Smarter Digital Banking Channels Drive Higher Customer Satisfaction and Revenue

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By Ido Ophir, VP of Products at

Digital banking channels — both online and mobile — offer big benefits to the customer and financial institutions. An intuitive digital banking environment gives the customer 24/7 access and insight into his or her financial status and the ability to initiate transactions, answer their own questions and sign up for new products and services at will, from anywhere in the world.

Banks of course are providing a unique set of services that improve customer satisfaction while reducing overall customer service costs. When done correctly, it can be a win-win for everyone involved and improves customer loyalty and the likelihood that customers will sign up for additional banking products and services from the financial institutions with the best digital banking experiences.

An extensive Citi study found that more than 60% of computer owners manage their finances on a computer, and mobile banking numbers continue to rise.

One-to-one messaging drives customers to use digital channels again and again, yet the banking industry is lacking the technology to present relevant and contextual insights to customers when they log in remotely. Why is it important? Let’s look at a few key considerations when it comes to improving the overall customer experience by providing smart assistance:

  • It helps customers succeed with their finances
  • It improves self-service & reduces operational costs
  • It increases adoption of bank products & services

If you get it right, you reap tremendous benefits, but how do you make sure you present relevant information when users are most receptive? It is most effective to offer smart assistance service and product recommendations at the exact moment the customer is challenged with a problem or is looking for an answer to a particular question or has just completed a process.

Personetics user data shows that banking customers accept timely smart assistance recommendations 55% of the time.

Service Recommendations

As an example, when Jane signs into her direct deposit account to look at her recent debit card charges and an associated overdraft fee, it’s a great time to offer her the overdraft-fee protection service. Likewise, when customers sign up for mobile and online services, it could be a good time to ask them to opt into electronic statement versus paper statements. Timely service recommendations can both generate new revenue for the bank and reduce costs.

Likewise, if a banking customer is traveling it is likely he or she may need local currency or a place to eat. Geocoding easily determines location when a user logs into their banking app from a mobile device and smart assistance can recognize where they are immediately and offer directions to the closest ATMs and discounts at local restaurants.

Product Recommendations

This is where banks can really expand their share-of-wallet and potentially grow revenue with each customer they already have. Many studies have shown that the vast majority of people use checking as their primary transaction accounts, and may have a debit card with the same institution. But as you look at credit, CDs, savings, home loans, car loans, brokerage, 401Ks and more, it’s very likely that your banking customer has several financial institutions he or she is dealing with. Wouldn’t it be nice to consolidate many of those accounts with the primary transaction account? Not only would it be more profitable for the primary bank, it would be more convenient for the customer. Let’s again look at a couple examples:

Is a person’s son or daughter starting college? Tuition payments are an easy indicator. A parent may be interested in opening a pre-paid card account so that they can easily share money with their child while away at college – while keeping an eye on their spending. When that customer is engaged with one of your digital channels, you can present them with an offer for a properly positioned pre-paid card that will make it easier for them to fund and monitor their child’s spending. It’s smart assistance that will not be overlooked like a random ad or product pitch. It’s a personalized, relevant recommendation that can make their life easier and it’s delivered at the perfect time.

Or, maybe a banking customer reaches a certain age and savings threshold. They may be thinking of a major purchase, like a home or car, or may be thinking about long-term savings goals. The analytics behind smart assistance can help determine which products to offer based on that individual’s profile and personal behavior. If offered at the right time, the bank is likely to expand that relationship with additional savings, CDs, loans or more.

Smart assistance actually solves the issue at hand within the digital channel, not just passing it through to a live agent. It’s about making your customer’s life easier and keeping them more informed while trimming your bank’s operational costs and generating new revenue.

Personalizing the customer experience with smart assistance allows you to provide value every time a customer uses your digital channels. Do you want to provide your banking customers with the ultimate mobile experience? Post a comment below or tweet us with hash tag #UltimateMobileBankingExperience.

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