Let’s Get Personal: Optimizing Omnichannel with Analytics and Digital Data

Let’s Get Personal:
Optimizing Omnichannel
with Analytics and Digital
Data Click to edit
Master title style
David M. Wallace
Global Financial Services Marketing
Manager, SAS
Simon J. Bennett
SVP Customer Analytics
North American Banking Analytics
HSBC Bank USA
Agenda
• Marketing and Financial Services Today
• Customer Decision Hub – Applying Science to Omnichannel Marketing
• HSBC Perspective
• Final Thoughts
• Questions
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The Financial Services Marketing
Landscape
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Marketing Is Still Channel Centric
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Data Remains A Challenge
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Analytical Velocity Must Increase To
Support Customer Decisions
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Concept: Optimized Customer
Decision Hub
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Customer Decision Hub – Actions
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Customer Decision Hub – Insight
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Customer Decision Hub – Rules
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Customer Decision Hub - Orchestration
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Customer Decision Hub - Optimization
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Customer Decision Hub – Key Benefits
 CONSISTENT Omni-Channel implementation
 CENTRAL decision logic for all customer interactions
 UNIFIED user interface across departments
 VALUE-BASED marketing management
 LEVERAGE business know how through Advanced Analytics
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HSBC Today – Balanced Global
Universal Banking Model
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PUBLIC
Present in 70% of the World’s Largest 200
Cities and Able to Capture Opportunities
in the Fastest Growing Cities
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PUBLIC
Continue to Develop with Focus on
Growing Customer Relationships
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PUBLIC
Optimizing Channel Usage can only be
Achieved with Constant Development in
Digital Channels
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PUBLIC
RBWM Transformation: Improving
Efficiency and Customer Experience
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PUBLIC
HSBC’s Need for Channel
Optimization
Based on
- Different functional capabilities of each channel
- Customer’s channel preference,
- Existing infrastructure,
- Costs associated in servicing customers through each channel,
- Internal capabilities,
Banks are trying to optimize their presence across different channels in
each region.
Special focus is being shed on migrating customers from Branch to other
channels in lieu of high costs associated with it
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PUBLIC
Understanding a Customer's
Relationship with the Branch Network
► Is the customer a Branch/ATM/PIB
reliant? What is the most used branch?
► Is the customer an efficient user of the
channel? If not how do we migrate?
► Potential impact to branch-reliant
customers in case of optimization
► ATM utilization and network
optimization
► Quantify potential run-offs of highest
risk customers (single branch users),
and highest value customers
► Impact of branch hour changes on
customer convenience
► Location of non-HSBC ATMs used by
most valuable customers
Customer’s Preferred Branch
Branch A
Branch B
► What is the regulatory impact (eg. CRA
requirements)?
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PUBLIC
Design Channel Experience With a
Customer Centric Approach
Analysis of customer channel behavior for each of the services tells us how far we
are from our preferred model
Values shown are purely for illustrative purposes and are not HSBC’s actual assessment
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PUBLIC
Combine the Channel Analytics with
Knowing when to Contact a Customer
and what to Contact them About
Acquiring
Enhancing
Retaining
New Customers
Existing Customer
Relationships
profitable customers
for life
Onboarding Leads
Welcome packs and
scheduled calls optimized
through analysis of previous
customer onboarding
Promise to Call
Disengagement and Inactivity
Trigger Leads
Upgrade Leads
From lower to higher proposition
Referral Leads
Event Trigger Leads
Identified from analytics
Periodic Campaigns
optimized through analysis of
previous campaigns and
propensity modelling
Periodic Campaigns
optimized through analysis of
previous campaigns and
propensity modelling
Customer, Product and Transaction Analytics helps prioritize customer contacts
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PUBLIC
Five Principles to Continuously
Improve our Customer Experience
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PUBLIC
Five Lessons Learned
1. If the people that matter (the front line) aren’t with you, nothing else matters
2. It’s a long term commitment – and the tech build is the hard part!
3. If you can’t agree on what success looks like, prepare for a long winter
4. Make sure your plan is heavy on what you will do, not on selling what the
solution can do
5. Know who’s driving (and how many spare keys exist)
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Final Thoughts
• 3 Key Takeaways
–Analytical models, rules and actions should be consolidated to support
omnichannel
–Integrated marketing application framework delivers higher velocity & lower
friction in the marketing process vs. best-of-breed tools stitched together
–Mathematical optimization should be at the center of a decision hub so that
both the customer’s and the bank’s goals can be met together for a win-win
• Predictions for 2015
–Advanced analytics continues to move in-memory to drive immediacy of
decisions on large data sets
–Mathematical optimization increases as complex decisions made easier
–More real-time, less batch decisioning
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Questions?
Thank You!
[email protected] for follow-up questions
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