This week saw GDPR’s second anniversary. Read about the effects GDPR has had on businesses and consumers during the second year.
A faster pace of life and an increasingly ‘always-on’ culture has meant the relationship between consumers and their banks has changed dramatically. A demand for 24/7 banking has increasingly piled the pressure on financial companies to provide their customers with a first-class digital offering. But with every bank offering a digital solution, how does one differentiate from its competitors to not only attract new customers, but retain its existing ones?
Mobile banking – there’s an app for that!
Recent stats revealed that we now, collectively, log into our internet banking 11 million times a day, up from seven million the year before. It is clear people today want to use technology to squeeze routine tasks – such as banking – into their busy lives. We now have an expectation that we are able to check balances, make payments and even apply for a mortgage at any time, in any location and on any device. A small selection of banks will even use the app they’ve developed to flag to the account holder if an area of their finances needs urgent attention.
But there’s more to this digital banking revolution than an app – it’s about creating an entire experience. And communication plays a key role in this. The implications of failing to facilitate a seamless cross-channel customer experience – one that lives up to growing customer expectations – is huge. Today, consumers have more choice than ever before, thanks to the rise of fintech start-ups and digital-only banks, and if they do not get the level of service they’ve come to expect, they will not hesitate to take their custom elsewhere.
Communication is key
Banks need to be taking steps to interact with customers at multiple touchpoints throughout the customer journey. One of the most effective methods of doing so is by automating the delivery of real-time notifications, detailing events that impact their accounts. To successfully implement this, banks require a cloud-based platform to automate real-time mobile communications such as updates when a new account is opened and secure activation codes to prevent fraudulent activity proves invaluable here.
It is also worth noting that despite email continuing to be the primary delivery channel for notifications such as account alerts, text alerts are hot on its heels and is the fastest growing form of communication in the financial sector. With faster and higher open rates, the deployment of SMS is something banks would be wise to address. But of course, it’s also crucial to know how customers would prefer to be communicated with. By effectively using technology and data, banks will be able to identify the preferred channels of communication for their customers, ultimately creating the highly personalised experiences customers crave.
This consumer-led digital revolution has put its stake in the ground and one thing is clear, banks need to be seen to do everything in their power to help customers proactively manage their finances in the most seamless way possible. Capitalise on these trends, and communicate with customers on their terms, via their preferred communication channel and banks will boost trust, loyalty, and ultimately their bottom line.
To read more, download our whitepaper ‘Mobile Banking: The Vital Role of Cross-Channel Communications in 2017’ today.