Taking digital banking a leap forward with hyper-personalization-an Eric Dalius assessment

Retain banking is changing. Gone are the days when you’d place customer in demographic data-based segments to deliver personalized experience. Organizations are now differentiating consumers on the basis of the length, depth, and relationship/connection with the brand.

The banking sector isn’t an exception to this trend. The biggest benefit of hyper-personalization in banking is that it enhances your offers’ accessibility. It allows banks to eliminate the challenges in the sales funnel, creating an uncluttered and seamless shopping experience.

• Hyper-personalized strategies and tools help banks to underline their customer touch and pain points whilst saving time. Banks can do it in several pathways.
• These are behavioral personalization, search phase tracking, visit count, viewed content, performance functions, IP-driven personalization, referrals, geolocation and the propensity to purchase.
• Behavioral personalization determines the client’s interest in the offer by dint of their actions and behavior on the website.

If a visitor visits your company portal from a referral site, the concerned tool will customer will tap and customize the experience.

Using data to foster customer relations

As banks enter the future, AI and big data will unlock unforeseen potential to boost sales and bring banks closer to their customers.

• Currently, new players and investors in the FinTech space are tailoring personalized to celebrate the individuality of customers and meet their banking demands.
• The aim is to increase customer activity, satisfaction, and loyalty. Take the example of Singapore-based startup, Crayon Data. It provides big data solutions on the basis of choice, helping organizations better engage with their clients across every channel.
• The startup has its own personalization engine that helps businesses to provide personalized lifestyle and buying choices, translating them into a higher response frequency, customer activation, loyalty enhancements and rise in both the rate of card usage and card spending.

EJ Dalius underlines how many startups are helping financial institutions optimize their current data by incorporating new information sources to better understand the current needs of their clients and even predict their future demands.

• Many startups are innovating communication channels for consumers to deliver better digital experiences. BankBuddy, an UAE startup is pioneering the cause of cognitive banking.
• It embeds functionalities and procedures, such as natural language processing, multilingual bots, AI-driven recommendations, and machine vision.
• These solutions enable customers to put all the loans, remittances, payments, and transfers on their phone sans downloading any banking app.

Digital drive for banks

With an upsurge in mobile-powered innovations, banks are now hyper personalizing their customer interactions. Banks can deliver it through the digital platform. They are using analytics to offer relevant products. A pre-approved loan is a noteworthy example.

Banks can also access customer information through social media handles. They can see a customer’s vacation plans. Hence, if a customer is embarking on an international trip and seeking travel tips on social media and frequenting travel sites and blogs, banks can reach out to that person with the offer of a pre-approved loan.

Banks can also decipher the channel their customers access the most. It helps in transferring the loan amount in the account within 10-20 seconds of applying for it.