FROST & SULLIVAN BEST PRACTICES AWARD · insights which generate actionable data for improvement of...

FROST & SULLIVAN BEST PRACTICES AWARD

Customer Value Leadership 2019DIGITAL CUSTOMER EXPERIENCE ANALYTICS - EUROPE

BEST PRACTICES RESEARCH

© Frost & Sullivan 2019 2 "We Accelerate Growth"

Contents

Background and Company Performance ...................................................................................... 3

Industry Challenges ........................................................................................................... 3

Customer Impact and Business Impact ................................................................................ 3

Conclusion ........................................................................................................................ 7

Significance of Customer Value Leadership .................................................................................. 8

Understanding Customer Value Leadership .................................................................................. 8

Key Benchmarking Criteria ................................................................................................. 9

Customer Impact .............................................................................................................. 9

Business Impact ................................................................................................................ 9

Best Practices Recognition: 10 Steps to Researching, Identifying, and Recognizing Best Practices .....10

The Intersection between 360-Degree Research and Best Practices Awards ....................................11

Research Methodology ......................................................................................................11

About Frost & Sullivan .............................................................................................................11



Background and Company Performance

Industry Challenges

The use of technology across the financial services industry is growing as banks and

financial institutions leverage technology to cut costs and boost services. Some of the

more popular products and services, such as online banking, are likely to be the ones that

serve previously untapped market segments. Trends that are unique to local markets tend

to stand out and find greater acceptance by consumers, thus it is imperative for banks to

understand and adjust their business to fit local customs. Similarly, start-ups with unique

value propositions and reliable technology back-up will do well in meeting rising consumer

expectations. Incumbents across the world are slow to respond to these trends; however,

there are some outliers.1

Disruptions in the financial services industry are evident across a wide range of segments.

As consumers demand improved access and anytime-anywhere services, governments and

regulators are striving to lower costs and achieve greater transparency by using

technology. The emergence of innovative services (such as in payment technology,

regulatory technology, insurance technology, and digital banking) highlight how

digitalization has impacted the industry. The global banking industry is transitioning to

meet the customer demand for digital, omnichannel, and on-the-go experiences. Going

forward, Frost & Sullivan expects to see a significant wave of dynamic innovation as

different stakeholders in the industry collaborate to enhance industry performance.

Frost & Sullivan believes that the use of technology to launch new products and services is

helping to improve the performance of the financial services industry. Advanced

technologies such as the Internet of things, artificial intelligence (AI), machine learning,

and data analytics are increasing efficiency and reducing the costs incurred by the

industry. This is equally true for all industries that leverage online platforms. By utilizing

these technologies, financial institutions as well as airline companies, hotel chains, online

retailers, and any other companies conducting business online, can extract valuable

information on how users interact with their company's web and mobile platforms. In turn,

organizations can harness these insights to improve the usability of the platforms and

personalization of services, while driving operating productivity—and thereby substantially

increase revenue streams.

Customer Impact and Business Impact

Glassbox Digital (Glassbox) is driven by the mission to empower organizations to manage

and optimize their web and mobile app presence. By combining big data, machine

learning, behavioral and journey analytics, real-time session replay, free-text search, and

performance monitoring capabilities, Glassbox enables businesses to understand why their

1 FinTech—Growth Opportunities in the Global Market: Comprehensive Products and Services will Disrupt and

Transform Financial Services, (Frost & Sullivan, Jan. 2018).



clients interact with the businesses' digital platforms the way they do. By recording 100

percent of all user actions on online platforms, Glassbox's solution offers its clients unique

insights which generate actionable data for improvement of revenue streams and

increased customer satisfaction. Their solution upholds the highest standards of cyber

security with single-tenant cloud, hybrid or on prem deployments, which is the reason the

four largest banks in the world trust them. In addition, their solution is an enabler for

companies to comply with digital regulations in general and GDPR in particular because it

stores all information about user journeys that privacy regulations require organizations to

store for up to seven years. Their customer service philosophy is a rare occurrence in

today’s market. They make extensive efforts to make sure Glassbox customers deeply

understand the solution and can extract the most from it.

Insights Clear as Glass

The cornerstone of the Glassbox solution is the Glassbox Digital Behavioral Analytics (DBA)

platform which includes several features that give the DBA user visual and customer-specific

insights and online behavioral root-causes—i.e., if a bank notices that its clients are using

their mobile application but closing it after a couple of minutes, the bank can analyze DBA’s

complete coverage of the user’s interaction, including the typing of passwords, number of

times the user presses a particular button, or if there are any technical issues related to

connectivity or code of the app. The DBA is a turnkey solution that captures areas for

optimization and areas of user struggles across all layers of the online platform, from the

back-end app code to front-end menu options. Glassbox’s dedication to cybersecurity and

protection of personal information is evident by the trust and access that financial

institutions and customer-facing businesses such as four of the top 10 largest banks in the

world, give it to monitor sensitive user information. The solution can flexibly block access to

this information for specific data entries such as passwords or granted for specific

departments within an organization that only need access to specific parts of the user

journey. Glassbox stores data generated from user interactions on prem or in a separate

cloud owned and managed by the DBA user, to satisfy the security demands of the client.

This means that not only is the user analytics data owned and managed by the customer

themselves, but Glassbox provides a single tenant cloud for each customer.

DBA utilizes a suite of technologies and features to deliver insights, including AI and

machine learning, which it leverages to identify issues proactively and alert the DBA users

with automatically generated customer behavioral insights in real-time. Furthermore, the

recording of the client sessions occurs without the need to configure or tag any event.

Once the platform is deployed it automatically captures every single tap, swipe, click or

mouse movement. It automatically indexes the data to enable to create reports and

investigation using free-text search. Data no longer on the website can be recreated into a

comprehensive report. By addressing the need for event management solutions or specific

technical know-how to analyze the events, Glassbox empowers its users to seamlessly

export data and identify issues, resulting in prompt resolutions.



The solution enables its user to visualize in real time a map of the most common journeys

on its digital channels and provides automatic insights with regards to anomalies and

customer struggles which are impacting customers' experience and down the line the

actual business.

Automated Journey Mapping

Additional reports include data-points such as click-map (indicating a client’s webpage

navigation and click rate). Additionally, what changes the user undertook or tried to

perform on specific areas on the site, such as changes to options available. The DBA

records how long the user stayed on each page—a feature known as dwell-time. All of

these insights funnel into a comprehensive analysis of behavioral patterns, including drop-

off rates for how, where, and when people leave the site.

The granularity of the solution such that every single session a visitor makes on the

organization's digital channels can be reconstructed. Glassbox users can therefore watch

100% evidential replays of each session, as if they were watching a video. Because the

solution works in real time and captures each and every session, it can even be used in

Contact Centers to reduce Average Handling Time and empower Customer Support

Representatives that can easily understand what Customers are struggling with on the

website or a mobile app and help them finalize transactions.



Mobile Replay

Moreover, Glassbox enables its users to measure the business impact of each event

generated via its Cashbox feature, thereby allowing users to prioritize the issues with

significant impact on the bottom-line.

Cashbox Feature



As one example that depicts the values derived from Cashbox, the employees at a

financial institution noticed that clients abandoned their attempts to secure a loan because

they were interested in borrowing a smaller sum than the minimum amount available in

the menu. Therefore, after analyzing the insights generated by DBA showing how users

tried to change the quantity, the bank decided to lower the minimum loan size and

immediately noticed an increase in loan applications and an upshot in revenue generated

from loans.

A Philosophy of Generosity

Glassbox understands that a lack of information and insights about its client's users’

digital experience can leave organizations in the dark regarding inadequate customer

expertise, and consequently impact business' revenues negatively. However, the same

holds true for an internal process within the client organization, therefore, Glassbox has

developed DBA in such a way that using it does not require any particular technical skills

to generate insights from the platform.

By eliminating the need for coding skills, Glassbox users can create reports tailored for

their specific needs, be it marking or regulatory oversight, by utilizing the solution ’s drag

and drop funnel studio feature, thereby opening up the platform to non-technical users.

Furthermore, Glassbox does not require each user within the organization to have a

separate user-license for the platform; instead, it is one license per organization to ensure

that the clients get the most out of the platform. This licensing policy, along with hands-

on Glassbox training for new clients, and an education center are proof that Glassbox

makes every effort to allow their customers to leverage the solution to the fullest.

Conclusion

Glassbox Digital empowers its users with unique insights and with the tools to turn

information into actionable intelligence—which directly influences a business’s bottom line.

In a testament to Glassbox’s dedication to privacy and security, its clients trust them with

the most sensitive personal information, including passwords. Thus, the useful insights

generated are not limited to technology employees, but a multitude of departments can

leverage the analysis. Glassbox’s customer service philosophy to educate customers in

gaining the maximum utility from the solution, and their role as an enabler of GDPR,

testify to the added value the company provides, in addition to their invaluable core

technology.

With its robust technology and commitment to value creation, Glassbox Digital earns Frost

& Sullivan’s 2019 European Customer Value Leadership Award in the digital customer

experience analytics market.



Significance of Customer Value Leadership

Ultimately, growth in any organization depends upon customers purchasing from a

company and then making the decision to return time and again. Delighting customers is,

therefore, the cornerstone of any successful growth strategy. To achieve these dual goals

(growth and customer delight), an organization must be best-in-class in three key areas:

understanding demand, nurturing the brand, and differentiating from the competition.

Understanding Customer Value Leadership

Customer Value Leadership is defined and measured by two macro-level categories:

Customer Impact and Business Impact. These two sides work together to make customers

feel valued and confident in their products’ quality and long shelf life. This dual

satisfaction translates into repeat purchases and a high lifetime of customer value.



Key Benchmarking Criteria

For the Customer Value Leadership Award, Frost & Sullivan analysts independently

evaluated two key factors—Customer Impact and Business Impact—according to the

criteria identified below.

Customer Impact

Criterion 1: Price/Performance Value

Requirement: Products or services offer the best value for the price, compared to similar

offerings in the market.

Criterion 2: Customer Purchase Experience

Requirement: Customers feel they are buying the most optimal solution that addresses

both their unique needs and their unique constraints.

Criterion 3: Customer Ownership Experience

Requirement: Customers are proud to own the company’s product or service and have a

positive experience throughout the life of the product or service.

Criterion 4: Customer Service Experience

Requirement: Customer service is accessible, fast, stress-free, and of high quality.

Criterion 5: Brand Equity

Requirement: Customers have a positive view of the brand and exhibit high brand loyalty.

Business Impact

Criterion 1: Financial Performance

Requirement: Overall financial performance is strong in terms of revenues, revenue

growth, operating margin, and other key financial metrics.

Criterion 2: Customer Acquisition

Requirement: Customer-facing processes support the efficient and consistent acquisition

of new customers, even as it enhances retention of current customers.

Criterion 3: Operational Efficiency

Requirement: Staff is able to perform assigned tasks productively, quickly, and to a high

quality standard.

Criterion 4: Growth Potential

Requirements: Customer focus strengthens brand, reinforces customer loyalty, and

enhances growth potential.

Criterion 5: Human Capital

Requirement: Company culture is characterized by a strong commitment to quality and

customers, which in turn enhances employee morale and retention.



Best Practices Recognition: 10 Steps to Researching, Identifying, and Recognizing Best Practices

Frost & Sullivan analysts follow a 10-step process to evaluate Award candidates and

assess their fit with select best practice criteria. The reputation and integrity of the

Awards are based on close adherence to this process.

STEP OBJECTIVE KEY ACTIVITIES OUTPUT

1 Monitor, target, and screen

Identify Award recipient candidates from around the globe

Conduct in-depth industry research

Identify emerging sectors

Scan multiple geographies

Pipeline of candidates who potentially meet all best-practice criteria

2 Perform 360-degree research

Perform comprehensive, 360-degree research on all candidates in the pipeline

Interview thought leaders and industry practitioners

Assess candidates’ fit with best-practice criteria

Rank all candidates

Matrix positioning of all candidates’ performance relative to one another

3

Invite thought leadership in best practices

Perform in-depth examination of all candidates

Confirm best-practice criteria Examine eligibility of all

candidates Identify any information gaps

Detailed profiles of all ranked candidates

4

Initiate research director review

Conduct an unbiased evaluation of all candidate profiles

Brainstorm ranking options Invite multiple perspectives

on candidates’ performance Update candidate profiles

Final prioritization of all eligible candidates and companion best-practice positioning paper

5

Assemble panel of industry experts

Present findings to an expert panel of industry thought leaders

Share findings Strengthen cases for

candidate eligibility Prioritize candidates

Refined list of prioritized Award candidates

6

Conduct global industry review

Build consensus on Award candidates’ eligibility

Hold global team meeting to review all candidates

Pressure-test fit with criteria Confirm inclusion of all

eligible candidates

Final list of eligible Award candidates, representing success stories worldwide

7 Perform quality check

Develop official Award consideration materials

Perform final performance benchmarking activities

Write nominations Perform quality review

High-quality, accurate, and creative presentation of nominees’ successes

8

Reconnect with panel of industry experts

Finalize the selection of the best-practice Award recipient

Review analysis with panel Build consensus Select recipient

Decision on which company performs best against all best-practice criteria

9 Communicate recognition

Inform Award recipient of Award recognition

Present Award to the CEO Inspire the organization for

continued success Celebrate the recipient’s

performance

Announcement of Award and plan for how recipient can use the Award to enhance the brand

10 Take strategic action

Upon licensing, company is able to share Award news with stakeholders and customers

Coordinate media outreach Design a marketing plan Assess Award’s role in future

strategic planning

Widespread awareness of recipient’s Award status among investors, media personnel, and employees



The Intersection between 360-Degree Research and Best Practices Awards

Research Methodology

Frost & Sullivan’s 360-degree research

methodology represents the analytical

rigor of our research process. It offers a

360-degree-view of industry challenges,

trends, and issues by integrating all 7 of

Frost & Sullivan's research methodologies.

Too often companies make important

growth decisions based on a narrow

understanding of their environment,

leading to errors of both omission and

commission. Successful growth strategies

are founded on a thorough understanding

of market, technical, economic, financial,

customer, best practices, and

demographic analyses. The integration of

these research disciplines into the 360-

degree research methodology provides an

evaluation platform for benchmarking

industry participants and for identifying those performing at best-in-class levels.

About Frost & Sullivan

Frost & Sullivan, the Growth Partnership Company, enables clients to accelerate growth

and achieve best-in-class positions in growth, innovation and leadership. The company's

Growth Partnership Service provides the CEO and the CEO's Growth Team with disciplined

research and best practice models to drive the generation, evaluation and implementation

of powerful growth strategies. Frost & Sullivan leverages more than 50 years of

experience in partnering with Global 1000 companies, emerging businesses, and the

investment community from 45 offices on six continents. To join our Growth Partnership,

please visit http://www.frost.com.

360-DEGREE RESEARCH: SEEING ORDER IN

THE CHAOS

http://www.frost.com/

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