Maturity of customer data: Yapi Kredi
Bora Üzüm is Vice President of Analytics and Data Governance at Yapı Kredi. He tells Qorus and Wavestone how they utilize data in order to enhance their customer experience.
Bora Üzüm is Vice President of Analytics and Data Governance at Yapı Kredi. He tells Qorus and Wavestone how they utilize data in order to enhance their customer experience.
In your opinion, how does the use of data and the personalization of offers and paths respond to development or loyalty issues for your organization? What transformation does this evolution presuppose?
In Yapı Kredi, data-driven methods have been used for personalization purposes in marketing, pricing, sales, post-sales servicing and risk management for a long time. The sense of being recognized by your bank and treated accordingly is a powerful aspect in customer loyalty. In practice, this means faster servicing, better communication and financial advantages which are building blocks of loyalty. For achieving better personalization, banks need to build software architectures that allow collecting high quality data, enable business lines to implement new ideas at lower costs, and interconnect the whole ecosystem.
What types of data are your personalization use cases based on? How do you enrich them?
As you may imagine, in banks we collect a vast variety of customer data and take good care of it. Firstly, we instill a sense of trust in our customers. It is the first step of better personalization, because only after crossing over that trust threshold is it possible for you to collect more than the minimal data. Your customers must know that you are a good data steward and it will bring new advantages to them if they supply more data. For this purpose, building a robust and operational data governance function was our major step. This is the first channel of data enrichment, simply letting the customers feed data. The second channel is to use data vendors and solution partners in B2B fashion. Of course, there are many regulations for us and we cannot use just any services from any partners, but we are always very open-minded about devising relevant solutions.
Which data use cases are you particularly proud of? On which customer/employee situation? What are the expected/measured ROI elements?
We have accomplished many projects focused on data-driven better servicing through the years. The one I might recall is Self-Service World, which was the first enterprise data monetization project in the European banking industry. In this scope, we enabled our card merchant SME clients with no marketing campaign systems to reach Yapı Kredi card holders for announcing their campaigns by using our pre-processed target groups derived from payment data. It was available on our digital channels and it was possible to launch a campaign after 3-4 clicks. Next best action was another successful data-driven project. Around 50 models are running and scoring every customer for every product and fully integrated to digital channels. Event-based marketing was again a very powerful project which allowed us to predefine customer journeys with complex event processing capabilities. Of course, every project has its own ROI offerings – some are focusing on revenue, some on positive response count, some on customer base increase. Besides, nowadays we are using NPS for measuring customer satisfaction. And results are going upwards.
What are the main obstacles and/or key success factors you are facing in their development and/or deployment?
By definition, these were very complex projects. From budget to timing, software complexities to regulatory issues, we were very likely to face obstacles. However, good teams and supportive management are remedies to all problems. Especially for personalization projects, within the range of full anonymity and full personal precision, companies should calibrate their approaches very well. The subject data to be collected and the outcomes must not result in inconsistent servicing, any sort of discrimination or customer disadvantages. Also, customers must have the control over their data used for personalization.
More generally, what is your view of your organization's maturity with regard to the personalization of paths and offers? For example, is it ahead of the game or at the state of the art? What are the possible projects that still need to be carried out?
I can confidently say that Yapı Kredi is one of the leading actors in the region when it comes to digitalization, data and analytics. However, it is a never-ending journey and we are always seeking better solutions and ideas. Incumbents of the banking market must find novel ways of doing business in the broader ecosystem, where new players and regulations are changing the game.
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