NETWORK TRANSFORMATION PROGRAM EXCEEDS EXPECTATIONS
HOW THE INNOVATIVE APPROACH EXCEEDS EXPECTATIONS AND INCREASES CUSTOMER SATISFACTION BY 80 PERCENT
An award-winning branch banking transformation program resulted in higher-than-expected profits for French bank Crédit Agricole in 2019.
Studying the problem, we needed to create a concept that not only met the goals and needs of the bank but could also reflect the needs of various locales and their clientele. Accordingly, the bank required this network transformation program to embrace the underlying concept of personalized service, confidentiality, transparency and professional expertise. Digital banking and technology are also considered in the concept’s clean, modern design. As we dug into this project, we realized that simply redesigning branches wouldn’t be enough. To put the client first, our concept needed to address both emotional and rational factors affecting customer interaction in the branch. Communications, organization of the various modules within the branch and customer flow were analyzed and then addressed. In the final concept, the emotional attributes of individuality, rapport, significance, care, convenience, and confidence work together with the rational attributes of functionality, improved process ability and enhanced comfort and are reflected in each of the factors contributing to superior customer service.
Problem Backgrounder
Think about how smartphones and digital technology have changed your life. Most of us will agree that technology has changed how we live and work exponentially. Now, imagine you are a bank trying to remain viable as the banking industry faces new competitive challenges daily – including those of digital banking. For the banks, still around after the global financial crisis of 2007-2008, change was not only necessary but demanded by regulators and customers alike. The fallout sent brand trust for the banking industry to levels not seen since the Great Depression. Fostering customer relationships to rebuild trust was imperative. Crédit Agricole is one such bank. With a rich history in France, dating back to the late 19th century, Crédit Agricole has seen its share of change and transformation. The financial crisis prompted them to reevaluate once again. After an extensive survey, Crédit Agricole (CA) created an entirely new concept for the brand, that of a universal and client-centric bank. In 2016, they announced a new tagline: “Crédit Agricole: A Whole Bank Just for You.” What does a “whole bank” involve? To CA, it means that everyone cooperates and collaborates to serve each customer. “Just for you” means a premium level of service is provided to each customer, no matter what their stature. A new tagline is only one piece of this financial institution’s client-centric overhaul. They had a goal to redesign their entire process of customer service, one that included a new concept for their physical banking branches. This is where we came in as business consultants and creative thinkers.
Duplicating Success
Another problem we faced was that as each branch was built or remodeled, the local project manager most likely wouldn’t be knowledgeable in the construction field. Therefore, predicting problems during construction and capably optimizing time and budget could be difficult for them. How could we help the bank to efficiently and successfully follow the concept at different locations? While supervising the pilot branch, we drew up a new design approach, Modules Guidelines, that organizes not only all the modules of the branch with a three-level system but provides a module’s schedule and describes the basic principles of customer service for each module and module functioning. The Modules Guidelines are easily followed, which allows the bank’s project manager to easily communicate directly with subcontractors and an outsourced architect (if needed). Because new or branch remodels are expensive, by utilizing the Modules Guidelines, flexibility and efficiency of the buildout are increased, reducing construction expenses as well as minimizing unforeseen expenses. This new standard will help Crédit Agricole build trusted relationships with their clients because it is based on customer and employee needs. Customers are treated to a fresh approach of service through special zoning, interior organization, and innovations relating to the range of services and customer flow.
Exceed Expectations
Starting in 2016, we worked with a new signature as a universal, client-centric bank. This was topped off with a new tagline: “Crédit Agricole: A Whole Bank Just for You.” As a result of the development and implementation of the branch network transformation program, customer flow increased by 20 percent, operations in self-service increased by 15 percent, while customer satisfaction during the visit of the corporate and retail branches showed 80 percent positive feedback. So and so from Groupe Crédit Agricole said to CNBC, it surpassed targets set three years ago for 2019 on profitability and revenue growth. The bank’s revenue grew by an average 4.3 percent a year from 2016 to 2018, while the return on tangible equity rose to 12.7 percent.