January 21, 2005

Self-Service and Better Usability

Inproving Usability is key to more transactions according to Forrester.

Self-Service Requires Better Usability
Wed Jan 19, 2:26 PM ET Business - NewsFactor

Kimberly Hill, www.crm-daily.com

Up to now, companies have seemed to follow the "if you build it they will come" approach to self-service tools. But a more apt motto might be "if they can use it, they will," according to recent data collected by Forrester Research.

Nearly 100 percent of the firms surveyed by Forrester expected to increase the number of transactions their customers could complete on their own this year, said Bruce Temkin. However, the vast majority said that improving the usability of their self-service tools remained the best way to do so.


The Shift Is On

All together, 80 percent of companies surveyed indicated that improved usability for self-service tools was either very effective or somewhat effective in helping them achieve the goal of moving customers to less-expensive channels.

Media, entertainment and leisure companies ranked highest in their desire to shift customers specifically to Web self-service; over 80 percent indicated that it was critical or very important. Utilities and telecommunications ranked second, with manufacturing a close third.


Web Self-Service Wins

When identifying which self-service channels were most important to them, companies leaned somewhat -- but not overwhelmingly -- toward the Web. For example, only 38 percent of telecommunications and utilities companies reported that moving companies to phone self-service tools was a critical priority, but another 50 percent indicated that it was somewhat important.

In media, leisure and entertainment, 56 percent of companies reported that moving customers to kiosk-based service was either very or somewhat important. Retail and wholesale trade came in second at 64 percent.


Proactive Marketing a Close Second

In addition to usability, companies ranked proactive marketing high on their list of successful tactics for moving customers to self-service channels. It is a problem that Forrester has highlighted for some time -- companies must make their customers aware of self-service tools before they can expect adoption.

In the case of banks, for example, tellers or telephone representatives can tell customers about new online banking or bill payment tools, Forrester's Catherine Graeber told CRM Daily. Then, the channels must begin to offer the services that the groups using them need.

For instance, younger people are those most likely to access online bill payment and banking. While they may not be highly profitable customers as yet, they soon will be, and cross-selling services, such as financial advice, would go a long way toward making the customer service offered by banks coherent, Graeber noted.

Posted by Craig at January 21, 2005 02:27 PM