How Photobox Group Began Saving £75,000 - £100,000 Per Year — Just By Using Moxie Concierge On One Limited Brand

Photobox

Photobox has grown to become the European market-leader in photo-based products serving millions of customers in over ten markets.

The Challenge

Photobox Group was challenged by expensive customer guidance and intense peak periods. They targeted chat deflection on one of their brands, Hofman — popular for custom photo albums in Spain. Their chosen tool: Moxie Concierge.

Within three months, the team calculated a quick ROI without adding headcount. Now they’re ready to scale that success worldwide.

Above-Average Customer Support Needs

Imagine this in your industry: High customer support needs well into the double-digits. Think 10-20 contacts for every 100 orders.

And add on top of that peak periods with 800% growth.

Plus, those orders are the opposite of impulse buying — they can take 6 months of support to come to fruition.

This was business as usual for Photobox Group. Their personalised photo books are designed for customers to create 100% online. But the nature of self-service for that type of product requires way above-average support.

Mike Massimi, Director of Customer Experience for Photobox Group, explains:

“We have to make sure that it’s easy to use: That it’s actually frictionless, intuitive and personalised for the journey…But at the same time it’s extremely costly.”

Challenging Peak Periods

High support contact wasn’t all. Peak periods multiplied that number. Photobox Group endures a staggering 600-800% growth over the holidays:

“That peak is a real problem for us. For Moonpig, it’s three days at Valentine’s. For Photobox & Hofmann, it’s at Christmas, and it’s challenging.”

How could they maintain the necessary high level of customer service? Not only throughout the year, but during those periods, where it counts most?

“I was really impressed— personally— by how easy (Moxie Concierge) was to integrate, and how quickly we could actually demonstrate the return on investment to the business. We are deflecting between £75,000 - £100,000 (~$93,500 - $125,000 USD) a year just by implementing Moxie. Just from a pure cost saving standpoint.” - Mike Massimi, Customer Experience Director for Photobox Group / Hofmann

Solution

Setting a Target

Mike and Photobox Group had to ask themselves, “What do we want?” Their answer: “Reduce costs, improve efficiency, push conversions, and have a better user experience.”

But priority number one was always reducing costly customer support. Mike recalls sitting down with the Moxie team at the start:

“The first idea we would reiterate to the Moxie team was, ‘We know most of your customers are keen on having a better conversion or better transition. That’s not why we are currently engaging with you, for the moment.’

The proof of concept was to help us to be more efficient in customer service and to deflect contact. So basically to reduce the support function cost.”

Part of their strategy: stay focused on their Hofmann brand — limited to one country and language — then scale.

Helping During Those Challenging Periods

Their strategy during peak periods was simple: filter. Only important and specific questions would get through to the customer service team.

Contacts that don’t bring much value — or can’t be fixed during the user journey — are deflected.

Moxie Concierge was key. It helped push low-value contacts towards YouTube video tutorials. And it worked: some of those videos stand at over 10,000 views.

“Every single or basic question could be handled and managed by Moxie.”

Quick Fix for a Technical Issue

One of their first wins with Moxie Concierge was soon after rolling out during Christmas time.

There was a known technical issue for Mac users in the creation studio. So, Mike and his team used Moxie to identify anyone upfront with an iOS device. Then they’d prompt a message to redirect them towards the online platform — instead of the iOS software platform.

Seamless Mobile Experience

Mobile is super important to Photobox. Because, like most businesses, it’s their fastest device. But also like most businesses, it has the most competitors, and different types of customer behaviour.

That wasn’t a concern using Moxie Concierge. Mike didn’t need to recreate the experience for mobile:

“The great thing with Moxie is the whole concept is mobile responsive. So it doesn’t matter if you’re on tablet, mobile, online. It works. It’s seamless.”

Results

Successful Proof of Concept & Quick ROI

“I was really impressed — personally — by how easy it was to integrate, and how quickly we could actually demonstrate the return on investment to the business.”, mentions Mike.

Photobox Group is big on data. They know the cost per contact, the cost versus revenue, the cost based on average order value. Everything. They can say with confidence that every single contact, through any method, costs them roughly £4 – £5 ($5 -$6.25 USD) each.

After Christmas 2018, Photobox rolled out Moxie Concierge to the entire Hofmann site. By early 2019, they saw a 7% reduction. That’s 15,000 less contacts per year.

Photobox did the math. And Mike reveals what that means for them:

“We are deflecting between £75,000 – £100,000 (~$93,500 – $125,000 USD) a year just by implementing Moxie. Just from a pure cost saving standpoint.”

Even better: They did it all without adding to headcount. Plus, smooth customer experience added a 2% order increase.

Here’s the best part for Mike and his team: Using Moxie Concierge, the CX team was able to set up guidance themselves. No relying on IT or any other department.

~£100,000

Yearly savings

2%

Order increase

7%

Reduction in contacts

15,000

Decrease in contacts

Future

Scaling & Revenue Potential

With Hofmann’s success, Mike and Photobox Group are ready to scale to the rest of Photobox: 31 million orders per year across Europe and worldwide. All customised. All unique.

They also see opportunities for upsell and revenue generation:

“When we presented Moxie to the rest of the group, it triggered lots of ideas regarding other areas of the journey we could improve.”

See firsthand how Moxie can drive sales and boost loyalty.

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