Case Study

Internet major reimagines customer engagement for 2X impact through design thinking and Lean DigitalSM

Client: Internet domain registration and web hosting major

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Internet software and services

Business need addressed:

  • Faster growth to expand market share
  • Replicable, scalable operating model and business processes for quantum jump in revenues to reach annual growth target
  • Enhanced customer satisfaction while lowering cost
  • Better use of business insight to maximize share-of-wallet

Genpact solution:

  • Transformed customer contact operations, with revised performance metrics, skill-based call routing and smart scheduling, supported by analytical forecasts
  • Natural language processing (NLP), predictive analytics, and dynamic workflows to create a create a 360° view of customer, and maximize value of customer relationships
  • Geography-specific social media platforms,listening, and management for effective and tailored response to alerts

Business impact:

  • Increase in the customer net promoter score (NPS) by 2X
  • Lift in outbound per-day revenue by nearly 200%
  • Improvement in conversion rates to 17% within the first quarter, and on track to exceed 20%
  • Increase in average order size by more than 15%

When companies armed with advanced, hyper-scale technologies aim to expand exponentially, their growth is often hampered by a middle- and back-office that doesn't support the front-office in meeting customers' expectations. A leading global internet company leveraged a human-centered design-thinking approach combined with effective analytics, technology and process design to address these challenges and put the company on the path to a 2X improvement in customer loyalty, and disruptive gains in revenue and market share.

Business challenge

The client is the world's largest web hosting and internet domain registration company. It grew exponentially, becoming 4X the size of its largest competitor within three years of launching in the US. However, it struggled to grow at the same pace in emerging markets. The experience for its existing and new customers was far from ideal. A typical customer journey was punctuated by many friction points, requiring them to spend considerable time and effort in navigating the purchase, service, billing, renewals, or refunds process. Frustrated customers struggled with lack of targeted sales strategies, no product recommendations for website visitors, reactive customer service/crisis management, billing issues, and delays in refunds.

The engagement with customers was not sustained through social media or proactive alerts and support. Consequently, the company did not maximize the lifetime value of each customer relationship.

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Genpact solution

Genpact helped establish the client's customer contact operations, which provide support for all technical issues, manage end-users queries (B2B and B2C), and consult on product purchases. This foundation of industrialized operations leveraged the full Data-to-insight-to-action loop (see figure) by using meaningful data to extract relevant insights, at scale, to support exponential growth.

Doing so involved identifying target outcomes, such as increased revenue growth, improved customer satisfaction, and reduced costs. Next, target metrics—for instance, call volumes per day, conversion rates, average order size, and outbound revenue per day—were selected to measure progress toward the identified outcomes.

The company used the insights from the metrics data to create models for call and revenue forecasting and capacity planning. The call forecasting model, for example, mapped call volumes to factors such as marketing campaigns, new product launches, and seasonality, which influence the frequency of calls. The revenue-forecast model, on the other hand, estimated conversion rates, while the capacity planning modeling helped align customer support with demand.

Finally, instituting a centralized tracking system, which tracked call-backs and resolution, enabled the client to monitor this important component of call conversions. Increased process visibility led to improved execution practices. For example, due to limited expertise dealing with hosting-related issues, the client's existing call-routing system converted only a tiny fraction of the hosting calls. To remedy this, skill-based call routing, which ensured incoming calls routed to appropriately skilled employees, was implemented.

Additionally, a Smart Scheduling system helped align the right skills within teams, and linked top-performing teams with the prime shifts or peak loads. Further, continuous knowledge reinforcement on products, best practice sharing, and a Professional Hosting Support (PHS) feedback system were employed to create a continuous learning environment and drive further improvements. The result was an intelligent operating model, where business processes were enabled to sense the environment, act appropriately, and continuously learn from the effectiveness of those actions, at scale.

The robust operating model and enhanced visibility into the customer base through the analysis of granular data laid the foundation for the next quantum leap to generate significantly higher revenue growth and increase the NPS by 2X. A Lean DigitalSM approach is a practical and effective way to achieve such reimagined outcomes by harnessing digital technologies and analytics through a business-domain-savvy lens, using Lean and design-thinking (human-centered design) principles.

A cross-functional team comprising the company's leadership, working alongside representatives from sales, marketing, and operations, collaborated in a design-thinking workshop with Genpact's contact center, training, human resources, digital, and analytics experts. The exercise helped surface what customers—as well as stakeholders within the organization—valued; it also helped prioritize actionable ideas, enabling rapid prototyping and iterative testing of digital solutions.

Multiple ongoing interventions are being jointly implemented across the client's operations, with progress and impact monitored through a robust governance mechanism. Rapid prototyping and an agile implementation approach helped accelerate acceptance, deployment, and benefits realization from key solution prototypes:

  • Effective cross-selling and up-selling of higher value products, leveraging advanced digital technologies such as NLP, predictive analytics, and dynamic workflows, helped answer key questions, including:
    • Which customers are likely to buy additional products or services? This required looking at customer history, product portfolios, and lifetime-value models
    • What is the right time to consult and position the product based on customer-behavior analysis?
    • What is the best channel to use—and what is the best time—for reaching channel-based affinity models?
    • Which agent should contact the customer, along with the data needed for positioning, such as price comparisons, cost of ownership, features, and benefits?
  • Campaign effectiveness by combining structured and unstructured data, such as that which is available in the context of contact (online behavior, contact reason, etc.) and historical data (customer history, preferences, segment, etc.)
  • Sophisticated analytical techniques such as customer-response models, customer profitability models, customer churn models, reactivation models, and customer lifetime value models are then applied to optimize channel mix, communications, offers, and targeting strategies
  • Renewals as a service using multivariate analysis to optimize the offers, pricing, or customer segment targeting to maximize renewals
  • Crisis-response mechanism that proactively leverages multiple channels (social media, surveys, and calls) to capture customer concerns, and uses automated workflows to triage by severity/risk and assign to resolver groups. The solution also tracks the progress on each incident and proactively communicates the resolution time and status. Root-cause analysis and proactive remediation is performed for other users that could potentially be affected
  • Geography-specific social media platforms, listening, and management allowed faster, more effective and tailored response to alerts and positive/negative comments while enabling a 360° view of customers. This potentially extended the client's reach to 3X more active customers than what was possible with traditional channels and also provided insights on competitors and their products

Focused use of technology reduces customer effort considerably by enabling self-help options through webcasts, 'Do It Yourself' (DIY) videos on setup, troubleshooting, etc. Localized website, surveys, and local language support makes it easier for customers to interact in their preferred language. Both proactive and reactive chat-based support allows customers to interact with the channel of their choice as well as to optimize the cost of support.

Business impact

Genpact's blend of effective analytics and technology, supported by a feedback loop for continuous learning and improvement, helped the client target customers more effectively and use resources more efficiently, resulting in significantly higher conversion rates.

Within the first quarter alone, conversion rates improved to 17% (up from 15%) and are on track to exceed 20%. Outbound per-day revenue has shot up by approximately 200%. Effective consulting is helping increase the average order size by over 15%. Reimagined processes are enabling the client to realize 2X more revenue from these operations compared to just a year ago.

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