Cards Customer Service - How to Achieve Excellence

• Publication date: June 2012
• Report size: 153 pages

Synopsis • Competition creates the need for perceived differentiation among various card programs • Usage of all card types is now more complex and service related than ever before • Loyalty programs will increase usage even for small value items • The concept of service in the cards business has switched from a reactive response one, to a proactive marketing one Summary To any card business the need fo...

Synopsis
• Competition creates the need for perceived differentiation among various card programs
• Usage of all card types is now more complex and service related than ever before
• Loyalty programs will increase usage even for small value items
• The concept of service in the cards business has switched from a reactive response one, to a proactive marketing one

Summary
To any card business the need for providing acceptable customer service is obvious. Such a need is inherent in any organization hoping to be successful on a retail or consumer direct basis. Even manufacturing and supply organizations find that service is a substantial factor in their competitive positioning. In the card business, customer service is particularly important for many reasons, some of which are presented below:

• The various types of general use cards are not particularly differentiated in the type of usage available.
• Competition creates the need for perceived differentiation within the various card programs. T
• Customer choices for cards are simply too great in growing competitive markets, many of which have experienced an explosive growth in card issuance over the past five to ten years.
• Maturing markets find themselves in an environment where growth of one particular card program has to rely on movement of cardholders from other programs in an ever-increasing requirement for growth.
• The average number of cards being carried by qualified individuals is significant.
• Usage of all card types is now more complex and more service-related than ever before.
• New concepts of revenue generation are often exception condition fee based (past due, over-limit, exception handling).
• Loyalty programs have grown significantly and tend to increase usage even for relatively small value items.
• Simple arithmetic indicates that medium to large size card issuers have well over 100 percent of the number of existing cardholders contacting the issuer multiple times during a year.

Scope
• This report provides a methodical, bottom up approach to positioning a cards specific customer service operation
• It examines the resources, both tangible and intangible, required to operate excellent customer service policies
• It reveals what service quality metrics should be measured, and how often
• The report also looks at the use of customer service as a tool to increase profitability

Reasons To Buy
• Find out why the customer service function must be a central feature of card programs
• Consider what factors affect how customer service is delivered
• The report highlights all the customer service tools necessary to provide excellent service
• It discusses the importance of recruiting and training an effective customer service team
• The report finishes by considering how customer services will evolve in the future

Key Highlights
• Usage of all card types is now more complex and service related than ever before – card customer services must support all these
• Service perception and the reality of service provision is the same thing for the customer
• The provision of bad service is very expensive
• Card customer service has the opportunity to reduce costs, including by taking on functions that have been performed elsewhere

Solution Integration Industry

Table of Contents
1 Overview
1.1 The importance of customer service
1.2 The evolution of customer service to a marketing tool
1.3 Service as a product
1.4 The cost of substandard customer service
2 Market knowledge
2.1 The marketing environment
2.2 Competitive assessment
2.3 Potential suppliers – should you also address technology suppliers etc, not just outsourcing
2.3.1 Specialty services
2.3.2 Full service
2.3.3 Website capability
2.3.4 Comparison of cost/function value
2.3.5 Third party considerations
2.3.6 IVR, telephone key input
2.3.7 Reporting and MIS
2.3.8 Pricing method
2.4 Other factors affecting how customer service is delivered
3 Setting the customer service strategy
3.1 Goals of the customer service organisation
3.2 Customer service strategy development
3.3 Linking customer service to other business goals
4 Selecting the best customer service structure for the credit card business
4.1 The importance of structure
4.2 Dedicated credit card customer service unit
4.3 Integrated customer service unit
4.4 Is centralised customer service right for the organisation
4.5 Outsourced customer service option
4.6 Customer service in the organizational structure
5 Developing effective customer service policies
5.1 Identifying key policy areas
5.2 Developing policies
5.2.1 Examples of credit card policies
5.2.2 Managing policy boundaries
5.2.3 Credit limit increases
5.2.4 Testing policies
5.2.5 Revising policies
6 Customer service is not a silo!
6.1 What other functions need from the customer service organisation
6.2 Service setting priorities for the customer area
6.2.1 Customer service as a support function
6.2.2 Collections
6.2.3 Lost/stolen handling
6.2.4 Returned mail
6.2.5 New accounts application status
6.3 Customer service as a marketing function
6.4 Responding to other business units’ problems
7 Setting up the customer service operation
7.1 Physical plant and location
7.2 Resource requirements
7.3 Management structure
7.4 Team structure
8 Hiring and training an effective customer service team
8.1 Hiring is key to success
8.2 Skill sets required
8.3 Testing applicants
8.4 Full-time/part time/special shift
8.5 Setting up training programs – introductory and ongoing
8.5.1 Introductory training
8.5.2 Ongoing training
8.5.3 Development of training aids
8.6 Scripting for phone operations
8.6.1 Controlling the call
8.7 Train the trainer
8.7.1 Involvement of other teams
9 Customer service tools
9.1 Determine which tools are needed to reach goals
9.2 Telephone communication
9.2.1 ACD – Automatic Call Distributor
9.2.2 Incoming trunk groups
9.2.3 Transfer trunks
9.2.4 IVR and telephone automated response
9.2.5 ACD management software (expanded)
9.2.6 Call monitor capability
9.2.7 Queue status indicators
9.2.8 Call status board
9.2.9 Call recording equipment and supporting software
9.2.10 Scheduling system
9.2.11 Workstation content
9.3 Technology
9.3.1 Transaction control at terminal ID and user ID
9.3.2 Approved queues
9.3.3 Imaging technology
9.3.4 Flexible logic with regard to transaction frequency
9.3.5 Combined single chronological communication file
9.3.6 Indications of required action or sales potential highlighting
9.4 Letter library
9.5 Manuals and other support items
9.6 Web-based and net access
9.6.1 Macro communication flow
10 Customer service quality reporting and measurements
10.1 Service quality metrics to be measured and how often
10.2 Key reports to be developed
10.2.1 Frequency
10.2.2 Historical perspective
10.2.3 Content
10.2.4 Volumes
10.2.5 Inventory
10.2.6 Staffing
10.2.7 Capacity utilization
10.2.8 Key standards performance
10.2.9 Events of interest (monthly)
10.2.10 Issues (monthly)
10.2.11 Plans and projections
10.3 Monitoring performance
10.3.1 Telephone term real time
10.3.2 Telephone team, end of day, week, month
10.3.3 Telephone representatives’ call monitoring
10.3.4 Correspondence team quality reviews
10.4 Performance reviews
10.4.1 Other department feedback
10.5 Identifying issues and fixing problems
10.6 Listening to the customers
11 Customer service implementation
11.1 Building the best customer service facility possible
11.1.1 Intent
11.1.2 Visualization
11.1.3 Management on the same page
11.1.4 Detailed planning
11.1.5 Contingency planning
11.1.6 Contingency planning
11.1.7 Lead time
11.1.8 Project management
11.1.9 Liberal resources
11.1.10 Project communication
11.1.11 Staff training
12 Customer Feedback
12.1 Establish processes for on-going customer feedback
12.2 Customer satisfaction tools as a survey
12.3 Multiple choice surveys
12.4 What to ask
12.5 Analyzing what the customer is telling you
12.6 Acting on what the customer is telling you
12.6.1 What is causing them to say it
12.6.2 Process review or data review
13 Summary and the future of customer service
13.1 The use of customer service as a marketing tool to increase account profitability
13.2 The future of customer service


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