Digital Shift in customer behaviour as a result of COVID-19
- One-third of the retail banking consumers will adapt the digital methods such as online banking and mobile banking once COVID-19 subsides
- The younger generation will augment their use of digital banking
- Branch-only consumers will start using mobile services
- Well-established financial institutions having a strong digital presence will reap larger benefits than regional or midsize banks
- Key digital banking services such as mobile check deposit and P2P payments will be affected
Key considerations for promoting remote banking
- Value chain digitization: 66% of global banking executives said “as traditional value chains are being replaced, it is important to digitize processes and adapt products and services to take its advantage”
- Enhanced customer experience: They must interact with consumers through modern-age mechanisms such as chatbots, personalization, etc.
- Transparency and trustworthiness: These are the core principles that banks should have in their mission, culture, values, and compliance
- Responsiveness: Assisting customers in real-time is possible through emerging digital technologies to win customer’s trust
Enabling customers to go digital
- Clear communication
- Investing on Easy-to-use tools
- Segmentation of marketing campaigns
- Remote coaching
- Complete guidance for each tool
- Proactive digital communication: During the lockdown, consumers are spending more time on digital media. Financial institutions can level up their communication with consumers via email. These emails can have valuable content such as articles, videos, info about new tools, etc.
- High-quality financial services: Strengthen customer relationships by providing actionable insights into borrowing and saving
- Provide services for free: Motivate consumers to go digital by waiving off fees and giving refunds to use the services on digital platforms
- Promote self-service options: Handing out effective digital tools to solve problems independently could enhance the digital engagement
Winning the confidence of banking consumers
- What type of transactions can customers perform online?
- How to transfer funds to/from other institutions?
- How to activate remote banking services?
- How to do a wire transfer?
- Providing step-by-step instructions to enroll in remote banking such as online banking, mobile banking, mobile deposit, bill payment, etc.
- Providing access to their tax information
- Providing real-time customer assistance
- Providing screenshots, guided tutorials, and video demonstrations to essential banking services on digital platforms