Proactive Customer Communication Increases banking customers’ satisfaction

For the third consecutive year, customer satisfaction among retail banking customers is falling. Automating compliance and strengthening customer communication could be part of the solution to improve customer satisfaction.

Increasing compliance and regulatory requirements are forcing the banks to focus on complex workflows and documentation, to the detriment of banks’ value-adding customer activities such as proactivity and personal service. This is affecting customer satisfaction among private customers of Danish banking institutions, which is falling for the third year in a row, according to a recent analysis by EPSI Rating Denmark on customer satisfaction in the Danish banking sector. The overall customer satisfaction among private banking customers in 2022 is at index 66.4, while in 2019 it was 3.6 index points higher.

Development of customer satisfaction in the banking sector. Source: EPSI Rating Denmark

Proactivity pays off

The survey from EPSI Rating Denmark shows that slightly more than half of retail banking customers have been proactively contacted by their bank in the past year. Across the banking sector, one in ten retail customers say their bank did not follow up on the contact, even though they should have. The difference in customer satisfaction between those who experienced follow-up and those who missed it is no less than 33 index points.

Good customer communication is about communicating proactively, directly and clearly with the customers. Banks can strengthen their relevance and accessibility to customers by digitising and personalising their customer communications even more. Therefore, it is essential to put the customer in the focus, so they see their bank as an added value partner and feel well advised.

Siger Christoffer Nielsen, markedschef for Bank & Finans hos Nobly.

At Nobly we are experts in implementing customer communication solutions (CCM solutions) that make it simple to maintain personalized customer communication. At Nobly we use Content Composer, which is Hyland’s flagship within CCM solutions. The solution is highly configurable and integratable, making the adaptation in the organization smooth.

High customer demand for digital solutions

Although the banking sector is already well underway with digitalizing various parts of their business, customer demand for digital solutions remains high. The analysis by EPSI Rating Denmark shows that just over half of private bank customers would like the bank to digitalize all their bank activities if possible.

“Customers who experience proactivity and value-adding advice are the most satisfied customers. Therefore, banks need to be more proactive in intensifying the automation of their customer communication, for example, by becoming better at regularly suggesting ways to optimize customers’ financial situations,” says Christoffer Nielsen.

Nobly’s digital solutions can be the end of impersonal mass communication and the beginning of personalized customer communication. After implementation, banks achieve significant resource savings on operation and maintenance, and customers experience a more relevant and personalized communication.

An in-depth look at the analysis from EPSI Rating Denmark

EPSI Rating Denmark conducts independent and regular customer satisfaction surveys in various sectors such as banking, pensions and insurance. The analysis of the Danish banking sector from 2022 is based on 2,412 interviews with private customers. The results are calculated on a scale from 0 to 100. The higher the index value, the better the customers experience their bank. The average for banks is normally in the range from index 60 to 75. Banks with an index of over 75 have a strong position among their customers, while banks with an index below 60 have a risk of losing their customer base.

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