Call Center Banking: Lessons Learned from the UK's Direct Banks: Industry Report

Call Center Banking: Lessons Learned from the UK's Direct Banks

Product Type: Market Research Report
Published by: TowerGroup
Published: November 1999
Product Code: R301-578

Description

Direct banks, defined as branchless retail banking businesses, continue to proliferate. Direct banking businesses are being established by banks and nonbanks alike. While most US-based direct banks have developed their strategies around an Internet-based delivery model, this is not the case in the United Kingdom. The UK market, which has offered direct banking for a decade, is very much oriented around the call center, putting the telephone squarely at the center of the delivery model. The Internet, for most UK-based direct banks, is just now emerging as a complementary channel.

The success of direct banking in the UK is impressive. Millions of accounts and billions of deposits now reside with these upstart financial institutions. As a result, an interesting hypothesis arises: if research indicates that the UK's direct banks are successful among consumers, and since those banks are call center oriented, what might be learned about those banks' call center service levels? What combination of interpersonal and technical strategies might these institutions be employing? And most importantly, what lessons could other banks (both direct and full service) take away from the success of the UK's direct banks?

This TowerGroup Research note discusses the trends toward direct banking and identifies key drivers behind that movement. It also details direct banking programs from the UK's leading call center banks and presents lessons from that model that can be applied to banking call centers of all types.

Table of Contents

Highlights

Introduction

Direct Banking Strategy

Direct Banking--Two Delivery Models

UK Direct Banks--The Call Center as Hub

Full Service Bank vs. Direct Bank: Differing Call Center Objectives

Riding on the Coattails of (and Helping to Drive) the UK Call Center Revolution

A Look at Leading UK Direct Banks

Competitive Responses from the Six Largest Banks

Judging Call Center Quality: Grand Prix Customer Service Awards

Virgin Direct: Handcrafted Customer Service

First Direct: Industry Innovator for a Decade

b2: Creating a Different (but Related) Organization for Barclays

Conclusions: Lessons Learned from the UK

Technology Focus

Commonalities

Ordering and More Information

Price and Delivery Options

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