Determining the Roi in Customer Communications Management

by | Apr 20, 2021

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)

Implementing software
Implementing management platform

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 

If your company is printing, sending, or storing hard copy customer documents, you can achieve a fast ROI and many other benefits from a customer communication management platform from Doxim.

Contact a Doxim CCM expert for a customized ROI calculation. TALK TO A CCM EXPERT TODAY

3. Expansion of digital products

As banking customer behavior shifts, banks must move with the times, or risk getting left behind. Many banks today are exploring the power and potential of open banking, which can allow them to offer more innovative products and services to their customers, as well as to better compete with fintech companies and other non-traditional financial service providers.

As you shift your banking business model to reach new segments or provide an enhanced array of services, communication becomes even more pivotal to your success. After all, if your customers don’t know which new services they qualify for, or how those services will help them meet their goals, then they are unlikely to explore them further. CCM technology can be leveraged here to provide personalized on-statement messaging that directs customers to the right products and services, as well as 1:1 personalized “explainer” videos to help them get started.

Adjusting your bank’s priorities to thrive in 2023

In an era of constant change, the key to successfully transforming your bank’s business model will be to stay attuned to the changing needs and preferences of customers, and to be open to exploring new opportunities and technologies that can help your FI stay competitive and relevant. But these new opportunities are doomed to fail if you do not clearly communicate their benefits and make it simple for customers to access them.

That is why transforming your customer communication strategy is the best first step to broader digital transformation. By updating your approach to communications to meet omnichannel customer needs, you also position your bank to communicate the benefits of changes in your broader organization, like new or enhanced products and services. The pace of change in banking has never been brisker – but with the right strategic approach to these changes, the future is bright.

Investing in a modern customer communication management and engagement platform is an essential part modernizing your banking strategy, as it can provide the personalized digital experiences that will keep your bank or credit union ahead of the competition. It helps provide a great customer experience, and builds rich relationships, which in turn results in customers for life and a competitive advantage in the rapidly evolving financial marketplace.

How Doxim can address the banking customer communications trends identified and help future-proof your digital banking strategy

banking customer communications trends

Doxim’s experienced consultants and omnichannel platform can help transform your customer experience in many ways, including:

  • Gathering and utilizing customer data to continually improve the personalization of communications.
  • Building trust with customers via communication (via print, PDF, HTML, email, text, and online interactive experiences).
  • Leveraging interactive video to drive personalized digital customer experiences, such as interactive statements, bills, or reports, that offer visual engagement and real-time interactivity
  • Putting customer data, including customer statements, at the fingertips of your service representatives for immediate and personal service.
  • Making a meaningful connection with value-added content, like information about philanthropic activities, on customer statements.

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