Client Category: Financial Services
Situation Overview:
Credit card firm is spending millions of dollars annually to "on-board" merchants signing on to accept branded card as payment. High proportion of new merchants fail to activate, many others who do have very low charge volumes - resulting in poor returns on sales.
Pivotal Resources' Role & Solutions:
- Support Provided: Process Redesign consulting and training
- Analysis: Voice of Customer and sales data showed clear factors differentiating "high potential" and "low potential merchants.
- Solution: Tailor "Welcome Packet" and other communication to merchant profile. Special emphasis on "high potentials" who fail to activate.
Results/Successes:
$2.6 million year one cost savings; improved activation and charge volume profits estimated at over $4 million in initial 18 months.