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How To Select An Omnichannel Banking Solution?

How To Select An Omnichannel Banking Solution?

After reading this blog, you will have a clear idea about what you need in an omnichannel banking solution. You will also understand how to determine the ROI for your own organization as well as for your business partners such as merchants and insurers.

Before we step into how to select an omnichannel banking solution, let us explain what exactly it is. An omnichannel banking solution would provide seamless and continuous interaction between a financial institution and its customers across different channels. In this, each channel aims to create a unified message and voice.  

Why does an Omnichannel solution make sense for banks? 

Having an omnichannel banking solution makes it possible to offer secure banking services anytime and anywhere for your customers. Banks which offer such a solution will be able to provide personalized service across every touchpoint. With the financial sector changing at an unprecedented speed, there is already an increase in consumer-driven omnichannel digital banking.  

With the help of an omnichannel solution, you will be able to offer your customers the convenience of digital banking, but also give them the opportunity to have face-to-face interactions to solve their issues. This hybrid solution of convenience and efficacy is what makes it appealing to your customers.  

When to consider Omnichannel Banking for your financial institution? 

While customers are happy with the convenience that digital channels provide, they still want branch services as well. According to a consumer study by Future Branches, 42% of customers prefer the mobile banking experience to a desktop and a physical brand experience. But it is sad to know that more than 35% of financial organizations have not started with any digital transformation.    

On top of this, customers’ preference for digital channels depends on the kind of banking product that they are dealing with. For example, customers would prefer doing an online payment instead of having to drop the cheque at their local bank branch. But for complex products like investments or a housing loan, customers would rather deal directly at the branch, although they will do an initial-level research about the products using digital channels.  

When your customers are using digital channels for their research, you need to give them the much-needed push to visit your branch, and this is where having an omnichannel banking solution makes a huge difference.

How to Select an Omnichannel Banking Solution? 

There are a lot of factors that you need to consider before going ahead with equipping your bank with an omnichannel solution. Let us look at how you can select an omnichannel banking solution. 

#1: Assess your current omnichannel customer experience

What is the level of sophistication that you provide to your banking customers? Do they have to travel to their closest branch for every issue? Are you able to give your customers a personalized service? Do you follow a one-size-fits-all approach for customers’ issues? The answers to the above questions will help you assess where you stand currently when it comes to customer experience.  

#2: Research the banking technology landscape 

Before you start with your shift from a multi-channel ecosystem to an omnichannel one, you need to be aware of the banking technology landscape. There are a lot of new technologies such as automation, blockchain, cloud services, AI, ML, etc. that are gaining a lot of traction. Banks need to embrace these technologies if they want to speed things up. Data is going to be the key player for banking institutions if they want to figure out how to improve customer experience. Make your choice of technology based on your current infrastructure and the capabilities of the technology partner that you hire.

#3: Define your risk appetite and cost structure

To ensure that you can do the shift to omnichannel banking effectively, banks need to have the right tools, capability building, and performance management frameworks. Banks might have to invest in digital training platforms which might have a ton of specific things such as infographics, videos, presentations, etc., to provide continuous support.   

You need to make sure that all the changes which you are making are based on your risk appetite. Do not overstretch yourself in terms of the kind of disruption you can afford to make with your day-to-day banking activities. The cost of the entire exercise is also something that you should be aware of before giving a go-ahead to it.

#4: Assess your vendor options   

Technology solutions for banking is not an easy thing to do and it requires a unique set of skills and domain expertise to do a good job. The vendor that you choose should have the wherewithal and technology experts to get things done for your business. Before you decide, ask them if they have worked on similar digital banking solutions earlier. If not, it might not be a risk that you want to take up.

#5: Considerations for a successful go-live  

It is imperative that you identify all the elements which will help you successfully implement an omnichannel banking solution. For your shift to an omnichannel solution to be successful, you would need the following: 

  1. Data-driven marketing personalization  
  2. Granular customer data to get the targeting right 
  3. Highly equipped sales force who have all the necessary tools to succeed in an omnichannel ecosystem

How to measure your Omnichannel Solution success?   

Getting successful results from an omnichannel banking solution won’t happen overnight. You need to make sure that you have clear workflows and the right support in place to get things rolling. Here are a few performance metrics that you can measure to see its success: 

  1. Customer satisfaction 
  2. Increase in sales 
  3. Increase in upsells and cross-sells 
  4. Better brand awareness 
  5. Conversion rates 
  6. Increase in customer loyalty 

If you measure the above metrics like a hawk, you would be able to observe the results that your omnichannel banking solution has given for you.  

Conclusion: 

The financial sector is changing rapidly, and every player in this ecosystem should work together to create better measures to satisfy their customers. Omnichannel banking solution requirements vary from customer to customer. Have a goal in mind before you start with your evaluation process.   

Having managed unique technology environments and complex systems for financial institutions, we know how we can help you. The technology banking experts at Zuci will be able to help you with digital transformation and our omnichannel banking solution will change the way customers perceive you. Get in touch with Zuci Systems to see how we can be of help.

Janaha

Janaha Vivek

I write about fintech, data, and everything around it | Senior Marketing Specialist @ Zuci Systems.