Finances are an incredibly personal aspect of our lives. The Internet and mobile devices have enabled individuals to take a more hands-on role in their finances by giving them real-time information and providing self-service features. As a result, banks and other financial institutions are developing products and solutions that give customers the confidence they want with the features they need.
Increasingly, World consumers turn to mobile devices when dealing with their personal finances. 51% of smartphone owners have used mobile banking in the past year. From depositing checks to viewing account balances to tracking their portfolio’s performance to submitting an insurance claim, mobile applications are changing the face of the financial services industry. But account management is only the beginning. With enhanced security technology in place, and even more on the horizon, consumers are more comfortable turning to third-party apps to transfer money among friends and family. In addition, new technologies enabling mobile payments are revolutionizing how companies and consumers buy goods and services every day. Customers are demanding convenience, and self-service technology is viewed as a differentiator for banks, insurance companies, third-party lenders and other financial services companies.
One surefire way to win new customers and keep them is through convenience and quality of service. The truth is, for nearly all transactions, it’s no longer necessary for people to regularly visit banks or other financial services retail locations. Mobile banking is now preferred by more than 10% of population and is the fastest growing banking method. The frustration of scheduling your day around visiting the nearest branch has been replaced with the ease of reaching for your mobile device. A question that once helped decide where someone banked—“How close is it to my home or office?”—has been replaced with a focus on the quality and security of an institution’s technology. New customers entering today’s workforce expect advanced mobile technology, and those offerings are viewed as a key differentiator when selecting a financial institution.
The financial services industry has already helped its customers embrace mobility by giving them more control over how they interact with their accounts. Today, users expect to process standard transactions quickly and painlessly through mobile technology, whether depositing a check, filing an insurance claim or trading a stock. The next battle on the horizon revolves around information delivery. For investors, information on the go is critical. Providing push notifications of market changes, impacts on portfolios and content that is both relevant and actionable will help differentiate from the competition.
For more traditional financial services firms, incorporating mobility means providing employees with mobile phones that include email and calendar apps. For others, mobility represents an opportunity for organizations to redefine how employees interact with customers. Mobility offers tremendous opportunities to enhance customer service for high-value clients. Both brokers and customer service representatives can use mobile tools to share information, demonstrate trends, present personalized offers and create stronger customer relationships.
Financial services companies can leverage big data analytics to help recommend optimal margin, predict attrition and prioritize retention based on the value of various merchant segments. Insights gained from big data can also play a role in helping financial services companies streamline their distribution channels, reducing expenses, and recommending merchant-specific pricing with cross-sell opportunities.