Driving Virginians to Convenient Cost-saving Service Channels myDMV Driving Virginians to Convenient Cost-saving Service Channels Slide 1 – Title slide The Virginia DMV has always recognized that it is important to meet our customer needs, whenever possible, by providing service that is convenient and easy to accomplish.

Service Goals Provide service in a time, place and manner most convenient for customers Offer incentives for customers who would normally opt for in-person service to take advantage of lower-cost service channels www.dmvNOW.com Automated telephone Mail DMV Select partners Slide 2 - Service Goals Our philosophy is to provide service in a time, place and manner convenient for customers. And recently, more and more customers are turning to automated self-service channels as their preferred method of interacting with service providers—including government agencies. One of DMV’s service partners are the organizations who are a part of the DMV Select program. A DMV Select partner can be a private entity or a local government that conduct “select” DMV transactions for a fee. This fee is a percentage of the revenue generated by conducting these transactions. For those who haven’t yet found the Internet or are unsure of its reliability, we offer an array of services through other channels and actively encourage their use rather than visiting one of DMV’s 74 Customer Service Centers.

www.dmvNOW.com Offers 29 transactions Over 3.5 million transactions conducted in FFY 2010 Site traffic tops 1.3 billion hits annually Slide 3 – www.dmvNOW.com Our website, dmvNOW.com, offers 29 transactions including vehicle registration and driver’s license renewals, address changes, records requests, compliance transactions, and more. In 2010, over 3.5 million transactions were completed online. Overall site traffic appears up slightly with am estimated1.3 billion hits total.

Costs Per Channel Vehicle renewal transaction cost comparison In person $8.32 DMV Select $6.19 Mail $3.72 Internet/Phone $3.53 Slide 4 – Costs Per Channel Our focus has always been looking at how we can increase the numbers of customers who use these services known as ‘alternative services’ as they are lower cost service outlets. For example: DMV Vehicle Renewal Costs: CSC $8.32 Select $6.19 Mail in $3.72 Internet/Touchtone $3.53 These are the costs to DMV only.

Recent Enhancements PIN process – instant issuance vs. mail Online Phone In-person Customers create myDMV accounts Slide 5 – Recent Enhancements We turned to the employees in our service outlets and asked them what customers are saying about using the internet and touchtone services. What could we improve? The number one thing that our customers were telling our service providers was that it was difficult to get a PIN and perform the desired transaction. Customers had to request a PIN and then wait for it to be mailed to them.   Before August of 2010, it typically took 3 to 5 days to receive a PIN in the mail when it was requested by the Internet or touchtone phone. It cost DMV 54 cents to mail the PIN to the customer. The result of this process was that customers were calling our contact center wondering when the PIN would arrive or worse, the customer decided it was easier just to drive to the Customer Service Center to complete the transaction. With the new process, customers can request and receive their PIN immediately when using the Internet. Customers will log in, provide their customer number and date of birth. They are asked security questions based on their DMV record. Additionally, they are asked to answer questions that become ‘challenge’ questions for the customer in case they forget their PIN. They really are establishing their My DMV Account. Another feature of the new PIN process is that callers to DMV Direct Contact Center can be provided a PIN right over the telephone. DMV Direct agents ask security questions of the customer to establish identity before providing the caller with information on a daily basis. Once this process is completed with the caller, the DMV Direct agent has the opportunity to talk about the available services that can be performed online as well as our touchtone system and provide that PIN so the customer may self serve the next time they need a DMV service. Customers who visit the CSC are offered a PIN as well. Employees of the Customer Service Centers provide information to the customer about the transactions that can be performed online with the PIN.

Recent Success Between August 2010 and July 1, 2011, over 670,000 PINS issued via website and automated telephone services As a result of not mailing PINs: cost savings more than $361,000 93 percent of new PIN customers used PIN for online transaction the same day. web transactions up 82 percent over last year Slide 6 – Recent Success From this project’s implementation in August 2010 through July of this year, 670,682 PINs have been issued to customers online and via the touchtone phone system. This has saved the agency $361,000 in mailing costs alone. Additionally, of the 670,000 PINS issued to customers, 93% were used to perform a transaction on that same day!  

E-notifications Customers opt to receive vehicle registration renewal notices electronically Email Phone (voice or text) Opportunity to reach customers multiple times at no additional cost Potential to increase on-time renewals Slide 7 – E-notifications Implemented in August of 2010, was the option to receive vehicle notifications by electronic means rather than U. S. mail. Initially, customers could opt to receive vehicle renewal notifications by email or by automated telephone call. Later we began offering vehicle renewal notices by text messaging. Customers can request electronic notifications by calling our DMV Direct Contact Center or by accessing the Internet and logging into MyDMV using their PIN.   The DMV Direct call center employees have been key in “selling” the new features of the Internet and touchtone phone system, especially the electronic notifications. The employees are service providers who specialize in giving options to about 6,000 customers a day. So what better way to assist a customer who did not receive their renewal notices in the mail than to suggest an electronic method of notification? The ability for customers to create a My DMV account on the Internet also has provided customers the capability to request electronic notification using their PIN. Once authenticated by using their PIN online, the customer can request electronic notification or change their electronic notification method. Customers who receive electronic notifications are then reminded at multiple intervals that they need to renew the vehicle registration. The notification directs the customer to logon at dmvNOW.com to renew their registration.

E-notifications Between August 2010 and July 1, 2011, over 500,000 customers opted for e-notices As a result of not mailing renewal notices, DMV realized savings of more than $295,000 Began license renewal e-notices July 1, 2011 Slide 8 – E-notifications (continued) Since implementation until July 1, 2011, over 500,000 customers (half a million) have signed up for e-notifications for vehicle registration renewals by email, phone or text. At 59 cents per renewal to mail, this process has saved Virginia $295,000. Email Notification: 91% Phone Notification: 6% Text Notification: 3% On July 1, we began sending license renewal notices electronically to individuals who have already opted for e-notices.

Influencing Customers Employee engagement and “suggestive selling” Discounts for online and multiple year vehicle renewals $5 service fee for renewals conducted in-person that could have been done alternatively In-person vehicle renewals down 50 percent Internet vehicle renewals up 82 percent Slide 9 – Influencing Customers How do we get customers to use our new electronic features so that the agency can benefit from the savings of these alternative services? We have several strategies.   Employees – We trained our employees on the benefits of using the new PIN and e-notifications for customers. Each employee was encouraged to sign up for e-notifications, too. The thought was that if the employees felt comfortable with the process and understood how it worked, they were more likely to tell the customers about it. Better yet, maybe they will go home and tell family and friends as well. Incentives to Use Alternate Renewals – Customer get a discount if they renew their vehicle registration by electronic means. Customers can save $4 if they renew their vehicle for 3 years. The discount would be $1for renewing on line, then an additional savings of $2 or $3 dollars for renewing 2 or 3 years. Service Fees for Renewing in a Customer Service Center – Customers may renew their registration or driver’s license in person at a Customer Service Center, however, if they could have renewed by an alternative method, there will be a $5 service fee in addition to the renewal fee. Customers are notified on the renewal notice that an in-person renewal will require the additional service fee. Vehicle renewal transactions have been cut in half since the $5 fee was implemented. Despite this decline, DMV generated $4,539,410 million in revenue from the $5 fee this past fiscal year. DMV does more internet vehicle renewals than all of the 130 in-person locations combined. We feel the same success will be realized with the Driver License Service Fees that were implemented on July 1, 2011

More Web Enhancements Tracking of license delivery status Requires PIN Sets realistic customer expectations Road test appointment scheduling Address verification software To reduce returned mail Anticipate decreased costs from mailing one item multiple times Mobile app development Slide 10 – More Web Enhancements What’s new and what’s next for DMV’s Customers:   DMV’s customers can now track the progress of the delivery of their driver’s license or ID card. With your MyDMV account established, you can visit DMVNow.com and key in your customer number and PIN. The customer can see the progress of the driver license or ID card they have requested. They can see if the license is still waiting to be produced or if the card is in the mail. This feature provides a level of expectation for the customers. It also saves many calls to the contact center when a customer is wondering where his license may be. By the end of this year, DMV customers will be able to select an appointment time for a road test. This service provides the customer the ability to visit DMV when the time is best for them. This also gives our Customer Service Centers the ability to staff their office to meet the need of the customers they anticipate arriving for road tests on any given day. To ensure that customers’ products arrive as expected, DMV will be implementing address verification software in service outlets as well as the internet. This feature will inform the customer if the address they are providing is a deliverable address based on the United States Post Office system. This software will suggest an address if the one provided by the customer does not meet the post office standard. The customer will always be able to accept or reject the suggested address from the address verification system. DMV anticipates that this system will reduce the amount of returned mail to the agency. DMV is working on an App for Smart Phones and other devices that will provide access to DMV transaction in the format best suited to the smaller displays. DMV will be available right in your pocket!

More Information www.dmvNOW.com/aamva Terry Witt Customer Service Liaison Terry.Witt@dmv.virginia.gov (804) 497-7104 Slide 11 – More Information Would you like to read more about the Virginia DMV’s alternative services provided to customers? Visit our Alternative Services website at www.DMVNow.com/____ to read more. Information from this presentation is also available at this website.   As you can see, DMV has a dedicated commitment to serving the customers of the Commonwealth by providing alternative service methods that meet the customers’ needs as well as saving money for the citizens of Virginia. Thank you for the opportunity to participate on your panel.