Automation of banking services
We expect to see banks maximising their use of self-service technology, automating low-value transactions so that they can focus their efforts on helping clients with more complex banking issues. Indeed, we expect to see ATMs becoming an increasingly valuable part of the banking experience, helping to knit together a seamless banking experience across all channels.
The key here is for banks to keep the customer experience at the centre of everything they do – transactions should only be automated if this can offer real value to the customer (in terms of saving time, for example).
Emergence of new infrastructure
Currently, branch infrastructure represents a significant cost burden for banks. One solution is the sharing of branches, or “white label financial hubs.” This would let a customer from any branch enter a local hub and use self-service machines to carry out a wide range of activities that they would traditionally have visited a bank branch correspondent for.
Another solution that we expect to see banks exploring is third-party ATM ownership, whereby banks pool and share out-of-branch technology to allow them to invest more heavily in branch ATMs. To prepare for this, banks should look to embrace cloud-based ATM and ASD (Assisted Self-Service Device) software.
Banks need to head into the year prepared to think creatively about the way that they use the spaces in their branches, and focus on striking the balance between new technology and the human touch.
Need for personalisation
In today’s saturated media landscape, customers are bombarded by marketing efforts across all channels, so it’s hard for brands to stand out from the noise – this is true for banks, too. Offering personalised services will be key in helping them draw in new customers, and the ATM is the perfect touchpoint for it. Expect to see higher tech ATMs that recognise the customer via their credit card, automatically welcoming them with a personalised screen that offers services that are most relevant. For example, this could be things such as train tickets to a trip they’d been looking at earlier, or simply the most common cash denomination they usually take out, like a tenner.
Again, the key thing here is for banks to make sure that the customer is always at the centre of efforts to innovate. Banks need to re-imagine the banking journey from the customer perspective and ensure that they adopt a creative and agile approach to meeting evolving customer needs.
Use of big data
With GDPR taking effect in May 2018, customers in every industry will be granted increased power over how their data is used. For the financial industry, this will be a challenging obstacle, since they deal with very sensitive and personal data. To comply, expect to see banks innovate in the ways in which they collect and utilise their customer data, since they’ll have to have systems in place that allow them to create customer data reports as well as show the customer how their data is being used, preferably in real time.
GDPR is understandably daunting, however, banks should not be put off by “doom and gloom” headlines. They should take a step back and consider the wider picture. The new regulations offer a valuable opportunity to reassure clients that they are committed to looking after their data properly. In this way, GDPR can be seen as a driver for enhanced customer relationships.
Clearly, the banking industry is set to undergo some pretty big changes in 2018, with the increased use of apps and ATMs driving a more seamless and intelligent customer journey. Here at Auriga, we’re excited to be leading the way in omnichannel, continuously striving to create innovative software that will prepare branches for this new era of banking.