Riding on the Digital Wave in BankingBy CIOApplications Europe
The increased use of smartphones and social media channels have caused major financial institutions offering banking services to leverage new age smartphones. Digital banking empowers a user to transfer money or avail other banking technology services from the comfort of home, or even on-the-go. Creating a digital banking ecosystem renders numerous benefits to the customers as well as banks. Be it opening a bank account on a smartphone or transferring money to a registered beneficiary, without having to visit the branch.
Today, several banking giants operating at the global scale process more digital transactions than local or national banks. Although financial institutions are evolving to incorporate digital banking, brick-and-mortar branches remain a preferred channel for a significant share of customers, who still like to visit a branch for face-to-face banking; either to withdraw cash or to seek advice on financial product/service. While not all customers are comfortable doing banking from their pocket (using a smartphone), banks are required to reinvent themselves to turn their physical channels into ‘smart’ branches. A smart branch that combines the benefits of both physical and digital banking can attract new customers while retaining the existing ones.
Overall, shifting the spotlight to “smart” enables banks to not only serve the needs of their customers but also help them forge a strong relationship with them. However, many banks are yet to figure out the new age banking solutions to serve their customers. Smart banking will add tremendous value in taking customer relationship to a greater level. To offer superior customer experience would require banks to provide round-the-clock banking services across all channels and platforms including social media.