Continued industry disruption, accelerated by the pandemic, has heightened the urgency and importance of delivering better digital experiences to all banks. Boston Consulting Group reported that online banking increased by 23% and mobile banking increased by 30% due to the pandemic. And EY found that consumer adoption of fintech in the United States has grown from around 20% in 2015 to nearly 50%.
No one in the banking industry could have predicted the pandemic and all the ways it would disrupt the industry, but some were in a better position to react quickly and up their digital customer experience game. They see the returns in the form of customer loyalty and deepening relationships, poaching valuable primary bank customers who have become frustrated with their former bank, and efficiencies through better self-service interactions. .
Where some of these leaders are focusing their experience management efforts, they are now driving four major initiatives.
Listening to customers and taking action at scale
Continually transforming customer journeys in ways that affect customer behavior and increase business outcomes means dramatically increasing customer reach, and not just the few customers who complete surveys. This requires investing in state-of-the-art technology that captures what the “silent majority” of customers is saying.
Using artificial intelligence and natural language processing, these customer signals can be analyzed from phone calls, emails, chat logs, social media, and more. The resulting insights can be combined with behavioral and customer profile data to quantify how customers engage, what they want, and how they perceive their experiences.
Improvements to customer journeys to purchase
Customers expect the same simple and seamless experiences in their banking purchases as in retail, hospitality or entertainment. A clumsy experience within a refi or credit card application can lead to abandonment at any point in the process.
To accelerate their ability to improve purchase conversions, leaders are adopting sophisticated digital user session capture and experience analytics tools to track customers at every step of their digital journey. This, along with direct customer feedback, gives user experience teams the data-driven insights they need to accurately and quickly identify not only what is causing these purchase abandonments, but also why it is happening. , and from there, how to fix it.
CX initiatives that generate both savings and revenue
Improving digital experiences not only makes life easier for customers, but can also reduce the volume of costly interactions with branches and call centers, which can improve the customer’s service experience at these touchpoints. . On the other hand, glitches, poor design or complicated transitions in digital experiences can increase these costly human interaction volumes while forcing the customer to use two channels when they prefer to do their business online.
These two-for-one opportunities that can improve customer experience and loyalty, while realizing cost savings through operational efficiencies, rise to the top for CX leaders who know how to link CX initiative spend to business results.
More human digital experiences
All bankers understand the importance of building strong relationships with their clients. But recent search shows that many financial service providers “fail at the human aspects of the customer relationship that drive engagement.” Confidence is also down – Edelman’s confidence report 2021 shows a sharp decline in confidence in the financial sector since 2019.
This underscores how important it is for banks to understand their customers on a deeper level in order to design and deliver more personal, trusted, and human relationship-building experiences. While digital is now the preferred channel for banking customers, the vast majority still want quick and easy access to in-person help if needed. This is especially true for higher-stakes journeys, such as taking out a loan or identity theft, which can bring up emotions such as anxiety, worry, and uncertainty.
Leaders are building their internal journey analytics capabilities to combine left-brain customer feedback and behavioral data insights with right-brain human-centered experience design across end-to-end experiences. This in turn is driving innovation and the adoption of faster and easier ways for customers and bankers to virtually engage with each other within and across digital and physical touchpoints.
As industry disruption progresses, banks must continually and quickly elevate their customer experiences to be more personal, holistic, and seamless across digital channels and in person — and make them feel more human overall.
Daniel Brousseau is Senior Director, Principal Solutions – Financial Services at Medallia.