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TRANSFORMING THE DIGITAL BANKING EXPERIENCE

Digital

David Poole, Head of Financial Services at digital consultancy Publicis Sapient

Prognosticators have been pointing to 2020 as a touchstone for change. What can we expect? 

For the better part of the decade, business prognosticdigitaators focused on predicting the state of play for their industries in 2020, even naming the exercise a “20/20 vision.”

Now, as we are at the beginning of that new decade, many of those predictions remain unrealised as banks face unexpected shifts and new competition. Only hindsight is 20/20.

A great banking experience no longer means having a great, well-staffed branch. In fact, customers may never visit the branch, as they have an increasing choice of digital banking solutions. The banks that will thrive in this new decade and beyond, will win on digital experience – less how it looks than how it feels.

The recipe in 2020 for a successful banking experience is LEAD – Make it Light and Ethical, including simpler, transparent pricing and fewer payment options, and more Accessible with a combination of voice and touch. Make it Dataful, using customer data for insightful experiences anticipating behaviour and built around customer life goals.

Here is more on each of these trends:

 

Pricing strategy

Unlike a Netflix bill or the simplicity of Amazon Prime, most consumers struggle to say what they’re charged for a checking account, ATM withdrawal, loans, advice, trades, and portfolio management. The costs are spread across multiple providers, and fees are confusing and constantly changing. In 2020, banks will experiment with simpler pricing and product bundles, determining how much customers will pay, for what, and how to make it easy to understand.

 

Simpler payment options  

The rapid pace of payment innovation has resulted in a proliferation of new ways to pay– making the point-of-sale cluttered with logos that confuse customers. Fortunately, we’re going to see things start to get simpler. We’ve seen the first instances of a combined click-to-pay button with the EMV SRC logo, live now on a few sites with more to come in 2020, replacing Masterpass and Visa Checkout. Expect fewer buttons, fewer steps in the process with increased adoption of stored payment within the browser, and fewer separate apps, replaced with effective one-stop services.

An example of a light experience will be paying with PayPal, where they’ll build in the couponing service; the frustrating task of finding a valid coupon is now built into checkout. Expect more mergers and acquisitions – like PayPal acquiring Honey – to offer one-stop convenience. These lighter, accessible experiences will ensure payments are relegated to the background, and the emphasis can shift instead to using customer data to add value before and after the transaction, adapting the experience to the way the customer wants it and is most comfortable with.

 

Graphical voice assistance

This year, banks will get voice lessons. Alexa skills from banks have yet to reach farther than novelty and niche, with voice-only interfaces remaining inherently limited for finances. When you add a touchscreen to view and interact with, the more complex tasks – like paying a bill or managing your portfolio, become possible.

Scenarios and the accompanying financial data can be visualized, cutting through long voice menus, while decisions can be simply articulated using voice. The sensitivity to hearing and conversing about private finances is replaced with sensitive data on the screen, while uncontroversial commands can be voiced. Voice-enabled screens like Amazon Echo can support these combinatory skills, yet so can smartphones. 2020 will be the year when mobile banking apps better combine touch with voice.

 

Anticipatory Banking i.e. Life Goals

A decade ago, omnichannel banking was a hot trend, applying what worked in retail to make it seamless to bank across channels and shift from pushing product to addressing needs.

Ten years later, banks are still working to deliver omnichannel, and it represents a moving target since there are now more channels, and customer expect more complex needs to be met. This started as a translation exercise. You say “car”—we say “car loan.” You say “new home”—we say “30-year fixed rate mortgage.” This new taxonomy suggested a customer-first approach, yet in reality was thinly disguised product marketing.

Now, the trend will de-emphasize point solutions in favour of life events and customer goals. When a customer’s goal is “I want to get married,” the financial services required are less defined and prompt individual consultation and advice. In an April 2019 announcement of Bank of America Life Plan, the bank promised a fall release to use these sorts of goals to orchestrate services across the lines of business through Erica and the app. Recent beta tests reveal basic goal creation, and similar to the two-year lag with Erica between the PR and release, banks are finding these shifts take longer than anticipated to get right.

What will set 2020 apart is the maturation of voice, chat and AI to tie the loose ends together and serve them up through improved apps and virtual assistants like Erica.

 

Banking

WHY BANKS NEED TO EMBRACE WELLBEING IN THE DIGITAL EXPERIENCE

Howard Pull, Head of Digital Transformation Strategy at MullenLowe Profero

 

The impact of the COVID-19 crisis on the economy has been huge. Over the past six months, youth unemployment figures have dropped, wages have stagnated and GDP has fallen by a record 20.4%. The drop in GDP is worse than the 2008 Financial Crisis, the Winter of Discontent and the Great Depression.

While the furlough scheme and other government measures have provided some much-needed financial support, the prevailing social and economic conditions have made money worries increasingly common. According to a recent survey from MullenLowe Profero, during the pandemic 40% of 18-25-year-olds are afraid to look at their bank account, with a further 40% stating that thinking about their money has a negative impact on their own personal wellbeing.

In response to these rising financial concerns from account holders, it is clear that banks need to help people – especially young people – feel more confident in managing their money. In particular, banks need to provide more educational support to their customers about how they can make the right financial decisions. This means designing tools and support services to enable more people to effectively manage their finances.

With 60% of consumers aged 18-25 believing that banks should help them have the capacity to absorb a financial shock, financial institutions also need to adapt their products and services to meet the needs of more uncertain account holders.

Adapting services, however, is easier said than done. The pandemic has radically shaped consumer behaviours and therefore the old rules no longer apply. For example, while consumers in the past may have preferred to discuss financial matters in person at a bank branch, risk of infection and the widespread use of digital tools has meant that the majority of young people want banks to provide wellbeing services online.

Digital experiences are also important to the future success of any bank. According to MullenLowe Profero’s report, digital experience is now the number one reason why young people choose a bank. Therefore, it is clear that banks during the pandemic and beyond need to reevaluate their operations and shape their personal wellbeing strategies around digital tools.

 

Community and Global Wellbeing

MullenLowe Profero’s report into financial wellbeing found that young people weren’t just concerned with their own personal wellbeing. They were also concerned about the importance of community and global wellbeing too. In fact, over half of 18-25-year-olds agree that the events of the last few months have made them seek out brands that do better for the world, with another 50% stating that the importance of a local community has increased during the pandemic.

Community wellbeing is concerned with the importance of local areas and the businesses and organisations that are based within them, whereas global wellbeing is concerned about the entire world. For banks, showing support for areas local to their branches and customers as well as issues affecting the globe such as the climate crisis is important to maintaining the trust and support of account holders.

Focussing banks on concerns around community and global wellbeing requires banks to assess their impact on the wider world. In other words, it forces banks to check who they support and where their money could be better placed. For example, young people want to be recognised for their positive behaviours. 56% of 18-25-year-olds want rewards and benefits for purchasing ethical and sustainable products and services.

The findings of the report found that young people across the board want financial institutions to reflect their values and to help them manage their finances. With COVID-19 continuing to wreak havoc on our day to day lives, banks can provide much-needed support by offering educational help as well as creating products and services that actively manage an account holder’s finances. They can also step in and provide support to the wider community and world by taking measures to reward ethical and sustainable behaviours.

 

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Banking

IMPROVING THE BANKING EXPERIENCE THROUGH INFORMATIVE AND ENGAGING VISUAL COMMUNICATIONS

Javier Lopez, General Manager Vertical Solutions, OKI Europe Ltd

 

Banks play an integral role in daily life. However, everyday opportunities such as attracting new customers into branches to open an account, or promoting new offers and services to existing customers, can be lengthy, expensive and cumbersome processes – especially when tailoring communications to the specific requirements of each branch, or differing customer needs.

Quickly creating and adapting in-branch visual communications to communicate and educate cost effectively while remaining on brand can be a challenge, especially for banks that have networks of branches and print their visual communications centrally or use third-party suppliers.

 

Building trust through signage

Visual communications can help build trust and satisfaction between you and your customers.  The ability to create and print personalised communications on demand can not only instil confidence in your brand, it can also offer the flexibility to quickly adapt to financial trends and fluctuations in interest rates. This is particularly important in today’s volatile market, so that you can keep your customers informed while remaining competitive.

Javier Lopez

Printing in-branch and on-demand is an immediate and cost-effective way for banks to communicate with customers. With the right printer on-site, branch staff can easily create and print signage and customer communications as well as everyday documentation to a professional quality as and when needed. This saves on the cost of third-party suppliers and eliminates lead times for essential signage.

The ability to print a comprehensive range of collaterals in-house including freestanding and hanging banners, posters, self-adhesive floor and window stickers, as well as personalised leaflets and direct mailers, can help keep customers informed about the latest services and offers. It can also be used to remind both customers and staff to adhere to social distancing guidelines. Furthermore, the same printer can be used for day-to-day documents such as personalised mortgage or loan offers.

 

A message that sticks

As the world adjusts to a new normality, OKI Europe Ltd recognises the challenges banks face when encouraging social distancing and has teamed up with Floralabels to offer free* social distancing media and artwork to create self-adhesive floor stickers that can be printed quickly and easily from an A3 colour printer such as the C800 Series.  Floor stickers can help ensure customers maintain safe distances while queuing at counters, kiosks and ATMs. The free stickers include self-adhesive floor circles (285 x 285mm) and rectangular floor banners in two sizes (215 x 900mm and 297 x 1,320 mm) with various designs and messaging options to choose from.

 

Achieving ROI with a do-it-all device

When it comes to printing in-branch, implementing a printer with unrivalled media flexibility will provide the best return-on-investment. Not only will the bank be saving on printing and delivery time and costs, it will also save on storage space or potential wastage as well as offering the flexibility to be more reactive to market trends in a timely manner.

OKI’s multi award-winning C800 Series A3 colour printer is designed to take up a minimal footprint and will supply everything from 1.3m metre hanging and freestanding banners to posters, self-adhesive floor stickers, window stickers, leaflets, flyers and much more on a diverse range of materials. Featuring OKI’s pioneering digital LED technology, the C800 Series delivers professional quality results, at high speed and on-demand.

Banks are vital to helping people and businesses prosper, supporting economic growth. Investing in cost-effective do-it-all devices that enable the fast rollout of eye-catching, professional quality collateral will help banks and their customers thrive.

 

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