Self-service helps TV2 improve CSAT and turn customer service into a profit centre
TV2 is the biggest commercial TV station in Denmark. Learn how the company stays ahead of the curve with Zendesk.
Monthly Help Centre visits
ROI after 2 years of using Zendesk
TV2 is the biggest commercial TV station in Denmark, broadcasting linear TV-programmes and news on 6 channels. Besides this it offers customers TV2 Play, a streaming service with specific content and series which are partially produced in house. In the last 5 years, TV2 has managed to increase its customer base by 300,000 and improved the CSAT-score from 77% to 93%. Kristian Petersen, Head of Customer Operations at TV2 explains how he achieved this with a strategy for omnichannel and AI-assisted self-service.
When Kristian Petersen joined TV2 in 2013 it had 50,000 customers. The customer service department received 5,000 tickets each month regarding news articles, shows or the streaming service TV2 Play. “A lot of tickets we received didn’t add value to the experience of our customers or the company” Petersen said. “At that time I read an article about how customers didn’t want to get involved with customer service and how they’d rather want to find a solution themselves. Back then everyone was talking about AI, but only few companies did experiment with this new technology. I immediately recognized AI as a huge opportunity for us.”
TV2’s overall strategy is to always stay ahead of the curve. With this in mind, Petersen drafted a plan on how customers can help themselves using the power of AI. The idea was to use the same software and not to make any big investments.” At that time TV2 had just selected Zendesk to be able to implement an omnichannel strategy for customer service. Previously TV2 had separate systems for phone, e-mail and chat. Integrating these channels and allowing for generated data to be more centralised, TV2 are able to get a complete view of the customer and how to optimize their customer experience.
Petersen: “The first step in my plan was to bring all the data generated in customer service together in a data hub. This hub contains the data from the various touch points. Everything was included in the hub, from data about the first time replies to the resolution rate and satisfaction rate. Then we took it one step further and integrated the data from the sales funnel. For instance information about website visits, click through rates, opening of marketing emails et cetera.”
After Petersen assembled the data in the hub he set 3 objectives. The first one was ‘First time right’. This mean that the customers’ problem is solved right after they contact TV2 for the first time. The second objective was a redesign of the help center. Therefore TV2 needed to invest in enriching the help center with articles, video’s and ‘how to’ guides. The last objective was to make better use of the customer consultants.
Proactively act on churn
Currently TV2 has 3 billion calculations daily on its customer data. “The insights generated help us predict what customers are going to do next. This means we can proactively act on churn and approach customers with tailored offers, the insights helped us optimize our e-mail marketing. For instance if a customer has been watching the show Dancing with the Stars, we can suggest other shows on our channels which also feature the contestants of Dancing with the Stars. This kind of proactive service is one of the main reasons our customers stay with us for a long time”, Petersen stated. “In order to do this successfully Zendesk provides us with real-time analytics. Its open API enables us to get exactly the insights we need. We can just point and click to confirm we need this data on a weekly, monthly or any basis.”
The strategy Petersen put in place proved to be very successful. “Right now the help centre has 200,000 visitors monthly. This has allowed our customers to help themselves and meant we didn’t need to expand the customer support team. Furthermore, we reduced the multi touch tickets to 12 percent and increased CSAT from 77% to 93%. At the same time our customer base grew by 45 percent to 350,000 customers and the number of tickets doubled from 5.000 to 10.000. The fact that we were able to improve our CSAT during this period of strong growth is amazing. Using Zendesk and redesigning our help centre has helped tremendously in achieving this.”
By successfully offering self-service, redesigning the help center, having customer consultants perform telemarketing tasks and using an advanced IVR-system, TV2 managed to transform their service organization from a cost center to a profit center. Petersen: “We’ve proved how powerful artificial intelligence can be. Thanks to self-service every customer consultant has 100 minutes per day time on their hands for more complex questions and telemarketing activities. In fact it’s such a strong business case that we are looking into hiring more people just for telemarketing.”
After just two years Petersen managed to show the Board of Directors some impressive results. “The ROI of our Zendesk solution in the first year was 212%, in the second year that increased to 438%. ‘The extensive functionality in Zendesk has given us a valuable data hub and insights. Now it’s a lot easier to forecast staffing, choose the right channels and set opening times. These are determined by the behaviour of our customers. So now we’re available when our customers want us to be and they can contact us through the channels they prefer. This is more outside-in than inside out, which makes more sense if you’re talking about true customer service.”
Think big, start small and go fast
According to Petersen it all essentially comes down to constantly looking for ways to improve customer service. “This is what Zendesk supports in a brilliant way and why we are such a perfect match. My advice for other customer service organisations would be to think big, start small and go fast. We’ve been doing exactly this in the last five years. We’re not Netflix, but we do want to be the biggest local provider of streaming services in Denmark. In order to do that we need to stay ahead of the curve. With Zendesk we’re perfectly able to do so.”
“Zendesk supports in a brilliant way and we are such a perfect match. My advice for other customer service organisations would be to think big, start small and go fast.”
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