finance
monthly
Personal Finance. Money. Investing.
Contribute
Newsletter
Corporate

Complaints Report Highlights Need for Fast Communication Between FS Firms and Customers

Posted: 2nd May 2017 by
Finance Monthly
Share this article

Complaints data released by the FCA estimates that the total number of complaints decreased in the second half of last year by 14%, although changes in the way FCA measures complaints means that the number has gone up. A key new metric reveals firms’ ability to close complaints within three days, highlighting the increased pressure on firms to respond in real-time and to fast-track communication. The FCA report highlighted that 43% of complaints were closed in this time period, rising to 63% when PPI claims are excluded.[1]

According to today’s FCA complaints data report, which helps assess how well financial services treat their customers over time, the largest number of complaints were related to general administration and customer service. 40% of complaints are related to this topic, up from 27% in the first six months of last year.[2]

Bhupender Singh, CEO of Intelenet Global Services, comments: “Poor customer experience costs banking and financial services £5.81 billion.[3] Changing customer expectations put pressure on financial services firms to offer a round the clock service and many firms have adopted new technology solutions in response.

“The emergence of voice assistants and chatbots offer a new way of communicating with customers but firms mustn’t ignore the continued need to provide the possibility of speaking to a well-trained customer service professional. The technologies that will help firms to reduce friction in customer service are those which boost the efficiency of back-end administration so that agents can respond more quickly to customers. A harmonious blend of human interaction with digital tools should be the aim. Financial services companies should focus on modernising their IT infrastructure through automation so staff can redirect their focus to the customer, by taking away the headache of the more mundane repetitive tasks.

“Although we are seeing a trend in the total number of complaints reducing, financial services firms need to be constantly on top of the customer experience they offer. Automation matches speed with quality service and gifts banks with the agility their Fintech competitors have to ensure customer retention. Banks have an established customer base compared to new entrants, but in order to gain brand value they need to ensure they can service customers as efficiently and effectively as possible.”

Bhupender continues: “Customer Service inefficiencies are mirrored with high costs. Front line staff who are not equipped with the right skills and knowledge will result in longer queues and high abandonment rates. Many banks are turning to banking bots and voice assistants, as customers do want more choice in how they bank. But whilst the option of self-service is highly desirable for customers, firms must not forget to blend this an element of human interaction to enhance the customer’s experience.”

(Source: Intelenet)

[1] https://www.fca.org.uk/firms/complaints-data/aggregate#context
[2] https://www.fca.org.uk/publication/data/aggregate-complaints-data-charts-2016-h1.pdf
[3] http://www.mycustomer.com/experience/voice-of-the-customer/poor-service-costing-the-uk-ps37bn-as-customer-complaints-soar

About Finance Monthly

Universal Media logo
Finance Monthly is a comprehensive website tailored for individuals seeking insights into the world of consumer finance and money management. It offers news, commentary, and in-depth analysis on topics crucial to personal financial management and decision-making. Whether you're interested in budgeting, investing, or understanding market trends, Finance Monthly provides valuable information to help you navigate the financial aspects of everyday life.
© 2024 Finance Monthly - All Rights Reserved.
News Illustration

Get our free monthly FM email

Subscribe to Finance Monthly and Get the Latest Finance News, Opinion and Insight Direct to you every month.
chevron-right-circle linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram