Thanks to everyone who attended our recent breakfast briefing at the Whitechapel Gallery in Whitechapel high street, London. Speaking at the event was Brett King, author of Bank 2.0.
Based on his own experience and years of research within the banking industry, Brett explained how the speed of changing behaviours and preferences of customers, linked with the emergence of new technology, has left most banking organisations struggling to respond.
One of the roadblocks for banks trying to adapt to changing consumer behaviour is organisational design. In particular, who in these organisations has a channel independent view of the customer.
In our work with ecommerce teams, we often meet clients who totally understand the importance of following changing customer behaviour, and have a clear vision of how to change the channel they are responsible for to better match the needs and preferences of their customers. However, it comes unstuck whenever these efforts have to cross channels.
The simple fact is that most institutions are organised in silos. It is hard to find anyone who has a view, and authority, over all channels. And as Brett points out, the relative status of the channel heads often reflects the ‘old world’ – where branch and telephone are seen as ‘bigger jobs’ then those responsible for digital channels.
The companies that we have seen have the most success, are those that have created senior job, board level roles, with a genuinely multi-channel ‘Customer Experience’ view. Only then can the customer experience ‘follow’ the customer as they choose the channel that works best for them, usually at a transaction level rather than a permanent preference.
If you work in banking, or in a multi-channel financial services business, Brett King’s book Bank 2.0 is definitely worth a read.