Steve Bartos

Information Technology Futures

Capital One Financial Corporation

IP Networking and Mediacom-2004 International Telecommunications Union

24/04/2001 Geneve

World Wide Multimedia AvailabilityThe Impact On Call Center Customer Systems

Agenda• Overview of Capital One

• Knowing the customer

• Emerging technology

• Call to action

World Wide Multimedia AvailabilityThe Impact On Call Center Customer Systems

Background on Capital One

• 6th largest card issuer in the United States • S&P 500 as of 1998• Fortune 500 company last two years• Managed loans at $31.6 billion level

Capital One has more than 36 million customers and Capital One has more than 36 million customers and 20,000+ associates across the globe20,000+ associates across the globe

We have expanded outside of credit cards

Auto Finance

Credit Recovery Services

Using IBS to drive mass customization

Success is driven by the Information-Based Strategy

“Mass Customization” results in Micro-Segmentation

Capital One’s IBS•Testing - products•Analysis - responses•Micro-segmentation - Solicitation

Right ProductRight Product

Right CustomerRight Customer

Right PriceRight Price

Right TimeRight Time

Right ChannelRight Channel

Our ability to mass customize has allowed us to manage the customer relationship differently...

Common Practice MASS CUSTOMIZATION

Knowledge

Empowerment

Actions

broad and shallow narrow and deep

constrained

directed

constrained

directed

thoughtful, delegated decision making

motivated

The Call Center Dilemma

Diversity Mass Customization Complexity

RightRight CALLCALL

RightRight REP/VRUREP/VRU

RightRight LOCATIONLOCATION

RightRight SERVICESERVICELEVELLEVEL

…Primary interactive touch point is the contact center

Contact Center IBSTesting - routingAnalyze - productivity & qualityMicro-segment - agent grouping

In an extraordinarily complex environment...

• 217 call types

• 54 agents groups

• 14 switches and growing

• 45,000+ tests per year

Complex Routing Challenge

AG3S

Technology is the enabler

14 Switches

Customer

Carrier Network

CustomerCustomer

S S SS S S S S

S S

AG1

AG2

AG3

AG4

S

Intelligent Call Routing (ICR)Determines how to handle the call• Right VRU• Right Rep

ICR

VRU PoolVRU Pool

Intelligent CRM in the blink of an eye

Customers are connected to the right VRU or phone rep in 1/100th seconds - literally in the

blink of an eye

Intelligent Call Routing is:• Account-level, attribute-driven routing • Match to correct associate

– Account status– Propensity to buy– Language preference– Product– Age of account

– Availability– Special skills– Functional expertise– Tests

The routing decision is made in the network.

• Load balancing

• Minimizes infrastructure

• Facilitates growth

– Appropriate distribution of work– Service levels managed by call type– Protection of special call types– Deliberate imbalance capability exists

– Switch interconnectivity not required

– Could not grow to the number of sites and switches under prior architecture

– Highly variable site size and configuration options

Without ICR, we lose value.

w/ ICR w/o ICR

Occupancy

Difference

4%

w/ ICR w/o ICR

Sales

Difference

12%

% O

ccu

pan

cy

% S

ales

We consider many things when determining how to service a customer

Account Customer Associate Call Center

• What product?

• What age?

• Current Status

- terms

- payment history

- credit line

• Why are they calling?

• What is their propensity to buy?

• How comfortable are they with technology?

• Language skills

• Areas of expertise

- products

- functions

• Sales skills

• What sites are open?

• What wait times exist for the various queues?

Technology makes it happen!

ANI,

DNI

Customer-

external info

Databases, segmentation & rules engines

ACD’s &

Routing

technologies

• Who is this?

• Why are they calling?

• Best route

• Best Product

• Tests

VRUAgent

Groups

Data Bases Analytical

ToolsAll in 1/100th of a second - the blink of an eye

Customization of customer interaction touches many components

In the future we must continue to customize each and every customer interaction

• The Customer Service Representative• The CSR interface• Intelligent Call Routing• Customer hand - off• Auditability

John Smith

Capital One On-line Account Servicing

In an even more complex environment...

• 217 call types

• 54 agents groups

• 14 switches and growing

• 45,000+ tests per year• X Contact origination sources

BIGGER Routing Challenge!

So what’s next?

New TechnologiesIP network based interaction

Live Interactive Contact• Chat• Video Conferencing• One way video

Automated Interactive Contact• Face Mail• On-line Query

New Business Models

Call Center Staffing• Follow the Sun• Language Handling

Privacy Issues• In country handling• Personal Information Protection

Fraud Protection

New Appliances

Handhelds• Cell phones as terminals• PDA’s

Embedded Internet systems• Plug and Play terminals• Voice recognition

Product• Account Status• Account attributes

Customer• Language • Preferences

Country• Privacy• Culture

Every Interaction Must Be Unique

Technical • ICR in the (many) networks

• Call setup and tracking

• Auditability

• System complexity

Barriers to adopting new contact center technologies

Logistical

• Representative training

• Customer acceptance

• Quality management

Standardize what?

- Key features today required tomorrow- ANI- Intelligent Call Routing- Take Back and Transfer

- New features we need- Audit- Tracing- Billing

So Why Standardize ?

•From a Business Perspective:•Attract our adoption of your New Service Offerings•Attract our business to your Region

•From a Global Perspective:•Inter-operability between distant contact centers

•From Our Perspective:•Efficiencies of scale and cost savings•Customer satisfaction

Customer Customer Segment Segment CC

Customer Customer Segment Segment BB

Customer Customer Segment Segment AA

Standardize to Hit the Target Anytime Anyway Anywhere

Thank you!

Steve Bartos

Information Technology Futures

Capital One Financial Corporation