Finance digital transformation: How to deliver a better customer experience
Digitization has changed the way people and companies manage their finances. Financial customer experience models are evolving at breakneck speed to meet the demands of today’s tech-savvy customers.
If you are a financial institution, your customers expect fast and reliable customer service 24/7 and want to feel like you understand their needs and what matters to them as individuals. To meet these demands, you need a way to streamline your customer communication process and make it interactive. Digitally transforming your finance customer experience includes having a more personal connection with your customers through automated responses and messaging.
Teaming up with a cloud omnichannel communication solutions provider over a trusted and compliant platform – paves the way for digital transformation in financial institutions.
Here we highlight what finance digital transformation is and how the right tools and automation can help banks and financial institutions.
What is digital transformation in finance?
Finance digital transformation refers to integrating digital technology to achieve organizational growth. Financial institutions apply digital technology to increase business process efficiency, manage workflows, and boost employee productivity.
Digital technology has a significant impact on customer-facing services too, such as customer success. Along with data & analytics, cloud computing, and mobility, customer experience (CX) is one of the primary areas of digital transformation in finance.
Digitalization has transformed the Banking, Financial Services, & Insurance (BFSI) sector – moving from a product-centric to a customer-centric business model. A recent report suggests that the global digital banking platform market size is expected to grow by 70% by 2026. Another study forecasts 2.5 Bn individuals to start using online financial services products by next year.
As a BFSI brand wanting to undergo finance digital transformation, you need to understand your customers to provide a better experience.
A good example of digital transformation in finance would be embedded finance, which refers to the shift from time-consuming financial processes – like KYC (Know Your Customer) and onboarding – to the use of financial services or tools by a non-financial provider. Some examples of embedded finance are digital wallets, Point of Sale (POS) financing, personal finance management tools, Neobanking, payroll loans, and invoice financing.
Embedded finance affects customer experience as it replaces in-person branch experiences. Instead, customers interact with BFSI brands on their terms, and the process is as straightforward and seamless as possible.
Finance digital transformation use cases
Digitalization can lead to many business benefits including reduced costs, increased customer satisfaction, and higher ROI. Below are a few ways finance digital transformation can improve customer interactions in banking.
Personalize and automate your finance customer journey
Offering personalized advice and relevant information, and engaging on your customers’ preferred channel, is imperative to boost engagement, build trust, and create meaningful customer relationships. Leveraging customer data to create personalized, automated flows, provide always-on customer support, and set up omnichannel engagement are crucial to a digital financial experience.
Automation also plays an important role in today’s financial market. It enhances customer experience by making communication more interactive and efficient. Personalized CX is achieved through trigger-based communication, chatbot interactions with agent takeover, and automated campaigns. Before automating, it’s important to define your goals and select a solution that aligns with them. Overall, automation saves time and improves customer engagement on various channels.
Create engaging, personal banking experiences
Customers stick with banks and financial services that provide convenience by allowing them to onboard and avail of their services on their preferred channel. Infobip’s omnichannel solutions on Azure integrate with SMS, Email, Chat Apps (WhatsApp, Messenger, Viber, Telegram), Voice, Video, RCS, Apple Business Chat, Google Business Messages, and Mobile App Messaging so you can deliver consistent communication.
Delighted customers are those engaged personally. By sending relevant messages, at the right time, on the channel they prefer makes them more likely to read, respond, and increase loyalty to your brand. Deliver on their unique preferences, at scale, and develop customer insights to increase sales productivity with personalized campaigns such as:
- Sending timely reminders for due and upcoming payments
- Remind customers when their policy is up for renewal
- Raise trust by informing them about high-priority alerts
- Sending documents, e-receipts, or invoices
- Provide account notifications with balance updates and financial transaction updates
- Sending personalized loan offers
- Collect customer feedback to improve satisfaction continuously
- Automate and optimize customer support to deliver valuable content and keep them engaged
- Keeping your mobile app users updated and engaged with relevant offers
- Increase subscription and membership rates with personalized offers
Build trust with expert-level security
BFSI brands need to deal with new technologies, cyber threats, proprietary solutions, and vendor management. Financial institutions can benefit from implementing a secure digital platform by building customer trust, reducing the risk of fraud, and improving overall brand reputation leading to enhanced customer experience.
Customers also expect security from banks and financial institutions. Infobip’s omnichannel solutions over Azure ensure data protection, compliance, safe integrations for payments, and logistics. So, you can have peace of mind while:
- Confirming transactions with interactive push for customers with mobile app
- Send verification codes securely via WhatsApp, SMS or any other channel they prefer
- Ask customers to confirm transactions that seem suspicious or fraudulent
- Add an extra layer of security by implementing two-factor authentication
- Maximize security with 3FA and AI using customers’ biometric data in real-time
Finance digital transformation success stories
BFSI brands that have introduced omnichannel communication, automation, and personalization have managed to increase security, improve processes, and meet customer demands. Here’s how a finance digital transformation has helped brands around the world:
- Leanpay experienced 20% month-on-month growth in new users with an easy and secure onboarding process
- Covea Group reached 11% conversion rate with a conversational marketing campaign via RCS
- Anand Rathi increased its CTR by 40% with a WhatsApp chatbot
- LankaBangla achieved a 90% delivery rate through personalized messaging
- Beam&Go Cuts Costs by 30% with unified omnichannel customer communication
- DinarPAY expanded its customer base by 50% with WhatsApp and SMS
Embracing finance digital transformation with Infobip on Microsoft Azure
How can financial institutions deliver superior digital experiences, financial flexibility, and convenience with a personalized human touch to create connected customer experiences? Implementing omnichannel communications through a trusted and compliant platform paves the way for finance digital transformation.
That’s why Infobip’s omnichannel communication solution on Microsoft Azure is better together. Create connected customer experiences through:
- Intelligent customer engagement
- Innovative channel solutions to provide a digital banking experience
- Analytics to power personalization and efficiency
- A secure platform that reduces the complexity and cost of compliance
Finance digital transformation is imperative for banks and financial institutions to stay ahead in today’s ever-changing tech-savvy world. Personalized customer journeys, automation, and omnichannel engagement are critical factors to enhance customer experience.