Today’s banking customers want seamless digital solutions that cater to their unique needs and preferences. To meet this demand, many financial institutions are forced to layer ad hoc digital solutions on top of existing legacy tech stacks. Thankfully, banks and financial institutions can surpass the growing expectations of modern, tech-savvy consumers by not only embracing innovative technologies, but also making strategic tech decisions that keep their consumers top of mind.
How Will Digital Transformation in Banking Improve the Customer Experience?
Wondering how to improve the digital customer experience? Here are some of the ways that financial institutions are successfully leveraging digital transformation for that purpose:
1. Increasing personalization
Today’s banking customers expect a personalized digital experience that they enjoy outside of banking. They have high expectations for personalized digital experiences. To meet these expectations, forward-thinking banks are capturing and mining customer data to uncover deep insights into customers’ preferences, needs and pain points. By leveraging data science and technology, such as AI, these banks can create highly personalized digital experiences that cater to the unique needs of each individual customer. This includes designing user-friendly processes and interfaces as well as customized product and service recommendations, financial advice and predictive analyses.
2. Mitigating fraud
To gain and keep customer trust, banks must offer robust security features. Many institutions have started requiring multifactor authentication to enhance security. Additionally, AI and machine learning can provide real-time transaction monitoring, which protects customers by searching for and identifying unusual transactions that might indicate fraud. The greatest benefit of AI and other technology in security is that they can provide enhanced protection without disrupting the customer experience.
3. Boosting efficiency
Smart institutions are embracing automation technology for lower stakes, repetitive and detail-oriented tasks, which frees up employees for more customer-facing tasks and future planning and innovation. For example, automation tools can simplify processes like loan approvals, enhancing overall efficiency.
For customers frustrated with complex phone menus and lengthy waits, chatbots and virtual assistants can offer immediate digital assistance and advice, aiding customers in resolving issues or selecting products more quickly. AI can then predict why the customer contacted the bank and propose solutions, such as reversal of ATM fees or late fees.
Obstacles for Bank Modernization to Enhance Customer Experiences
Of course, digital transformation in financial services, while beneficial, can come with challenges. Integrating new technology with old, complex IT systems is difficult, especially considering the need for scalable solutions and management of technical debt. While many customers — especially from younger generations — prefer digital services, some still favor traditional banking methods. Attracting top tech talent is another hurdle, as many choose to work for tech companies over banks.
But the biggest challenge to digital transformation in banking is the lack of expertise. Digital transformation is too risky, time-consuming and expensive to be left to chance, so banks need a trusted partner with extensive experience in helping clients create digital solutions to serve and delight their customers.
How i2c Can Help
Our platform offers a flexible card issuing system designed to provide personalized, digital payment solutions tailored to individual needs. It features over 300 APIs, fostering third-party collaboration and ensuring compatibility with open banking standards. To enhance security and customer experience, we’ve integrated AI-driven tools for fraud detection and customer support.
Additionally, our technology serves as a versatile, modular, next-generation platform, enabling your bank to configure a custom portfolio of differentiated digital banking products and services. This approach ensures that the technology aligns perfectly with your business strategy and client requirements, offering a unique and effective digital banking solution.
Contact i2c today to learn how we can partner together in your bank’s digital transformation journey.
i2c is a global provider of highly-configurable payment and banking solutions. Using i2c's proprietary "building block" technology, clients can easily create and manage a comprehensive set of solutions for credit, debit, prepaid, lending and more, quickly and cost-effectively. i2c delivers unparalleled flexibility, agility, security and reliability from a single global SaaS platform. Founded in 2001, and headquartered in Silicon Valley, i2c's next-generation technology supports millions of users in more than 200 countries/territories and across all time zones.
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