Get business value through channel innovation
But past economic travails and rising expectations from regulators and customers alike are making it harder for enterprises to meet their ROC and other targets. This is where innovation can step in to improve agility, compliance, customer engagement and delight and enable banks to differentiate themselves. Channel innovation in particular can contribute to business value by improving productivity, lowering costs and enhancing the efficiency of delivery infrastructure. But there's a right way to go about it.
First of all, channel innovation must ensure that not only are channels really handy to the customers when needed, but more importantly, not stepping on toes when they're not needed! Balance ubiquity with a respect for customer privacy. Second, channels must be equipped as per the context of usage, paying attention to the customer's touch-point location, his/ her characteristics, preferences and so on. Hence, it's not a good idea to ply a shopper with investment advice through a kiosk located within the store when she's only trying to check her bank balance. And while it's great to offer a selection of channels, all of them must enable a comparable and consistent experience for the user.
Although channel innovation is a product of technology, it cannot survive by that alone; it needs creative strategy to give it life, and needs to be used innovatively to make 'difference' to the end customer. That's why it is so important for banks to harness the power of social networking by connecting their channels directly to platforms where the customers are hanging out, talking, sharing and influencing others with their opinion, so that they can mount a timely and appropriate response when needed. Equally, banks must be imaginative enough to recognize the potential of new age media including mobile, TV and VOIP and location-based technology like GPS, RFID, among others in extending relevant and contextual services to customers wherever they may be and whatever they may be doing.
However, while doing all of the above, banks must ensure that they do not compromise even to the slightest degree, the convenience of their customers and the security of their transactions. After all customers won't stick around if they no longer feel safe.
I have detailed how channel innovation can bring about business value in the coming issue of FinacleConnect and will update this page as soon as the journal is released.
First of all, channel innovation must ensure that not only are channels really handy to the customers when needed, but more importantly, not stepping on toes when they're not needed! Balance ubiquity with a respect for customer privacy. Second, channels must be equipped as per the context of usage, paying attention to the customer's touch-point location, his/ her characteristics, preferences and so on. Hence, it's not a good idea to ply a shopper with investment advice through a kiosk located within the store when she's only trying to check her bank balance. And while it's great to offer a selection of channels, all of them must enable a comparable and consistent experience for the user.
Although channel innovation is a product of technology, it cannot survive by that alone; it needs creative strategy to give it life, and needs to be used innovatively to make 'difference' to the end customer. That's why it is so important for banks to harness the power of social networking by connecting their channels directly to platforms where the customers are hanging out, talking, sharing and influencing others with their opinion, so that they can mount a timely and appropriate response when needed. Equally, banks must be imaginative enough to recognize the potential of new age media including mobile, TV and VOIP and location-based technology like GPS, RFID, among others in extending relevant and contextual services to customers wherever they may be and whatever they may be doing.
However, while doing all of the above, banks must ensure that they do not compromise even to the slightest degree, the convenience of their customers and the security of their transactions. After all customers won't stick around if they no longer feel safe.
I have detailed how channel innovation can bring about business value in the coming issue of FinacleConnect and will update this page as soon as the journal is released.
