The bank of the future: The customer experience

February 13, 2017 Risk Management

The world of finance is in a constant state of flux, especially when it comes to the technology supporting banks as they serve their customers to their fullest ability. Trends in financial technology have an impact on how banks operate – and especially how they interact with their customers.

In the coming years, to adapt to these trends, banks will need to adjust the way they communicate with their clients and improve the customer experience as a whole. What will the banking customer experience look like in five years? In ten? The future of banking is multifaceted and will depend on region and bank size, but in general, a more cohesive customer experience is an essential part of remaining competitive.

"The bank of the future is no longer simply about structured data like balances and interest fees."

Adding a personal touch

Personalization is the name of the game in the banking industry, and it's going to become even more important as technology evolves. Digitalist Magazine contributor James Eardley Jr. noted that by personalizing their offerings and focusing on becoming more of an advocate for their customers, banks can deliver a more engaging, proactive experience, which proves better in the long run at maintaining those important relationships.

Indeed, the bank of the future is no longer simply about structured data like balances and interest fees. Increasingly, it will take this data and information from other customer activities – for instance, on social media – and extract insights that can help banks understand the individual needs of their clients.

"Digital capabilities can turn the customer journey into something that's highly personalized," said McKinsey Director Somesh Khanna in a recent interview. "It's the way in which the device connects with the interaction that you have with a branch teller, how that connects with the messages you get as a customer with your mailbox, and all of that being delivered in a way that is seamless, that knows you, that recognizes you, that rewards you for your relationship with the bank."

Remaining competitive with digital transformation

In addition to offering a more personalized experience, the bank of the future will need to leverage artificial intelligence and automation technologies in order to fully meet their customers' needs. The Financial Brand contributor and co-publisher Jim Marous noted in a recent article that voice-powered virtual banking assistants "have the potential to create the invisible bank of the future," bringing more insights from customers and becoming part of the background of their lives.

"There's a lot of amazing stuff that will likely happen – and is happening today in that space," Khanna commented about the digital realm in banking.

The role of analytics

The first step to being able to provide a better, more cohesive customer experience is to fully integrate with clients and tap into key big data insights. This is where analytics and risk-based pricing solutions like DealPoint can shine. By allowing banks to have real-time access to audit reports and other financial documents, these kinds of tools can help mitigate risk and put institutions on a better path to bringing customers a more satisfying banking experience.

For more information, get in touch with the fintech experts at Brilliance Financial Technology today.