- On February 3, 2020
Every online customer interaction with your banking institution is a chance to make an impression. The experience of signing up for a new account can be the crucial factor in distinguishing your banking institution from your competitors. It remains a pain point for many banks, with many of them spending millions trying to manage what, in many institutions, is still a largely manual process.
Enhancing the Customer Experience With Digital Transformation
A recent study by J.D. Power saw some notable growth in the number of digital-only banking customers. However, the study also noted a decline in satisfaction among those clients versus those who used branch-only or multi-channel banking institutions. It shows that while digital banking offers institutions the chance to reduce costs, many are not leveraging it as much as they could to enhance the customer experience for on-boarding.
There are three key areas where banks could make improvements with the customer on-boarding experience.
- Making the mobile experience more efficient
- Personalizing each step of the on-boarding experience
- Giving customers easy access to information needed to complete the process
- Reducing the amount of required data entry for an account opening
- Capturing information from scanned forms and documents
Predictive modeling and behavior recognition technology gives banks a prime opportunity to deliver the personalized experience that builds customer loyalty. You can learn from the patterns of customers as they spend, deposit, and explore different banking products. Having that information gives you insight into the products they may like to purchase and their lifetime value to your bank.
Institutions should look for ways to facilitate end-to-end automation of the on-boarding process. It also pays to invest in tools that facilitates better engagement with customers when they reach out to your institution. A transparent, streamlined processes reduces frustration for banking customers while allowing your employees to deliver better service.
The Benefits of a Better On-Boarding Customer Experience for Banking Institutions
An improved account opening experience through digital transformation puts your banking institution in a position to reap the following rewards.
Reducing the amount of manual paperwork around onboarding reduces the amount of money your bank would have to spend during the on-boarding process. Eliminating duplicate steps and manual work can reduce your operational costs. Banks can also find savings in auditing processes by providing more enforceable processes and clear audit trails for regulators.
Better Compliance Tracking
Gaps in onboarding compliance led to over $15 billion in fines for banks around the world. Automating the onboarding experience gives your bank the opportunity to minimize gaps by enforcing a uniform compliance structure for each new account opening. Digital transformation also enables banks to anticipate and adapt to industry regulatory changes keeps customers informed. Bank employees also get the help they need to ease the transition without disrupting their normal workflow.
Reduction in Human Error
There is nothing worse than an inadvertent typing error leading to banking confusion for a customer. Removing the need for manual keying of pertinent information during onboarding reduces the chances of clients running into issues while creating an account. Automated security protocols also prevent bad actors from establishing fake accounts that could lead to regulatory fines.
Let Sumerge Revamp Your On-Boarding Experience
Sumerge helps institutions create seamless on-boarding experiences for their customers. Set up a workshop with one of our team members to get a more in-depth understanding of how we use cloud, microservices, and other technology resources to revolutionize your bank’s on-boarding processes.