In this article we will be discussing how technology centric banking is the only way for banks and the financial sector.
In a time where technology is at the forefront of most businesses, banking has become a major player in this field. With more online elements becoming factors in an ever-changing world, we take a look at five key points which are proving to be critical to the progression.
Mobile banking is a clear and crucial extension of any bank’s desktop online banking experience. Customers use mobile phones just as frequently as their PCs to check a transaction, set a direct debit or transfer funds.
As technology evolved it is becoming harder to differentiate the unique features between the two interfaces since more and more functionalities now exist across both platforms as standard features.
This evolution in technology is seen as a positive within mobile banking as it encourages banks to compete against one another to develop and offer more to their customers. In fact, we see highly competitive campaigns and features being offered, such as cashback schemes, coupons towards shopping online or in store at different retailers, as a way to further customer engagement.
AI – Artificial Intelligence
AI has become a key feature in technology centric banking for its numerous benefits; from helping to prevent money laundering and fraud to taking a customer’s user experience to the next level.
AI is perfect for helping to grow and enhance a customer’s mobile banking experience as it enables customization. For instance, a bank is able to provide customers with offers and benefits based on their previous purchases.
While most of us do not realise the extent that AI is used within banking, it does greatly enhance a customer’s user experience and journey, which will be looked into with more detail later on in this article.
A feature which is proving to be extremely beneficial and popular within AI and banking is the use of chatbots. Not only can a chatbot assist in quickly answering customers’ typical questions, but can further guide the customer by prompting him/her through a series of automated questions and scenarios. Furthermore, chatbots can be programmed to detect tone and escalate urgent matters to live support agents.
Onboarding with any financial services company nowadays seems to come with a pile of paperwork to prove you are who you say you are, better known as KYC or Know Your Customer.
eKYC enables technology centric banking and gives any bank that adopts it a serious edge over its competitors. Customers love quick, smooth KYC checks, and eKYC enables just that.
How eKYC is conducted depends on the individual banks, as what a bank is required to collect for KYC purposes is always subject to its banking licence, operating jurisdiction and targeted client base. Some banks opt for selfies with the customer holding their ID, while others request a scanned image of the ID and a separate live action video of the customer saying a pre-selected phrase. Whichever eKYC process is adopted by the bank, it is undeniable that such digitalised processes make a huge difference to a customer, and in some cases can even be the key factor as to why a customer decides to bank with a selected provider.
All factors mentioned so far around technology centric banking are ultimately based on the customer’s journey. Simply put, it is how easy you make it for a customer to take an action within the digital environment you offer.
This is certainly not unique to banking but critical for any business, be it a retailer, a phone provider or other financial service provider. A positive customer journey is one that leads the customer to what they want to do or what they want to purchase.
To beat out the competition, banking has to really go above and beyond to enable the ultimate customer experience and online journey. From the ease of signing up, to the usability of the app, the accessing of funds and not forgetting to mention the receiving of the physical card, these all play into a customer’s journey. No one wants to join a bank and have to wait an infinite amount of time to transact. Being technology-centric means joining the world of ‘now’ and ‘on-demand’, and customers expect nothing less than an exceptional experience across the board.
It is vital in technology-centric banking for banks to stay focused on their ability to satisfactorily fulfil today’s technologically advanced and savvy customers’ needs and requirements throughout the customer journey. If not, the customer will, without fail, move along to the next technology bank that comes along, always close on the heels of its predecessors.
As much as we all have gotten used to and have come to rely on technology, computers, and automated processes, still, nothing is ever 100% possible without a human element.
We all know that machines can be faster and, dare we say it, even smarter than your average human, but they don’t always hold all the answers we require. Therefore, humans are still needed within this sector and for good reason.
Customer service will always be an element that is highly regarded in all sectors and you cannot get that without a human touch, whether it be an online chat feature, an email or a phone call, the piece of mind and reassurance that comes with speaking to an actual person, especially where money is concerned, is second to none.
Technology centric banking means joining the world of ‘now’ and ‘on demand’. Customers expect nothing less than an exceptional experience at any touch point they have with their bank, and why should they have to settle for anything less.