Over two thirds of the UK adult population are active online banking users, and 30% are using mobile. So why is the Financial Services industry still in last place when it comes to delivering on customer experience expectations? The requirement for a new business model that reflects the modern consumers’ lifestyle has never been more evident.
Qubit’s Digital Insights Roundtable
On 3rd March 2015 Qubit met with 16 industry experts to discuss this question and to dive deeper into the insights from our new whitepaper, Dialing up the digital: insights from the financial services industry, which calls out 8 key challenges the industry is facing, and how to move forward.
The event kicked off with speakers from Google and Legal and General covering the state of play and the journey towards digital transformation. We then had Lynette Saunders from Econsultancy lead a discussion addressing critical questions that both traditional and new entrant firms are asking today.
Content: it's about the pull not the push
In the UK, Google receives 25M searches per month on financial services products. This insight really hit home with many attendees. One key theme was about how to generate content that truly resonates with customers. As one attendee put it “You’re not going to talk about exchange rates 365 days a year, but what do you talk about?” All agreed that it’s about delivering the right communication at the right stage, but how to accomplish that is the hard part. Financial services businesses have a complex challenge around segmenting their customers based on where they are in the purchase path, as well as what life stage they are in. The ability to successfully marry behavioral and customer data is critical to delivering contextually relevant content, and those who can do it will truly delight their customers.
Data: The good, the bad, and the ugly.
Getting the data into one place came up as a consistent challenge across both new entrants and traditional finance. One participant noted that the first step is getting the data into one place, which is what most organizations are struggling with today, but then equally important is the question of what to do with it once you have it.
Achieving a single customer view was something all participants aspired towards but few had made any strong progress towards. One speaker noted “No organization has cracked it, but in reality financial services is far further behind the curve than anyone else. The sooner you start that journey to begin using digital data and extracting learning, the sooner you’ll become more proficient”.
Customer experience: The new battleground
So what was the consensus on customer experience? Is it really the next battleground? One view from a traditional finance attendee was that customer experience was always primary, only now just getting more attention. Another perspective from a new entrant was that, “Customer experience isn’t an option, it’s a necessity. Going up against incumbents with huge budgets and legacy requires the delivery of an experience that’s 10 times better than the alternatives; the type of experience that drives scale through evangelism.”
With new entrants viewing customer experience as their lifeline, traditional finance has to respond, and so the battle begins.
To learn more about how to shape your digital strategy to provide superb customer experiences, download our whitepaper Dialing up the Digital: insights from the financial services industry.