Users are banking more and more through digital channels, fundamentally altering the traditional banking paradigm. To meet users where they are — on their devices — your financial institution may be pouring significant resources into digital. But is it enough to keep and retain these users?
Ask yourself if you can support users who want to interact with your institution exclusively and effectively through digital channels. If the answer is no, it is imperative that you elevate your digital platform to better support your users’ needs.
One way to build value for users is to use data to create a more customized digital experience. A study conducted by The Center for Generational Kinetics shows that younger consumers are open to providing personal data to enable a more personalized experience. Armed with data insights about your users, you can build guidance, support, and even present tailored offers to users at opportune times.
Your financial institution has vast amounts of data about your users, including transactional, account, and personal data. And, your digital banking solution produces lots of data about user behavior. Building a strategy that takes advantage of this data is the next step, with the goal of generating insights about your users and ultimately increasing engagement with them.
If a data strategy is on your roadmap, there is a lot to consider — how best to collect, store, and analyze data, and how to most effectively develop actionable insights from it. While large institutions typically have in-house data teams equipped to focus on these issues, community banks and credit unions often lack both the personnel and tools to take full advantage of the data opportunity. Fortunately, new, highly intuitive tools are available that can provide data intelligence without the need for a large internal team—or financial institutions can consider working with a technology partner who can analyze data on their behalf.
Appropriate insights based on data can truly take engagement to the next level by providing tailored offers to users at the right time or presenting targeted information to help users make decisions about financial products and services. For example, your institution could use these insights to identify users with built up home equity and target them with home equity products. In the absence of face-to-face engagement in a branch environment, data analytics can help bridge the gap to build stronger, more personal relationships with both businesses and consumers.
Learn more about data intelligence and how it represents a key part of a comprehensive digital transformation strategy in our new white paper, Digital Transformation for Community Banks and Credit Unions: 4 Steps to Achieve Your Goals.