Whether you know it or not, banking, and the financial services industry as a whole, is undergoing a revolution.
Peer-to-peer payments, online banks, mobile banking, investing, or any other financial service you can think of has most likely already been disrupted or at least challenged.
Technological innovations using Artificial Intelligence and Machine Learning have completely altered how we view, interact, and overall think about banks and financial services in general.
New business models have swayed towards paying closer attention and building stronger relationships with customers, focusing on their needs and resolving their pain points. And as consumer demands increase - digital products and services that offer customer-centric, fast and seamless experiences, will continue to be expected.
Take for example personal financial management (PFM) apps which allow users to have instant access to their personal finances, account balances, financial transactions, spending habits, budgets, and savings. These apps help users stay on top of their money and make smarter and more informed financial decisions.
Over the last few years, PFM use has seen impressive growth.
A 2018 survey by Bankrate indicates that 63% of smartphone users have at least one financial app. This number is sure to grow in the coming years.
As such, hundreds of banks around the globe have already adopted PFM tools to differentiate themselves and meet the constantly changing needs of their customers.
According to Forbes, “the evolution of PFM as an optional extra into digital money management sitting at the heart of financial services and products is well underway and that’s a good thing. Good for consumers, good for businesses and good for providers if they want to hold onto customers in a rapidly changing financial services landscape.”
Strands’ personal financial management (PFM) solution, driven by Artificial Intelligence, means smarter money management for the customer, improved bank-user engagement and a greater share of wallet for the bank.
However, PFM solutions will only succeed if the focus shifts to creating context-sensitive insights and functionality that helps consumers make good financial decisions. And, good decisions certainly pay off.
Banks today have the capacity and insight to know how their users spend money and can help them do it better. With all their accounts in one place and simple to understand, categorized transactions, customers are more able to plan ahead by creating budgets and setting financial goals for the future.
Our PFM solution when coupled with Engager (our user engagement solution), leverages customer data, generates forward-looking insights and offers smart recommendations. It anticipates the customers' needs and proactively suggests the next-best action.
Engager transforms every interaction into a guided and meaningful conversation, transforming complex data into relevant customer insights and added-value solutions in real time.
This benefits the bank by making it more significant to the customer and promotes ongoing engagement which in turn enables the bank to establish relationship-based banking.
Consequently, interactions with customers not only results in happy customers but impacts directly on the bank’s core business and increases ROI.
As Finextra points out, “in a world where over nine-in-10 banks are currently struggling to deliver on their personalisation promises, and where the bright lights of new digital offerings are tempting customers away to competitors, personal financial management as a service is giving banks the opportunity to re-engage and re-enthuse customers.”
If you are interested in finding out how Strands can help your bank, download our free whitepaper that explains exactly how our PFM + Engager solution can help banks leverage customers’ transactional data to provide actionable insights and personalized recommendations.
Or if you would like to get a Free Demo of our PFM + Engager solution, please fill out this form and one of our Sales Reps will get back to you quickly.