Lifecycle Management Part 4: Making the Most of Customer Interactions
In today’s day and age, banking has become almost a self-service business. Checks are direct deposited, balances are checked online, cash is withdrawn at ATMs, and deposits are made via mobile phone. Personal interactions with consumers either at the branch or over the phone are few and far between.
When banks do get a chance to personally interact with customers and prospects, it is important to make the most of those opportunities. They key is funneling real-time insights to the front line (tellers, financial advisors, personal bankers, call center representatives, etc.) so they can ensure they are promoting the right offering to the right person at the right time.
“Banks need to make the most of every interaction because those interactions are becoming more and more precious,” said Brad Jones, Retail Banking Leader at Equifax, in Customer Lifecycle Management Best Practices.
What would you do differently at the point of interaction if you knew . . .
. . . your share of your customer’s wallet? Do they hold most of their assets with you? Or with other financial services firms?
. . . their investing preferences? Are they risk adverse? Do they favor money market accounts?
. . . the best product or service option to offer? Are they suited for your retirement product offerings? Savings accounts?
And, how would that knowledge impact your bottom line?
Applying insights at day one
Access to real-time insights is especially important during new customer onboarding. With limited information, financial institutions may only know the opening deposit amount of the account. By using real-time insights to help better assess a new customer’s long-term growth potential, bank representatives can do a better job aligning new customers with the appropriate offerings and service channels.
Rather than placing new customers into a particular treatment group based solely on low opening balances, real-time insights can help you determine if they would be good candidates for a specific deposit product, a premium service channel, or offered the chance to speak to a private banker. Those split-second decisions can yield high results over time – both in terms of assets under management and number of products held by your customers.
“It’s about opening the right accounts and engaging households immediately. And that means having more and better data available immediately” says Jones, adding that many financial institutions are getting a “wake-up call” about the need to take real-time point of interaction analytics seriously.
Data analytics is here to stay
Whether your organization decides to embrace the real-time analytics revolution, it is a sure bet that your competitors will. The implementation can be easy and the potential ROI is so great that it is impossible to ignore the potential for discovering hidden value in your existing customer base — especially in today’s environment of greater compliance, regulation and shrinking touch points that are hurting many financial institutions’ bottom lines. Real-time point of interaction insights are the answer to reversing that trend.
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