Digital XP: The New CX
The 4 tenets for creating a better digital experience.
When it comes to customer experience, we can all agree that losing a credit card is the worst. Customers are cut off from a service they need, stressed that their personal security is compromised, and left waiting up to 10 business days for a new card via snail mail.
It’s a major low point in the customer journey, and it hurts profits too. Replacing credit cards costs around 20 cents per card, amounting to millions annually. What’s more, institutions lose out on potential earnings when customers can’t access their services.
In the meantime, tech firms are grabbing market share and disrupting the traditional payments universe with highly secure mobile payments, hyper-personalized mobile apps, and peer-to-peer lending that cuts out the middleman.
The pressure is on for traditional players to differentiate by providing an unbeatable experience and wowing customers at critical touchpoints — like when a lost or stolen wallet ruins their day. The good news? Emerging fintech solutions can help financial institutions get there. Here are three CX disruptors we’re heralding as the heroes of the lost credit card.
Up until recently, reporting a missing card meant frantically searching for a phone number, navigating a confusing directory, and waiting on the line for an agent. Now chatbots powered by artificial intelligence (AI), machine learning, natural language processing, and speech generation technologies can save over four minutes on every interaction, while allowing customers to choose how, when, and where to reach their institutions. It’s the kind of instantaneous response and 24/7 on-demand service that makes a world of difference for a stressed-out customer reporting a security breach.
There’s nothing worse than having your day derailed by a missing credit card— and then having to prove your identity to regain services. New biometric access control technologies are introducing big improvements in customer authentication by omitting repetitive, manual actions, such as security questions and passwords. Voice and facial recognition technologies streamline processes, save users time, and increase the perception of trust between customers and institutions. They’re more secure, too. Unlike passwords and personal information that can be hacked, biometrics are unique to each customer and virtually impossible to fake.
One of the biggest challenges to credit card security is the static 16-digit number. (It’s also the main factor in card-not-present fraud, which accounts for roughly 4% of global transactions.) For customers, reliance on a static credit card number translates to the biggest headache in their journey: getting a new number and updating it across all recurring payments. The solution? Numberless cards that make it impossible for fraudsters to steal account numbers. Clients touch the card to their smartphone to generate a one-time dynamic card number, CVV, and expiry date for each transaction. With the switch to tokenization, missing cards are easily replaced without the hassle of updating credit card numbers.
Investing in fintech will help financial institutions create more satisfied customers and grow their revenue by 34 percent in 2022. Because the happiest customers have easy, uninterrupted access to services. And that’s not just good for your karma — it’s also good for your bottom line.
Ready to take the worst part of your customers’ day and make it the best? Or at least land a spot in the top three --- We can’t compete with a perfect hair day or that flawless caramel macchiato.
For any business with a large @home workforce, read this.