Financial institutions are always looking for ways to increase revenue and cut costs. One of the easiest ways to do both of these things is by increasing customer interaction and educating customers at the same time. With technology, financial institutions can better connect with their customer base through multiple channels such as phone call centers, email, text messaging, and social media sites such as Facebook and Twitter.
This customer interaction not only allows financial institutions to provide their customers with better service but also helps them to cross-sell other products, increase brand awareness, reduce churn and collect valuable customer data that can be used to segment customers and target offers at those most likely to respond.
1. Financial institutions have an opportunity to increase revenue
The financial industry is in constant competition with one another and is struggling to keep up with the ever-changing technology. However, the latest trend that financial institutions should focus on is interacting more with their customers. By doing so, they will be able to offer more personalized service and create a better customer experience.
2. When customers are in-store they are less likely to interact with an institution
Many financial institutions have found that their customers are less likely to interact with them when they are in-store. For example, at the check-out line, people may be more focused on getting out of the store than talking to a bank representative. This is understandable considering how much time and effort goes into shopping. It’s also true that shoppers don’t expect a financial institution to be found at every turn. That’s why it’s important for financial institutions to find other ways to engage with customers.
3. Financial institutions need to focus on face-to-face interactions
The latest trend in the banking industry is to increase customer interaction. That is because a personal touch can do wonders for customer loyalty and satisfaction, which will lead to increased revenue. When you’re in a financial institution, you’re likely to see more tellers than before, as well as an increase in personal contact with bankers. This seems like a good idea on the surface, but there are some drawbacks that need to be addressed before banks go through with this plan.
4. Create Personal Experiences
Many banks and credit unions are starting to experiment with new ways to interact with customers. This is a good sign for the financial industry, which has seen its profits decline over the last few years. In order to stay competitive, these institutions will need to innovate and offer more personalized services. With new technology, such as mobile banking apps, it is easier than ever for banks to reach their customers–especially millennials–and provide them with relevant information in real time.
5. Recommendations and Ongoing Support
Financial institutions should make it a priority to interact with their customers on a regular basis. This can be done through newsletters, emails, and social media interactions. The goal is for the customer to feel as if they are being heard and the institution has their best interests in mind. If an institution takes care of its current customers by offering assistance with simple tasks such as transferring funds or purchasing stocks or bonds, it will not only increase revenue but also create loyal customers that will want to do business with them again in the future.
6. Identify Incentive Opportunities
Increasing customer interaction has proven to be a key to increasing revenue. This can be done through in-person interactions, phone calls, or online chat. Financial institutions should consider how they can use these platforms to increase the number of interactions with their customers.
Customer-focused financial assistance and general consultation is the best way to improve the public’s perception of financial institutions. Putting the customer first increases customer interaction, which in turn improves revenue from current customers and likely encourages new customers as well.