Customers are the core of any business and industry. Period. Like a wheel needing an axle to move forward, a business relies on its customers to generate revenue and growth. As such, customer experience (CX) is declared “king” because it becomes the end-all, be-all of whether your desired customer stays with you or switches to the competition.
This same standard is held in the modern banking industry. As a result, customer experience in banking has become a critical differentiator between brands. Only those that can provide a superior financial customer experience can build customer loyalty, drive business growth, and outperform competitors.
The term refers to all the touchpoints between a customer and a bank throughout the customer journey. This includes all of the services, products, and channels the customer uses when interacting with the bank such as mobile applications, websites, ATMs, branches, and call centers.
CX plays a crucial part in shaping the customer’s perception of a bank and ultimately affects customer retention. Such is the main priority of customer experience banks.
CX in banking is as important as ever; According to Forrester, customer trust in banks fell for the first time in four years, decreasing by a significant 2 percentage points for both direct and multichannel banks. Understanding the landscape will help banks form better strategies in addressing such challenges. Here are some key emerging trends that drive the need to improve the customer experience in banking:
|Banks must have a robust digital ecosystem to provide a satisfactory customer experience for their financial services. New and emerging competitors are leveraging fintech solutions to disrupt traditional customer relationships.
|Enriching the financial customer experience also means providing customers with a more personalized journey, understanding both their needs and preferences. They demand proactive customer service that sends reminders or checks in on them every once in a while.
|Analyzing customer data provides valuable insights to banks in improving customer experience in banking. Through these data, pain points and opportunities for improvement are better identified and planned to ensure a better bank customer experience.
Trust and Transparency
|In the wake of increased data breaches and fraud, customers are increasingly concerned about the security of their personal data and financial information. A bank that can provide a commitment to ethical standards on safety and security satisfies the demand for better customer experience when dealing with banks.
When considering enhancing customer experience in banking, banks must take a comprehensive approach and look at several areas to ensure that they deliver exceptional CX in financial services. These areas are:
|To mitigate financial services challenges and maximize bank customer experience, financial institutions need to create a customer-centric culture that puts customers front and center. In order to do so, employees must be equipped with the appropriate tools and the necessary training while having the best employee experience to deliver a positive customer experience.
Data and Analytics
|Banks should fully utilize data analytics to determine customer behavior and preferences. These data will provide opportunities to personalize offerings such as money transfers and other fintech solutions for customers. Data also provides insight into areas that need improvement and which ones should be prioritized to ensure seamless CX services.
Proactive Customer Service
|This means anticipating the needs of your customers and reaching out with offers and information that is relevant to them. A proactive approach to customer service helps banks build a stronger relationship with the customer, making it unlikely for them to switch to your competitor.
|In today’s age of digitalization, having digital channels are a must for a bank. According to an market report, 89% of Americans utilize mobile banking channels, while 70% say that mobile banking is their main way of account access. Aside from increasing customer satisfaction, digital channels can also lower operation expenses for financial institutions. Needless to say, a fintech customer experience becomes a critical component of the whole customer journey. To cater to customers 24/7, banks must invest in online banking, mobile applications, and chatbots.
Automation and AI
|First impressions are important in customer experience in banking. Utilizing automation eliminates the manual paperwork that customers need to accomplish. On the other hand, AI proves to be a significant help by resolving disputes, concerns, and some issues on its end, saving effort and time for both parties. Additionally, predictive analytics can assist investors in making more profitable decisions. Companies can also leverage AI and data to generate insights to hyper-personalize their products and services, meeting the high expectations of consumers in terms of CX.
Seamless Omnichannel Experience
|Adding to the digital banking customer experience, customers also expect the same efficiency level from whichever channel they interact with. Whether in-branch, online, or via the app, a seamless customer experience in banking retains satisfied and loyal customers.
Safety & Security
|Customers expect banks to handle their data with utmost care. According to PwC’s Global Economic Crime and Fraud survey, 51% of surveyed organizations worldwide succumbed to fraud in the last couple of years. Customer fraud, cybercrime, and Know Your Customer (KYC) failure are common challenges in the financial industry. To gain and retain consumer trust, financial institutions must ensure transparency in how data is collected, used, and processed. Safety initiatives such as risk assessment, AML/CFT Compliance, and KY-everything are essential in combatting bad actors.
|Implementing rewards and milestone-based programs can significantly boost customer engagement. Such activities also help educate customers about a bank’s products and services. It engages, entertains, and influences clients in a positive way. Consider running gamification initiatives like raffles, point-based loyalty programs and interactive games to boost your banking CX.
The importance of customer experience in banking cannot be overstated.
Meeting customers' ever-evolving needs not only helps banks stand out from their competitors but also cultivates strong relationships and drives long-term success and growth.
At TaskUs, we aim to find the perfect harmony between human touch and technology in delivering the best digital customer experience in banking and beyond.
Named by Everest Group as the world’s fastest-growing tech-enabled BPO in 2022 and garnering a high rating in the Gartner Insights Peer Review, TaskUs is more than equipped to ensure customers satisfaction, safety, and security through dynamic digital solutions, reliable risk-and-control frameworks, and world-class frontline expertise.
From employing subject matter experts and leveraging end-to-end, cutting-edge solutions, you’ll be sure that our Teammates are empowered and equipped with the knowledge to answer the things that matter the most to you and your customers.
Our Ridiculously Good culture, people-first philosophy, and drive for continuous learning and growth contribute to our ability to retain top talent who work hard to deliver unmatched customer service.