My colleague has put up his experience with customer service at his bank. Check out Customer Oriented Banking. This reminds of a very funny albeit frustrating episode with my banker. Refer to the post on the Power of Gold since this happens to be linked with the same bank.
As mentioned, this bank had accorded to me a gold status which meant among other things that I get priority treatment at the branch. The bank's branches have a token machine at the entrance. A customer has to select the type of transaction and type of customer. So whenever I went to the local branch to say drop a cheque, I selected the "Cheque Deposit" transaction and "Gold Customer". The moment I got my token, the security guard at the entrance used to holler "Gold, Gold" within the branch. This used to happen at every visit.
It was getting very frustrating. Every time I took a token, the guard shouted his "Gold, Gold" chant and all persons in the waiting area turned around to look at the guard and me. I asked the guard why he is shouting so. He said he has been instructed by the branch manager. I asked the branch manager why this was so. He said that gold customers are accorded priority treatment and his tellers need to know a gold customer has walked in so they can quickly service his needs. I still failed to understand why the guard was shouting. The branch manager stated that I should not worry since the guard shouting is not troubling me.
I explained to him that the guard shouting is exactly what worries me. Everytime the guard shouts, the people in the branch turn around and take a good look at me. I told him that I did not want to be conspicious and would prefer to be within the crowd and quietly move to the head of the queue and move out without having come to the notice of all the people in the branch. But for some reason the branch manager failed to appreciate this concern and continued with the practice of the guard shouting "Gold, Gold".
Slowly, I started dreading going into the branch. I preferred travelling another kilo meter to the branch of another bank where I had an account and doing my money transactions from this bank. Over time I moved all my new transactions to this new bank. The old instruments at the earlier bank matured and was transferred to the new bank. Today, I only have an auto loan at the first bank.
And all along the bank has neither realized nor discussed with me as to why my transactions have dropped with the bank.
I still continue to drive one additional kilo meter for my banking needs.
If only the bank understood that I enjoy being a gold customer but hate having everyone know that I am a gold customer.
Wednesday, August 26, 2009
Tuesday, August 18, 2009
The stress continues !!!
My last post was on my experience with renewal of my health insurance policy. I thought the saga ended there. But apparently I have a sequel to it now.
After the episode in the first installment, I got a mail from the company giving details of the renewal and a renewal policy contract. I noticed that my address, name and insured person name was mis-spelt. I replied to the email with this information and listed the correct data.
The next day I received a call from "apparently a different" department stating that my policy is renewed and couriered. I share the information of error to this person. He takes my information and raises a service request for the same. He said the corrected policy card will be sent to me.
When I get my policy document via courier next day, I notice the error in name still exists. I get in touch with the call center on this and end up being rewarded with one more service request number.
In the next two days, I get one policy document package and three courier letter with my policy card in each. The last one had my name and address mentioned correctly.
The entire renewal process had costed the company two courier packets and three couriered letters with the policy card. I wonder what was the cost of renewal of the policy for this company. OR was it my mail to the Director Retail business which made my case a high priority item to be resolved at all costs. I just wonder.
After the episode in the first installment, I got a mail from the company giving details of the renewal and a renewal policy contract. I noticed that my address, name and insured person name was mis-spelt. I replied to the email with this information and listed the correct data.
The next day I received a call from "apparently a different" department stating that my policy is renewed and couriered. I share the information of error to this person. He takes my information and raises a service request for the same. He said the corrected policy card will be sent to me.
When I get my policy document via courier next day, I notice the error in name still exists. I get in touch with the call center on this and end up being rewarded with one more service request number.
In the next two days, I get one policy document package and three courier letter with my policy card in each. The last one had my name and address mentioned correctly.
The entire renewal process had costed the company two courier packets and three couriered letters with the policy card. I wonder what was the cost of renewal of the policy for this company. OR was it my mail to the Director Retail business which made my case a high priority item to be resolved at all costs. I just wonder.
Wednesday, July 29, 2009
Stressing health insurance renewal!!!
I have a Family Floater health insurance policy active for 4 years now. This policy is up for renewal in August 2009. This is a plan for 2 Adults & 1 Kid for sum of Rs. x amount. On receipt of the renewal form, I contacted the call center to inform of a new addition in my family, a lovely daughter and my wish to add her to the Family Floater plan. I was told that this cannot be done online and that I need to get in touch with the branch to get the amendment done.
I contacted the company’s representative at the local branch from where I had bought the policy. I informed him of the amendment I need to make and the subsequent premium that I need to pay. He came back with a premium amount for a sum assured of Rs. x+y amount. I told him that I wish to keep the sum assured the same, ie Rs. x. He stated that since there is an addition of a member to the plan, the sum assured has to be increased. He stated that the company does not provide a Rs. x amount coverage to 2 Adults & 2 Kids plan. I had earlier checked up the premium on the website. There is clear process to renew or purchase a Family Floater plan for 2 Adults & 2 Kids for a sum assured of Rs. x amount. When I informed the representative of this, he changed his stance stating that he is mandated to not sell a Rs. x amount coverage for Family of 4 persons.
Now, I seem at a crossroad. The call center stated I need to contact branch for the amendment. The branch representative states he needs to increase the sum assured to Rs. x+y amount. The online web site permits me to purchase a policy for sum assured of Rs. x amount.
At this moment, I pulled up the annual report of the insurance company. Something told me I will get no help from the corporate office. I found the name of the Director for Retail business and shot off a mail to him on this background. I was hoping the email id typed was right and the mail does not bounce off. When I got a reply from the director stating he will look into the matter, I knew the email id was a right guess.
That day evening, the branch representative called me and stated that he has "special approval from his ASM" for my case and he can give me the renewal with the amendment and no increase in the sum assured. The next day I get a call from the sales team from the corporate office. The person says he has to close the issue since the mail has been sent to him. He takes all my details and renews my policy.
So finally I get my health insurance policy renewed (and hopefully without too much stress to spoil my health).
And in all this melee, If only some words of congrats or best wishes been uttered on the news of my new daughter.
I contacted the company’s representative at the local branch from where I had bought the policy. I informed him of the amendment I need to make and the subsequent premium that I need to pay. He came back with a premium amount for a sum assured of Rs. x+y amount. I told him that I wish to keep the sum assured the same, ie Rs. x. He stated that since there is an addition of a member to the plan, the sum assured has to be increased. He stated that the company does not provide a Rs. x amount coverage to 2 Adults & 2 Kids plan. I had earlier checked up the premium on the website. There is clear process to renew or purchase a Family Floater plan for 2 Adults & 2 Kids for a sum assured of Rs. x amount. When I informed the representative of this, he changed his stance stating that he is mandated to not sell a Rs. x amount coverage for Family of 4 persons.
Now, I seem at a crossroad. The call center stated I need to contact branch for the amendment. The branch representative states he needs to increase the sum assured to Rs. x+y amount. The online web site permits me to purchase a policy for sum assured of Rs. x amount.
At this moment, I pulled up the annual report of the insurance company. Something told me I will get no help from the corporate office. I found the name of the Director for Retail business and shot off a mail to him on this background. I was hoping the email id typed was right and the mail does not bounce off. When I got a reply from the director stating he will look into the matter, I knew the email id was a right guess.
That day evening, the branch representative called me and stated that he has "special approval from his ASM" for my case and he can give me the renewal with the amendment and no increase in the sum assured. The next day I get a call from the sales team from the corporate office. The person says he has to close the issue since the mail has been sent to him. He takes all my details and renews my policy.
So finally I get my health insurance policy renewed (and hopefully without too much stress to spoil my health).
And in all this melee, If only some words of congrats or best wishes been uttered on the news of my new daughter.
Monday, July 20, 2009
Customer loyalty <> Loyalty cards
Time and again whenever I ask marketing personnel on their customer loyalty programmes, I get the same answer -- "Yes, we have loyalty cards". Somehow, there is this accepted practice that a loyalty programme is all about loyalty cards. There is an understanding that the more points a customer has, the more loyal he is.
Unfortunately, this is not true. Every marketer today has sponsored a loyalty card. Every credit card gives spender points. Every airlines gives mileage point. Every debit card gives cash back. So when everyone gives the same offer, there is no differentiation in your position in the customer mind.
About 15 years back I was considering getting my first credit card. The card provider I selected was the only one giving spender points. And that was the reason I selected this credit card. Today, I carry 4 credit card, and the last credit card I opted for was because it provided me access to the lounge of the airlines I use frequently. The fact that it provides spender points never entered my domain of evaluation.
Now comes the question... so if spender points is not important, can it be taken off. There is a cost to maintain the spender points accumulation and redemption. Companies can save this cost and effort. So back to the same question... can it be taken off?
My answer is "YES, it can be taken off".
The biggest challenge is to move away from the common practice of spender points. This is one ritual that often marketers dread to break away from. And more important, there is no justification statement for continuing with this ritual.
Let us consider the previous case. Do I track the number of points garnered on my credit card? No. My only expectation is to get a private location where I can work undisturbed while waiting at the airport.
So can the loyalty points be taken off? Yes, it can. But it needs to be replaced by something more relevant. To a credit card, it could be access to some facilities -- airport lounge in my case. To an airline, it could be option of booking a preferred seat. To a bank, it could be automatic addition of an appliance to the household insurance.
This will get the customer prefer your service over the competitor because he is getting some additional service that will make life easier for him.
Unfortunately, this is not true. Every marketer today has sponsored a loyalty card. Every credit card gives spender points. Every airlines gives mileage point. Every debit card gives cash back. So when everyone gives the same offer, there is no differentiation in your position in the customer mind.
About 15 years back I was considering getting my first credit card. The card provider I selected was the only one giving spender points. And that was the reason I selected this credit card. Today, I carry 4 credit card, and the last credit card I opted for was because it provided me access to the lounge of the airlines I use frequently. The fact that it provides spender points never entered my domain of evaluation.
Now comes the question... so if spender points is not important, can it be taken off. There is a cost to maintain the spender points accumulation and redemption. Companies can save this cost and effort. So back to the same question... can it be taken off?
My answer is "YES, it can be taken off".
The biggest challenge is to move away from the common practice of spender points. This is one ritual that often marketers dread to break away from. And more important, there is no justification statement for continuing with this ritual.
Let us consider the previous case. Do I track the number of points garnered on my credit card? No. My only expectation is to get a private location where I can work undisturbed while waiting at the airport.
So can the loyalty points be taken off? Yes, it can. But it needs to be replaced by something more relevant. To a credit card, it could be access to some facilities -- airport lounge in my case. To an airline, it could be option of booking a preferred seat. To a bank, it could be automatic addition of an appliance to the household insurance.
This will get the customer prefer your service over the competitor because he is getting some additional service that will make life easier for him.
Thursday, December 11, 2008
Customer Satisfaction is the Easiest Thing
The recent attack on Taj (Mumbai) has resulted in multitude of articles describing nostalgic incidences of people's experience at the Taj group of hotel. In line with the same, I take this opportunity to relate my personal experience at one of the hotels belonging to the Taj group.
We were travelling to a religious feast last year to another city. There were three families, mine, my brother-in-law's and my in-laws. We had in all 5 adults and two children between us. My daughter and her cousin were two four-year olds with energy appropriately applicable to four-year olds. We were staying at a Taj Residency hotel.
Breakfast was a buffet affair. All of the adults had their plates full and ready to eat the first meal of the day. My daughter insisted that she wanted chocolate cornflakes and nothing else. I predicted a tantrum coming and was desperately trying to contain it. The captain probably heard our interaction. He sent out his team member to purchase a pack of chocolate cornflakes from the shops outside the hotel and got it served to my daughter. Obviously, the captain that day earned a four-year old fan for serving chocolate cornflakes. While Taj earned a loyal customer for life. Even today, my daughter insists on staying only at the Chocos Hotel everytime we travel. That day the decision of the Captain to spend 50 rupees achieved a high level of customer satisfaction from 5 adults and 2 would-be adults.
Customer satisfaction is that simple to achieve. Companies lose this aspect in plethora of powerpoints, business plans, vision documents, architecture designs and process reengineering. All it needs is set the objective in the right priority. (read my earlier article on the bill collection). Quite often companies do everything, that they deem right but do not bother to check on what the customer deems right.
I was attending a presentation by one of the (then) big six consulting house to a large public sector bank on the future of banking. This was about 10 years back and so had the usual stuff of internet banking, ATMs, core banking, and so on. After the presentation was over, the last slide was what hit everyone in the audience. It read:
"Everything that was said in the earlier slides is useless if the teller does not smile when the customer walks up".
It was just that simple. All the bank had to do was make its employees smile a true smile when the customer walked in. It may not have zoomed the bank to the number one status but would have significantly improved its customer loyalty and subsequent business.
We were travelling to a religious feast last year to another city. There were three families, mine, my brother-in-law's and my in-laws. We had in all 5 adults and two children between us. My daughter and her cousin were two four-year olds with energy appropriately applicable to four-year olds. We were staying at a Taj Residency hotel.
Breakfast was a buffet affair. All of the adults had their plates full and ready to eat the first meal of the day. My daughter insisted that she wanted chocolate cornflakes and nothing else. I predicted a tantrum coming and was desperately trying to contain it. The captain probably heard our interaction. He sent out his team member to purchase a pack of chocolate cornflakes from the shops outside the hotel and got it served to my daughter. Obviously, the captain that day earned a four-year old fan for serving chocolate cornflakes. While Taj earned a loyal customer for life. Even today, my daughter insists on staying only at the Chocos Hotel everytime we travel. That day the decision of the Captain to spend 50 rupees achieved a high level of customer satisfaction from 5 adults and 2 would-be adults.
Customer satisfaction is that simple to achieve. Companies lose this aspect in plethora of powerpoints, business plans, vision documents, architecture designs and process reengineering. All it needs is set the objective in the right priority. (read my earlier article on the bill collection). Quite often companies do everything, that they deem right but do not bother to check on what the customer deems right.
I was attending a presentation by one of the (then) big six consulting house to a large public sector bank on the future of banking. This was about 10 years back and so had the usual stuff of internet banking, ATMs, core banking, and so on. After the presentation was over, the last slide was what hit everyone in the audience. It read:
"Everything that was said in the earlier slides is useless if the teller does not smile when the customer walks up".
It was just that simple. All the bank had to do was make its employees smile a true smile when the customer walked in. It may not have zoomed the bank to the number one status but would have significantly improved its customer loyalty and subsequent business.
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