What is a Customer Information File (CIF)?

Customer Information Files Explained in Under 4 Minutes

Definition of a Customer Information File and Examples

A Customer Information File (CIF) is an electronic file that provides an overview of a customer’s personal and financial details. The CIF contains a unique CIF number and allows companies to quickly identify a customer’s relationship with the organization.

CIFs have historically been used by banks and financial institutions, but other types of businesses have also begun to use them. Here we take a look at how they work.

How a Customer Information File Works

A CIF tells companies, institutions, agencies, banks, and others who you are and how you’ve interacted with them so far. Think of it as a summary of your journey as a customer.

A retail store collects information about your product searches, purchase history, gender, and other demographic information.

A bank’s CIF lists all your account numbers, highlights your bank balance and transaction history. Banks want to keep their CIFs updated and as accurate as possible, so some hire team members who work solely to maintain customer information files.

CIFs are mainly associated with commercial banks and retail banks, but this is not always the case. For example, the Department of Veterans Affairs maintains a CIF for every veteran who passes through its office. This file includes items such as:

• Unique Veteran Identification Number (also known as CIF number)
• Social Security Number
• Veteran Center Team Number
• Marital Status
• Gender
• Date of Birth
• Service Dates
• Service Category
• Eligibility Information for Veterans
• Discharge Status
• Source of Referral
• Visit and Treatment Information
• Other Statistical Information about Services Provided to Veterans

Even if a company does not have direct CIFs, it likely uses some form of Customer Relationship Management (CRM) software to collect data and track customer information. CRMs track the company’s interactions with you, while CIF data serves as a record of your specific customer attributes.

Benefits of a Customer Information File

Companies use CIFs partly because they provide benefits such as better customer service experience and CIF marketing potential.

Better Customer Service Experience

CIFs help companies deliver a better customer service experience to you. Every time you reach out to the company, an employee can quickly pull up your CIF and understand your entire relationship with them, even if that person has not spoken to you before. At a time when most interactions happen online, this type of personal attention goes a long way in making you feel like a valued customer.

Using as a Marketing Tool

CIFs can also be used as a marketing tool for companies and are a crucial part of customer segmentation. Most CIFs track your activity history, lifestyle information, demographics, and more. Companies use this data to identify other products and services that may interest you in the future.

Service companies, such as doctor’s offices, landscaping businesses, and automotive agencies, may also use CIFs to track when you might need to visit them again. For example, a local dental clinic may use its CIFs to identify customers who need a check-up every six months. A local auto shop may do the same when it’s time to change your car’s oil.

Source: https://www.thebalancemoney.com/what-is-a-customer-information-file-cif-5205631