7 traits of high-performing customer onboarding programs

Customer onboarding programs aren’t a new idea. In fact, most banks have these programs. The problem is that 9 out of 10 bankers say their program isn’t delivering the expected results, and nearly 60% cite “complexity” as a significant obstacle (source: Digital Banking Report Research, January 2021). Adding to the challenge of building an effective program is the sudden increase in the pace of change.  in terms of how people are communicating, the channels they use, and what they expect from companies.

In digital marketing circles, this collective leap (or push, depending on who you ask) forward is referred to as the “Great Acceleration,” and it’s a byproduct of both the pandemic specifically, and the a natural evolution and advancement of digital experiences generally. For example, prior to 2020, users did not generally expect their personal banking institution to provide a user experience on par with a consumer tech company like Apple’s. Likewise, our industry’s own standards and expectations for what is “fine” need to move forward, too, in the form of onboarding programs built for banking in the post-Acceleration era.

It's no longer enough to just have an onboarding experience; the question now is, is the program truly doing customers—as well as the FI—a service, or is it merely checking a box?

You’ll increase your odds of success by seamlessly enrolling your newly acquired checking customers into a well-designed and executed digital onboarding program. We took a look at what makes a great onboarding program and compiled this list of seven attributes shared by the very best ones out there today.

1. Engage swiftly, the day following the account opening

We advise our bankers to think like their favorite consumer brands, not a bank. Respond quickly, with relevant information that helps to improve the customer experience and anchor the new account holder to the financial institution. For example, if someone opens an account on a Monday, they should receive the first touch of the program—like an automated text message—on Tuesday.

2. Maintain focus and attention over first 90 days

The first 90 days are crucial. We refer to this as the honeymoon phase. During this window, the customer is validating their purchase decision and determining whether they stay (and pull other products and services over to the new bank) or leave.

Customers evaluate every communication and experience during this period, so prompt, relevant communication is key. J.D. Power found that satisfaction and cross-sell success improves as the number of contacts is increased during this period. Establish a regular communication cadence, and specific goals, for those first 90 days. (Common goals are to engage the customer, anchor with digital services, and cross-sell deposit and loan products.)

3. Deliver relevant information at the right time vs. all at once

Customer nurture is all about being mindful and intentional about the experience you want them to have and nurturing the relationship in a logical fashion.

With the goal of earning PFI (Primary Financial Institution) status, early stage communications should focus on anchoring the customer with core, high-usage digital services before proceeding to product cross sell.

4. Utilize many channels

As we don't know the channel preferences of the customer, leveraging a variety of channels—text, email, direct mail, digital direct mail, retargeting and more—helps to ensure that our messaging will be received.

Some channels, like text, are used for their speed to market and inherent response characteristics, which prompt swift engagement. Others, such as email, direct mail or digital direct mail, offer more promotional real estate and are well suited for early-stage engagement as well as cross-sell efforts. Casting a wide net when it comes to channel mix improves overall/collective response. In working with our customers, we find that text click rates can be north of 60%, while email open/click rates often perform far above the industry averages.  

5. Encourage customer feedback through an online survey

Optimize your onboarding program as you go by soliciting feedback from new customers at key points. We recommend that our clients utilize the new customer engagement hub within our solution to trigger a survey following a customer’s first visit, gaining insight on items such as: 

• What was the new account opening experience like? (Feedback here can help to train front line staff to boost customer experience.)
• Why did they decide to leave their old bank?
• Will they be opening other accounts over the next six months?
• Would they refer others to open an account?

6. Lean on automation to gain “set it and forget it” simplicity

Onboarding is complex and involves many moving parts—including the management of incoming data files and the coordination of the messaging elements. Automating doesn’t just create a better customer experience; it also improves operations on the bank side of the equation. By automating, FIs don’t have to find staff time to manage onboarding. They know it’s being done. And because it’s streamlined and consistent, there are usually cost savings.

A lot of companies may need the help of a partner to automate the onboarding process. External providers like Deluxe have the tools, systems and processes in place to deliver a better customer experience, without banks needing to develop those capabilities in-house.

7. Measure performance

The best systems offer a transparent blend of quantitative and qualitative measures delivered through an online portal, making it t easy for the marketer to understand performance and identify program tweaks to make it better.

Key takeaways

Onboarding is critical to affirming the customer’s purchase decision, anchoring and accelerating usage of digital services, and beginning the cross-sell conversation during the early stages of the relationship. Accounts that are not properly onboarded and anchored often leave an FI within the first year, so you have a brief window of time to engage customers in the ways that will recoup the costs of acquisition and incentives and generate the ROI you’re hoping for.

If you haven’t reviewed your digital onboarding program (as well as your competitors’) recently, there’s a good chance that it’s not doing the job you think it is or need it to. Is your program truly doing customers—and your FI—a service, or is it merely checking a box?