch models.
Plan for agility – Do you plan for the next project or do you plan for the future (i.e. any future project)?