CUSTOMER EXPERIENCE EVALUATION ON IMPLEMENTATION KREDIT PASTI MUDAH APPLICATION AT PT. BANK XYZ

 

Christian Vieri Sasmita1 Wahyu Sardjono2

BINUS Graduate Program, Bina Nusantara University, Jakarta, Indonesia

christian.sasmita@binus.ac.id, wahyu.s@binus.ac.id

 

Abstract

Customer Experience is a perception that is felt by customers where they interact with applications, products, services from the brand of a product. Applications used by customers such as smartphones, websites, computer software, and so on. Currently application KPM that implemented CRM system at PT. BANK XYZ use has not been maximized. There is an obstacle that happening on Customer Experience in the use of KPM application and it’s affecting the Customer Satisfaction. The purpose of this study is to find out what variables contribute in the practices that the company have an obstacle between Customer Experience and Application in CRM system at PT. BANK XYZ with Factors Analysis and building a model for using CRM implementation process in current KPM application and determine the CRM Strategy at PT. BANK XYZ in the future using Regression Analysis. This research shows that in this study there are new 7 factors that has been founded using Factor Analysis in the Customer Experience sides namely Sales Utilization, Customer Regain, Customer Rewards, Technical Contribution, Customer Segmentation, Customer Personalization, Customer Retention. The result from seeing a Regression Analysis result we could apply in practice as we could make a strategy to reinforces the strength and decreasing its weakness of the application at PT. BANK XYZ.

 

Keywords: customer experience; customer relationship management; crm process; customer satisfaction; service quality.

 

Introduction  

Customer Experience in the digital era has an important role because there are many competitors who offer digital products that have many of the same features (Lee & Lee, 2020). Customer Experience also affects user satisfaction and loyalty to the use of the application. In a bank there is an application that provides service features to make vehicle purchases on credit by providing customers with low prices through a discount negotiation process and one of the advantages of this application is the low and competitive interest rates then the process of applying for vehicle loans is done online and simple. PT. BANK XYZ recently released a new application, namely Kredit Pasti Mudah (KPM), the new KPM application functions as a service application for vehicle purchases made on credit where customers can provide cheap prices. However, the obstacles faced by this application are from all customers, which is approximately 500 customers from January to June, about 30% of customers experience problems in using the application by customers where the problem is that customer cannot save customers data, there are also some cases such as customers who do not understand how to use the KPM application because the KPM application itself is considered too sophisticated by the customers, making it difficult for customers to use this KPM application. Another obstacle that occurs is that customers are not clear about the directions given by the KPM application. The majority of KPM application customers are above 42 years of age and where the age is below 30 years, there are still few or still minorities to use the KPM application, because it causes a lack of customers satisfaction with the use of the KPM application.

Fig. 1: Pictures of target customer satisfaction using the KPM application.

 

In this Graph show that the target for Customer Satisfaction and Customer Satisfaction that KPM achieved. There is a visible gap between customer who experiencing confusion when using the KPM application, thereby reducing traffic using the application. So, we need a CRM strategy in order to overcome the obstacles that occur in this KPM application problem (Bose & Sugumaran, 2003). The aim of the research was conducted to look for factors that become obstacles experienced by users in terms of Customer Experience in the KPM application, building a model to improve the Customer Experience in accordance with the KPM application, and last to determine the strategy that will be implemented to overcome problems in the KPM application. The purpose of CRM itself is to make impact of customer management on CRM performance and the supporting role that organization and technology of CRM to stay align within entire organization (Dalla Pozza, Goetz, & Sahut, 2018). CRM implementation is thought to be quite beneficial in terms of creating communication with customers and providing services to such clients. This may be a strategy used by a business to develop new consumers, care for existing ones, and bring back former ones (Thakur & Workman, 2016).

Customer Relationship Management (CRM) is a concept of business strategy which combines the relationship between a process, people, and technology (Chen & Popovich, 2003). CRM also considered as one of the integrated concept areas where the information technology and business are built for long term relationships between organization and customers (Ryals & Payne, 2001). CRM, or customer relationship management, is essentially the process of creating and sustaining lucrative client relationships by giving customers value and pleasure from the offered application, product, or service (Farhan, Abed, & Abd Ellatif, 2018). To have the greatest impact on employee performance, organizations must address and improve as many input and group process components as they can. In the previous research on CRM has made a significant progress in several areas, such as banking (Helmreich & Foushee, 2010). Customer management in CRM entails the creation of numerous marketing strategies that are aimed at certain customer segments that are identified based on their values, wants, and stages in the customer lifecycle (Voorhees et al., 2017).

Customer experience has also become recognized as a crucial component of the marketing idea where companies strive to provide customers an exceptional experience that they will enjoy and remember. Which is Brand Experience where how to measure consumer perceptions before using the application or service that will be used (Philip & Keller, 2012). Additionally, customer experience occurs during several contacts that are pertinent to a primary service offering, including numerous "moments of truth" that affect the course of events for the consumer (Moon & Quelch, 2003).

Customer Satisfaction is a person's feeling that gained from the results when he is happy or disappointed with a product or performance from the use of an application or service. The consumer is unhappy if the customer satisfaction about performance or experience falls short of expectations. The customer is content if it fulfills their expectations (Klaus & Maklan, 2013). If the level of customer satisfaction delivered to the client exceeds their expectations, the client is extremely satisfied. Because customer happiness is one of the most important factors in determining a client's future purchasing behavior, it was also considered to be a crucial aspect in creating customer loyalty (Pham & Ahammad, 2017). Customers who are pleased with the service received from a provider would boost utilization levels and plans to use the service in the future, which would also increase customer happiness.

 

Method

This sub-chapter will describe the concepts and models used in this study whose concept is illustrated as the flowchart below:

 

Fig. 2: Concept for this research

Research Design

 

Fig. 3: Research Design Model that been used in this research

 

Data Gathering

In formulating the need of CRM System research at PT. Bank XYZ requires some data collection and some information that related to existing and required CRM using a questionnaire. The distribution of the questionnaire in this study was using online form which is Google Form as a medium for filling out the questionnaire. Online distribution can make it easier for the author to analyze the data that will be carried out in chapter 4, and it is hoped that the respondents can quickly fill out the questionnaire. Questionnaires that will be distributed to PT. Bank XYZ customer that using the KPM application. This study uses a population of all customer that using the application in KPM which is directly involved in the process of using the KPM application. While the sample of this study were 253 customers of PT. Bank XYZ. With the conditions used in the selection of samples in this study are customers who are currently still using KPM application.

 

Data Processing

The data obtained will be processed using the Statistical Package for the Social Sciences (SPSS). SPSS is a statistical computer program that is able to process statistical data quickly and precisely, producing various outputs desired by decision makers. SPSS has been recognized as one of the most widely used statistical applications. In this study directs all respondents to provide the required information through the statements given in the questionnaire based on the object studied in this study (Sugiyono, 2016). The Likert scale is the basis for the level of assessment, where a value of 1 indicates strongly disagree to a value of 5 states strongly agree. The questionnaire given to the respondent will only be answered with the answers that have been given, only for demographic data to be filled in directly by the respondent. The research instrument on the questionnaire will be directly tested with validity and reliability tests

 

Factor Analysis

Factor analysis is also used to identify a relatively small number of factors that can be used to explain a large number of interrelated variables. The steps of using Factor Analysis are first we need to measure reliability and validity test about the variables next, we grouping the variable into a new factors that has been gathered.

 

Validity Test

Validity test used to be interpreted as the level of accuracy also as the measuring instrument in carrying out its measurement accuracy function. Validity testing looks for the correlation of each indicator to the total score using the KMO and Bartlett's test technique formula.

 

Reliability Test

Reliability test used to see the variable of the question are consistent from the 24 indicators. This test was carried out on 253 respondents. The basis for decision making for Cronbach's coefficient alpha which is quite acceptable (acceptable) is the value between 0.60 to 0.70 or more. For the following reliability test decisions, basically Cronbach's Alpha > 0.60 → Cronbach's Alpha acceptable (construct reliable) and Cronbach's Alpha < 0.60 → Cronbach's Alpha poor acceptable (construct unreliable).

 

Multiple Linear Regression Analysis

Regression analysis is a method that being used to analyze the effect of the independent variable (X) on the dependent variable (Y) in which there is more than one independent variable (X). It is used to determine the relationship between the independent variable and the dependent variable.

 

Result and Discussion

            This sub-chapter will describe the concepts and models used in this study whose concept is illustrated as the flowchart

 

Respondent Data

Age

Amount

Percentage

17 - 29 Years

67

26,48%

30 - 49 Years

144

56,91%

> 50 Years

42

16,61%

 

253

100%

Table 1: Summary for Respondent that using the KPM Application

Based from the data that gathered the results of the questionnaire data as shown in the Table 1, obtained 67 respondents in the age range of 17 - 29 years or equivalent to 26.48% and as many as 144 respondents in the age range 30 - 49 years or equivalent to 56.91%, and as many as 42 respondents or 16.61% are over 50 years old.

 

Validity Test

The measuring instrument device used to say to have high validity if the device executes its measurement function or provides appropriate measurement results. In conducting factor analysis, the analyzed variables are said to be feasible to be factored if the KMO-MSA value is > 0.5 and the significant value (sig) or probability (p) <0.05.

 

KMO and Bartlett's Test

Kaiser-Meyer-Olkin Measure of Sampling Adequacy.

.642

Bartlett's Test of Sphericity

Approx. Chi-Square

787.094

df

235

Sig.

.0l0l0l

Table 2: KMO and Bartlett’s Test result

 

The result above shows output and we find that KMO-MSA score is 0.642 > 0.50 and the Bartlett test for sphericity (Sig.) is 0.000 < 0.50. Since it is 0.05, it meets the requirement, and we can proceed with factor analysis on this study. From the efficacy test table above, we can say that the r-count of all instrument is greater than the r-table, so the instrument is either valid against the control class or can be used further in study.

 

Reliability Test

Reliability Test is used to determine the measurement results of a variable can be declared reliable or not. If it has a high level of reliability, it can be concluded that the measurement is reliable. In making decisions in this study, it was obtained by comparing the value of Cronbach's Alpha with 0.7. Then a decision can be made, namely:

A.    If r > 0.7, then the question or indicator used can be declared reliable.

B.     If r < 0.7, then the question or indicator used can be declared unreliable.

The smaller the alpha value, the more unreliable items. The standard used is alpha > 0.70 (sufficient reliability).

 

Cronbach’s Alpha

N of Items

.757

24

Table 3: Reliability statistic result

 

After testing the reliability in SPSS, as shown in the table above, the Cronbach's Alpha value obtained from 24 indicators is 0.757. It shows that the instrument variables being used in this study are reliable and consistent.

 

Factor Analysis

Factor Analysis result, data reduction is performed, including a filtering process of components that can be used as indicators to influence the analysis and design of CMS prototypes. The Result acquired on this observe after factor analysis using IMB SPSS version 26 software revealed his seven factors and indicators that the authors can use to answer the question described in this study. The following are the new factors and indicators formed from the results of the factor analysis of this study based on the results of the component matrix application SPSS version 26:

A.      The first factor (Sales Utilization) which consists of Business Structure/System, Competency, Service Quality.

B.       The second factor (Sales Customerization) which consists of several indicators, namely Regain, Expansion, Service Recovery.

C.       The third factor (Customer Requirements) which consists of several indicators, namely Consument Needs.

D.      The fourth factor (Technical Contribution) which consists of Network, Internet.

E.       The fifth factor (Quality of Customer Sharing) which consists of Loyalty, Identification, Integration

F.        The sixth factor (People Processing) which consists of Satisfaction, Interaction.

G.      The seventh factor (Marketing Utilization) which consists of Continutiy Markerting, Aquisition, Strategy Marketing.

 

Multiple Linear Regression Analysis

Regression analysis is a technique for examining the impact of an independent variable (X) on a dependent variable (Y) that has several independent variables (X). The independent variable is also referred to as the second variable, and the dependent variable is also referred to as the first variable.

 

Coelfficielntsa

Model

Unstandardized Coefficients

Standardized Coefficients

Sig

 

Beta

Std. Error

Beta

T

(Constant)

7.308

.060

 

121.477

.000

REGR factor Score 1 for analysis 1

.116

.060

.122

1.926

.055

REGR factor Score 2 for analysis 1

-.006

.060

-.006

-.098

.922

REGR factor Score 3 for analysis 1

.011

.060

.011

.179

.858

REGR factor Score 4 for analysis 1

.020

.060

.021

.338

.736

REGR factor Score 5 for analysis 1

-.015

.060

-.016

.247

.805

REGR factor Score 6 for analysis 1

-.063

.060

-.066

-1.050

.295

REGR factor Score 7 for analysis 1

-.063

.060

-.066

-1.043

.298

Table 4: Multiple Regression Test Analysis result

 

Y = a + b1X1 + b2X2 + b3X3 + b4X4 + b5X5 + b6X6 + b7X7

Y = 7.308 + 0,116X1 -0.06X2 + 0,011X3 + 0,020X4 - 0,015X5 - 0,063X6 + -0.63X7

 

α = 7,308. if all factors are 0, then the operational performance is 4.391. This result is significant at 5% alpha.

β1 = 0.116. In other words, if the Customer Relationship Management and Customer Relationship Management Process is implemented and its value is fixed (i.e., does not change), then every increase in Factor 1 of 1 unit will result in a 0.116 increase in the Customer Experience. This outcome is noteworthy at an alpha level of 5% of the t test results.

β2 = -0.006. This means that if Customer Relationship Management and Customer Relationship Management Process remain constant (unchanged), then every unit rise in Factor 2 will result in a -0.006 increase in the Company's Operational Performance. This outcome is noteworthy at an alpha level of 5% of the t test results.

β3 = 0.011. In other words, if the Customer Relationship Management and Customer Relationship Management Process is implemented and its value is fixed (i.e., does not change), then every increase in Factor 3, the unit will result in a 0.011 increase in the Customer Experience. This outcome is noteworthy at an alpha level of 5% of the t test results.

β4 = 0.020. In other words, if the Customer Relationship Management and Customer Relationship Management Process is implemented and its value is fixed (i.e., does not change), then every increase in Factor 4, the unit will result in a 0.020 increase in the Customer Experience. This outcome is noteworthy at an alpha level of 5% of the t test results.

β5 = -0.015. This means that if Customer Relationship Management and Customer Relationship Management Process remain constant (unchanged), then every unit rise in Factor 5 will result in a -0.015 increase in the Company's Operational Performance. This outcome is noteworthy at an alpha level of 5% of the t test results.

β6 = -0.063. This means that if Customer Relationship Management and Customer Relationship Management Process remain constant (unchanged), then every unit rise in Factor 6 will result in a -0.063 increase in the Company's Operational Performance. This outcome is noteworthy at an alpha level of 5% of the t test results.

β7 = -0.063. This means that if Customer Relationship Management and Customer Relationship Management Process remain constant (unchanged), then every unit rise in Factor 7 will result in a -0.063 increase in the Company's Operational Performance. This outcome is noteworthy at an alpha level of 5% of the t test results.

As a result of distributing the questionnaires, it was found that the value in terms of analysis in the planning of the Customer Evaluation was found with a value of 7.308, in which the value was in the form of a scale Very Good.

 

Conclusions

From the results of research on the evaluation of the implementation of the use of a Customer Relationship System for customer that using KPM by using factor analysis and regression involving as many as 253 respondents, researchers show that:

 

Seventh new factors were found that influenced of the Customer Experience at PT Bank XYZ, which is Sales Utilization, Sales Customerization, Customer Requirements, Technical Contribution, People Processing, Marketing Utilization. Each new factor found represents several indicators, namely,

A.    The first factor (Sales Utilization) which consists of Business Structure/System, Competency, Service Quality.

B.     The second factor (Sales Customerization) which consists of several indicators, namely Regain, Expansion, Service Recovery.

C.     The third factor (Customer Requirements) which consists of several indicators, namely Consument Needs.

D.    The fourth factor (Technical Contribution) which consists of Network, Internet.

E.     The fifth factor (Quality of Customer Sharing) which consists of Loyalty, Identification, Integration

F.      The sixth factor (People Processing) which consists of Satisfaction, Interaction.

G.    The seventh factor (Marketing Utilization) which consists of Continutiy Markerting, Aquisition, Strategy Marketing.

 

From the results of research on Customer Experience Evaluation on Implementation Kredit Pasti Mudah (KPM) Application at PT. Bank XYZ by using factor analysis and regression that involving 253 respondents, the model that describes the Customer Relationship Management System, in the KPM application at PT. Bank XYZ is as follows the resulting regression model is as follow, under ideal circumstances, the newly discovered positive component is boosted to the maximum value and the newly discovered negative factor is dropped to the smallest amount. The Strategy that we could implicate to the application practice is that we can reinforces the strength of the application from the result and decreasing its weakness. After testing the ideal conditions in the analysis of understanding the Customer Relationship System, a value of 8,565 is obtained which indicates a sufficient condition. This value of 8,565 falls into the Very Good category, tends to be perfect so that if in the future this CRM is implemented at PT. Bank XYZ, prospective customers already understand the usefulness of CRM so that it can be used to improve Customer Experience, especially customer in using the application when operating the application.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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