The pace of innovation in the banking industry is rising alongside a sharp increase in client expectations. As pressure builds, Fintechs and banking platform players pose new threats to the highest profit pools— in North America, nearly $88B in payments revenue is at a risk from these emerging players, according to a recent report from Accenture. With a focus on client engagement and experience, these entrants challenge the status quo and drive the need for innovation.

Successful digital transformations will be, and are, founded on the backbone of integrated core and back-end systems. These are designed to seamlessly consolidate external and internal data into a single view and use it to drive a strategic competitive advantage for all users and across every line of business. Winning the battle for primary ownership of the banking client relationship means winning hearts and minds. It’s about understanding personal and financial contexts and providing proactive, meaningful advice and guidance when it’s needed most. To do this, financial institutions need to capture data via an integrated back-end infrastructure and use it to derive the right insights to empower users.

Driving Future Deposit and Wallet Share Growth

Advanced analytics and AI capabilities offer a compelling solution and can quickly identify changing needs, emerging risks, and opportunities to grow relationships. Data-driven intelligence can fundamentally transform how bankers and clients interact with each other. By delivering timely, actionable recommendations throughout the customer lifecycle — from initial account opening to primary banking relationship, financial institutions can provide a differentiated and intelligent engagement experience.

Key banking personas and use cases include:

Relationship Managers

  • Next best action recommendations
  • Key trend indicators
  • Single view of each client

Executive Leadership

  • Share of wallet indicators
  • Client retention predictions
  • Onboarding analytics
  • Fraud management insights

Banking Clients

  • Actionable recommendations
  • Proactive financial guidance

According to Mckinsey, “25% of a bank’s commercial clients usually account for 85% of the revenues, and the remaining 75% represent the ‘long tail’ of untapped potential”. Commercial bankers often struggle to maintain up-to-the-minute knowledge and deep relationships with this long tail of clients. Addressing this gap with insights and analytics can give banks a leg up in the battle for primary ownership of the client relationship and drive long term growth.

Learn More

To watch how AI and machine learning can transform customer engagement across your entire commercial customer portfolio, download the video: Digital Banking IQ Insights – Delivering Intelligent Banking

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Posted by Zach Daniloff

Zach Daniloff is an experienced technology marketing professional who focuses on customer engagement and analytics solutions in the banking industry.