Potential Cost Savings, Following The Implementation Of A Comprehensive Customer Communications Management Platform
Doxim, in conjunction with Hobson & Company, developed a model to calculate the ROI in customer communications management. The aim of which was to determine the potential cost savings achievable when implementing a comprehensive customer communications management platform, like Doxim CCM.
Hobson & Company interviewed several Doxim clients to understand the beneficial impact on their business, following the implementation of a Doxim CCM solution. They used the results to produce an illustrative example of the potential costs savings and efficiencies achievable when implementing a comprehensive customer communication management solution from Doxim.
The ROI calculator example is based on a company that generates $50 million in annual revenue, with print and mail costs of $140,000 per month and deals with approximately 1,000 inbound calls to the call center per week. The company also stores hard copy documents at an annual cost.
The ROI result considers the cost savings on print, mail and storage of hard copy documents when customers migrate to digital. It considers the reduction on time spent on customer support calls and the resources required to locate hard copy documents during inbound calls from customers.
Doxim CCM platform delivers strong cost savings and a quick return on investment
Indicating expenditure on customer communication and associated support prior to the Doxim CCM solution, followed by the cost reduction and ROI achievable post-implementation.Key input metrics for Company A, prior to implementing a Doxim CCM solution:
- Annual revenue of $50 million
- Spends $140,000 per month on print and mail documents (200,000 paper documents per month, at a cost of $0.70 each)
- Also spends $90,000 per quarter on printed inserts, at a cost of $0.20 each
- The cost of hard copy document storage is $50,000 per annum
- Customer service agents spend 40 hours (on average) per month searching for, reproducing and filing hard copy documents
- Customer service agents spend a total of 668 hours per month on customer calls (1,000 customer calls a week at 10 minutes each x 4 weeks)
Return On Investment results for Company A, following implementation of Doxim CCM solution:
Implementing a comprehensive solution like Doxim CCM can achieve a return of 185% over 5 years and a positive cash flow within 5.5 months.- Estimated annual cost reduction of $234,000
- Estimated annual savings, when including increased efficiencies and improved CX of $507,000
- Investment in Doxim’s CCM platform can generate positive cash flows in 5.5 months
- 5-Year net present value (NPV) was strong at $1.1M
- An ROI of 185% over 5 years
