By: Tom Gandre, EVP, Chief Operating Officer, PSCU

Financial Institutions (FIs) are challenged more than ever with increased competition and changing market dynamics. To remain competitive and meet consumer expectations, they need powerful tools to understand and anticipate the motivations of their cardholders. More and more we’re seeing greater personalized experiences by fintechs, Amazon and other big technology players. As consumers continue to receive that type of service in the market, it sets their expectations for the future.

Our organization has realized the need to create strong capabilities around reporting and file delivery. We know that FIs are looking for real-time, up-to-date information to manage their portfolios and drive operational efficiencies. Starting last year, we’ve put a greater focus on predictive analytics, so our clients can proactively connect with consumers on a personalized basis and better understand their behaviors and preferences.

Over the next few years, we’re accelerating our efforts to leverage the vast amount of data we collect, including payments data, household information, data from our various channels such as digital banking, mobile apps and contact centers, to create an omni-channel marketing and service experience. In fact, we launched two services around growth and attrition using our predictive analytics technology to help FIs identify accountholders that may be attriting from their services and use offers and incentives to bring them back to their credit card.

Leveraging Data to Create a More Personalized Customer Experience

In thinking about the evolution of your cardholder’s journey and overall service experience, consider the following questions:

  • Wouldn’t you like to know that when a cardholder calls in to your contact center that the contact center rep already knows they haven’t activated their card, and can offer that assistance to the caller while they’re on the phone?
  • Through using predictive analytics, wouldn’t you like to see if a cardholder may attrite from your credit card, and have your contact center rep offer them a promotion to reengage with your payments offering?
  • Wouldn’t you like to send a personalized message to a cardholder’s mobile app whey they purchase an airline ticket and ask them if they would like you to put a travel notification in their file?

Personalized experiences, combined with proactive communication, are what customers will be expecting from their FI going forward.

Delivering a Multi-layered Approach to Fraud Prevention

In an increasingly cashless society, digital fraud is on the rise and consumers want assurance that their transactions are secure. At Primax, we use leading technologies and a multi-layered approach to protect cardholders from fraud and FIs from fraud losses.

About four years ago, we identified a shift in fraud behavior, with many major compromises out in the marketplace where fraudsters were able to get a hold of very sensitive consumer information. We saw them target FI channels like the contact center, rewards platforms and digital tools, and attempting to perpetrate fraud across those channels. The threat was expanding to more than just card fraud, so we partnered with a leading artificial intelligence (AI) organization to create a solution called Linked Analysis, which searches for fraud throughout all of our digital experiences, rewards platforms and our contact center.

Over the past year, we’ve been able to stop around $60 million of fraud that was perpetrated in those channels. During the COVID-19 pandemic, fraud has shifted even more from physical purchases to card-not-present, including in-app purchases and online orders. As a result, we’ve  seen a lot more disputes and chargebacks tied with those type of purchases. We recently partnered with merchants to be able to increase the ability to recover losses based on those disputes and chargebacks, and in 2020 we were able to recover about $6 million more than we would have if we didn’t leverage those partnerships.

Creating a Seamless Experience in the New World

Overall, it’s really about enabling the cardholder to make a purchase. Whether they purchase something online or in person, they want to know that their card will work, their transaction is secure and they can get the immediate service they need. Solutions targeted to maximize approval rates within the network are an essential part of the customer experience.

Tom Gandre has served as PSCU’s chief operating officer since 2008. In this role, he leads the strategic direction of PSCU’s operations, including oversight of the company’s Information Technology, Product Development, Innovation, Fraud, Collections and Contact Center functions.

With over 25 years in the payments industry, Gandre has built a solid reputation for results-driven leadership and a commitment to integrity and talent development. He has a keen ability to recognize market trends and opportunities in service delivery and technology, creating a shared vision that delivers success for both PSCU and our clients.