| | AUGUST 202119In an increasingly digital world, tech developments are transforming the way in which customers behave and the Covid-19 pandemic has further accelerated their journey online to shop and pay for goods and services. But what does this mean for more traditional organisations, where face-to-face contact with customers is at the heart of the business model? In the financial sector, home credit companies such as IPF, financial advisors and non-financial sector businesses such as Avon, rely on the personal relationships developed by their networks of customer representatives to serve customers in their homes. Their customers choose a home service because it is convenient and they like and trust a personal touch, but their needs and the way in which they wish to interact are also evolving. Across the lending sector, we have seen a growing number of consumers looking to access credit products and services digitally. They want fast decisions and smooth, frictionless interactions, yet often their credit risk precludes a fully-remote service. Far from creating a more remote customer experience as is occurring in retail and banking, tech adoption and digital transformation strategies in more traditional organisations are enabling them to replace outdated and inefficient practices in favour of digital solutions.These strategies focus on supporting the unique personal touch on which these businesses succeed. When investing in transformational change, being mindful of the business' DNA ­ its core business practices ­ and being receptive to changing customer needs is vital to achieving success. Failure to consider each of these can lead to an erosion of what makes a business effective and, ultimately, its profitability. At IPF, we have evolved to remain relevant to those who use our services through investing in hybrid, digital acquisition channels and technology to enhance the working practices of our customer representatives and, in turn, the customer experience. Critically, investments have been aimed at protecting and enhancing our core competence ­ the personal service provided to customers in their homes.Traditionally, home-serviced customers are served by representatives that live in the communities in which they work, meaning word of mouth referral has often been the primary acquisition channel for new customers. As target customer segments have evolved and, in order to reach predominantly younger and more tech savvy customers who prefer to use the internet, commercial enterprises have developed hybrid acquisition channels to provide an online decision-in-principle or introductory meeting. This meets the needs of these customers by providing an initial digital experience, but which can be subsequently augmented by a personal visit which sits at the heart of any home-service organisation. Creating a digital beginning to the journey followed by a DIGITISING YOUR BUSINESSES DNABy Fraser Collins, Group Head of Commercial Finance, International Personal Finance (IPF)CXO INSIGHTS
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