To be a digital bank has become imperative for the banking industry players, as next-gen customers won’t settle for less. The BFSI industry has been under a turmoil of disruptions due to the rapid financial technology advancement and increasing digital adoption by the masses.
Banks must focus on Gen Z, as they head towards becoming the banking customers of tomorrow. There are several factors that financial institutions and banks should focus on to stay relevant in the coming time. The identity of Gen Z is inextricably tied to being online, and thus, are paving way for resetting expectations for digital experiences.
To remain relevant to this new breed of customers, financial institutions and banks must note and adapt to the shifting expectation that this generation is bringing.
Every bank should become digitally enabled to cater to the modern and advanced expectations of customers. So how do you get there?
Step 1: Digital Business Strategy
Adopt a banking customer-centric mindset and have a clear idea of the impact of digitized solutions across the organization. Think about the value it can bring across the financial institution. Develop a compelling digital vision that’s aligned with your business strategy.
Step 2: Shift to An Agile Organization Structure, Accelerate Digital Transformation
Focus on cross-functional teams, while you evolve your goals. Improve ROI and increase customer retention rate by focusing on end-to-end customer journeys. Pilot cross-functional teams focused on the customer’s journey and empower them by basing budgets on achieving the desired results. Gather insights from the pilot and scale them across all other customer journeys.
Step 3: Shift to Microservices and an API-First Culture
It has become imperative for banks to shift to a microservices & API-first architecture to innovate faster. Fintech platforms are emerging as a good option for banks to add digital and modern banking functionality and capabilities to their organization.
Step 4: Create More Value for Customers
Shift the focus of operational improvements to creating more value for the customers. Cultivate a customer-centric mindset and develop business practices that are empathetic towards the customer’s experience. Hyper-personalized deliverables and the ease that follow can help a bank increase customer acquisition and grow customer loyalty.
Traditional banks will become obsolete soon. The digital era has given banks and financial institutions an exciting opportunity to become an imperative part of their customers’ daily lives. They must act today to become customers’ bank of choice tomorrow.
Banks that adapt to changing consumer expectations and digital technologies will not just survive but also thrive in the digital environment of the future.
Banks don’t need to leap alone. Arttha, a Unified Fintech Platform has been helping banks and financial institutions to deliver compelling customer experiences while allowing them to operate with ease. Hundreds of banks & financial institutions and several mobile operators have adopted Arttha in the last couple of years.
Banks and financial institutions wanting to learn how to capture a significant share of the influential and growing market, Let’s talk.
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