The Banking Digital Trends Going into 2020

Data is trending in 2020, and this rings true for the financial sector, even more so than any other.

The introduction of transparency has perhaps affected the banking industry more than any other. Previously, banks were notorious for being extremely slow in adapting to anything new. With the digital influx increasing visibility, clients now expect transparency from financial institutions while being able to problem-solve their own issues; or with guided help that is catered to them specifically.

Data is the number one thing that anyone in the financial sector can use to improve their business offerings. Clients are willing to exchange their information for services, and understanding their data can lead banks to more business opportunities; increasing their offerings to attract even more clientele.

Partnerships

Partnering with multiple businesses will increase a bank’s network and create even greater synergy between businesses. This will help banks attract more clients and also boost the economic factor of those businesses the banks partner with. Imagine, being offered a multitude of different options for retail and business customers. Banks could offer up an exponential amount of solutions for their growing number of clients, should partnerships be formed.

Enhanced Data Functionality

These partnerships could help Bank’s enhance data collecting capabilities and grant access to lifestyle, psychological, and Banking habits. Banks could then offer exactly what their clients want. This is more than offering people what they say they want. It’s offering people what they want before they know they want it!

A Whole New Era Brings a Whole New Kind of Client

Today’s consumer wants speed, agility, intuitive design, and simple efficient services they can institute and navigate themselves. Fintech firms have become quite competitive with them because of Banks being slow to adapt to change. These firms are much more nimble, and with open banking and APIs, have only increased their efficiency to match today’s evolving technology and consumer demands.

Last-Touch Has Been Replaced with Multi-touch Attribution

While it seemed that last touch attribution was the go-to model for the banking sector, dealing with customers on the final touchpoint of the sales cycle, is proving to be less effective now that technology and data have entered the picture. While this method of attribution requires no advanced reporting, data now allows everything to be monitored through simple and easy methods; and clients are expecting quicker turnaround and opportunities to be presented to them.

Multi-touch attribution is the most inclusive of all attribution models that businesses could use. There are an almost limitless amount of ways you could interact and nurture your prospects, and it grants companies a deeper understanding of what clients want. In a case like this, you understanding your sales and marketing funnel to know what to offer your customer at whatever point they are in the funnel, and how to continue nurturing them until the desired end: the decision stage.

The most difficult thing about this method of attribution comes from your client knowledge. You need to have enough data to be able to follow a customer’s path through the various funnels and to know how each one of your offerings can serve to bring them closer to closing a deal with your company.

Digital Darwinism Will Keep Only the Strongest Around

If traditional banking companies continue to resist adapting to new technology and customer needs, Fintech companies who aren’t as regulated will overtake them simply by being faster and more adept. They will deliver to clients exactly what they need.

The Takeaway

The banking industry cannot let technology overtake them and must begin using whatever tools they can find to track, analyze, and communicate with their clients to ensure they remain competitive or they may end up going the way of the Dodo.

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