Customer onboarding is a term that describes the process a user goes through when they start journey as a customer of the product or service your company offers. The process plays a key role in determining the ongoing relationship your customer will have with that product or service. It is a critical part of the customer journey.
There is a saying that goes, “you never get a second chance to make a good first impression.” What better way to make a first impression and showcase from the start the type of experience a customer can expect from your organization? If done incorrectly and without thought, it can destroy interest and trust between your company and potential customers.
A successful program nurtures the customer. It shows them that your business will look out for their interests and individual needs. The goal is to build long-term relationships with customers. It is a process that should move customers through various stages of the customer journey with thoughtfulness. First, customers will be engaged with your product or service. Then they will build a relationship with your company. From there, they will move into the loyalty stage. An outstanding onboarding program should excel at fostering this customer journey.
We live in a digital world where we can receive the world at our fingertips. Information is available at lightning speed, delivering anything and everything a user could want in seconds. The advancement of the internet has created an expectation from the general public that they should receive everything at this lightning-fast speed. Slow and complicated sign-up processes can scare away potential customers from building a relationship with your business due to this expectation.
Banks and financial institutions must pay special attention to their sign-up process. They must follow strict Know Your Customer (KYC) and Anti-Money Laundering (AML) procedures during the creation of a customer account. They must do this to prevent financial crime, terrorist financing or money laundering. Nevertheless, steps must be taken to simplify this process while also maintaining compliance. A balance must be struck between obtaining user information and creating a smooth onboarding process. Otherwise, many financial institutions will be left in the dust as consumers lean toward competitors with more streamlined customer acquisition processes.
Easing potential customers to use your product or service is critical for building brand trust. Do this effectively, and your company will create customers that fully engage and use your product. This will reduce the amount of customer abandonment as well. With more customers using your product or service, this will inevitably increase your revenue. That way, you can reinvest that money into creating great experiences for your customers throughout their journey as your customer.