The TSB online banking disaster: a lesson in listening to your customers

TSB are still experiencing the backlash of online banking troubles, with customers struggling to make payments, pay off bills, or simply access their account without finding someone else’s transactions. TSB’s troubles began as it started the process of moving customer data onto a new IT system, and it reached the critical point whenTSB’s boss Paul Pester declared; “we are on our knees”.

So what has the TSB/Banco Sabadell disaster taught us? Firstly, there is the obvious rule of not toasting your own efforts with champagne and claiming a job well done until you’ve checked if the migration is successful. But more importantly, it is a lesson in the importance of listening to your customers.

Yaron Morgenstern

In today’s digital age, customer experience is more important than ever. This recent banking app drama has revealed how important it is to measure your customers experience with complete visibility of any potentials problems, glitches and stumbling blocks.

This should really be an ongoing and concerted effort – not just when you plan large scale back office migration but something organisations consider every day. There are three fundamental tenets to an effective customer experience: observation of the customer journey via touchpoints, reshaping customer interactions, and adapt the company’s services to align with customer expectations.

Observe 

Digital mapping means touchpoints can be scrutinised and companies can know exactly what their customers are doing, and where they are being lost. Being able to know what browser was used and on what device, as well as the operating system, country, or the time they spend on certain areas ofthe website or mobile app during sessions all goes to the heart of improving conversion in the digital customer journey.

Through behavioural analytics and session replays, financial firms can build a more robust picture of how their customers interact online. From apps, to online, to text alerts and phone centres, you have to understand how your customers are interacting with your organisation, and how these formats of interaction work together. 

React and reshape 

From an advert that isn’t relevant, to a webpage that isn’t mobile-friendly, AI-enabled alerts can help you understand what your customers are seeing at any given time, and why it isn’t working. With this level of insight, organisations are armed with the knowledge about where customers are ‘dropping off’ on websites and apps, and they can also use this insight to craft and deliver tailored content, based on an individual’s experience online.

For example, imagine if a customer drops into their local bank to ask about a loan they saw on their online banking page. If the customer is unsure exactly what the terms offered were, the bank representative can access the customers online history and see exactly what they were offered, when, under which terms. 

Respond and adapt 

Through real-time analysis of each and every customer interaction,site maintenance teams and IT departments are able to get to the source of any problems that are causing low conversion rates quickly. Web and app development is a fine art, requiring constant upgrades and often presenting challenges as a result.

How can organisations tell if customers are unable to submit an online form once the email address goes over 32 characters, or if an app presents the option of making a bank transfer retrospectively?Having the tools in place to measure and remedy a customer’s digital experience means you are able torespond in real-time and adapt your offering accordingly.

What does this mean for the finance industry?

As customers move away from the human interactions of 25 years ago, never before has a slick, seamless customer experience been more important in financial services. As the TSB drama is likely to show, customers will not hesitate to look elsewhere if they get frustrated with the digital experience they demand, resulting in financial organisations losing customers.

To remain competitive, banks, insurers and wealth management firms need to demonstrate that they understand their customers and deliver an online experience that meets their needs.

Biography of Yaron Morgenstern, CEO, Glassbox

Yaron Morgenstern has been the CEO at Glassbox Ltd since October 2015. Prior to this role, Yaron served as General Manager of Financial Markets Compliance at NICE Systems. He led both the NICE Trading Floors & NICE Actimize Capital Markets Compliance groups, and was responsible for the execution of the unique Holistic Surveillance vision that combines trade and communication surveillance capabilities. Yaron oversaw product creation, solution delivery, go-to-market planning, and client relationship management activities across NICE compliance solutions. He was responsible for growing market-leading position and ensuring continuous innovation, decision making, and agility to meet the needs of financial firms around the world. Yaron also holds a B.S. in Industrial Engineering and MBA from Ben Gurion University in Israel.

TSB are still experiencing the backlash of online banking troubles, with customers struggling to make payments, pay off bills, or simply access their account without finding someone else’s transactions. TSB’s troubles began as it started the process of moving customer data onto a new IT system, and it reached the critical point whenTSB’s boss Paul Pester declared; “we are on our knees”.

So what has the TSB/Banco Sabadell disaster taught us? Firstly, there is the obvious rule of not toasting your own efforts with champagne and claiming a job well done until you’ve checked if the migration is successful. But more importantly, it is a lesson in the importance of listening to your customers.

Yaron Morgenstern

In today’s digital age, customer experience is more important than ever. This recent banking app drama has revealed how important it is to measure your customers experience with complete visibility of any potentials problems, glitches and stumbling blocks.

This should really be an ongoing and concerted effort – not just when you plan large scale back office migration but something organisations consider every day. There are three fundamental tenets to an effective customer experience: observation of the customer journey via touchpoints, reshaping customer interactions, and adapt the company’s services to align with customer expectations.

Observe 

Digital mapping means touchpoints can be scrutinised and companies can know exactly what their customers are doing, and where they are being lost. Being able to know what browser was used and on what device, as well as the operating system, country, or the time they spend on certain areas ofthe website or mobile app during sessions all goes to the heart of improving conversion in the digital customer journey.

Through behavioural analytics and session replays, financial firms can build a more robust picture of how their customers interact online. From apps, to online, to text alerts and phone centres, you have to understand how your customers are interacting with your organisation, and how these formats of interaction work together. 

React and reshape 

From an advert that isn’t relevant, to a webpage that isn’t mobile-friendly, AI-enabled alerts can help you understand what your customers are seeing at any given time, and why it isn’t working. With this level of insight, organisations are armed with the knowledge about where customers are ‘dropping off’ on websites and apps, and they can also use this insight to craft and deliver tailored content, based on an individual’s experience online.

For example, imagine if a customer drops into their local bank to ask about a loan they saw on their online banking page. If the customer is unsure exactly what the terms offered were, the bank representative can access the customers online history and see exactly what they were offered, when, under which terms. 

Respond and adapt 

Through real-time analysis of each and every customer interaction,site maintenance teams and IT departments are able to get to the source of any problems that are causing low conversion rates quickly. Web and app development is a fine art, requiring constant upgrades and often presenting challenges as a result.

How can organisations tell if customers are unable to submit an online form once the email address goes over 32 characters, or if an app presents the option of making a bank transfer retrospectively?Having the tools in place to measure and remedy a customer’s digital experience means you are able torespond in real-time and adapt your offering accordingly.

What does this mean for the finance industry?

As customers move away from the human interactions of 25 years ago, never before has a slick, seamless customer experience been more important in financial services. As the TSB drama is likely to show, customers will not hesitate to look elsewhere if they get frustrated with the digital experience they demand, resulting in financial organisations losing customers.

To remain competitive, banks, insurers and wealth management firms need to demonstrate that they understand their customers and deliver an online experience that meets their needs.

Biography of Yaron Morgenstern, CEO, Glassbox

Yaron Morgenstern has been the CEO at Glassbox Ltd since October 2015. Prior to this role, Yaron served as General Manager of Financial Markets Compliance at NICE Systems. He led both the NICE Trading Floors & NICE Actimize Capital Markets Compliance groups, and was responsible for the execution of the unique Holistic Surveillance vision that combines trade and communication surveillance capabilities. Yaron oversaw product creation, solution delivery, go-to-market planning, and client relationship management activities across NICE compliance solutions. He was responsible for growing market-leading position and ensuring continuous innovation, decision making, and agility to meet the needs of financial firms around the world. Yaron also holds a B.S. in Industrial Engineering and MBA from Ben Gurion University in Israel.