The Competitive Advantage of Next-Generation Enterprise Billing Systems
In July of 2010, the Dodd-Frank Wall Street Reform and Consumer Protection Act was signed into law. Among the bill's many provisions were new restrictions on debit card overdraft fees. With the reduced fee income as a result of these changes, many banks have intensified their efforts to develop new sources of revenue and new ways to increase profitability. In recent years, banks have pursued a range of initiatives – from Customer Relationship Management (CRM) to Customer-Centricity and Customer Analytics – to better manage and strengthen their customer relationships and customer profitability. However, despite the volume of customer data available to banks, most have historically lacked a vital capability that would make their CRM efforts more effective and more lucrative: the flexibility to market and price their products and services to each customer in a more holistic approach. Instead, their legacy billing systems are hard-wired to treat all customers within each segment identically. This prevents banks from taking full advantage of multiple opportunities to incentivize and reward their best customers to increase both loyalty and revenues and to convert unprofitable customers into profitable ones. To download this and other related White Papers Click here.
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