Solving the Right Customer Problem

Transcription

1 Solving the Right Customer Problem Presented by: Heather Vaughan, Experience Director 1/22/13 1

2 The Deluxe Collaborative Why a Collaborative? Members are smarter, stronger working together. Collaboration generates creativity, problem solving and motivation. Shape Topic Conduct Research Ideate Working with industry peers facilitates larger change. Share Design &Test 2

3 Collaborative Topics 2004: 2005: 2007: 2009: 2011: 2012: The Rapid Attrition of New Customers in the First 90 Days The Ailing Small Business Banking Experience Artful Problem Resolution for Building Loyalty Selling When Trust in Institutions Is Low Thriving in the Increasingly Regulated Climate of Banking Building a Profitable Future by Creating Demand 3

4 The real problem The customers you want Only buy periodically Don t buy enough Don t think of our products as they should Don t want to pay for them 4

5 2012 Research objectives Determine how to increase the purchase frequency for banking products and services. Determine what financial institutions need to provide consumers to create real value they are willing to pay for. Identify a vision for how financial institutions deliver that value in a way that allows them to thrive by

6 A bank is not a place to shop Banking and retailing don t go together. Going to my bank is like going to someone else s office. It s an uncomfortable experience. I feel like I m intruding. We need to change this perception. 6

7 There is no buying cycle. Low emotional involvement. Viewed as a chore that is driven by convenience and price not desire. Functional need driven versus emotional need Infrequent, one-time purchases with long periods of inactivity. Minimal contact unless there is an issue. Created by service delivery not repeat product purchases. Rarely happens unless there is an exceptionally good or bad interaction. Transactional not emotional or experiential. 7

8 We rely on incentives The Get Model Open a new checking account and get up to $150 in free money. You ll receive up to $150 when you open a new checking account and have a Direct Deposit or 10 qualifying debit card transactions per month. Hurry offer ends September 1. An example of Get formula 1. Open a checking account today 2. Get free access to ATMs 3. Get $150 plus more 4. Hurry! Offer expires next week 8

9 Jobs-to-be-done Functional Emotional Social Help me accomplish a task Help me feel deeply about what I do Help me build relationships with others Source: Stone Mantel 9

10 KnowHow 10

11 Two parts to KnowHow Know How Ability to do it Context Facts Timing Visualization Reminders Steps 11

12 A Job-to-Get-Done Connects Shows The Way Maximizes Thinks Through Plans 12

13 The best provider of KnowHow Consumers believe that the best place to get KnowHow is from their bank, but the second best place would from Amazon and then Google. Accounting Firm Intuit and/or Mint A bank other than my own Apple Financial content publisher (WSJ, Money) Financial consulting firms like Schwab Google Amazon My bank or credit union 13

14 KnowHow reinforces core emotional jobs Customers associate financial institutions with the emotional jobs of security, peace of mind and stability. Core emotional jobs Underlying functional jobs Providing knowhow makes those jobs feel fresh because it enables financial institutions to achieve the functional goals and emotional jobs. 14

15 A telling KnowHow story 15

16 KnowHow.. Customers want it. They think you have it. It aligns with in the moment It strengthens your channel strategy It can be the basis for selling Not Delivered in-person (You can t afford in-person with every customer and that is not what they are looking for.) Convenient (If it s already on their phone, there s not much more to do to be convenient.) 16

17 KnowHow how to do it. 17

18 KnowHow is a new approach for creating demand Knowhow Fact: KnowHow is the most sought after feature that has not been commoditized. 18

19 KnowHow in Channels 19

20 The Power of Knowhow 20

21 Knowhow creates demand After AFTER KNOWHOW SERVICE IS EXPLAINED Before BEFORE KNOWHOW SERVICE IS EXPLAINED 13% Saw timely offers as one of the top three aspects of the shopping experience 27% Become seriously interested in the knowhow provided and the offers associated with it 21

22 By 2015: The end result From: To: Being perceived as a place that holds my money. Low to no value A trusted advisor environment that provides in-the-moment, meaningful, personalized knowhow. Willing to pay for on a regular basis 22

23 Prepping for Transition from the get model to providing knowhow. 2. Lead with knowhow it will increase interest in the other products you offer. 3. Utilize channels to deliver knowhow based on client preference for channel and knowhow message type it will trigger demand. 4. Deliver channel appropriate layers of knowhow it will allow them to go deeper when they need more detail. 23

24 To learn more Deluxe Expo13 A two day, in-depth opportunity to learn how to create stronger demand and shorten the sales cycle between customer purchases. February 12-14, 2013 Chicago at the Swissôtel Seating is limited, register at: DeluxeKnowledgeExpo.com/Expo13 24

25 To experience more At Expo13, experience the Design Lab: Explore and shape new concepts in development See our solutions in more depth Bring back insights and trends to shape your future Interact with Collab members Play The Challenge Engage in our Social Hub 25

26 Thank you! Heather Vaughan Experience Director Deluxe Corp. Phone: