As customer habits and patterns change, so too do their expectations. In today’s world of digital solutions and near-endless options, the best bank or financial institution isn’t the one nearest you: it’s the one that knows you best.

Customers are coming to expect a hyper-personalized, seamless experience that is tailored to them from start to finish. Personalization matters to your bottom line too. Take, for example, these numbers from consumers who had a personalized experience:

Consumers still expect support and security from their financial institutions, but their expectations of what that will entail have evolved. Where in-person relationships with branch employees used to be enough, consumers are now expecting real-time service and digital contact methods. In-person interactions will have to be increasingly personalized as well, ideally leading to speedy interactions, seamless support, and overall security.

Expanded digital channels, solutions, and products are a must in the modern finance and banking industry in order to deliver a customer experience that not only meets expectations but meets customers wherever they are.

According to recent consumer data:

Financial institutions are making their offerings and services more convenient for digital consumers. They do this through digital solutions such as real-time payment offerings, mobile check deposits, online accounts, the ability to set up new accounts online, and automated onboarding processes.

To win in the digital space, banking and financial institutions should focus on improving their digital offerings—both when it comes to digital products and online customer service options—while still keeping a human touch. Having a personal, human element to digital products or services is a great way to stand out, build trust, and foster loyalty even as more and more banking institutions move to the digital world.

Many financial institutions regularly deal with an influx of repetitive and highly technical or product-specific questions. Unfortunately, these same institutions also often have an outdated or inefficient call center or call routing systems, meaning that customer service is not only delayed but inefficient for both the caller and the company.

This is why self-service options continue to be a growing customer service trend in the financial industry in 2023. Self-service options improve real-time support for customers while also providing a scalable, efficient option for growing banks. Benefits of improved real-time support for financial institutions include:

AI chatbots and live-chat support are two self-service options that provide real-time support to customers. In fact, 79% of customers prefer live chat (to other support options), so they can get immediate answers. Prioritizing this element of the customer experience goes a long way in supporting customer needs.

Self-service support options are just one way AI is becoming a major player when it comes to improving customer experience in banking. Financial institutions also have the opportunity to use AI to transform the customer experience (and the bottom line!) in channels such as:

For example, Chase has created and implemented an AI algorithm to detect fraud patterns based on high-level data from every credit card transaction. The improved security and reliability of Chase’s fraud-protection services, backed by AI data processing and pattern recognition, has earned them top recognition in Banking Digital Trust surveys.

Consumers don’t want to hear what you have available—they want to hear what you have available that will solve their current problem.

As the data shows, customers are ever-increasingly willing to help create personalized experiences. 65% of consumers and 82% of businesses are willing to share information with banks to receive “more tailored solutions and a better overall experience.”

Creating a hyper-targeted and personalized experience is a way not only to meet customers’ expectations but also to create a top-notch experience that leaves them coming back for more. Boston Consulting Group found that banks can see annual revenue uplifts of 10% or more if personalization is done well.

Using data from purchases and income, banking activity, website or app usage, products and services used, interactions at their physical branch, and more–banks can:

In order for personalization to work, you need to have a clear view of your customer data and a connected consumer history. Digitization delivers personalized experiences. However, once you do this, you also have the foundation needed for omnichannel support.

In general, consumers interact with a brand 6-8 times before making a decision or purchase. By the time a customer makes their way to your website to open an account or apply for a loan, you should already know something about them. You can then use that to personalize and streamline their experience.

Similarly, if a customer walks into a physical branch, they don’t want to have to explain their situation from the beginning—and if they’re already a customer, they shouldn’t have to.

Omnichannel support allows you to connect customer data across all touchpoints—online, mobile app, phone calls, in-person experiences, and so on—into a single source. By centralizing everything, you always know where each customer is in their journey.

While omnichannel experiences have been a “nice-to-have” for some time, they’re only becoming more important in today’s digital world. Even as more people shift to online-first interactions with financial institutions, physical spaces and a human connection still matter. The key is tying all of these different touchpoints together into a cohesive experience.

While 32% of customers may prefer to avoid branches altogether, another 35% of total consumers prefer to have an in-person experience or connect with a real person for questions or financial advice. As a result, it’s essential to have connected, hybrid solutions and deliver a seamless experience anytime—and anywhere—a customer meets you.

Omnichannel solutions allow you to provide a quality experience wherever customers meet you and provide an interconnected, seamless experience for your customer.

Fraud attempts increased by 41% in 2021, and other forms of cybersecurity or financial attacks are on the rise. To respond, banks and financial institutions need to redouble their efforts to target and prevent fraud and improve consumer security.

Unsurprisingly, as more banking and financial services happen online, increased security is necessary to solidify consumer trust and deliver an exceptional customer experience. After all, getting your credit card hacked is, obviously, a subpar experience.

However, a recent study by Featurespace found that while 66% of financial executives thought improving fraud detection and AML compliance was a high priority, a much smaller percentage were actually acting on such innovations.

As a result, banks and financial institutions that do adopt innovative solutions to fraud, security, and compliance have more to gain in terms of reduced fraud rates, improved consumer trust, and enhanced customer experience.

Take, for example, data from the same study that showed 59% of executives preferring to “wait and see” newer fraud prevention technologies become widely accepted before adopting them. That’s true even though companies that implemented innovative solutions first saw the lowest fraud rates overall.