By Leslie Chaffer, VP Product Management
An estimated $72 trillion is set to transfer to younger generations in the coming years as part of the Great Wealth Transfer — including ownership of many small businesses. As longtime business owners retire and more companies are led by millennials, your financial institution has a fresh opportunity to meet the technology expectations of this digitally savvy generation with seamless, intelligent digital banking experiences — and breakthroughs in AI are making it easier than ever before to meet these expectations.
New research from leading analyst firm Datos Insights, commissioned by Apiture, digs into the opportunity to win market share among millennial businesses. According to the survey, 80% of millennial-run small businesses feel comfortable or very comfortable integrating more AI into their banking relationships. For banks and credit unions, staying ahead of these trends isn’t just smart, it’s essential for building long-term loyalty and growth.
The Problems AI Can Help Business Owners Solve
Millennials value AI’s potential to streamline their operations, enhance customer experiences, automate routine tasks, and help them make data-driven decisions. As a result, they expect their primary financial institutions to invest in AI-driven technologies, particularly in automated payments, reporting capabilities, and virtual assistants.
Is It the Right Moment for AI Investment?
Adopting modern banking capabilities such as AI helps ensure you are relevant and attractive to small business owners. As AI technology continues to evolve, ensure your institution stays up to date on opportunities for incorporating the technology. One way to begin is to identify routine processes that could be optimized through AI.
In a recent podcast with CU 2.0, Apiture COO Chris Cox demonstrated ways to accomplish this, discussing how Apiture works with banks and credit unions to integrate AI into digital banking. Specific use cases that appeal to younger users include:
- Implementing intuitive AI search tools in high-traffic areas, such as a highly visible search input like Google or ChatGPT
- Leveraging existing data to tailor the experience for individual users
- Incorporating AI to suggest actionable steps for users, such as notifying them of forthcoming payments
Using AI to Combat Fraud
AI can also be a powerful tool in the fight against fraud, helping to identify anomalies in login patterns and payment behavior. Fraud detection and prevention is a multi-player sport that includes your financial institution, technology partners, and your business owners. Millennials are keenly aware of the threat of fraud and look to their financial institution to use every tool in their toolbox to help protect them.
Position Your Institution for the Future
By showcasing your digital banking platform’s AI-driven capabilities to younger business owners, you position your institution as an industry leader ready to support business growth with innovative solutions. Furthermore, by future-proofing your platform, you help to maintain a competitive edge.
Apiture is planning for the future by incorporating AI technologies into our online and mobile solutions that will benefit both your institution and your users. Contact us to learn more about AI in digital banking and how it can benefit both your institution and your account holders.
