1. business and industrial

How to Improve
Customer Communications.
A White Paper from Neopost
Cut Costs
Improve Productivity
Communicate more effectively
Manage the mail process
©2012 Neopost
Page 1
How to Improve Customer Communications | White Paper
Contents
Page 2
Introduction.
The secret of good communications.
03
Integration and communication.
The role of mail in a multi-channel communications strategy.
05
Address management.
The importance of accurate customer information.
07
First impressions.
Making envelopes work harder.
08
Professional presentation.
What mail says about your business.
09
The personal touch.
How to personalise communications for maximum impact.
10
Case study.
How a cancer screening programme is using folder-inserters
to maintain patient confidentiality.
11
Answering to customers.
The effect of internal processes on customer service.
12
Why Neopost.
How Neopost can help you transform your
customer communications.
13
©2012 Neopost
How to Improve Customer Communications | White Paper
Introduction
Good communications is the cornerstone of business success. It is essential
for service delivery; for generating new business, for informing customers
and prospects of new products and services; for enhancing brand recognition;
for conveying and reinforcing key brand values; and for strengthening
relationships with customers and suppliers.
This is an obvious point, but one that can get lost in the day-to-day running
of a business; and it comes with the caveat that there is more to good
communications than endless mailings and e-shots. Consumers today value
regular contact with organisations they trust and are receptive to messages
from others. Yet, they expect communications to be on their terms.
The secret is to understand your customers' wishes and to tailor your
communications strategy accordingly. So, what are people's expectations?.
“I need important communications or items to reach me
without fail and on time.”
People depend on digital and postal communications to run their daily lives.
From bills, statements, forms and proposals to the delivery of a passport,
ticket or other purchase, consumers need to know that an important item
will be delivered (electronically or in the post) quickly, reliably and preferably
within an agreed timeframe.
“Respond quickly to me.”
Equally important is the time it takes a business to respond to a customer's
own approaches. People communicate with organisations for a reason, usually
because they have a question or a complaint that can't wait. In either case,
they will expect a quick and satisfactory response.
“Communicate with me through my preferred medium.”
Customers use a variety of communication methods: the telephone, email,
mobile messaging, social networks, fax and the post. However, they are
particular about how a business can contact them and the most appropriate
channel can vary according to a number of factors including the purpose of
the communication, the organisation making contact and the time of day.
Often, e.g. in the case of bank statements, customers like to receive the
same communication in both electronic and paper form – one for easy access
and one for security. The latest software solutions make it easier to manage
communications across digital and off-line channels.
“Send me relevant information.”
Consumers
today value
regular
contact with
organisations
they trust...
Today's consumers have a sophisticated understanding of marketing and
communications. Most are happy for businesses to collect information about
their purchasing habits through loyalty cards and online purchasing. But
in return they expect to receive information relevant to their interests and
needs. It is no longer enough simply to send out generic e-shots and mailings.
©2012 Neopost
Page 3
How to Improve Customer Communications | White Paper
“Treat me as an individual.”
Customers feel more valued if they are addressed by name and if the
content of messages reflects their interests, business activity or history with
the sender. As well as strengthening customer relationships, personalised
communications are more likely to be opened by prospects. Accuracy is
essential, as goodwill will quickly evaporate if the wrong name is used or an
email or letter is sent to the wrong address.
“Maintain my confidentiality.”
Businesses must balance customers' desire for more intelligent
communications with the need to maintain data confidentiality. Increases in
the amount of customer data held and the variety of communication channels
used make data protection a priority. Businesses should secure data held in
company databases; choose a medium and delivery method appropriate to the
sensitivity of the communication; and ensure that processes are secure.
“Communicate to me in a clear, interesting format.”
...personalised
communications
are more likely
to be opened by
prospects.
Page 4
Every day, people receive large numbers of electronic and postal
communications and they want to spend as little time as possible managing
them. They want bills, statements, proposals and other communications to be
clearly laid out and easy to read at a glance. If marketing communications,
such as mailshots and special offers, are to be opened and acted upon, they
must stand-out from dozens of other messages received daily.
Meet these expectations and you can look forward to greater customer
satisfaction and improved sales: fall short and the consequences can be
serious. If a business is slow to respond to customer requests, if items go
astray, if the wrong communication channel is used or if personal information
is sent to the wrong person, the damage to your brand image can be
considerable.
©2012 Neopost
How to Improve Customer Communications | White Paper
Integration and automation
So, where does physical mail fit into this new world of communications? What
must businesses do to meet the customer expectations outlined above? And
how can businesses maximise the effectiveness of mail within the overall mix of
communications?
What's clear is that people still value and depend on physical mail: it is inclusive
and often the only way to reach sections of the population that don't have internet
access; it is reliable – 98% of second class mail reaches its destination within
two days; it is familiar, trusted and secure, with options for tracking and delivery
on signature; it is flexible and scalable, from a postcard to a parcel; it is quick,
with next day delivery to anywhere in the UK; and it can be personalised for each
individual, even as part of a mass mailing.
Yet, today mail is just one of many ways to reach customers and prospects and
there are occasions when an alternative method of communication might be
more appropriate. Someone might choose to receive dentistry bills by post and
appointment reminders by text; or start a conversation on facebook then switch to
email or the telephone, generate a hard copy mailing and move back to facebook.
Technology is creating a more fluid interchange between different media: for
example, many direct mailpieces include a QR code that can be scanned with a
smartphone to open a related web page.
Software co-ordination
Today, there exists a variety of software solutions of varying sophistication
that enable a business to co-ordinate and integrate digital and hard copy
communication methods. The ability to manage every aspect of customer
communications, including document design, data management, scheduling,
distribution and archiving, within a single system is essential if a business is to
meet customer demand for integrated communications. Using software to design
and personalise documents and specify the distribution method (e.g. email, fax,
SMS or post) enables an organisation to maintain consistency across all media,
satisfy personal preferences and speed up the flow of information between a
business's processes and its customers and suppliers.
To maximise the benefits of integrated communications, eliminate bottlenecks and
provide seamless interchange between physical and digital mail, it is important to
make sure that the distribution of hard copy output doesn't lag behind electronic
alternatives.
This can be challenging. The production and despatch of mail involves more
processes than digital messaging – at the very least, it includes the conversion of
data from electronic to hard copy formats, the insertion of items into envelopes,
the application of the correct postage and sorting and delivery. There is also a
high degree of human involvement at almost every stage with great scope for
delays, errors and inaccuracies. Further risks are entailed in the need physically to
move mail from one process to the next.
Businesses that rely on slow manual processes will find it impossible to deliver
the integrated communications that customers desire and increase the likelihood
of low productivity, inaccurate content, lost documents, undeliverable items and
security failings. If a business doesn't send out invoices, final demands and other
important documents on time or sends confidential information, such as financial
statements or medical test results to the wrong person, customer loyalty could be
damaged.
©2012 Neopost
Page 5
How to Improve Customer Communications | White Paper
Process automation
So what can be done to make sure that your communications meet the
expectations of your customers, suppliers or employees, on their own or as part of
an integrated strategy?
A good starting point is to automate the three main areas of mailing activity
– preparing mail for despatch, sending mail and receiving mail. Having the
latest equipment in place, from folder-inserters and franking machines to print
management and addressing software, reduces the need for manual intervention
and speeds up mail production. It improves accuracy and security and allows
postal communications to be as efficient and targeted as digital channels.
In addition, automation gives organisations the ability to use business
correspondence and transactional mail for more than the mere exchange of
information, for example by adding advertising slogans to envelopes or inserting
promotional leaflets with bills and statements. And it allows users to improve the
effectiveness of mail by creating more impactful documents and personalising
content.
As well as improving the effectiveness of postal communications, automation
can have a big impact on customer service levels and customer loyalty. Quickly
opening and scanning incoming post into a document management system
enables an agent to access all files relating to a case or customer from their PC
during a call so customer queries can be resolved more quickly.
...automation
can have a
big impact on
In a recent study by The Institute of Customer Service (ICS), more than four out
of five consumers (83%) identified quality of customer service as an important
driver of loyalty. The ICS has calculated that it costs UK businesses £6,500 and
takes an average of 58 days to replace a single customer, so any investment in
mailing technology to reduce customer churn is likely to be money well spent.
customer service
levels and
customer loyalty.
Page 6
©2012 Neopost
How to Improve Customer Communications | White Paper
How to increase the effectiveness of customer
communications
Today, businesses can take advantage of a wide range of hardware and software
solutions to meet customers' demands for fast, reliable, relevant, secure, eyecatching and personalised communications. In particular they allow businesses to
build accurate prospect and customer information; secure confidential customer
data; create impactful documents; manage output through a variety of channels;
present a professional image; personalise communications; and improve internal
communications.
Build accurate prospect and customer information.
The cornerstone of successful customer communications is good address
management. Assembling and maintaining an accurate customer database is
essential if organisations are to improve the professionalism of mailings; make
sure that they reach customers in a timely fashion; manage the complexity of
modern marketing methods, such as one-to-one marketing; and comply with
privacy rules.
There are a number of tools and mailing practices that can be applied at various
stages of the mailing process to help an organisation manage address databases
more efficiently. Foremost among them is addressing software that checks
addresses against Royal Mail PAF files to correct mis-spellings and add missing
details including postcodes. The software also de-duplicates mailing lists to
prevent unnecessary and repeat mailings and checks suppression lists to ensure
compliance with do-not-mail requirements. In this way, it reduces mailing costs
and errors that could tarnish a business's reputation.
Other addressing solutions automate the capture of accurate addresses as part
of a customer process or transaction. The ability to auto-fill complete addresses
on forms opened in an e-commerce, CRM or other supported application ensures
address accuracy at point of capture, saves time and prevents mistakes further
down the line.
The cornerstone
of successful
customer
communications
is good address
management.
Businesses can keep customer databases up-to-date by printing an external
return address (ERA) on the outside of an envelope. If an ERA is visible, Royal
Mail will return undelivered mail to the sender with an explanation of why it has
been returned, giving you the chance to update records accordingly.
Offer a choice of communication methods.
It is equally important to maintain accurate email and phone records so that
you can communicate with customers using a variety of channels. Output
management software will enable you to offer a choice of communication
methods and meet customers demand for relevant and personalised content.
The best solutions can design documents or marketing materials for clear and
impactful communications; manage distribution through mail, email or SMS; add
intelligence marks to documents to manage the accurate filling of envelopes with
tailored content; and control personalisation of envelopes.
©2012 Neopost
Page 7
How to Improve Customer Communications | White Paper
Make your envelopes work harder
Printing return addresses is not the only way to make use of blank space on
envelopes. Mail pieces can also be printed with text and graphics to reinforce
brand identity, publicise promotions, increase direct mail opening rates and
project a more professional image.
Dedicated high speed inkjet envelope printers that print addresses and marketing
messages in full colour directly onto plain or pre-printed envelopes give mailings
more impact and enhance response levels. The ability to print envelopes on
demand removes the need to manage, order and store pre-printed envelopes
and lets you create customised designs to respond instantly to new marketing
opportunities.
Franking machines, too, can add impact to mailings. The ability to print crisp,
clear logos, images and slogans beside the post mark offers scope for subtle
branding, product promotions and notices. Use it to remind contacts of a change
of address or phone number or to add personality to routine mailings (see case
study).
Another way to increase the value of routine mailings is to take advantage of
Royal Mail price bands and include additional material with a bill, statement or
letter, such as a leaflet promoting a new product or a replay paid envelope to
encourage faster payment. Folder-inserters can automate the process and enable
you to specify different inserts for different customers.
CASE STUDY
Autostamp is good news for Weston School of Dancing
Run by Elisabeth Swan and her husband Geoff Wheatley, the Weston School
of Dancing in Chelmsford, Essex has more than 400 pupils. To streamline
mailings and overcome the frustrations and inaccuracies of postage stamps,
Elisabeth recently invested in a Neopost Autostamp franking machine.
This removes the inconvenience of having to 'make-up' the correct postage
from a variety of different stamp values, while integrated scales ensure the
correct value is always applied and online re-crediting means that Elisabeth
no longer has to worry about running out of stamps.
Another feature that Elisabeth makes good use of when
communicating with pupils is its selection
of stock slogans. "I quite often use the
'good news' slogan at the end of term
when we're sending out exam results and
certificates," she said.
With 300 dots per inch inkjet technology,
each franked impression is crisp and
smudge-free, helping the Weston School
of Dancing enhance its image.
Page 8
©2012 Neopost
How to Improve Customer Communications | White Paper
The power of colour to increase mail effectiveness
76% of consumers find information faster if it is presented in colour;
69% understand new ideas better when they are presented in colour;
54% are more likely to read documents/marketing material if it is
presented in colour;
43% are more likely to pay a bill on time if the due date is highlighted in
colour; and
31% are more likely to pay the full amount due.
(source: Xerox Colour Survey conducted by Harris Interactive, April 2011)
Project an image of professionalism and reliability
Postal communications is an effective way of reaching new markets and
introducing prospective customers to your products and services. In some
cases a mail piece might be how a recipient first finds out about your company
so it is essential that it conveys the values and qualities you wish to project.
Mailing equipment can help you make a good impression by producing neat,
professional-looking documents with a clear, consistent corporate identity.
Folder-inserters that automatically fold and insert items into envelopes at least
13 times faster than by hand can help organisations convey a professional image
by ensuring that letters are sent out with neat folds, in the right order (all inserts
are collated before folding) and correctly positioned addresses.
Using a laser or inkjet printer to print addresses directly onto envelopes is faster
(up to 42,000 per hour) and more business-like than writing addresses by hand;
and cheaper and more professional looking than labels that can be hard to apply
neatly.
Document design and output software can be used to create and maintain a
consistent corporate identity across all printed and electronic output, including
invoices, payslips, receipts, statements and forms. Use it to design documents
and address blocks with your own choice of images, text and barcodes.
The outside of an envelope can say as much about a business as its contents.
While a postage stamp conveys a personal touch, a frank mark gives an
impression of efficiency and professionalism: franks are neater; suggest stability
and reliability; and can help a small business appear larger than it is.
©2012 Neopost
Page 9
How to Improve Customer Communications | White Paper
Personalise Communications for Maximum Impact
One of the major benefits of digital communications is the ability to generate
high response levels by customising messages to meet the interests of individual
customers: in a Harris Interactive survey for Xerox1, 41% of potential consumers
said they valued receiving offers related to their specific interests. Personalisation
is not just a feature of electronic communications. It is equally applicable to hard
copy mailings where digital printing technologies and intelligent mailing equipment
allow businesses to personalise printed messages and the contents of envelopes.
...personalise
mailings by
customising text
and graphics for
each customer...
Use high speed envelope printers to add personalised messages to the outside of
envelopes and add variable data to letters. Because the printing process is digital,
you can create personalised messages for each contact to maximise opening
rates.
Folder-inserters can insert documents, leaflets, reply paid envelopes, postcards
and other items from one or more feed stations into envelopes at high speed.
Built-in intelligence and the ability to read optical marks on letters enables the
machines to adjust insertions on-the-fly, according to each customer's status,
needs or interests.
Using software to encode letters with machine-readable optical marks or barcodes
prior to printing makes it possible to personalise mailings and ensures that the
right material is sent to the right person at the right time. This has clear customer
service benefits and, in addition, helps maintain data security and confidentiality
(see case study opposite).
You can take personalisation of customer communications a stage further using
print management software like Neopost Print Machine. Among its many features,
it allows businesses to personalise mailings by customising text and graphics for
each customer or group of customers. It also supports hard copy and electronic
distribution so that you can vary the delivery channel according to individual
users' stated preferences.
Folder inserters are
easy to use
1. Xerox Marketing Survey conducted by Harris Interactive, November 2011
Page 10
©2012 Neopost
How to Improve Customer Communications | White Paper
CASE STUDY
Maintaining patient confidentiality
Based at Queen Elizabeth Hospital in Gateshead, The North East Hub for the
NHS Bowel Cancer Screening Programme (BCSP) installed its first Neopost
folder-inserter in 2007 to help process the mailing of letters and test kits.
Hub Manager Ian Ward said: “The biggest challenge for the Hub was not
conducting the tests, but managing the logistics of a call and recall process
that involves sending out immense numbers of letters and testing kits. In total,
we send out approximately 10,000 letters a day, so hand packing was never an
option for us.”
On the recommendation of the hospital's breast screening unit, Ian contacted
Neopost who suggested a specially adapted SI-92 folder inserter and
PrintMachine software.
“One of the initial challenges we faced was with the testing kits: 2,500 kits are
sent out every day, each one of which includes a covering letter, sample card,
six applicators, foil return envelope and instruction sheet. The applicators pop
out of a sheet of card, and as such are delicate and easy to damage during the
packing process. Neopost solved this problem by modifying the shaft and drive
wheels of our machine to ensure that the applicators remained intact every
time,” Ian explained.
He was so impressed by the machine's performance that he subsequently
ordered a second SI-92 and two mid-range Neopost DS-86 folder-inserters.
These helped the Hub cope with growing mail volumes, but it still wasn't able
to automatically match personalised test kits to other personalised documents
within the pack.
“With thousands of test kits being packed every day, there was a high margin
for error and it required a great deal of care and attention to ensure that
no mistakes were made. Although the original solution helped us cope with
volume, it couldn’t manage the security aspects of matching the test kit to the
letter,” Ian said.
To do this, Ian acquired a top-of-the-range DS-1200, which can read OMR,
BCR, 2D and OCR coding and includes sophisticated integrity checking software
for 100% accurate mail processing, plus an address printer for printing test
kits with the necessary 2D barcodes. If a mismatch occurs between the
documents and test kit, the DS-1200 stops immediately, allowing operators to
consult audit logs and correct the problem.
“This has been a great benefit to us, saved countless man hours and given us
complete confidence that every envelope received by our patients contains all
the correct personalised documentation and test kits,” said Ian.
In addition to the DS-1200, Neopost has supplied a Neopost DS-140 to handle
any overflow work and provide back-up when the DS-1200 is being serviced.
Like the DS-1200, the DS-140 can read OMR/BCR and 2D coding and provides
full data logging of documents.
©2012 Neopost
Page 11
How to Improve Customer Communications | White Paper
Improve internal communications and deliver better
customer service
Businesses are increasingly judged on the quality of their customer service
and how quickly they respond to queries and complaints. A survey of customer
attitudes by RightNow2 found that 82% of consumers have stopped doing
business with an organisation due to a poor customer experience and that in more
than half of cases (55%) the issue was how long it took to resolve a problem.
By enabling mail to be opened and processed more quickly, mailing technology
can help a business satisfy growing customer demand for a quick response, whilst
improving internal communications for enhanced efficiency and productivity.
Automatic letter openers that open mixed mail at least 60
times faster than by hand reduce the time between the
receipt of mail and delivery to someone's desk. The most
productive machines can open 10 envelopes a second or
up to 45,000 per hour without damaging the contents.
Higher end models automatically extract letters and
associated inserts, with the option of electro-mechanical
sensors to confirm an envelope is empty.
A growing number of businesses are taking incoming
mail processing to the next stage by adding document
scanning at the mail opening stage. Creating digital
images of opened letters and routing them to recipients
electronically speeds up delivery times and allows
organisations to store electronic documents and scanned
images in a single, searchable content management
system. Being able to access a complete record of
one's dealings with a customer while seated at a PC makes it more likely that a
problem will be resolved first time and minimises the need to keep a caller on
hold, transfer them to a colleague or make expensive call-backs – all sources of
customer dissatisfaction.
As well as the opportunities it presents for personalisation and consistent
corporate design, print management software can keep an electronic archive
of printed documents so that customer service staff and other employees can
retrieve copies at the click of a mouse.
A niche solution that can help convey an image of efficiency and professionalism
to callers are parcel tracking systems like Neopost's neotrak. A combination of
barcode scanners and software makes it possible to track a package sent by
courier or Royal Mail from the point at which it is received by an organisation to its
delivery to the addressee. This allows users to provide callers and colleagues with
accurate, up-to-date information on the delivery status of parcels and packages
containing important documents and other items of value.
2. RightNow Technologies, 2010 Customer Experience Impact Report
Page 12
©2012 Neopost
How to Improve Customer Communications | White Paper
WHY NEOPOST?
Neopost is Europe’s number one supplier of mailing solutions, with annual
sales of €1 billion in 2011. Its products and services are sold in more than 90
countries, and the Group has become a key player in the markets for mailroom
equipment and logistics solutions.
Neopost supplies advanced solutions for franking, folding/inserting, addressing,
logistics management and traceability, as well as a full range of services,
including consultancy, maintenance and finance.
Its product range meets the needs of all mail users, from micro-businesses to the
largest enterprises and public sector organisations, and covers the three main
areas of mailroom activity: Incoming Mail; Mail Preparation; and Outgoing Mail.
Neopost products are designed to work together and can be integrated into
complete mail processing systems that address the specific needs of individual
customers.
Mail Preparation
Address Management. Neopost Bulk Mailer is a complete address management
solution that can enhance mail deliverability by cleaning address databases and
maximise Royal Mail discounts by sorting post in the right way and generating
required documentation, reports and postage statements. Neopost Capture uses
auto-fill to simplify the capture of addresses in business processes, including CRM
and e-commerce.
Neopost
products can
be integrated
into complete
mail processing
systems...
Output Management. Neopost has two solutions for automating the production,
distribution and dispatch of targeted customer communications, the entrylevel OMS-100 for non-technical users and PrintMachine for larger volume
applications. Both include the ability to print OMR marks and barcodes that
encode instructions for other processes, such as folding and inserting. The
intelligence these marks add to documents ensures accurate mailings (essential
for confidential information), facilitates varied content by addressee and
simplifies processing of returned mail.
Envelope and Address Printers. Neopost's AS range prints addresses and
marketing messages on envelopes in black and white or colour at speeds of up
to 39,000 envelopes per hour, enabling an organisation to grab the reader's
attention and take advantage of the white space on envelopes for promotional
purposes.
Folding and Inserting Machines. Neopost's DS range of folder-inserters
includes models to suit any size of business, from the desktop DS-35, with an
insertion speed of up to 1,350 envelopes per hour, to the DS-1200 that can fill up
to 12,000 envelopes per hour and handle inserts from flyers and business reply
envelopes to thick booklets and CDs.
Outgoing Mail
Franking Machines. Neopost's IS series of franking machines ranges from the
entry-level AutoStamp2 with integrated weighing scale and LAN connectivity to
the IS-6000 with mixed mail feeding, dynamic scale, power conveyor and full
colour touch-screen.
©2012 Neopost
Page 13
How to Improve Customer Communications | White Paper
Incoming Mail
Letter openers. Neopost's five-strong IM series ranges from the IM-16 with
opening speeds of 300 letters per minute, to the IM-75, which opens envelopes
and extracts the contents.
Document Scanners. Neopost mail extraction systems can be combined with
document scanners and software solutions that scan, archive and distribute
incoming documents electronically, including Neopost's all-in-one IMW-20
electronic document management system.
Mail tracking. neoTrak automated parcel receiving software tracks packages
from drop-off at the post room or reception to delivery to a named recipient.
neoTrak can also track files, equipment, office supplies, computers and other
equipment around a building.
Mail Scanners. Neopost's range includes scanners for screening bundles of mail
and small packages for suspect items and security threats such as letter bombs
and parcels.
Address Management. Neopost Return Mail Manager lets you scan
undeliverable mail and keep address databases up-to-date.
What Next?
To find out how Neopost can help you improve customer communications,
please call us on 0800 731 1334.
Neopost House
South Street
Romford
Essex
RM1 2AR
Tel: 0800 731 1334
Fax: 01708 726361
www.neopost.co.uk.
Page 14
©2012 Neopost