Customer Experience, the key battleground for differentiation

customer-experience-the key-battleground-fo- differentiation

Historically, banks worked in a completely physical world, so you had a number of branches, customer care departments, loan departments across banks in different locations. The premise always being building a good customer base, customer loyalty and trust. Today, banks do remain truly customer-centric, but there has been a shift in the banking industry. And customers are driven by how banks connect with them in the way they (customers) want them to.

It’s all about digital-first strategy

Given the highly competitive business scenario and the emerging technologies, a digital first strategy and the digital services are changing human experiences significantly.

Not surprisingly, CX transformation is a top priority for leading Banks

And this has led to adoption of technologies such as Robotic Process Automation, AI, machine learning that allow a seamless integrated customer experience. The new age customer is hyper-connected via smart watches, the internet of things (IoT), virtual assistants, fit-bits and more. Typically, this has made physical transactions almost minimal and online transactions are at an all-time peak given the current physical distancing norms and rise of contactless transactions.

“A Gartner study revealed that in 2020 and beyond, these emerging technologies are artificial intelligence (53%), virtual customer assistants and chatbots (39%) and omnichannel engagement solutions (37%).”

How are banks responding to match the needs of consumers?

The number priority for most banks is providing a seamless, omni-channel banking CX, given that customers switch channels often. Financial transactions call for enhanced security. Banks are now authenticating customer transactions through advanced AI based face recognition biometrics and password protected information. Interestingly, voice based banking interactions via virtual assistants and conversations on the chatbot has enabled payments, query resolutions and new product enquires all the more convenient.  User-friendly interfaces supported by a robust architecture allows an intelligent banking experience for customers.

An Omni-channel customer experience allows for safe, compliant processes such as on-boarding, loan management, account management, credit cards management etc.

This kind of ease and security is unimaginable but surely a reality.

Exceptional Digital customer experiences- drive customer loyalty and enhance customer engagement

With the use of interactive statements, chatbots and video bills, there is a significant reduction in contact centre volumes, effective call resolution and better operational efficiencies. By automating customer support functions and transaction with self-care portals, the customer has at his finger-tips, statement, account info, product information, payments, loan and credit information and other such details.

Evolving technologies and the evolving banking scenario

Banks do understand that to truly differentiate themselves through customer experience they should focus on the following:

Meet customers where they want
Customers can onboard, login, interact and transact remotely and digitally. Technology enabled software allows them to connect with their banks via video or voice. Additionally, customer care personnel can help them access the details, resolve queries after complete yet authentication.

Have a truly single view of the customer
The customer has total control of their finances and all the services he has opted for including loans, mutual funds, and others. Single view of the customer provides customers a snapshot of all their financial accounts and gives banks an opportunity to cross sell and originate new customers. We all know the digital customer is likely to engage their bank from a number of channels and switch channels as he interacts. So, while he is engaging with the loans department, or customer service, data should be shared real-time for easy accessibility and seamless conversations.

The shift from visual to conversational

Until a few years back, impressive user interfaces were a great delight for banking customers. Not anymore. Today, customers are gravitating towards a conversational interface, where they can interact, and transact. Self care portals helps allows the customer to access and address his concerns effectively.

The use of easy technology
In the past financial transactions means rigorous security measures, with a lot of time being spent on validating and verification. The evolving technology has however, ensured quick and seamless activity reducing the risks of abandoning onboarding or other transactions mid-way. From customer identity management to two-factor authentication, face recognition, and fingerprint authentication to password secured statements banks are using technology to empower safe, technically sound online transactions.

To sum up, trust, ethical transactions and a frictionless customer experience drive customer loyalty and impact the customer lifetime value (CLV). With technology, apps and ease of digital being so ubiquitous, customers rightfully demand delightful customer experience. We have often heard the terms like  “the customer is the king” or “  Customer experience matters” but it is a fact and  more relevant today than it ever has been before.

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H. C. Madhavi

Madhavi has more than a decade of experience in working for enterprise software products companies in marketing roles. She is closely associated in research and client interactions to comprehend customer experience challenges and ways of addressing them proactively by re-aligning existing IT infrastructure. Responsible for consistency in brand across multiple channels for Intense Technologies and evolving best practices for delivering Omni-channel customer experience strategies for large telecoms, banks and insurance organizations. She has gained experience on adapting latest technologies like cloud, analytics and business process automation to enhance customer experience in fastest possible ways.She has a degree in marketing from a reputed business school in Hyderabad and has been instrumental in initiating and implementing digital marketing at Intense Technologies. She actively involves in all the marketing activities and is open to try new marketing methods to see Intense as a Fortune 500.

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