Abstract: Enterprises are investing in their digital channels and adoption of digital channels by customers has been on the rise. However it is the digital disrupters that are changing the game by using systems and processes that leverage mobile, social and advanced analytics capabilities for differentiation. This approach has given the disrupters a distinct advantage to roll out differentiated offerings focused towards better customer experience at a faster pace.

There are many aspects that need to come together to have a digital channel with strong customer experience, including market sensing, and effective listening. One of the most powerful tools is the usage of analytics to provide a differentiated service.

An example of leveraging data analytics to offer a superior service experience can be found in the example of Simple. Simple (https://www.simple.com) an American direct bank, offers all-electronic consumer banking services. With little or no physical presence, they offer all services via online and contact center. They focus on enabling customers to manage their finances better by providing value added services over their mobile channel. What’s interesting is that these value added services leverage historical user data. Features based on customer data that’s not transferable is something a customer will miss if he/she moves to a new bank, hence strengthening the exit-barrier for customers. In addition to providing just the “Current Balance”, Simple also provides a “Safe-to-Spend®” service. Their app does the entire math for the customer.