Banco PAN case

Digitalizing banking journey

As a Product Designer, I collaborated closely with a Designer Researcher to digitize a debt renegotiation process for Banco PAN. Through this implementation, it has been an increase in website usage, with the share rising from 14% to 20% within 3 months

Time frame

Jan to Mar 2019

Platform

Responsive Website

My role

UI and UX

Case summary

Banco PAN

Context

Banco PAN is a financial institution operating in Brazil that aims to offer personalized experiences to customers and boost financial inclusion in Brazil.

The bank, initially only physical, invested efforts in its digital transformation and as a result was the winner of the “best banking transformation in Latin America” category in 2021 in the annual edition of the “Euromoney Awards for Excellence”, one of the most important international awards in the banking sector.

Product vision

As a website that enables customers to negotiate their debts, access flexible payment options, and receive attractive offers that meet their financial capabilities, we aim to foster financial inclusion and help customers regain control of their finances.

User problem

Our customers who are already in debt are more concerned about payment terms than the usability and features of our site. They need to find a payment plan that fits their budget and doesn't overwhelm their finances.

Many customers apply for refinancing because they believe it's the only way to honor their commitment.

Before this project, we only offered refinancing through our physical advisory service and not through the website.

Outcomes

After the implementation of the new modality of online debt renegotiation, there was an increase in the participation of the Banco PAN website (Renegocie) about the consultants and the physical bank. In 3 months, the site's share increased from an average of 14% to 20%.

My role

As a product designer, I worked closely with a UX Researcher, Product Owner, Developers, Data Analysts, and the Design OPS team.
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I work on the discovery process, data analysis, sketching, prototyping, creating final screens, and copywriting.

Design process

01. Immersion

The UX researcher and I began by investigating the existing market tailored for users going through the debt refinancing process.

We visited our financial advisory and call center and conducted a mini-focus group. This data allowed us to gain a clearer understanding of the daily challenges faced by users in debt. We also discovered that the biggest reason for non-payment of debts was unemployment and income decrease, so they must prioritize which bill to pay first. This information provided us with a foundation to create user profiles for further research.

“Attendants who follow a script are something that irritates me, besides, I know my obligation and I don't need to talk to anyone, which is embarrassing. I go to the website to generate the ticket, pay and that’s it.”

02. Data survey

During user interviews and while reviewing numerous studies and questionnaires via email and Hotjar, we collected 3,500 customer responses from Brazil. Through this, we discovered that in most cases, users are motivated to pay off their debt, but the main barrier is an inappropriate amount or installment that does not align with the client's financial reality.

Therefore, there is a need for a solution that helps users reach an agreement that suits their financial situation.
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This led to the definition of 7 user archetypes elaborated by the UX Researcher based on behavioral manifestations and reason for non-payment and the mapping of their pain points, allowing us to tailor our design solutions. In summary, the users were:
the rascal, the honest, the unlucky, the loan collector, the out of control, the forgetful and the willful defaulter.

“There is a lack of debt installment options because if I failed to pay the installment, I will probably not be able to pay the full amount.”

"I prefer to negotiate directly with my creditors than with intermediaries because I think they would have more autonomy in the renegotiation."

Create ideas & prioritization

After analyzing the findings from our discovery research, the UX Researcher and I conducted a workshop with a cross-functional team consisting of the area of Engineering, Dunning, Marketing, CRM, and Business.

The purpose of the workshop was to collaboratively generate ideas. We prioritized 3 main pain points and formulated hypotheses on how to address them. These pain points encompassed the need for a closer relationship between the bank and the customer, installment options that align with the customer's budget, and increased flexibility in negotiating conditions.

The prototype

Based on the ideas of the workshop, I developed 2 prototypes for usability testing. One of the prototypes featured an approval bar, indicating the likelihood of an offer being accepted or declined, while the other prototype did not include this feature. The version with the approval bar received 90% more positive feedback as it provided greater user control and reduced error feedback, making it the preferred choice, so we keep with it.

Prototype testing

The results

After conducting UX research and user testing validations, the UX researcher and I identified a list of changes that I implemented and integrated into the prototype.

Upon launching the new functionality, we observed an increase in the website's market share concerning the collection agency and physical bank. Over 3 months, the average participation rate surged from 14% to 20%, indicating a positive reception.
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Furthermore, we witnessed significant improvements in user engagement among those with debts up to 180 days. However, we acknowledged that our solution was less effective for users with debt durations exceeding 360 days. To gain a deeper understanding of their hesitation in accepting the proposal, we plan to conduct further research and delve into their specific needs and preferences.