Modernizing the Financial Services Customer Experience
PUBLISHED OCTOBER 2022
The financial services industry is rapidly transforming as leaders push to modernize their businesses and stay relevant. New products and services, digital disruptions and innovative business models are changing the customer experience. Companies that don't adapt risk falling behind, according to Kforce experts.
CEOs and chief financial officers are committed to investing in the digital technologies driving these types of transformations, according to 2022 Gartner research.
- 54% of CEOs want to maintain their new digital pace
- 85% report increased investments in digital capabilities
- 77% are increasing investments in IT in 2023
Fintech and financial services companies are examples of how both emerging and traditional industries are using tech investments to bolster their business. Unencumbered by traditional thinking and legacy technologies, fintech startups are forcing change throughout the financial services industry—and it all centers around the customer experience.
Expectations of the modern customer
The financial services industry has experienced massive technological advancements in recent years. Cutting-edge fintech companies may be leading the charge, but traditional banks are also making moves to accelerate innovation and modernization, according to Kforce Strategic Accounts Executive Andy Johnstone.
What was once a race to release products and capture wallet share is now a focus on engaging and retaining customers, Johnstone says. Consumers nowadays have higher expectations for their customer experience. This includes increased accessibility, personalization, automation, improved security and convenient and fast services.
"Everything has changed, and institutional banks are realizing they must catch up," Johnstone says. "The whole customer experience has become critical as people have become less loyal to the banks they have used in the past."
Design thinking brings customer centric initiatives to life
This new generation of customers prioritizes experience over loyalty, Kforce Solutions Practice Leader Ryan Riley says. This shift in thinking should cause businesses to re-evaluate how they handle member experiences and personal services.
The financial services companies doing a good job adapting to these changes are creating high-touch experiences, Riley says. This includes prioritizing the needs of the customer and relying on advanced data analytics to create a more engaging experience.
Companies need to rethink their approach to problem-solving if they want to meet the needs and expectations of tech-savvy customers, Riley says. They should start by focusing on customer experience up front to gain an understanding of what the customer wants and let that drive their ideation process. But that can be hard to do.
"It's very difficult to get out of our way when it comes to solutioning," Riley says. "That's why design thinking framework is a great approach to problem solving, because it allows for continuous discovery, ideation and learning, but puts the focus on the end-user."
Expect to see more of these changes across the financial services industry
Banks and financial institutions are facing unbelievable pressure to stay relevant, valuable and in-front of customers, Johnstone says. As a result, they've already released innovations in payment processes and lending services. Johnstone expects those trends will continue in other areas, such as robo-advising, loan originations and developing more intuitive self-service apps. All of this results in a better experience for the customer.
"As we work with our clients, it's about how do you get products and services to their customers quickly with easy transactions and the best terms," Johnstone says.
Investments like these are integral to a company's growth strategy and can help boost productivity and manage downward pressure. Kforce can help you transform your business with fintech solutions that enhance your customer experience.
