Enhancing digital banking experiences (2024)

With the advent of innovative technologies and evolving customer expectations, the landscape of digital banking is undergoing a transformative shift. In this blog post, we'll delve into key strategies that banks can employ to enhance their digital banking experiences and foster stronger customer engagement.

Why enhance digital banking experiences?

With more and more people banking online (an estimated 216.8 million digital banking users by 2025!) banks are doubling down on their digital game. By making digital banking smoother and more user-friendly, banks can keep their customers happy, build trust, and stay ahead in the game. It's all about giving people what they want when they want it — and in today's world, that's often through a screen!

By zeroing in on digital banking experiences, financial institutions can improve:

• customer retention
• brand loyalty
• conversion rates
• word-of-mouth
• competitive advantage

6 strategies for driving engagement in digital banking

1. Invest in exceptional digital experiences

In a saturated market, a superior digital banking experience becomes a crucial differentiator for banks. Investing in technology to provide seamless customer journeys gives banks a competitive edge, attracting new customers and retaining existing ones amidst fierce competition. By prioritizing customer experience, banks can carve out a niche for themselves in the digital banking landscape.

Download the report: How top banks are driving customer loyalty by personalizing digital banking experience

2. Gain efficiency through technology

Efficient digital banking experiences lead to streamlined operations for banks. When customers can navigate the platform effortlessly and resolve issues independently, the need for extensive customer support diminishes. This reduction in support requirements translates to lower operational costs, ultimately improving overall efficiency and profitability for banks.

3. Balance technology and human touch

Research from Celent highlights the importance of balancing technology with human interaction in digital banking communications. Strategies such as skills-based routing, co-browsing, digital account booking, live observation, secure file sharing, and digital signatures play a pivotal role in creating a seamless and personalized customer experience.

Read: Global Banking Consumer Study finds banks need human connection

4. Show you know and care about your customers

Customers now expect tailored experiences that meet their individual needs. Unfortunately, a recent survey of thousands of financial services customers found that only:

• 11% feel their bank anticipates their needs
• 16% feel their bank cares about their financial wellbeing
• 18% get the assistance they need with an agent

There’s a lot of opportunity to wow banking customers and gaining a competitive edge by providing personalized experiences and quality, real-time digital support and consultation services. This requires a mix of the right people, analytics, and technology.

Read: Personalizing the digital banking experience with Guided CX

5. Leverage customer data analytics

The better you understand your customers, the better you can serve them. A significant portion of banks (63%) plan to leverage customer data analytics to optimize the banking experience for their users. By utilizing business intelligence solutions for customer data analytics, banks can gain valuable insights into customer behaviors, preferences, and needs.

6. Optimize for mobile

According to a nationwide survey conducted by the American Bankers Association, over the last year, 45% of bank customers favored using apps on smartphones or other mobile devices as their primary choice for managing their bank accounts.

In a world where everything is at our fingertips, customers expect instant assistance, whether they're checking balances, making transactions, or seeking information. Responsive customer service on mobile devices ensures users can navigate their banking tasks smoothly and receive prompt support whenever they need it. This level of accessibility and support not only enhances the overall banking experience but also fosters trust and loyalty among customers.

Read: Mobile Banking Must Replicate Branch Experiences

Enhancing digital banking experiences requires a multifaceted approach that combines innovative technology, personalized engagement, and data-driven insights. By prioritizing customer satisfaction, investing in technology, streamlining operations, and leveraging customer data analytics, banks can create compelling digital experiences that resonate with customers and drive long-term success in the dynamic world of digital banking.