Just 29% of consumers believe banks offer customer-centric experiences: Kantar
Kantar team shares insights on CX+ India Retail Banking Report 2019 released on Thursday
Data, insights and consulting company Kantar on Thursday launched a new research report: CX+ India Retail Banking Report 2019. The report explores the topic of bridging the gap between the brand and the consumer and creating experiences for the consumer. It is a sector-specific index that assesses banks based on a unique combination of their customer experience scores. HSBC ranks No.1 in the Top 10 CX+ Retail Banks in India.
According to the study, 91% of retail bank CEOs in India see the need to become customer-centric, and just 29% of consumers actually believe banks offer customer-centric experiences. exchange4media spoke to Susanne O'Gorman, Global Customer Experience Domain Lead; Barbara Cador, Global Head, CX+ Kantar; and Soumya Mohanty, Chief Client Officer, Insights Division; about the CX+ India Retail Banking Report 2019.
Edited excerpts below
Key highlights of the report
According to Mohanty, there are three key points. “Firstly, there are a multiplicity of customer segments. You have to craft your service delivery specific to the segment you are targeting, be it millenials or women. Secondly, customers want the power to choose. They want to be able to choose what customer journey they want to take. Lastly, they want to deal with a relationship manager, they want to feel valued and appreciated. Finally, they want banks to use their data. They are quite open with that but they want the banks to use their data to do good and craft personalised services for them. The biggest takeaway is that there is a gap between what the brand is promising and its delivery,” remarked Mohanty.
The similarities of the CX+ Retail Banking Report study done internationally and in India
O'Gorman shared that Kantar has done this study in over six markets around the world, including India. She added, “There are some similarities, the biggest one being a huge discrepancy between the mission of the CEO. Every CEO says that they ought to be customer-centric and then there is the reality on the other side. This is a result that we have found across all markets. The reality is just looking very different, and majority of the customers today are not so convinced that their banks are truly customer-centric.”
Cador pointed out that there is one important point that I think is very common to all the markets that are ‘millenials’. “Millenials really focus on enriching their lives with experience rather than accumulating stuff which is the old style of the previous generation. Accumulation was the holy grail and now we see the millennial customer completely deviating from that. That has a direct impact on how they consume and want to be serviced by their bank,” commented Cador.
The sector that is doing well in the ad space and in terms of customer experience
“When you think about sectors that are very successful in delivering a customer-centric experience, big platform companies like Amazon and Uber come to mind. These companies have been born out of consumer experience. Even a company like Starbucks doesn’t only sell coffee, they sell experiences as well. This disruptive thinking and entrepreneurial approach are what a lot of banks and FMCG companies should be adopting when they think about customer-centricity. You really need to turn around instead of trying to stretch the product into an experience. This is where we see the gaps. You really need to put the customer's experience at the centre,” Cador said.
In the financial service sector, women have a low level of representation when it comes to advertisements and customer satisfaction
Cador believes this connection with women has been really crystalised, especially in Cannes this year. “The fact that there are more men in advertising and they are deemed to be funnier, smarter and are over-represented is a massive issue. When it comes to financial services, women are unreserved, and this is a problem of financial literacy. Women have been taught to protect the earnings, try to stretch the budget and play offence. There is a huge role that banks can play to connect with women on that level when it comes to financial literacy. The added value banks can bring is giving them the self-esteem and knowledge they need. Indian women have said that when they interact with Fintech banking, 60% of them feel like they are losing control. So they are actually frustrated with the interaction with Fintech companies. It may have something to do with technology. You need some kind of technology awareness to do that”, commented Cador.
Spanish bank ING was chosen the best bank in terms of customer experience, recollects Cador. She shares, “ING is a digital bank. There is a massive tech interaction. They have been awarded the best bank in terms of women customer interaction. So it is feasible. You can overcome the functional relationship with technology and really bring in emotions.”
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