In a continuation of Lexden’s series of interviews with Customer Experience leaders, MD Christopher Brooks caught up with Kent Reliance’s Head of Customer Strategy & Insight, Stephen Plimmer, to better understand the role of CX at OSB.
Christopher Brooks (CB): OneSavings Bank won several awards this year for its financial services. Does the recognition come as a surprise or is this something you’ve been working towards for some time?
Stephen Plimmer (SP): For us, this was never a completely new way of thinking. The Marketing function always understood how important customer loyalty and experience was. But as a function, knowing that isn’t enough. The whole organisation has to be on-board and understand it and that’s what we’ve been working on over the last few years.
We’re lucky in that we have fantastic customer facing staff, both in branches and over in our call team. How we improved our customer service was a key part of our Customer Experience story and the recognition is all to do with their dedication and enthusiasm. Customer Service is such a key part of the overall customer experience.
Our call team always wanted to deliver exceptional service, to go beyond expectation and to embraceCustomer Experience Management. Listening to customer feedback helped empower them to do so.
CB: Would it be fair to say OneSavings Bank is a relatively new brand for consumers? With a very busy banking services market well established and a host of distinctive new entrants arriving, what is OneSavings Bank bringing that others have failed to do?
SP: OneSavings Bank trades as Kent Reliance, a brand with over 150 years of heritage. When we started out on the Customer Experience programme we needed to know how important that brand name was to people and what it meant. We conducted several focus groups and surveys and aside from spitfires and the White Cliffs of Dover (something people always associate with the country) the recurring themes were around words like traditional, heritage and trusted.
There was a clear affection for the brand and of course at the time, most high street banking brands were considered quite the opposite. We discovered that many customers wanted a brand they felt they could trust, a need for those values. We just needed to make sure we understood and lived up to them. It was from this research we were able to start planning our Customer Experience programme – by setting clear objectives.
CB: Does a digital age increase the challenge for FS brands to deliver a great customer experience, or can it improve things?
SP: It’s a fast evolving sector, mobile technology, greater expectations over speed of transacting; instant gratification and confidence in security are some of our greatest challenges. It is an incredibly competitive market now, with lots of new entrants. It’s about understanding your customer’s requirements and, if you can, staying one step ahead of that. I think that can only improve things but we’re not losing sight of the fact that not all our customers need great customer service delivered only online.
Many expect the same level of service in branch and over the phone. It’s about delivering that consistency of service across all channels.
CB: ICS (Institute Customer Satisfaction) figures show that customer satisfaction has dropped despite more firms investing in it, so do you think this is a reflection of customer expectations increasing, a focus on the wrong things by companies or is there something else to consider here?
SP: I think expectation levels have certainly played a part. I also think that although Customer Service is an incredibly important part of delivering a great customer experience, I think many people still think customer service and customer experience are the same thing.
Customer Experience is in fact the sum of the whole, customer service playing an important part in that, but it is also about brand perception, relationship building, understanding your customers – what they like and dislike. It’s about delivering the brand qualities consistency across all channels and during the entire customer life cycle.
CB: Collecting the awards for CX demonstrates it’s a key priority of your overall proposition, how important overall would you say it is for OSB?
SP: It’s very important. We continuously engage with our customers and measure experience at every touchpoint. For Kent Reliance this has enabled a business transformation rather than a marketing function revolution.
The crucial part was getting all customer facing functions on-board, otherwise you are just producing metrics. Unless all customer facing functions, and ultimately the business strategy units understand what customers were telling us, then key indicators are pointless.
CB: With trust from consumers being typically low in FS, do you think delivering great CX in financial services has its unique challenges other sectors do not face?
SP: There are so many alternatives in the FS sector now that product differentials and relying on customer inertia (as some probably still do) is no longer going to cut it. You need to be easy to deal with and you need to understand just how your customers want to deal with you. Gaining that understanding and then secondly delivering it is key.
CB: Do you think CX is a viable approach to demonstrate and deliver a more trusted brand to consumers?
SP: Trust was one of the key words associated with our brand and one of the traits we are naturally always working hard to retain. Our Customer Experience programme looks at these brand traits and makes sure we keep coming back to them in all we do.
CB: Can you provide an outline on your winning entry and why you think the judges saw merit in your submission beating retail giants RBS and Santander among others?
SP: The entry was around how we had engaged with our customer base, understanding their perceptions of us and what was important to them. This knowledge then prioritised operational change projects and channel development.
When the guest speaker joked at the start of the evening about a poor experience he once had was probably because the hotel group in question had put an accountant in charge of customer experience – the joke wasn’t lost on my colleagues around the table. But actually, my management accounting background has proved incredibly helpful when it comes to Customer Experience programme. From the very start I wanted to track and prove the impact the programme was having. And I think it was that evidence and the clear targets we set ourselves that made the difference.
CB: What would you say has been the key milestones or step changes at OSB in bringing customers more to the forefront of business decision making?
SP: Understanding what our brand meant to customers – existing and potential new ones. From that setting clear objectives to make sure the actual experience was consistent with what our customers wanted.
We gathered an in depth understanding of our customer base, from which we could segment and better understand their needs and how they wanted to transact with us.
We worked with a third party survey provider which allowed us to automate and expand surveying, also providing us with alert functions to be able to gather feedback across all channels and touchpoints – some in real time.
CB: Your CEO, Andy Golding has been associated with some more innovative Customer-led financial services companies in recent times. How important is it to have a CEO who backs the customer too?
SP: Within Andy’s first week here he wanted to sit down with key internal stakeholders and understand what our customers were saying about us; what they liked and disliked and how they rated each channel. Since then, customer feedback has helped prioritise all operational changes – what the operational managers needed to change or improve. He receives detailed customer MI, not just metrics but verbatim – what his customers are actually saying about the business.
We needed the whole business on-board if our customer experience programme was to be a success and having a CEO who feels passionately about delivering great customer service naturally helps convince people.
CB: What would you say is your proudest moment so far at OSB?
SP: There are many projects and initiatives that we’ve been a part of, but I would say the work we did with one of the call teams stands out.
New regulations across the mortgage market led to the call team struggling to answer even the simplest of customer queries; this led to poor CX metric scores and customer frustration. Working with various teams from across the business we were able to provide the call team members with training and simple to follow guides for dealing with customer calls. From call monitoring and understanding the issues customers were facing, we were able to improve the call team’s score dramatically; literally overnight. The call team were able to deliver a far better service which made them more confident which in turn we could see made a very positive impression on our customers.
The team are still improving and learning. It was a fantastic ‘quick win’ which really got them engaged with the customer experience programme.
CB: So the journey has started, what’s next for OSB and what can we expect to see you doing to wow your customers?
SP: More employee engagement, we are redefining our desired employee behaviours and making sure they are aligned to the brand image.
We are also increasing the research programmes, competitor analysis and using NPS from a more strategic perspective.
CB: Who do you admire most in terms of CX – either FS or beyond, and why?
SP: Some of the names here will probably be of no surprise, but in my experience it’s Amazon and John Lewis. Amazon make it easy to transact with and in terms of the whole business brand experience it’s John Lewis. For me, it’s the whole end to end process and in particular post sales. I’m confident that even if there was a problem post sale – it would get resolved. It’s about staff delivering the brand and ease of transaction.
CB: We are talking customer experience; can you give me a personal example of brilliant customer experience from any part of your life, not just financial services, you can recall you really liked and remember?
SP: I always struggle to recall a brilliant experience; like many consumers I can usually recall bad ones very easily. A certain laptop/tablet manufacturer springs to mind.
CB: So getting it right for customers clearly matters to you at OSB. How do you keep track of what matters most to customers? Are these enduring or changing needs?
SP: As we’ve said, this is a fast moving sector with lots of new entrants. For us, it was always more about the verbatim, monitoring shifts in verbal feedback patterns to know first what our customers wanted, liked or disliked and then from acting on that how that changed customer sentiment. Not just a score. A score is just a way of tracking, but it doesn’t tell you why it is what it is and how to change it.
We have also recently launched an online focus group. A panel of customers that we can engage with on specific topics. This allows us to research a new product concept or test new literature to make sure we are getting it right.
We also produce detailed journey maps, into which we put customer sentiment, scores measured at various touch points and data from the complaints team. We then use these maps when looking at key journeys with operational managers so that we can see how we can improve things – see what the pain points are for customers and how we can make these better. Sometimes this is as simple as making a letter clearer but then sometimes the whole process is re-engineered.
CB: Finally, there are many firms just waking up to CX (customer experience). What wisdom would you give anyone starting out on their venture?
SP: Have clear objectives by gaining a deep understanding of current perception of your brand and how this compares to where you want to position it. Let the voice of the customer prioritise change and get buy-in from the highest level.
Also, demonstrate some quick wins, if there is mistrust of CX Strategy then demonstrating how effective it can be helps change perceptions. This doesn’t have to be a profit measure or a traditional CX metric, but more helpful is when you can evidence that you have reduced call wait times or complaints about a specific process – these are real impacts for both customers and staff.
Finally, make sure you take everyone on the journey with you – staff and customers.
Many thanks to Stephen and we wish him and Kent Reliance continued success.