With a membership of nearly 6.8 million people, Japan’s leading consumer credit card company JACCS Co., Ltd. (hereafter, JACCS) recognized the call center operation know-how and analytical strengths of transcosmos, and conducted an analysis of customers who wanted to cancel their membership through a large scale investigation and text mining. As a result, specific factors and issues emerged regarding co-branded credit cards, which are the majority of JACCS cards, and factors related to new arrangements and cancellation prevention measures for the future became clear as well.
At this time, the aim of JACCS was to collect “candid opinions” from members wishing to cancel in order to learn what customers are thinking at a deep level, not only to reduce the number of card cancellations, but also to help acquire new customers and increase customer satisfaction. Consequently, in order to ensure the collection of “candid opinions” it was essential to deploy measures for extracting and analyzing the messages. Based on the know-how accumulated so far in operations carried out in the JACCS call center, as well as the track record and results of cancellation prevention planning in other companies, transcosmos proposed a complete solution to JACCS to satisfy all of their demands, and it has successfully been adopted.
The survey presented four main questions for members who wished to cancel. The design of questions was carried out by both companies, and rather than abruptly asking “Why do you want to cancel?”, they were designed to elicit true intentions without being burdensome, but at the same time build a relationship of trust and a sense of ease with customers in a short period of time. For that reason, call center agents whose work focused on administrative work, had more motivation by listening to the “candid opinions” of customers, while the members wishing to cancel acquired a sense of affinity by “talking” directly with the company, and as a result the survey response rate reached nearly 90%.
The “candid opinions” that were collected were then analyzed by text mining, which enabled understanding and determination of specific factors for cancellation, and mathematical validation, when only a perceived value was possible in the past. Various points became clear from conducting analyses of “candid opinions”, including the facts that usage scenarios differ greatly depending on gender and lifestyle, there is a high demand for points and mileage in response to card usage, and relationships between customers and business partners and member stores are important factors. These results were put together with proposed measures and reported to JACCS, where transcosmos received a high assessment. This included validation results for each analysis, as well as message development and action plans for cancellation prevention, construction of contact centers and operation plans.
JACCS is aiming to provide additional services to customers and merchant partners to enhance its corporate value, with the goal of reaching a total of 10 million card members. Among these points, work is currently underway on issues reported by transcosmos, as well as progressing proposals to actual measures such as reviewing the design of credit cards.
In the future, transcosmos will further utilize the customer attributes and behavior patterns which were analyzed from the reasons for cancellation in order to advance the planning and implementation of measures together with JACCS. It will also continue to provide support aimed at reducing the number of card member cancellations and increasing the acquisition of new card members through the implementation of actions that make the most of the strengths of consumer credit cards.