🏦 Customer Centricity in Financial Services: 5 Levers for Exceptional Customer Experience
As the financial services industry continues to evolve, customer centricity has become a top priority for many banks and insurers. However, despite this focus, progress has been slow. In this article, we will analyze the customer experience leaders and highlight five levers that can help financial institutions achieve exceptional customer experience.
🎯 Lever 1: Clearly Articulated Vision and Leadership Behavior
The first lever for exceptional customer experience is a clearly articulated vision and leadership behavior. This means that the board members and executives must have a customer-centric mindset and lead by example. For example, board members can call customers once a week to understand their needs and pain points. This helps to create a culture of customer-centricity throughout the organization.
🎯 Lever 2: Prioritization of Must-Win Battles
The second lever is the prioritization of must-win battles. This means that financial institutions must identify the most critical customer needs and pain points and prioritize efforts to address them. This requires a deep understanding of customer insights and a willingness to make radical changes to improve the customer experience.
🎯 Lever 3: Improvement Engine
The third lever is the improvement engine. This means that financial institutions must have a continuous learning process that results in behavioral change. This requires an NPS system that provides real-time feedback and insights into customer needs and preferences. Financial institutions must use this feedback to redefine customer episodes and make radical changes to improve the customer experience.
🎯 Lever 4: Change Backbone
The fourth lever is the change backbone. This means that financial institutions must have the governance, talent, and systems in place to sustain these efforts. This requires a culture of innovation and a willingness to experiment with new ideas and approaches. Financial institutions must also have the talent and systems in place to support these efforts and ensure that they are sustainable over the long term.
🎯 Lever 5: Great Payoff
The fifth and final lever is the great payoff. Financial institutions that prioritize customer experience and implement these levers can outperform their peers in growth and profits. By creating a culture of customer-centricity and making radical changes to improve the customer experience, financial institutions can differentiate themselves from their competitors and build long-term customer loyalty.
Pros and Cons
Pros:
- Prioritizing customer experience can lead to increased growth and profits
- Creating a culture of customer-centricity can differentiate financial institutions from their competitors
- Implementing these levers can lead to long-term customer loyalty
Cons:
- Implementing these levers requires a significant investment of time and resources
- Financial institutions may face resistance from employees who are resistant to change
Highlights
- Customer centricity is a top priority for financial institutions
- Progress has been slow, but there are exceptions
- Five levers can help financial institutions achieve exceptional customer experience
- These levers include a clearly articulated vision, prioritization of must-win battles, improvement engine, change backbone, and great payoff
- Prioritizing customer experience can lead to increased growth and profits
FAQ
Q: What is customer centricity?
A: Customer centricity is a business approach that prioritizes the needs and preferences of customers.
Q: Why is customer centricity important in financial services?
A: Customer centricity is important in financial services because it can lead to increased growth and profits, as well as long-term customer loyalty.
Q: What are the five levers for exceptional customer experience in financial services?
A: The five levers are a clearly articulated vision and leadership behavior, prioritization of must-win battles, improvement engine, change backbone, and great payoff.
Q: What are the pros and cons of prioritizing customer experience in financial services?
A: Pros include increased growth and profits, differentiation from competitors, and long-term customer loyalty. Cons include a significant investment of time and resources, and resistance from employees who are resistant to change.
Resources:
- https://www.voc.ai/product/ai-chatbot (AI Chatbot product)
