Fintech is becoming the most demanding and fastest growing sector. It has a complex ecosystem with data security and privacy as the top priority. Customer data privacy regulations such as GDPR, CCPA, and PIPEDA are important, but they should have strict regulations across internal systems and processes as well. These demands cause major changes and disruptions in the BFSI ecosystem. Maintaining strong security and privacy measures along with providing a unified, real-time, and consistent customer experience is always a major challenge for the financial institutions.
These considerations, understanding the industry trends, and how to combat these challenges are always essential. In this blog, we will explore how AEP can help Fintech Industry can combat the major challenges and focus on the importance of data and personalization.
WE WILL START WITH THE TRENDS BRINGING DISTRUPTIONS IN THE INDUSTRY.
Financial Trends:
- Accelerated Digital Growth
- Multi-channel Mayhem
- Technology Updates
- Unified & Real-time experiences
- Emerging Competitors
Accelerated Digital Growth
The recent pandemic has significantly increased digital adoption and changes in customer behaviors. Customer requirements are now dynamic. They need their requirements fulfilled at the right place and time.
Multi-Channel Mayhem
Customers can interact with you through several challenges such as mobile apps, social media, chatbots, and others. It can create chaos in serving consistent and personalized customer experiences. Financial institutions have to ensure that they are providing their customers the same level of services, personalized recommendations, and information irrespective of what channel they prefer to connect.
Technology Updates
New technologies are introducing in the industry. Cloud-based and open technologies are a few examples that can be challenging for financial institutions to adopt. In addition to maintaining technologies standard, they must deal with the increased regulated requirements, higher cost of change, and processes.
Unified & Real-Time experiences
Customers want a unified experience, or a one-stop shop for all their needs. However, it remains a challenge for majority of the financial institutions to serve them exactly what they want whenever they want.
Emerging Competitors
Financial services are more competitive than ever before. Consumers have multiple options to choose from that becomes a challenge for companies to close the conversion at faster rate. To win the race, you should know your customers better and build a strategy to satisfy them with the best offer.
How to Combat These Challenges?
Financial institutions must make sure that they are considering these challenges to design a solution that boost their conversion rate and customer satisfaction rate. To combat these challenges, marketers should focus on these four pillars:
1.RELENTLESS CUSTOMER FOCUS
Customer focus becomes increasingly important for businesses in highly competitive ecosystem where customers have high number of options that ever before. Consumer data is lifeline of marketing and should be the prime focus of any marketer. Breaking down the data silos and positioning the customer data at the center is required to enhance digital experiences.
2.OMNICHANNEL EXECUTION
Proper execution of plans across channels is also critical. Knowing that data plays an important role in the future, designing datasets across channels (such as mobile, websites, apps, etc.) shield financial institutions from future enhancements.
3. IMPROVE TRUST MULTI-FOLD
Gaining customer trust is one of the important aspects to increase the conversion rate. Data breaches and privacy concerns lead to customer churn. So, data privacy and security cannot be ignored. It is important to hold customers‘ trust right from the first interaction to get information and empower marketers with data.
4.EMBRACE AI/ML WORKFLOW
Automation powered by AI/ML and cloud–based offerings integrated with your technological stacks will enhance your accuracy and efficiency. It can help you automate tedious and time-consuming tasks, enhance fraud detection, improve risk assessment, and provide personalized financial services to customers.
NextRow’s Solutions for Fintech powered by AEP
The major roadblocks for marketers that hinders customers journey in the current FinTech ecosystem are:
- No data driven next best offer
- High probability of abandonment (Manual multi-step form)
- Offline deflection hampers customer acquisition
To remove the impact of these roadblocks and enhance the customer experience, we have built an extensive financial services solution powered by AEP including integrations across AEC products such as – AEP RT-CDP, AEM, Adobe Analytics, Adobe Target, Tag Manager, Amazon Cloud Storage (First Party Data source), and MX Platform API (Second Party Data Source).
HOW MX PLATFORM API BRINGS VALUE TO THE PLATFORM
MX Platform API is an aggregation and ingests platform that provides consumer data through open APIs while maintaining a high degree of privacy and compliance in a consent–driven fashion. You can get a holistic view of customer data in a fragmented landscape thus improving customer personalization. AI-driven insights will support faster processing of meta-data into usable components addition to this, you can easily integrate your existing customer, internal credit core system, and any third-party data to get enhanced data.
ROLE OF AEP
Being a core component, it will take your customer experience management to a new level. It collects data in scalable and user-friendly fashion and stores it in the data lake. It commits data from multiple sources such as CRM, web behaviors, and second party data to build real-time customers profiles that can be easily shared across various platforms such as DSPs, email service providers, and personalization engines. The integrated AI/ML helps marketers to clean, addition insights, and enrich customer profiles.
THE RESULTS
As FinTech is a growing sector, marketers need to keep focusing on improving customer experiences and personalization. With our especially designed solution for Fintech, you can increase customer engagement, improve conversion rates, lower drop-off rates, and increase customer trust while maintaining a higher degree of privacy and compliance.
Want to know more about FinTech Solution powered by AEP? Set up a one-to-one meeting with our consultant.
To know more about our solution and AEP architecture, browse our webinar.
