Unless you’ve been living off the grid for the last 20 years, you’re well aware that the payment world is growing increasingly digital. So, it’d be logical to assume state-of-the-art technology is the predominant differentiator for payment companies — having the best tech should be the biggest competitive advantage, which implies businesses should heavily invest in R&D.
However, based on consumer reviews, that’s not necessarily the case. Tech matters, but it’s not the biggest factor in the eyes of the consumer.
A PWC study showed that almost half of US consumers view welcoming service as the primary driver of a successful customer experience. Comparatively, less than a third of people point to updated technology as the biggest determinant.
So, it stands to reason that your tech isn’t your most valuable asset, your employees are. As such, it’s vital for payment leaders to invest in their employees, and — in the payment, fintech, and banking world specifically — their payment training. By developing your workforce, you can empower and motivate them to take ownership in the company, which often translates to higher productivity and more sales.
For instance, one report determined that positive customer service influences purchasing decisions in almost every industry, particularly in healthcare (78%), banking (75%), restaurants (74%), and hotels (74%).
But the opposite is also true: negative customer experiences not only drive people away but can also tarnish a company’s brand.
The Impact of Bad Customer Experiences on Fintechs
How does a negative interaction with a business or product alter your perception of that company? For example, what if you kept running into card issues on an eCommerce platform? For whatever reason, they simply can’t process your card. How many recurring issues would it take for you to stop doing business with that brand?
If you’re anything like the typical person, only a couple — maybe even just one.
According to the PWC report, 32% of consumers say they’ll stop buying from a company after just one bad experience — even if they loved the company or product beforehand. As you’d expect, if those negative experiences continue, that figure skyrockets. For instance, 59% of US consumers will cut ties with a business after several bad interactions.
And, yet again, it’s not just faulty tech or a nettlesome programming bug that can irk a customer. Many consumers (71%) believe employees have a significant impact on the overall customer experience. Moreover, 46% of consumers say they will abandon a brand if the employees aren’t knowledgeable.
So, how can payment companies deliver world-class service — both before and after customer purchases — as well as bolster their customer experiences? It starts with payment training.
Payment Training Helps Insulate Fintechs From Negative Customer Experiences
As the data shows, to gain a competitive edge, fintech leaders should focus just as much energy and capital on developing their sales and service teams’ fintech knowledge. Fintechs that prioritize their onboarding and payment training programs will see measurable returns, as employees will have an easier time assimilating into their roles and learning the nuances of their customers’ needs.
However, many fintechs approach payment training impractically and, therefore, inefficiently. Companies often take one of two approaches:
- Outsourcing to external workshops or online programs
- Charging existing sales leaders with internal training responsibilities
Both options have notable limitations. Outsourcing can provide broader industry insight, but external workshops and online education lack a crucial component — personalization. They aren’t tailored to your business. As a result, the employees who attend generic sessions won’t leave with actionable learnings or insights that are applicable to their roles.
On the other hand, your existing leaders know the ins and outs of your operations, but they also face the challenge of balancing training with existing client-facing responsibilities. Many allocate more time to their actual role because they perceive the opportunity cost of missed sales as greater.
Fortunately, there’s a third option that delivers personalization without sacrificing the precious time of your leadership: customized, comprehensive payment training from external payment professionals.
By employing such a program, payment companies can unlock substantial benefits:
- You can deploy new hires into their roles in a fraction of the time — 3 or 4 months instead of 9 to 12 months.
- With a deep understanding of the payment ecosystem and industry dynamics, your employees gain invaluable confidence, which can translate to improved customer engagements and increased sales.
- When your broader team is highly trained, your organization can achieve growth goals and bolster its bottom line.
- Positive customer experiences can strengthen your brand reputation and encourage word-of-mouth marketing.
- Employees want recognition and development — it’s what they value most in a job. Intensive training not only precludes bad customer experiences but also bad employee experiences, which helps keep attrition levels to a minimum.
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