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Voice of the Customer: A Pot of Gold to the Banking Industry

Toyota was the first to introduce the Voice of the Customer into its manufacturing process in 1979. They successfully improved quality – with extraordinary results. 

Betting Everything on the Voice of the Customer  

It took twenty years for competitors to catch up. However, it was Chrysler on the verge of bankruptcy that bet everything on the Voice of the Customer. The result was one of the most innovative and popular automobiles ever created: the 1984 Dodge Caravan (“minivan”).   

What did customers want? Something comfortable and safe (seatbelts), seating for seven people, armrests, cupholders, passenger accessible storage areas, front wheel drive, easy access with sliding passenger side door, full back hatch door, flat floors (no hump), removable seats for easy cargo, garage friendly size, rust-proofing. And they wanted it all at an affordable price under $10k + higher quality, with a 5-year warranty.   

It’s hard to believe there were no cupholders before 1984! Forty years later it is still in production (5th generation) and remains the best-selling Dodge product ever.  

Toyota sought to improve the quality of its existing vehicles assuming customers just wanted a better-quality vehicle. In order to survive, Chrysler, on the other hand, needed to know what the customer wanted. Today automotive manufacturers do both, and they have a strong connection with their customers.   

Bankers Will Realize That Customer Service = a Vital Profit Center 

Ask any banker and they will tell you they listen to their customers, have excellent customer service and maybe even some customer satisfaction awards. This is the Toyota way and keeps the bank competitive. However, in this culture new products and services may not be well-received. Innovations may actually lose customers and increase dissatisfaction.  

AI Chat Bots are a great example of this. Everyone’s using them to improve customer service and lower costs. But wait: Did anyone ask the customers how AI should help them? No. Banks consider customer service as an expense, something to be made more efficient. So, AI Chat Bots solve the bank’s problems – not the customers’ problems.  

Customer Interactions Should be Part of Sales & Marketing 

Bankers will soon realize customer service is a vital profit center. Voice of Customer is a pot of gold to be encouraged and cherished. All customer interactions should be part of sales and marketing 

Consider the Chrysler way:  

  • What if the bank integrates customers’ voices into product designs, new services, and community reinvestments?  
  • What if all customer interactions are channeled into a cohesive Voice of Customer process?  

Wow! Maybe there will be cupholders in our future.   

There is no quality, innovation, or satisfaction without the voice of the customer. 

What is Voice of the Customer (VoC)?  

Voice of the Customer (VoC) is a process or program that collects and analyzes customer feedback about their experiences with and expectations for your products or services. VoC helps you understand what customers really think about your brand – and how to close the gap between their expectations and actual experiences.  

It also involves soliciting and gathering the specifically stated needs and wants of customers, which can be related to quality, cost, safety, service, delivery, and social responsibility. VoC is essential for creating and improving customer experiences. In marketing and quality management, the voice of the customer (VOC) summarizes customers’ expectations, preferences, and aversions. 

How Banks Can use Voice of the Customer to Their Advantage 

There are several ways to use Voice of the Customer (VoC) data for your bank. Here are some techniques: 

  • Interviewing customers 
  • Surveying customers 
  • Paying attention to social media 
  • Listening to recorded customer calls 
  • Monitoring customer reviews 
  • Conducting focus groups 
  • Offering a feedback form 
  • Monitoring website behavior 
  • Using live chat 

One more way is to measure your Net Promoter Score. 

Net Promoter Score (NPS) is a metric that measures customer loyalty, satisfaction, and enthusiasm with a company, product, or service. It is calculated by asking customers one question:  

On a scale from 0 to 10, how likely are you to recommend this product/company to a friend or colleague?” The higher the score, the more positive the customer feedback. 

Banks Must Analyze VoC Data Effectively to Gain Insights 

Here are some examples of how banks use Voice of the Customer (VoC) data: 

  • Conducting surveys to understand customer satisfaction with their banking experience. 
  • Analyzing customer feedback to identify areas for improvement. 
  • Using customer feedback to develop new products and services that meet customer needs. 
  • Monitoring social media channels to identify customer complaints and concerns. 
  • Evaluating customer interactions with bank employees to identify areas for improvement. 

By analyzing VoC data effectively, banks can gain valuable insights to influence product innovation, improve customer experience, increase sales performance, and drive other advantages. 

My Cupholder Idea: My Bank, My Bookkeeper 

I want my bank to be my bookkeeper. They have my money, personal data, all my transaction history and my trust. This would be a very valuable service for all small businesses. 

Imagine getting your monthly P&L’s, Balance Sheet, and Transaction statements all from one source. I would want all my business flowing through my bank, so it’s included in the bookkeeping service.   

It would allow my banker to truly understand my business and support my needs with good and novel solutions. Talk about locking in clients and serving all their financial needs. That’s a nice cupholder idea.  

Developing and leading transformational initiatives within the banking industry is the zone where I thrive. If you want to talk innovation, let’s talk! Reach out to me anytime 

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