A decade ago, the word “bank” evoked imagery of long queues, endless paperwork, and tedious processing time. Fast track to today, transactions across retail banks are speedily migrating from physical to digital banking services. The reason? Large retail banks now understand that customer expectation is fast-evolving due to the seamless transaction experience offered by Fintech companies and other online financial institutions. Moreover, according to a research report by Forrester, 71% of business and technology professionals at retail banks agree that improving customer experience is a critical priority. Thus, to deliver a seamless customer experience and remain competitive against digital-first startups, the next wave of digital banking involves leveraging cloud-basedomnichannel banking solutions for retail banks.
So, what is omnichannel banking? Why should you use an omnichannel retail banking solution? How cloud banking makes omnichannel servicing a reality? How can banks make the giant leap to become a true omnichannel distribution platform? Let us explore this further.
Omnichannel Banking- Definition
In simple words, omnichannel banking involves providing the same services for customers across all channels (digital or offline). It means the customers can avail of the banking services from a website, mobile app, branch office, call center, or any other channel available.
This is just a basic definition. In reality, there is more to it. A true omnichannel banking solution synchronizes real-time data across all digital channels. For instance, the customers may begin onboarding on the website and complete it on the mobile app without providing the details again.
Additionally, omnichannel banking has a critical role in automating back-office operations, boosting marketing performance, and improving customer retention.
The Importance of Omnichannel Experience for Retail Banks
Many studies demonstrate the significance of digital channels. According to a McKinsey survey, 60% of active banking users prefer digital banking operations. Moreover, 80% of all customer touchpoints occur digitally. However, the survey also found that almost 50% of customers want branch services, and digital channels only involve 25% of customer conversions.
These data prove that although digital channels transform retail banks in many ways, most sales still occur via phone calls or in branches that involve human interaction.
In this light, many banks have already ramped up their investments in digital platforms to complement traditional channels. For instance, Cynergy Bank brings the human touch to digital banking to create a ‘human digital bank’ with Wipro on Google Cloud services. Therefore, the next wave of digital banking is all about transitioning from multiple channels to omnichannel to increase sales and productivity.
How Cloud Banking Solutions Make Omnichannel Distribution a Reality?
There is a lot happening in the banking industry, such as new digital channels, the mix of digital and offline channels, and changing customer demands. Messaging has moved from synchronous to asynchronous, allowing conversations to be resumed later. Additionally, many retail banks now employ AI-powered chatbots to work alongside customer service teams, giving them the accurate data, they need to resolve customer queries more quickly and confidently.
Cloud computing in banking enables seamless integration of these new capabilities into the omni-channel banking ecosystem and makes exceptional customer service a reality.
How can Banks Make the Leap to Transform into a True Omnichannel Distribution Platform?
If retail banks want to provide a true omnichannel customer experience, then they should develop the following three capabilities in addition to making the cloud transition:
- Use Advanced Analytics for Useful Targeting
Retail banks should leverage advanced analytics and apply them to the data generated through customer transactions and digital banking services. With the help of analytics, banks can derive crucial insights into customer behavior and spending patterns to tailor and target promotions and offerings more precisely, drastically increasing the effectiveness of omnichannel sales.
- Leverage Marketing Personalization Across Various Channels
Banks can leverage top-notch digital marketing techniques to drive marketing personalization for a significant omnichannel experience uplift. They can track customer clicks across web pages and analyze this data using advanced analytics to send personalized messages that capture customer attention more effectively.
- Engage and Equip the Sales Team
Retail banks should pay equal attention to the human side of the omnichannel model also. With an expert sales and customer relationship team, banks can deliver better customer experiences. Hence, many of them are now investing in digital training platforms to engage and equip the sales force with appropriate knowledge regarding digital banking channels, ensuring complete alignment of sales with customer needs.
Go Digital with Wipro’s FullStride Cloud Omnichannel Banking Solution
Creating a robust omnichannel banking platform is the next step for retail banks to offer a top-notch service experience to their customers. By leveraging the flexibility, scalability, and robustness of Google Cloud services, Wipro builds a unique, strategic omnichannel banking framework to help retail banks reimagine customer journeys. To enable omnichannel modernization in your organization, embark on a transformational journey with Wipro today!