Banks Make It Clear: We’re Sticking It To You With Fees

Harley Manning

An article in Boston.com highlighted the fact that many big banks still don’t understand what customer experience is or why it’s the biggest single driver of business success for most companies.  

Apparently Citigroup is about to join a “growing number of banks and credit unions” that have adopted some version of a one-page disclosure form. That form makes it easier for customers to see and understand fees.

Now don’t get me wrong: Making it easier to understand fees is a step forward. After all, ease of doing business is the second level of the customer experience pyramid and only slightly less important than meeting customer needs.

What has me shaking my head is the next part of the article. It says that these new summary pages come in response to complaints about rising fees, including fees that few customers knew about in the first place, like a fee for getting a paper statement and — my personal favorite — a fee for closing an account.   

A fee for closing an account? Really? I may be old-fashioned, but I’m used to paying people to perform a service for me, not paying them to stop performing a service for me.

Here’s why the whole “fee transparency” thing misses the point: Your bank really, really wants you to open more fee-generating accounts with it. When you add a savings account or CD to your checking account, or take out an auto loan or a home equity loan, you ring its cash register.

Read more

Three More Things I'd Tell Your CIO

Kyle McNabb

Last December, I published three things I'd tell your CIO. Since then, I've spent time with dozens and dozens of sourcing and vendor management professionals, CIOs, and leaders of application development and delivery, including last week's Paris Forrester Forums. Most days, I share our ongoing research on what impact today's software-fueled, consumer-led digital disruption has on your ability to meet and exceed the expectations of your customers and the employees serving them. For some folks, software and software development remains a commodity. But for many, the need to deliver great software has taken hold of 2013 planning discussions. With July just around the corner, and as you start 2013 planning, focus on what you need to start delivering great software (remember, software is your business), and keep these three things I'd tell you and your CIO in mind:

Read more

Q&A With Phil Bienert, SVP Consumer Digital Experience, AT&T

Harley Manning

It’s amazing to me how many times the telecommunications industry came up as we did the research for our new book, Outside In. From wireless service providers to cable companies, whether in the US, Germany, or Australia, it became clear that customer experience is the battleground of the immediate future for the companies that bring us our voice, data, and entertainment content.

That’s why I’m so excited to bring Phil Bienert to the stage of our Customer Experience Forum 2012 East next week. Phil is a longtime customer experience advocate and expert, whom we first met when he worked at Volvo. He’s always been a clear thinker and visionary when it comes to digital experiences, and he’s now bringing that thinking and vision to AT&T.

In advance of his speech, we put some questions to Phil about what AT&T is trying to do and how it’s planning to do it. Some of his answers will surprise you. Enjoy! Phil Bienert

How would you describe the experience that you want AT&T customers to have?

Effortless. Customers interact with AT&T across many touchpoints — online, mobile apps, our call centers, and more than 2,300 retail stores — and it’s essential that we make all of these interactions seamless, within touchpoints and across touchpoints, each and every time. We want to make it easy for customers to do business with us, however they prefer to contact us, and to get their question taken care of the first time.

Read more

Healthcare Customer Experience Insight At Forrester's Customer Experience Forum — Wednesday, June 27th — New York, NY

Jonathan Browne

I'm excited that I'll be spending time with Forrester clients next week at Forrester’s Customer Experience Forum 2012 East. On the second day of the forum (Wednesday, June 27th), there are two industry presentations of particular interest to healthcare industry executives:

 

1. 11.30 a.m. - 12:00 p.m.: Patient Empowered Healthcare

Matt Eaves

Matt Eaves (director, engagement, Cancer Treatment Centers of America) will talk about the patient-centric interactive experience that his organization created in collaboration with interactive design agency, EffectiveUI.

 2. 2.00 p.m. - 2.45 p.m.: Bucking The Trend In An Industry That Delivers Poor Customer Experience

Torben Nielsen

Read more

Q&A With Kevin Peters, President, North America, Office Depot

Harley Manning

Yesterday I wrote a post inspired by insight from Kevin Peters of Office Depot. Today we’re going to hear from the man himself!

My co-author (Kerry Bodine) and I were so impressed by what Kevin’s been doing to reinvent customer experience at his company that we open our upcoming book with a case study about him. We’re also fortunate to have him to speak at our Customer Experience Forum 2012 East in New York just a week from today (June 26th).

Whether you’re going to get a chance to hear Kevin speak next week or not, I’m sure you’ll enjoy the insight he provides in his answers to some questions we sent him. My favorite nugget: Depot Time!

So without further ado . . . heeeeeere’s Kevin!

1.  How would you describe the experience that you want Office Depot customers to have?

We care about providing solutions, not just selling products. At the end of the day, we need our customers more than they need us. That philosophy must guide everything that we do. Our customers must feel that their business is valuable to us. To that end:

  • They are greeted at the front door and feel welcomed and appreciated.
  • Their success is our success.
  • Their problems are our challenges to be solved.
  • They are recognized and remembered when they return.
Read more

You Need Your Customer More Than Your Customers Need You

Harley Manning

Customers today have more choices than ever. Not only that, they have more information about those choices than ever. And they can get that information anytime, anywhere, and on whatever device they happen to be using at the moment. These changes have collectively put customers in the driver’s seat.

If you’re a fan of strategy guru Michael Porter, you can think of this as a shift in one of his five forces of competition: buyer power. But even without a sophisticated analytical framework, you can feel this change in your daily life. That’s because you’re a customer, too, by virtue of the fact that you buy goods and services, day in and day out.

Try comparing the power you used to have as a customer with the power you have today. I recently tried this exercise by comparing the way I picked my bank in 1998 — when I  moved to the Boston area for a job — with the options I have for picking a bank today.

In June of ’98, I wanted to switch to a local-area bank but didn’t know where to begin. I dreaded doing the research on top of moving my home and starting a new job. The woman who recruited me suggested that I sign up with Bank Boston because it had the most ATMs in our area. With a sense of relief, I did just that and went on with my life.

Over the intervening years, Bank Boston was acquired by Fleet Bank, which was later acquired by Bank of America. Today that makes me a Bank of America customer, even though I never decided to do business with it. Fortunately, the relationship has worked out okay. But what if it stopped being okay and I wanted to switch? How hard would it be to pick a new bank and switch in 2012?

Read more

Why Customer Experience Is Critically Important To Marketing At FedEx: The SVP Of Marketing Weighs In!

Harley Manning

One of the great pleasures of working on our upcoming book, Outside In, was interviewing customer experience leaders at great brands like FedEx. I was fortunate enough to be able to talk with Laurie Tucker, SVP of corporate marketing at FedEx, to get her story. I was so impressed by the work that's going on in her group that I invited her to speak at our Customer Experience Forum in New York on June 26th to 27th (she's on the morning of June 27th).

As a prequel to some of what we'll hear from Laurie at our event, we sent her questions about the FedEx customer experience and why she sees it as a competitive advantage. Her answers appear below.

Enjoy!

Q: How would you describe the experience that you want FedEx customers to have?

A: Relationships oftentimes start with a simple handshake. For example, when you meet someone for the first time and extend your hand in greeting, you’re offering to build a relationship. In the same way, we want to offer a hand to our customers to establish a personal and meaningful connection. After all, FedEx is more than just delivering packages. We’re an innovative company that thrives on delivering solutions and programs that meet our customers’ needs and expectations.

Read more

Q&A With David Lessing, Chief Operating Officer, Wealth Management, US, Morgan Stanley Smith Barney

Moira Dorsey

I had a chance to catch up with David Lessing, COO of wealth management at Morgan Stanley Smith Barney, in advance of his keynote next month at the Customer Experience Forum. I spoke with David about what it means to have an outside-in perspective on customer experience at Morgan Stanley Smith Barney. Here are some of his thoughts.

Q: How would you describe the experience that you want Morgan Stanley Smith Barney customers to have?

A: The most significant driver of a client’s experience with Morgan Stanley Smith Barney is that client’s financial advisor and service team. We are focused on ensuring that our firm offers clients the most talented financial advisors with access to the best tools and investment insights in the industry. Although each client has somewhat different expectations of what they’d like to receive from us, we are committed to both excellent service and deploying our expertise to help drive investment results in line with the client’s goals, something we define as “investment excellence.”

Q: How does Morgan Stanley Smith Barney’s customer experience provide a differentiated experience from direct competitors?

Read more

The Business Impact Of An Outside-In Perspective At Sprint

Harley Manning

Sometimes a CEO takes the reins at a company that’s in such great shape, I can’t help thinking, “Wow, it must be great to be that guy!”

And then there’s Dan Hesse, CEO at Sprint. Given the shape that Sprint was in when he got the top job in 2008, I was thinking more along the lines of, “Wow, he must be working off a karmic burden!” That’s because back then, the company had the lowest customer satisfaction ratings of any of the major wireless carriers. As a result, it was bleeding cash from high customer care costs and lost subscribers.

Faced with this mess, Dan decided to focus on systematically improving the quality of Sprint’s customer experience as a way of improving Sprint’s bottom line. We were so impressed by his efforts that we included a case study about Dan in Chapter 2 of our upcoming book, Outside In: The Power Of Putting Customers At The Center Of Your Business.

The book won’t be out until August 28th, but you don’t have to wait until then to get a sense of how effective Dan’s efforts have been. That’s because on May 15th, Hesse gave an address at Sprint’s shareholder meeting, and he had this news:

Read more

Rx: Four Days Of Inspiration At The Cleveland Clinic Patient Experience Summit

Harley Manning

Earlier this week, I had the privilege of speaking at the Patient Experience Empathy And Innovation Summit. The event was sponsored by the Cleveland Clinic Office of Patient Experience, which is led by Dr. Jim Merlino, the chief experience officer at the Clinic.

To be candid, I originally agreed to give the speech as a favor to Jim, whose inspirational story kicks off the chapter on chief customer officers in our upcoming book. I didn’t know what to expect of the event and somehow imagined that when I joined hundreds of doctors, nurses, and other caregivers in a big auditorium, I’d get trapped inside an episode of House — and I’d be the only one who didn’t know what the other cast members were talking about.

Was I ever wrong. The event was an extraordinary experience from beginning to end, and the content was accessible to anyone who works to improve customer experience, regardless of industry. As someone who helps put on Forrester's Customer Experience Forum, I even got a little envious.

A few things leapt out at me from the sessions I attended:

  • Executive-level commitment to customer experience as a business strategy. Dr. Delos “Toby” Cosgrove, CEO of Cleveland Clinic, and Dr. Kurt Newman, CEO of Children’s National Medical Center, appeared together on a panel. It was clear from their answers to moderator and audience questions that both of them connect the dots between high-quality patient experience and the bottom line.
Read more