No longer regarding the running of customer care centers (CCCs) solely as a necessary cost of doing business, executives are becoming savvy to CCCs’ previously untapped potential to boost revenue while broadening and strengthening customer relationships. As a result, spending on CCCs is on the rise, with global technology spending expected to grow at more than 7 percent per year, from US$3.6 billion in 2003 to US$5.1 billion in 2008. But, so far anyway, the results of this newfound focus have been weak, especially for financial services firms. Despite comprising nearly 23 percent of the U.S. CCC market, behind only telecommunications and technology (25 percent) and retail and manufacturing (27 percent), the efficiency and effectiveness performance of financial services firms' CCCs has lagged that of most other industries. Even the efforts of firms that have launched new and innovative initiatives have been hampered by their inability to achieve more than one of the three key value creation objectives—reducing costs, increasing revenue or retaining customers. Despite firms’ investments in performance improvement, lack of an integrated approach to value creation often prevents initiatives from providing the desired strategic results. To read the full report or an executive summary version, download a PDF file at the top of this page. | 
