How to improve customer experience in financial services
Customers expect the same quality of service across all industries – from banking to streaming. We want a fast, convenient, and secure banking experience that rivals companies like Uber, Deliveroo, Spotify, and Netflix.
With technology becoming more and more advanced, customers are expecting more than ever before when it comes to their banking needs.
Financial institutions aren’t just competing with each other – they’re up against leading tech companies worldwide. And customer experience is the key differentiator.
In this blog post, we’ll explore how businesses in the financial services industry can meet customer expectations and deliver an exceptional customer experience. From adopting new technologies to creating an environment of trust and reliability – there are plenty of ways to refine your approach and improve customer satisfaction.
1. Educate your customers on financial literacy
Start educating your customers on financial literacy through informative email marketing, social media content, and online education materials. Strengthen customer relationships and build trust throughout the customer journey.
After all, trust and reliability are a big part of delivering an excellent customer experience.
You could even assign an in-house financial advisor to help customers through big decisions, like buying a first home or saving for retirement. Financial services firms are not just here to sell products and services – they can also exceed expectations and guide people through those scary financial junctures.
If you’re looking for more ways to educate your customers, consider hosting educational workshops, participating in community outreach projects, or partnering with local schools and colleges to build financial literacy curriculum. That way, you can engage with future potential customers from an early age and build lasting customer relationships.
2. Build customer experiences that matter
Improving customer experiences comes down to building a personalised, fast, and effective process. Thankfully, there are tools available to help build these processes in a way that works for your company.
Here at redk, we partner with innovative systems like Zendesk to help you build excellent customer experiences. With seamless integration and an interactive interface, Zendesk can help you resolve customer queries quickly and directly.
Sign up for The Connected Customer event 2023 to learn more about improving customer experiences from our panel of experts, including Alicia Campbell from Zendesk and Sarah Stocks from Merkle Science.
3. Utilise contextual data
Contextual data enables banks to identify consumer trends and behaviour patterns, which can then be used to improve the customer experience. With customer relationship management (CRM) technology, banks can gain valuable insights into where their customers are located, key milestones such as graduating from college or getting married, purchasing preferences, spending habits, and prior customer service interaction.
By analysing this multitude of data points, the financial services sector can tailor their marketing according to individual needs for an enhanced overall customer journey.
4. Digital transactions and mobile banking apps
Digital transactions and apps are becoming increasingly popular, especially after the pandemic. Apple Pay, Google Pay, and open banking have seen tremendous growth, allowing third-party developers to create applications around financial institutions.
Traditional financial institutions must embrace the new digital age to remain competitive. Customers expect secure banking services with a mobile banking app, international access, and low fees. This means organisations must ensure their customers’ data is secure and their teams can promptly attend to any issues their clients may face.
5. Embrace artificial intelligence (AI)
Embracing artificial intelligence, or AI, offers many benefits for financial services organisations and their customers.
With access to customer data analytics and AI capabilities, these firms can provide more accurate recommendations and increase personalisation, allowing customers to experience finance their way.
What’s more, AGI will help financial firms become even faster, more efficient, and more resilient in the face of an ever-changing landscape.
6. Make it personal
When it comes to financial services, customers often feel more engaged and at ease with conversational banking. They can receive important information and complete tasks quickly and effortlessly without navigating complicated menus or reading lengthy terms and conditions. This can create a more engaging environment for the customer, who does not feel overwhelmed by the process.
With the help of AI, customers can choose from a selection of automated questions to find the best products, rewards, or service pages they’re looking for. It’s quick, simple, and easy to use.
By making their experience personalised and appealing from the get-go, banks can foster loyalty that lasts well beyond onboarding. Remember, the conversation goes both ways, and listening to customer feedback is very important.
Find out what your customers like and dislike about their experience – and how you can implement this feedback into your business. Listening to your current customers can help you deliver an outstanding and personalised, banking customer experience.
7. Develop a truly omnichannel customer experience
Improve customer service by embracing all channels – from social media to emails. An omnichannel customer experience is key to keeping customers happy and loyal.
A study by McKinsey into private banking in Europe found that 25% of customers want a fully digitally enabled journey with remote human assistance available. Equally, 71% of customers prefer digital interaction with multiple channels.
Most of the big competitors in the financial services industry are taking this approach – with 24/7 access across all channels. They can range from traditional avenues, such as phone or email, to modern media, like social media platforms.
All these features create a tailored approach to customer experience in banking that empowers customers and creates lasting customer loyalty. And loyal customers are likely to come back to your products and services time and time again.
8. Encourage customer self-service solutions
Banking customers have grown accustomed to being in control of their financial lives, taking advantage of technology such as mobile apps and ATMs. Encouraging self-service solutions is a great way to go even further with this, allowing customers to get the help and information they need, when they need it.
Banks should invest in tools like chatbots, resource portals, and conversational interfaces. Enabling customers to be in control of their financial destiny leads to increased customer satisfaction and higher engagement with products, services, and content – ultimately leading to improved profits for the bank.
9. Improve operational efficiency
Improving operational efficiency isn’t just a buzz phrase anymore. In episode three of the redk live podcast, Project Lead, George Cox, and CRM/CX Strategist and CMO, Hideki Hashimura, discussed how improving operational efficiency can make a big difference in the financial industry.
“It’s all about providing the correct data at the correct time.” – George Cox
The banking industry is benefiting from the seamless integration of systems like Zendesk to foster single-agent customer data ownership. Customers receive an efficient and personalised experience with higher satisfaction and engagement.
It is much easier for one agent to resolve customer requests in one fell swoop when they can see everything, they need on one screen. It’s a simple solution that could have widespread benefits across your financial institution.
With the help of AI and Machine Learning technology, these kinds of efficient operations aren’t far off in the future – they’re here right now.
At redk, we’re transformation experts, helping organisations become more digitally mature and customer-centric for more than 15 years. Talk to us to find out what we can do to add value and drive growth at your organisation.
Join us at The Connected Customer event
So, there are nine tips to help you improve customer experience in financial services. From AI and automation to utilising contextual data – there are plenty of ways to make changes to your CX strategy in 2023.
For more insight into customer experiences and digital transformation, come and hear from our expert speaker line-up at The Connected Customer event 2023.
The Connected Customer 2023, London
When: 29th March 2023, 9am-1pm.
Where: The Institute of Chartered Accountants, 1 Moorgate Place, EC2R 6EA.