Three CX-defining ways that the banking industry can use digital channels to its advantage

The digital transformation of the banking sector and changing consumer behaviour is driving significant disruption within the industry. Large, well-established banks are facing a new wave of challengers entering the market. As customers increasingly value experience and look to manage services over digital channels, banks must look at how they communicate with their customers. Convenience is what consumers want, but they want it without compromising on the security of their data or their financial assets. That’s why banks must realize that every interaction with customers is an opportunity to build trust as well as lasting customer relationships. Banks must consider implementing multiple digital channels in order to meet their customers where they are and provide the best experiences possible. This blog reveals three CX-defining ways that the banking industry can use digital channels to its advantage:

1. Safeguard customers from threats

Building trust with customers is imperative for organizations that want to improve their customer experience, and this is particularly the case for financial service providers. Since the start of the COVID-19 pandemic, it’s been reporting that SMS phishing attacks have increased by more than 330% and that 87% of customers won’t answer a call unless they recognize the number. However, the latest digital communication channels can be used by banks in order to improve trust, security and brand recognition in order to safeguard customers from threats. Channels such as Apple Messages for Business and WhatsApp Business offer brands the ability to add company logos, descriptions, company information, ‘green tick’ verification badges and more in order to build verified business profiles that customers can trust. They also offer end-to-end encryption to ensure that customer data is protected and remains private. Google also offers verified communications over two channels – Verified SMS and Verified Calls. Both channels add a layer of authentication to standard communication channels that businesses already use every day. Verified SMS makes SMS messaging safer and more trustworthy by adding sender verification, link previews and branding to messages. Verified Calls displays a brand’s name, logo, reason for calling and a verification symbol when a call is made. Banking providers should consider implementing these new channels in order to build trust with their customers, reduce the chance of fraud as well as improving the overall customer experience.

2. Provide seamless payment experiences

There are an ever-growing number of ways in which consumers are able to pay for goods and services. Banking providers must be able to offer their customers seamless payment experiences across any channel and utilize the latest in-channel payment solutions such as Apple Pay to enable customers to pay with ease. Banks must also build intelligence around their customer’s channel preferences and send notifications about upcoming bills through the channel that best results in successful payments. They must also optimize payment collection journeys that direct customers to an app or connect them to customer service agents so they can fulfil their promise to pay.

3. Create interactions built with context

To create a connected banking experience, banks can utilize communications platforms and the latest digital channels to build end-to-end customer journeys that are targeted, personalized and have customer context in mind. Banking providers can use a central communications platform to automate real-time marketing, service, and operational communications in response to who customers are, what they are doing, and what they need. By integrating data from different customer touchpoints and siloed business systems, banks should look at creating system-triggered journeys that deliver personalized interactions for each customer. The banking industry must also move away from traditional channels like email and voice and embrace two-way digital messaging channels like RCS and WhatsApp Business to promote their services, share policy updates, send reminders and much more. Creating contextual interactions is now an essential part of CX that banks cannot ignore. By interacting with customers on their preferred channels, with more relevant, targeted communications, they can improve brand loyalty, reduce customer queries, and increase revenue. Want to find out more about how your business can invest in digital channels as well as customer security? Get in touch with one of our banking solutions experts who can help your business embrace digital channels and innovate your customer experience.