Digital transformation in banking: Customer-centrality is the key to success
Digital platforms have allowed retail banks to reach and engage customers on various portals, through integrated mobile apps and on social channels.
Today, utmost importance is being given to digitalisation of the core business processes and reviewing of the organisational structures in the entire BFSI industry.
This transformation illustrates the increasing need to introduce digitalisation in banking, finance and insurance sectors for better efficiency. The utter need for innovation and developing empowered solutions that take maximum advantage of advanced analytics, data, and digital technologies has never been more important in the BFSI industry ever before. We are witnessing organisations innovate in expanding services, acquiring customers, delivering proactive advice and applying technologies like block-chain for improved results.
While processes like electronic-Know Your Customer (e-KYC) and moving infrastructure to the cloud have allowed insurance companies to significantly reduce their operating time to acquire new customers, banking and finance sectors too have efficiently leveraged technology in order to create competitive advantage through faster trading systems and reduction in operating risks.
Right from gaining an insight into user pain-points while using an App that might lead to potential areas of opportunities for optimising customer journeys, to determining an offer and a deal most appropriate to the customers, advances in machine learning algorithms can offer a lot of features to be developed for the benefit of customers.
Data and resultant insight into app usage pattern of customers can also make it possible to provide contextual help to the customers as they are using the app, find out patterns in their transactions leading to better detection and prevention of fraudulent usage. It can open up possibilities of almost a separately channel of interaction for the customer, where they can interact with the app using audio-visual inputs instead of current touch or keypad-based textual inputs.
IoT enabled devices are rapidly gaining popularity, and are creating tons of data around user preferences. Cutting-edge data analytics tools are turning that data into valuable information about customer buying patterns. Digital is no longer about a new or faster user interface, rather it is about re-imagining how to reach customers faster. Digital goes beyond serving customer needs – it serves what is being thought, or browsed.
Most of the major banks engage with their customers through omni-channel touch-points across branch networks, mobile apps and websites. They are spending a substantial part of their technology budgets on creating and maintaining omni-channel presence, even as traffic continues to decline across channels.
In this age of personalized content, customers expect the bank to visit their home, or rather cellphone or wearable device. In India, a mobile-first strategy is a safe bet to reach the largest part of the population.
Clearly, in a mobile-first world, banks need to reassess the distribution of investments across elements of an omni-channel strategy. So a forward integration combining multiple industries is in the making, and for any commerce to happen through wearable devices and/or IoT, banks have to quickly find ways of integrating into the device(s) ecosystem.
Today, utmost importance is being given to digitalisation of the core business processes and reviewing of the organisational structures in the entire BFSI industry.
This transformation illustrates the increasing need to introduce digitalisation in banking, finance and insurance sectors for better efficiency. The utter need for innovation and developing empowered solutions that take maximum advantage of advanced analytics, data, and digital technologies has never been more important in the BFSI industry ever before. We are witnessing organisations innovate in expanding services, acquiring customers, delivering proactive advice and applying technologies like block-chain for improved results.
While processes like electronic-Know Your Customer (e-KYC) and moving infrastructure to the cloud have allowed insurance companies to significantly reduce their operating time to acquire new customers, banking and finance sectors too have efficiently leveraged technology in order to create competitive advantage through faster trading systems and reduction in operating risks.
Right from gaining an insight into user pain-points while using an App that might lead to potential areas of opportunities for optimising customer journeys, to determining an offer and a deal most appropriate to the customers, advances in machine learning algorithms can offer a lot of features to be developed for the benefit of customers.
Data and resultant insight into app usage pattern of customers can also make it possible to provide contextual help to the customers as they are using the app, find out patterns in their transactions leading to better detection and prevention of fraudulent usage. It can open up possibilities of almost a separately channel of interaction for the customer, where they can interact with the app using audio-visual inputs instead of current touch or keypad-based textual inputs.
IoT enabled devices are rapidly gaining popularity, and are creating tons of data around user preferences. Cutting-edge data analytics tools are turning that data into valuable information about customer buying patterns. Digital is no longer about a new or faster user interface, rather it is about re-imagining how to reach customers faster. Digital goes beyond serving customer needs – it serves what is being thought, or browsed.
Most of the major banks engage with their customers through omni-channel touch-points across branch networks, mobile apps and websites. They are spending a substantial part of their technology budgets on creating and maintaining omni-channel presence, even as traffic continues to decline across channels.
In this age of personalized content, customers expect the bank to visit their home, or rather cellphone or wearable device. In India, a mobile-first strategy is a safe bet to reach the largest part of the population.
Clearly, in a mobile-first world, banks need to reassess the distribution of investments across elements of an omni-channel strategy. So a forward integration combining multiple industries is in the making, and for any commerce to happen through wearable devices and/or IoT, banks have to quickly find ways of integrating into the device(s) ecosystem.
