© Copyright Acquisition International 2026 - All Rights Reserved.

Article Image - Why Customer Experience is a Key Differentiator in the Banking Industry & How the Industry Is Set to Change for Consumers
Posted 14th June 2022

Why Customer Experience is a Key Differentiator in the Banking Industry & How the Industry Is Set to Change for Consumers

According to a recent study by Gartner, 81% of companies compete mostly on the basis of CX, making strong CX a key competitive differentiator for Banks. Gartner’s research also reveals that the higher a customer’s experience is in terms of quality, the more likely they are to remain loyal to a particular brand or institution - meaning CX has the power to improve customer retention.

Mouse Scroll AnimationScroll to keep reading

Let us help promote your business to a wider following.

Why Customer Experience is a Key Differentiator in the Banking Industry & How the Industry Is Set to Change for Consumers

Banking Customer Experience

By Jon Brooks, Head of Financial Services UK at Sabio Group

Customer Experience, or CX, is fast becoming the competitive differentiator in the banking industry.

Banks – and financial institutions in general – that invest in CX have on average higher rates of recommendation, greater ‘wallet share’ and are more likely to be in a position to cross-sell and up-sell alternative products and services.

According to a recent study by Gartner, 81% of companies compete mostly on the basis of CX, making strong CX a key competitive differentiator for Banks. Gartner’s research also reveals that the higher a customer’s experience is in terms of quality, the more likely they are to remain loyal to a particular brand or institution – meaning CX has the power to improve customer retention.

So, in short, it’s critical that Banks get their CX strategy right.

With CX playing an ever-increasing role in a Bank’s success, what will the banking landscape for consumers look like in the next five years? And what emerging CX trends will we see introduced in that time?

 

Embedded Products & Services within Mobile Apps to Provide Personalised Experiences

Customer ‘self-service’ is one of the fastest growing CX trends across the Banking industry today. With the majority of customers using mobile apps for a vast array of other services (such as shopping, utilities etc) it’s almost an expectation that Banks will offer this service too. The teams and associated expertise that are needed to create, manage and optimise those apps are not difficult for enterprise organisations to manage in-house. Ensuring a personalised in-app experience that supports many customers self-serving within their app will help stronger engagement and adoption.

 

The Evolution of AI

Rather than wait on the phone, customers now have the option to consult AI-enabled chatbots when faced with challenges. These chatbots pull and process information from various sources, such as the Bank’s knowledge-base and CRM customer profiles, to respond to incoming customer service requests. Should a particular request exceed the chatbot’s capabilities, it’s automatically escalated to a live service representative who can help the customer work toward a resolution. Best of all, more and more banking apps are offering chatbot technology as a native functionality, which means customers can quickly resolve issues from anywhere, at any time.

 

The rise of Digitalization

The pandemic and the impending lockdowns limited, and in some instances completely removed, the ability for customers to physically visit their Banks which often resulted in voice channels being swamped with calls. In order to deliver great CX for customers, it became critical for Banks to offer customers’ alternative digital channels as another method of customer service and support. But this is easier said than done. Deploying an integrated omni-channel communication strategy with end-to-end reporting and data is one thing, providing the tools and support for less tech-savvy customers is another challenge Banks have yet to land.

 

Humanization of Digital Interactions

Offering customers a range of channels is a good first step to delivering great CX in Banking. However, while many customers may be comfortable interacting with a ‘bot’, there will be just as many struggling with the lack of humanisation across their interactions with the Bank. This is especially the case when those interactions involve the exchanging of sensitive information or data. Therefore, it’s critical that Banks find ways to soften the use of bots, by giving them personas or personalities and allowing that bot service to be joined up with human assisted service.

 

So, there you have it – the four key trends in CX I expect to see across the banking landscape in the next few years.

What’s clear is that the banking industry is changing and changing rapidly, and CX is a clear differentiator for consumers when choosing who they will continue to bank with.

By not taking CX seriously, some Banking institutions are in danger of falling into the red when it comes to credit among the consumers of tomorrow…

Categories: Finance, News


You Might Also Like
Read Full PostRead - Eye Icon
How To Get A USA Green Card Through Investment: Understanding The EB-5 Requirements
News
11/04/2022How To Get A USA Green Card Through Investment: Understanding The EB-5 Requirements

The United States is the most popular destination for international migrants. In 2021 alone more than 20 million people applied for a green card but only 50,000 were issued. This shows how tough it can be, however, there’s some good news for those that c

Read Full PostRead - Eye Icon
Strength, Equilibrium, Valour and Common Sense
Finance
04/01/2017Strength, Equilibrium, Valour and Common Sense

As an integrated professional services firm, Rödl & Partner is active at 106 wholly-owned locations in 49 countries. We owe our dynamic success in the service lines audit, legal, management and IT consulting, tax consulting as well as tax declaration and BPO

Read Full PostRead - Eye Icon
New 3D Approach to Engaging Research
Innovation
12/11/2015New 3D Approach to Engaging Research

A new research tool, Voxter, has been launched in London as an innovative, 3D communication solution for meaningful research.

Read Full PostRead - Eye Icon
Getting IT Right
Innovation
31/08/2016Getting IT Right

3GC Group is a Value Added Reseller, systems integrator and managed services provider of converged networks IT infrastructure for mid enterprises.

Read Full PostRead - Eye Icon
Swiss Excellence in Business Aviation
Innovation
10/11/2017Swiss Excellence in Business Aviation

Swiss Excellence in Business Aviation

Read Full PostRead - Eye Icon
Top Reasons Your Business Isn’t Making Money
News
15/06/2022Top Reasons Your Business Isn’t Making Money

Has your business become a financial liability instead of an asset? As more than half of all small businesses fail within the first five years, you can imagine that many people have likely found themselves in this situation. They invested a lot of time, money,

Read Full PostRead - Eye Icon
Stephen Lee – A Barrister -At-Law on the Case
Legal
31/08/2016Stephen Lee – A Barrister -At-Law on the Case

Based in Brisbane, I am a barrister, mediator and arbitrator. As a Barrister, I appear in courts and tribunals in both Australia and beyond, and I am qualified to appear in Australia, England and Wales and New York.

Read Full PostRead - Eye Icon
Banking Industry Should Learn from Telecoms Sector in Approach to Product Sales
Finance
12/12/2016Banking Industry Should Learn from Telecoms Sector in Approach to Product Sales

Specialist management consultancy Baringa Partners responds to the news that HSBC has closed 200 branches this year.

Read Full PostRead - Eye Icon
A Guide To Keeping Your Business Compliant
Innovation
15/11/2019A Guide To Keeping Your Business Compliant

It is important to be compliant more than ever today in a time where data protection and cy-bersecurity are enormous topics that all business owners need to be wary of. Fortunately, it can be relatively straightforward to make sure that your business is compli



Our Trusted Brands

Acquisition International is a flagship brand of AI Global Media. AI Global Media is a B2B enterprise and are committed to creating engaging content allowing businesses to market their services to a larger global audience. We have a number of unique brands, each of which serves a specific industry or region. Each brand covers the latest news in its sector and publishes a digital magazine and newsletter which is read by a global audience.

Arrow