3 Ways Channel Complexity Impacts Customer Experience

The intent of multiple channels was not only to attract new customers, but also to reduce the cost of frontline sales reps and agents by shifting customers to lower cost channels. Instead, however, customers used channels based on their own convenience and, in many cases, used all the channels. As a result, new channels simply [...]

The intent of multiple channels was not only to attract new customers, but also to reduce the cost of frontline sales reps and agents by shifting customers to lower cost channels. Instead, however, customers used channels based on their own convenience and, in many cases, used all the channels. As a result, new channels simply added to the overall cost of distributing products to customers, with little or no increase in the ROI. For example, a survey by Oliver Wyman & Company revealed that 87% of financial services providers have experienced an increase in cost since shifting to a multi-channel distribution offering; only 3% saw an increase in ROI while the remaining providers stayed the same. Other industry resources report similar troubles.

Our research has identified three key reasons for this decline in productivity and a diminished customer experience.

1. Proliferation without strategy
2. Declining customer satisfaction
3. Lack of process and data integration

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Courtesy – Dale Wolf