The customer relationship is becoming increasingly bound up in the digital experience – and few sectors are as heavily affected by this as financial services. People who belong to the millennial generation in particular live a significant part of their lives online.
A case study by Pitney Bowes observed that “banks need to adapt to these lifestyles; it’s up to them to get onboard with digital transformation so they can engage these customers, or risk losing them and their business.”
The Right Content For Each User
Intelligent use of customer data and content personalization are the driving forces behind the digital transformation of financial services. Personalization effectively requires content marketing that’s generated for each customer.
At the high end, it means creating it from pre-prepared blocks of text or graphical material that can be assembled in real time according to the individual user’s behaviour while using your website or app.
There is a good reason to make this a focus of your marketing efforts. Gartner research noted that real-time recommendations based on consumer behaviour have 10-15 times the response rate compared to other approaches.
Consumers expect to be treated more as individuals online, and a people-focussed approach to content means that your customers will be engaged by the most valued and relevant messages for them. Read more about key trends in personalization for the financial industry.
A report in The Financial Brand observed how banks can learn from examples elsewhere: “The goal is to replicate the level of personalization found in other industries such as retail, travel and hospitality, making engagements more seamless and offering solutions that are both real-time and contextual.”
Linking Customer Information To Marketing
The pathway to personalization has been prepared by social media, which can heighten the interaction between companies and their customers.
A notable example of this is American Express, which can link a user's Amex card with their profile on social media platforms and give them deals based on their Facebook likes and FourSquare check-ins.
Benefits Of Predictive Analytics
Financial services companies are at an advantage using predictive analytics on customer data compared to, for example, social platforms like Facebook because users are likely to trust the company to respect their personal details – as they already do for matters of money. Check out 5 mistakes to avoid on the path to personalization.
“Many financial institutions are faced with re-evaluating the way they offer products and services to a new generation of digitally native consumers,” said ATM Marketplace. “The institutions that will rise above are the ones that put their consumers first.”
To summarize: for financial institutions to succeed in personalization, the marketing strategy has to focus on advanced, automated interpretation of live data to enhance the user experience on any digital touchpoint. At Knexus, we enable you to meet that requirement for data-driven content personalization and delivery across multiple digital channels in real time.