Demonstrating the Unique Strengths of a Regional Bank through LINE — How Joyo Bank Is Optimizing New Customer Touchpoints
Disclaimer: This is a literal translation faithful to the original Japanese article. The official version is the Japanese article published on Capex’s website: 常陽銀行のPickUp活用事例（公式版・日本語）
Interview Profile
Tomohide Ichikawa, Deputy Manager, Planning Group, Direct Sales Department, Joyo Bank
Yumi Urai, Chief Research Officer, Planning Group, Direct Sales Department, Joyo Bank
Taisuke Obara, Research Officer, Planning Group, Direct Sales Department, Joyo Bank
Challenges
▪️ Web advertising initiatives that failed to fully maximize cost-effectiveness
Even when we increased traffic to our site through SEO and advertisements, 80–90% of users dropped off before completing an application, making it difficult to maximize ROI.
▪️ Limitations in responding to a cookie-less environment
Traditional measures such as retargeting ads using cookies were becoming difficult to utilize under the increasingly strict cookie regulations.
Solutions
▪️ Introduction of PickUp and use of LINE
Immediately “after leaving the landing page,” customers are connected to LINE and messages are delivered. According to the characteristics of each product, loan-related products used messages that encouraged immediate action, while asset management products such as NISA provided phased information to gradually increase interest.
▪️ Flexible scenario design and monthly improvements
Distribution scenarios were designed based on seasonal initiatives and campaigns, and improvements were repeatedly made each month based on performance reports, continuously implementing the PDCA cycle.
Results
▪️ Increase of 100–150 applications per month (card loans)
Clear results appeared from the initial stage of introduction, leading to expansion to other products.
▪️ Steady accumulation of applications through spot delivery at the right timing
Creation of cases where 3–5 additional acquisitions per day were achieved.
▪️ Establishment of continuous nurturing through LINE
Even for products that are “not easily decided immediately,” such as NISA, the bank succeeded in having casual and continuous contact via LINE.
“Even if we attract many users with ads, 80–90% drop off before application.”This was the concern faced by Joyo Bank, which provides financial services rooted in the local community, mainly in Ibaraki Prefecture.
In recent years, as the importance of non-face-to-face channels has increased, the bank was able to secure inflows through web advertising and SEO measures. However, the majority of cases did not reach completion of applications.
As a new measure to address this challenge, the customer communication solution “PickUp,” which utilizes LINE, was introduced.
The decisive factor in adoption was the ability to naturally approach users “immediately after they leave” through LINE, a channel integrated into daily life. The trial started in the loan field, and based on solid results, expansion to the asset management field such as NISA is now underway.
In this article, we interviewed the Joyo Bank staff who actually introduced and operated PickUp about the background of its introduction, specific results, and future prospects. This interview is filled with hints on how to strengthen non-face-to-face customer contact and lead it to results.
Making Value Delivery in Non-Face-to-Face Channels More Reliable
— Thank you for your time today. First, please tell us about your departments and responsibilities.
Ichikawa: Our Planning Group is responsible for proposing various products and services to customers through non-face-to-face channels without going through branches. Specifically, it is an organization that focuses on marketing activities via web, DM, apps, etc., and on planning and operations to lead to applications and contracts.
As the manager of the group, I oversee the entire range of non-face-to-face initiatives and am involved in strategy design for each channel, including online advertising.
In fact, I was the first person to consider your solution, and now Obara and Urai have taken over the on-site operation. At our bank, improving the dropout rate has always been positioned as an important theme, even before the introduction of PickUp. Among the various methods we tried, your service felt the most promising.
Urai: I mainly handle non-face-to-face measures in the asset management field. Specifically, NISA and investment trusts, which require relatively long-term nurturing.
We began full-scale efforts to strengthen non-face-to-face channels in the asset management field about two years ago. Until then, asset management = direct face-to-face proposals with customers was the mainstream. However, considering changes in customer needs, we have gradually been developing ways to build trust with customers over time using LINE and other tools.
Obara: I am in charge of promoting digital measures in the loan field, such as card loans, auto loans, and education loans. I mainly handle advertising and digital measures using LINE.
I joined mid-career, and in my previous job I worked at an advertising agency supporting digital marketing for financial institutions. I am always conscious of creating application flows that are stress-free for customers while increasing the precision of marketing measures.
Starting Point: “What a Waste”
— What challenges did you feel before introducing PickUp?
Ichikawa: There were two major issues. First, in order to acquire new customers, we continuously deployed online advertisements using platforms such as Google and Yahoo! However, even when customers came to the product/service page through the ads, only a small number actually completed applications. We were constantly troubled with whether the cost-effectiveness matched the cost, and how to prevent dropouts.
— Was there a lot of dropout?
Ichikawa: Yes, very much. Even when people visited the site through web ads or SEO measures, only a few ultimately proceeded to application, and in reality, 80–90% of users dropped out midway. This is a trend across the entire industry, but every time I saw those numbers, I felt it was a waste.
In the field of online advertising, we had implemented retargeting using cookies and various dropout prevention measures. For example, using web customer service tools to display pop-ups, optimizing input forms, and so on—we carried out all the basic measures. But even so, a certain number still left.
Therefore, as measures to chase after users after leaving, we used approaches such as email distribution and retargeting ads. However, recently, due to the impact of being cookie-less, the challenge arose that we could not fully follow up as we had hoped.
— I see. What was the second challenge?
Ichikawa: The second challenge was approaching customers who already have accounts with Joyo Bank. Currently, we have over two million active personal accounts. Despite this large customer base, I felt we were still not making enough approaches through digital channels.
It is easy to focus on external advertising and acquisition measures, but fundamentally, we should deliver services more carefully and at the right time to customers who already have accounts.
By utilizing internal PR channels rather than external ones, we can also expect to reduce advertising costs and ultimately provide proposals that lead to higher satisfaction. Balancing the strengthening of external inflows and the effective use of customer data was a major theme for us.
Seeing the “Meaning of Introduction” in Both Numbers and System
— Please tell us about the introduction process of PickUp.
Ichikawa: Retargeting ads for re-approaching users after leaving had already produced some results. However, there are also users who revisit not through ads. So we started to consider what would be the most effective way to re-approach users who left and did not revisit, and how to lead them again to applications. At that time, we placed great importance on whether it could really deliver results worth the cost.
While comparing with other services, we carefully examined cost-effectiveness and decided to introduce PickUp first as an initial trial for test marketing. In addition to seeing improvements in numbers, what was even better was the support system.
Monthly performance reports were submitted, and based on improvement proposals, scenarios and creatives were adjusted. It was not just “launch and leave,” but a system where they accompanied us in operation, which was a great reassurance.
We first started with two products: card loans and free loans. From there, we considered introducing it to auto loans, education loans, and the asset management field such as NISA. Since these were the areas we had been particularly focusing on in recent years, the timing was very good.
After all, bank products are not always familiar to users. The moment they feel “this seems difficult” or “hard to understand,” they drop out. That is why I felt we needed a mechanism to properly deliver information through our own channels.
The Results of Card Loans Encouraged the Next Step
— Please tell us why you expanded to auto loans and NISA.
Obara: First of all, the results in card loans were very good. After introduction, we saw a stable increase of 100–150 acquisitions per month on average. There are slight fluctuations depending on the season, but the results were encouraging.
Because of this stability, we were able to think, “Let’s try the next one.” Since education loans are strongly affected by seasonality, we chose auto loans first.
The purchase of a car takes some time from consideration to actual contract. Therefore, nurturing becomes important. PickUp has marketing automation-like features, so even with a certain lead time, it allows us to maintain regular communication. At the timing when users decide on the purchase and start considering funds, we can approach them with “Before you go to a dealer loan, remember our loan.” I felt a great attraction at this point.
From “I Don’t Have to Do It Now” to “I Realized I Had Started”
— How about expansion to NISA?
Urai: Asset management products such as NISA are not products that users “need immediately.” Unlike loans, there is no clear motivation like “I need money for a purpose, so I will borrow.” Therefore, I think the importance of nurturing to build relationships over time increases.
Around the time good results for auto loans through PickUp were appearing, the new NISA system was starting. It was the timing when we were trying to enhance non-face-to-face communication in the asset management field as well. Until then, asset management was mainly “guided at the counter,” but we thought we could realize similar guidance digitally and decided to introduce PickUp.
As a future development, if we can build a relationship where users feel “It’s easy and safe to consult through LINE,” it will naturally become an opportunity to start NISA.
Design Philosophy by Product Determines Results
— So the operation method changes depending on the product?
Ichikawa: Yes, exactly. For example, in loan-type products, needs are clear. “I need money now,” “I want to buy a car, so I want a loan”—these explicit needs are the premise. Therefore, speed is important. We emphasize approaching while user interest is still high.
On the other hand, in asset management products like NISA, the story changes. It is more about “I feel like trying it, but it doesn’t have to be right now.” The key is how to nurture such latent needs.
For products with such different backgrounds, PickUp has high flexibility in design, so I feel it is very compatible.
Behind the Success: “Flexible Design” and “Steady Improvements”
— After actually operating it, what aspects of PickUp do you find attractive?
Obara: Since I took charge of operations, I have been working from two main perspectives. The first is the combination of regular nurturing measures and spot measures. PickUp’s basic design has a mechanism for nurturing delivery after LINE registration, but in addition we have actively incorporated spot measures.
For example, in line with seasonal campaigns and short-term promotions, we built scenarios for spot distribution while interacting with Capex each time. Then, compared to usual, applications increased by 3–5 per day, sometimes nearly 10.
I felt that these measures aligned with monthly “key timing” certainly led to results, and by fully utilizing both regular distribution + spot measures, we were able to boost conversions.
— Spot measures must be rewarding because results are easy to see. What is the second point?
Obara: The second is the redesign of popup display criteria. This may sound a bit detailed, but it is very important because it directly affects user experience.
For example, on card loan pages, we use other chatbot tools and web customer service tools’ popups in parallel. Among them, we carefully adjusted with Capex so that PickUp popups would not become “pushy” to users.
We finely set display timing, frequency, seconds, etc., and searched for the delicate conditions of “prompting responses appropriately without causing discomfort.” As a result, interference with other measures and newsletters was minimized, and results were properly achieved as numbers.
— So detailed tuning on the operational site is leading to results.
Obara: Yes, exactly. I realized once again that not just introducing the system, but customizing it considering actual site structure and balance with other measures produces better results.
Urai: What Obara mentioned also applies a lot to NISA. In addition, what I especially feel is the “ease of blending into everyday life” of the LINE channel. LINE is a tool that everyone uses every day as a matter of course. I feel it is very attractive to be able to communicate naturally with customers in such an everyday place.
For example, in NISA, we sometimes explain “dollar-cost averaging” in newsletters. Of course, newsletters have the advantage of sending a relatively large amount of information at once, but with LINE we can combine carousels and split messages, so I feel it can be conveyed more visually and softly. It even seems suitable for explaining complex contents.
Of course, that is only my feeling. Going forward, I would like to consider what is the best way to use it by looking at actual user reactions and numerical feedback.
— Certainly, for products like NISA, which are “not necessary now but important in the future,” understandability seems key.
Urai: Exactly. LINE is more casual than email, and the open rate is higher. It naturally enters everyday life. That is why I would like to design it so that when people open it when they are a little interested, they feel “I kind of understood.” Going forward, I would like to work on such content aspects together with your company.
Next Development: “Deepening” and “Personalization”
— Please tell us about future development.
Ichikawa: Over the past two years, we have finally established one or two annual seasonal cycles. We now have a certain model for both regular appeals and seasonal initiatives. From now on, I think it is the phase to firmly run PDCA on that operation. By improving further, we hope to lead to higher conversions.
Also, since it has not been long since we started working in the asset management field, we have so far focused on NISA. Going forward, in addition to that, we would like to be conscious of delivering “the next step” to existing Joyo Bank customers. For example, I think products like housing loans could be an interesting angle.
Obara: My position is to see PickUp as “one of many communication channels.” In other words, one means of nurturing. What we are working on behind the scenes now is to incorporate NISA and card loan distributions not as individual PickUp measures, but as one channel within the entire customer journey. In that context, we would like to evolve Capex’s communication channel into something more precise.
Specifically, we want to make the design more personalized. Of course, definitions such as “where to segment” are necessary, but by digging deeper and designing there, I think we can create “just right” contact points for each customer.
Finally: A Message to Companies Considering PickUp
— What industries/products do you feel such solutions as PickUp are most compatible with?
Ichikawa: I think it is particularly suitable for products with low purchase frequency but high importance of consideration. For example, housing loans, insurance, real estate. Because they are once or only every few years, users want to carefully gather information. But it is a waste if the contact is lost during that period. At such times, I feel a “natural communication design” like PickUp is very effective.
Urai: Asset management products like NISA are exactly that. There are actually many users who feel, “Not right now, but maybe someday.” I feel this approach is very versatile in terms of supporting such “still considering but have not taken a step” layers. For products that are not decided immediately but take time, I think it can function sufficiently in any industry.
Obara: What I feel is particularly compatible are products where timing of consideration is difficult to predict. For example, products like auto loans and card loans vary greatly depending on the person. Some need it immediately, some months later, or suddenly due to unexpected expenses.
For such products, channels close to everyday life like LINE are very effective. By delivering information quietly and regularly, customers can “remember suddenly.” Communication that remains in the corner of their mind as a “never forgotten presence.” LINE, being stock-type and less stressful for users even though it is push-type, is optimal for creating touchpoints.
— So even seemingly simple products like card loans have room for ingenuity?
Obara: For example, card loans may seem simple in terms of “borrowing money,” but the underlying needs are very diverse. Some people lack travel expenses, some need living expenses temporarily, some need to respond to sudden expenses. Timing and reasons for use vary.
In that sense, I feel LINE, which allows “one-to-one communication on SNS,” is very compatible, because it enables personalized approaches to such detailed needs. Even if it looks like one product on the surface, designing to address diverse reasons and motivations behind it will become increasingly important.
— Finally, if you were to express PickUp in one word?
Ichikawa: “Prevention of dropout.” It is exactly a mechanism to firmly approach users who visited the homepage with interest but left without leading to conversion.
Obara: For me, “Don’t let them get away.” I think it is a weapon to avoid wasting users who came to us.
Urai: For me, “Under pursuit” (laughs). While keeping distance from users, we can continue to be an unforgettable presence. I feel we are realizing that through the LINE channel.
— Mr. Ichikawa, Ms. Urai, Mr. Obara, thank you very much for your valuable stories today.
Capex will continue to introduce customer case studies in the future. Please take a look at other interview articles as well.