Why Quality Services Are the Key to Customer Loyalty
By: Hebé Lugo Nazario
A recent study estimates that 73% of governments in Latin America and the Caribbean have a digital government strategy. However, many citizens still struggle to find solutions to simple problems through these digital channels.
At the same time, trust remains low. According to the same study, 64% of Latin American citizens do not trust their national governments. Much of this distrust stems from poor communication between institutions and the people they serve.
We need to analyze how end users behave and understand their needs when communicating with government agencies,” explains Hebé Lugo, CEO of Strategic Minds, a consulting firm specializing in omnichannel services. “This analysis—known as a citizen journey—allows us to create a holistic solution that improves the user experience.»
An omnichannel system can bridge the gap between citizens and public institutions. This approach has replaced the outdated call center model and even the concept of multichannel service. Omnichannel systems integrate multiple communication channels into a unified experience, improving efficiency and building trust.
The Problem with Traditional Call Centers
Traditional call centers rely solely on phone-based communication. This creates significant limitations for both institutions and citizens.
Disadvantages of a Call Center:
- Long wait times frustrate customers.
- Communication is limited to a single channel.
- High costs for implementation and maintenance.
- Outsourcing adds costs without improving service quality.
Modern consumers expect flexible and immediate service. As a result, the traditional call center model is no longer enough.
How Omnichannel Improves Government Services
“The strength of an omnichannel system lies in the quality of its people,” explains Azalea García, human resources specialist at Strategic Minds. “Our team’s technical expertise allows us to tailor services to customer expectations.”
An omnichannel system allows a citizen to book a medical appointment online, confirm it through chat, and receive updates via a mobile app. These channels work together to create a seamless and connected experience.
Example of a Successful Implementation:
Eduardo Serra, Head of IT at Strategic Minds, helped transform the call center operations of the Mayor’s Office of Panama. This project reduced call waiting times by 40%, enabled the collection of $37 million in vehicle taxes, and improved overall customer service.
“Successful implementation requires working closely with the client,” says Serra. “It’s essential to collaborate because this is a flexible system with multiple solution options.”
Why Citizens Resist Digital Services
A 2017 study by the National Institute of Public Administration (INAP) in Spain revealed that citizens were slow to adopt digital platforms. Despite high expectations, adoption rates remained low.
Many citizens continue to visit government offices for services that they could access online. For example, a national bank may offer online and phone-based services, but citizens still form long lines to perform simple transactions.
Challenges of Government Omnichannel Services
In 2019, McKinsey published a study on the performance of digital service systems in government. The results were not encouraging. Countries such as France, Germany, Canada, the United Kingdom, the United States, and Mexico all performed below satisfaction levels reported by private sector services.
Key Challenges Identified by McKinsey:
- Monopolistic Mindset: Government agencies often act as if citizens have no alternative. This reduces motivation to improve services.
- Lack of Personalization: Private companies adjust services based on customer behavior. Governments tend to offer standardized, impersonal experiences.
- Slow Response Times: Government agencies are often slow to respond to complaints and requests.
- Data Silos: Customer data is frequently stored in isolated systems. This prevents agencies from understanding the full scope of customer needs.
In a networked era, public dissatisfaction spreads quickly. A dissatisfied customer is twice as likely to share their experience online or call a complaint line, creating further strain on resources.
How to Overcome Resistance to Digital Services
Big data breaches, identity theft, and online scams have increased citizen skepticism toward digital platforms. Overcoming this resistance requires a secure and trustworthy system.
Many citizens also suffer from Status Quo Bias (SQB)—the tendency to stick with familiar systems even when better options are available. For example, a housewife may feel uncomfortable using a laptop but communicates easily through WhatsApp. In this case, a government agency could integrate WhatsApp messaging into its service model to meet the user where they are.
“The goal is to simplify customer processes,” says José Méndez, head of training at Strategic Minds. “Having a well-trained and empowered team is critical. Our team focuses on aligning the vision and goals of our clients with their service model.
The Future of Government Services
In 2014, IBM estimated that 83% of consumers would manage relationships with businesses without human interaction by now. While the private sector has adapted quickly, government agencies have lagged behind.
Omnichannel systems allow agencies to improve efficiency and meet citizen expectations. They also encourage competition between institutions, motivating better service delivery.
“Successful omnichannel implementation reflects the vision of the agency,” adds Méndez. “It aligns with organizational goals and delivers measurable results.”
