Bank Services Improvement National Bank

Bank Services Improvement

National Bank had prided itself for years on excellent customer service. However, it became apparent that customer service complaints were increasing and retention decreasing. Instead of determining what it thought was best for the customer, the bank decided to take two steps. The first was to interview any customers who came in during the week who were willing to take five minutes from their schedules and answer service needs. The second was to conduct a complete foot traffic analysis. This was done through videotaping daily service.

The goal was to improve the job of looking at the bank from the customers' viewpoint and analyzing what they observe and experience firsthand that impacts their behavior and attitudes. Videotaping of customers has successfully been used in grocery and clothing stores to watch behavior. Through the videos, a number of interesting facts emerged, in addition to better placement and availability of representatives on the bank floor.

One of the areas observed was customer interest in signage. Through the video, it was quite obvious that most of the signs and posters displayed were not read by the customers. National therefore now has fewer marketing displays, with the remaining ones placed in areas that receive the most notice. As a result, the customers look at these posters longer. It was also found that bank marketing materials were better placed behind the first couple of people standing in line. The first two customers are more interested in making sure they are ready for their turn than reading materials. However, individuals further in line are more apt to peruse the information while they are waiting.

The best place to put the marketing materials is near the exit, since it was observed that customers are more apt to pick up something on the way out than on the way in, when they are more concerned about what they need to accomplish when inside.

Wait times were still one of the areas of most concern by the customers (as well as safety and service fees). Although many more customers now use the ATMs and online banking, the fall off from onsite usage has not decreased as much as expected. In fact, new customers have more than made up for those who come into the branch less. Understanding the way the design and layout of the branch influences the degree of service and flow (or stagnation) of customers was essential. The bank was very surprised at how many people either looked at the length of the line and walked right out or waiting for a while and then walked away when the response time was too long. Since there definitely a correlation between how long people have to wait and their tendency to go to another bank, this element was important.

Several changes were made to better accommodate the customers in terms of waiting periods. Peak times were designated during the week and month. At this time, more people were put on staff. In addition, as with a supermarket, lines can be changed from only one transaction to several transactions allowed. The video helped better clarify the best time to have extra windows open for single transactions. Customers hate waiting for someone who has several transactions, if they do not have the same. Similarly, they do not like waiting for longer services, such as counting store money or requesting a bank order. This is a separate window that is kept open at peak times, with the teller floating elsewhere when not needed. Neither employees nor customers like when the bank teller goes back and forth between the drive up and the inside windows. Therefore, one or two tellers are dedicated to the drive up depending on the time of the day.

Through watching body language on the video, it was observed that five minutes is as long as most customers are willing to wait before they start looking at their watch. The verbal survey had similar results. A floating teller knows how many people can be in line before that magic five minutes. If this teller sees that too many people are in the line, then another window is opened. Five minutes may seem longer for people who are in a hurry. On days when the lines appear longer than usual, one of the tellers or officers walks around and welcomes the customer while they are waiting. There is always some new service that can be discussed. There is the story about one bank that had their tellers wear "trivia" buttons about themselves, which were changed every week. The customers loved hearing how Mary just became a grandmother or Susan is returning back to school part time.