DSK Bank - CRM
Digital innovation and data insights drive growth at DSK Bank
DSK Bank is the largest retail bank in Bulgaria and part of the OTP Group, which is the fastest growing banking group in Central and Eastern Europe. It has more than 2.5 million customers and 294 bank branches (16% of all bank branches in Bulgaria). It offers a full range of financial products and services through its branch network, as well as online and by mobile app.
DSK Bank set out to completely reorganize its business processes, including sales and services, to focus on customers, not accounts. It knew that its fragmented legacy systems, with many paper-based manual processes, were incapable of delivering the excellent customer experience needed to drive profitable sales. As Ivan Voynov, Head of DSK Bank’s Cross-sell Department, says: “It was clear we needed not just a solid CRM system but a new approach to CRM that would enable us to actively manage the relationship across the Customer Lifetime Cycle.”
A new approach to CRM and a new technology partner
DSK Bank invited three main suppliers of CRM systems to submit tenders several years ago. “This initiative has been a long time in planning and implementation” says Ivan, “but that was essential to get such a major project right for our 2.5 million customers. It was also necessary because the local CRM market at the time was not that developed, which meant there were fewer IT companies capable of meeting the challenge.”
DSK looked at a range of factors, including business functionality, IT characteristics, price parameters and the expertise of the implementation team. “We decided to partner with VeriPark and Microsoft, selecting VeriTouch built on Microsoft Dynamics 365. VeriPark is a certified Microsoft Solutions partner for MS Dynamics and VeriTouch offers a best-in-class vertical solution for the financial services sector.
“The combination of VeriPark’s unique expertise and CRM capabilities is why we felt able to rely on them. We initially used a typical ‘waterfall’ approach to project management but quickly realized that it was more efficient to align our business and IT teams with VeriPark’s team using daily stand-ups, re-planning, and problem-solving sessions. This kind of ‘natural’ agile approach created a cooperative and fruitful partnership that delivered the full support and professional attitude to meet our needs and expectations.”
Later on, as part of this agile approach, the IT teams established a ‘Digital Factory’ in which to build and test the full digitalization of the customer journey before rolling it out across the network. This approach meant that DSK Bank could be confident that its digital strategy would deliver their desired high-quality, modern online and mobile banking services. As a result, DSK Bank now offers customers an end-to-end digital experience across a wide range of products and services – and is outperforming competitors on all financial metrics.
VeriPark is a certified Microsoft Solutions partner for MS Dynamics – and VeriTouch offers a best-in-class vertical solution for the financial services sector.
CRM for us is not just another system; it is an active approach to managing relationships with our customers. This is a way of thinking and behaving rather than just an IT system. You can apply it with different tools, but it is best to use industry standards. That is why we chose to work together with Microsoft and VeriPark.
Head of Cross-sell Department, DSK Bank
A modern digital ecosystem with a 360-degree focus on customer service
Recently, DSK Bank and VeriPark have launched a comprehensive range of essential customer experience and efficiency features. These include a fully automated, streamlined digital onboarding process for new customers that is 100% compliant. It now takes them less than 20 minutes to complete the remote identification application and receive their current account, with full access to online and mobile banking.
Customers can also apply online for various lending products, such as personal loans, credit cards and overdrafts. This is also an end-to-end digital journey, with no need for paper form filling or branch visits.
Overall, the project has focused on the effective management of key stages in each customer’s relationship with the bank – attraction, development, and retention. This Customer Lifetime Cycle approach aims to build and maintain customer loyalty because that tends to result in them using more products more frequently. Those increased sales in turn help generate higher long-term profitability.
As well as the digital onboarding already mentioned, DSK Bank used three key VeriPark/Microsoft modules to support this CRM strategy:
1. 360° Single Customer View
This streamlined CRM system provides branch tellers with all relevant customer information in one place, eliminating the need to search different systems and saving valuable time. It includes details on each customer’s use of products and services as well as their individual goals and commitments. These insights enable tellers to take the initiative and present Next Best Offers tailored to each customer’s needs – which makes the teller’s job more efficient and satisfying.
Proactively reaching out to customers through Next Best Offers (NBO) resulted in more than 11x rise in customer responses (from 6% to 70%) in 1 year.
Furthermore, an automated SMS message is sent to all customers who visit a branch, complete with a link to the Customer Experience (CX) platform, so they can effortlessly record satisfaction levels and provide valuable feedback.
2. Sales and Prospect Management
This module enables users to easily and efficiently capture and track leads. It also simplifies the potential customer registration process, streamlining the end-to-end sales workflow. By automating tasks and significantly reducing the need for manual interventions, it allows sales teams to focus on building relationships and closing deals. Sales managers also benefit from intuitive dashboards that provide real-time insights into the progress of leads and sales.
CRM is a key system for DSK bank because we are all focused on our customers’ needs and interests, striving for the best way to respond to them. Our strategy includes continued CRM system development, such as implementing a new way to calculate the Next Best Offer for customers, and integrating new systems to improve the customer experience.
Executive Director and Head of Retail Banking, DSK Bank
3. Marketing and Campaign Management automation
The module serves as the primary tool for conducting direct marketing campaigns, combining the benefits of a proactive approach (sending messages, making phone calls, and advertising through e-channels) with a reactive approach (leveraging the 360-degree customer view and Next Best Offer).
Through the call center integration, users have the capability to compile a list of eligible customers directly in the CRM system and then distribute their campaigns via the call center.
The agents have the advantage of reaching out to eligible customers with tailored, pre-calculated next best offers all conveniently accessible through a customized, branded CRM interface.
With centralized campaign activities, automated launches, synchronized cross-channel strategies, this module has enhanced the impact and effectiveness of DSK Bank’s marketing campaigns. DSK Bank ran 20 successful pre-approved loan campaigns in a year, with an average 8.67% conversion rate.
Combined with active, CRM-based, direct marketing of suitably targeted products, these developments have generated a 〜514% increase in CRM sales (NPV) in 2 years.
CRM as a unified data hub
About DSK Bank
As the only bank in Bulgaria with over 70 years of tradition, DSK Bank is an undisputable leader in retail banking with 2,5 million clients and is a leader in trust among financial services consumers.
DSK Bank is part of the Hungarian OTP Group, which is the fastest-growing banking group in Central and Eastern Europe, with unique knowledge of the region and a lasting commitment to it. DSK Bank is a wholesale bank with a strong focus on Retail banking covering all possible products and services for retail clients.
DSK Bank has the largest branch network in Bulgaria – with its 294 branches in 150 settlements, DSK Bank operates 16% of all banking branches in Bulgaria.