Three Barriers Preventing CFIs From Fully Hearing Their Customers
Leaders at community financial institutions (CFIs) have a wealth of data at their fingertips. Operational information is abundant and can tell an executive a great deal about the interactions clients have with a branch. But operational data doesn’t offer the complete story — the why behind what account holders do.
Without that insight, even well-researched investments can miss the mark. For example, leadership notices that branch traffic is declining while digital usage is increasing. In response, they reduce staff in the branches and increase investment in digital. However, the reason for the shift toward digital is due to inconvenient branch hours rather than a desire to do more online banking, and client loyalty is actually declining due to fewer personalized interactions with real people.
That’s exactly the kind of gap a listening program is designed to reveal, as the focus on the overall customer experience in banking can highlight shifts in client perception. It’s common, however, for leadership teams to be hesitant about implementing listening programs because of commonly held (and understandable) beliefs that, upon closer examination, reveal a different reality.
BELIEF #1: “OUR CLIENTS DON’T WANT TO BE BOTHERED”
Consumers are routinely asked to rate purchases, service calls, and support interactions, and the sheer volume of requests can leave people feeling overwhelmed and disengaged. Executives are often wary of adding to the overall survey fatigue. In addition, financial decisions are inherently personal, and leadership teams are often concerned that sending surveys will frustrate account holders, or make them feel pressured to share details they would rather keep private.
Feedback programs focus on the service experience, not personal financial details or account activity. And in reality, most account holders want to be asked about the service they receive — they even expect to be asked. After all, you’re holding onto their money! The key is balance; as we discussed in a prior article, feedback doesn’t need to be constant or overwhelming to be valuable. Our data shows that collecting feedback every six months is safe, and provides helpful perspectives without burdening clients.
BELIEF #2: “WE ALREADY HAVE THE DATA WE NEED”
CFIs can see transaction history, digital banking usage, service interactions, and other behavioral metrics. With so much information available, it’s easy to assume a branch already has a solid picture of the client experience.
But operational data and client perception are not the same thing. Payment, login failures, and transactional data can’t fully direct you on product needs and what will keep your clients loyal. Account holder feedback fills those gaps by explaining what clients actually value in their experience; for example, a drop in digital adoption might appear to be a technology bug, when the actual problem could be confusing navigation.
When operational data and client feedback are viewed together, CFIs gain a much clearer understanding of the experience they are delivering — and what might need to change.
BELIEF #3: “WE’RE ALREADY LISTENING”
Many CFIs already collect additional feedback in some form. Google reviews, website comments, service calls, and conversations with frontline staff can all provide context about how account holders feel about your branch.
But there is a big difference between one-off comments and statistically relevant feedback across all lines of business. Reviews and voluntary feedback tend to attract extremes: the most enthusiastic account holder vs. the most frustrated ones. These perspectives are important, but they don’t always represent the broader base. When CFIs rely only on this type of feedback, they aren’t measuring important drivers like convenience, service, and product fit, that will help them change perception.
For example, did a client have a transaction completed in one call, or did they have to call back? That kind of information will get picked up in a full survey as opposed to an angry note left on a review website. A structured listening program balances extremes by pulling feedback from the entire client journey so leadership can see exactly what’s impacting satisfaction and loyalty.
Turning Feedback Into Action
None of the concerns described above are unreasonable, but they can inadvertently create a barrier to improving both operations and loyalty. A listening program helps close the gap between what institutions believe clients experience and what they actually experience.
That’s where Avannis comes in. We help CFIs design and execute customer feedback programs that fit their size, goals, and client relationships. Our decades of experience allow us to combine feedback collection with expert guidance, providing you with information you can act on to improve service, identify loyalty drivers, or even uncover new areas for growth.
Schedule a demo today and turn client feedback into a clear path forward.