Artificial intelligence has radically changed our day-to-day lives. From smart homes to assistants like Siri and Alexa, AI has made our lives easier and is something we’ve all grown accustomed to. And this applies to the financial sector, too, where challenges are already fostering disruptive AI-powered innovations. To remain competitive and deliver exceptional value to their customers, the financial sector must become “AI first” in vision and execution, and leverage AI-powered decision making. AI-powered technology can support customers’ financial activities across different platforms and offer personalized solutions to drive their loyalty and keep them coming back.
So how can financial institutions take advantage of AI solutions? In this blog we’ll explore six ways the financial sector can drive customer value and implement AI technology.
1. Create a robust strategy for technology capabilities
Banks and other financial institutions are already used to maintaining large, complex infrastructures to support services. However, the complexity of banking systems has reached a new level and today’s technology capabilities are expected to deal with increasingly high loads. For this reason, banks need to use cloud-based high-performance infrastructures to support their tech capabilities. A cloud-based infrastructure can be the answer to this challenge as it is reliable, resilient, and secure – all essential factors to support advanced technologies like AI.
2. Drive superior omnichannel journeys
Customers expect a seamless experience across multiple platforms and devices and various touch points with a financial institution. Customers are more likely to choose – and stay with – a brand that has invested in a superior customer experience, therefore it’s imperative that businesses leverage AI-powered solutions to create an integrated omnichannel journey. After all, customers’ expectations have risen so it’s important that financial companies meet customers where they are to stay ahead of the competition.
3. Leverage modern platform for data and analytics
To support advanced AI algorithms, banks should utilize the power of big data management tools. These tools are specifically designed to deal with large volumes of diverse data and can be used to support complex AI-driven systems. For example, big data management tools can process massive amounts of data, provide high availability, and be easily scaled to support increasing loads. They can also be used to store vast amounts of data, provide global, real-time access, and process unstructured data, which is essential for AI. The financial sector can also benefit from using big data management tools to predict customer behavior and create trend reports.
4. Utilize the cloud for scalable hybrid infrastructure
Cloud-based chatbots and other AI-driven applications can be used to improve customer service in financial institutions. Since many banks rely heavily on providing high-quality customer service to keep their clients, it’s a good choice to outsource their AI-driven applications’ maintenance and operation and use them to process human language with ease. The cloud can provide financial institutions with the ease and scalability needed to create these types of infrastructures to improve customer service.
5. Use configurable and scalable core product processors
Financial institutions rely heavily on core processors to support just about every financial and transactional element. More traditional core product processors limit the ability to customize or add solutions to the existing processor – a critical element to creating personalized customer experiences. However, the financial sector can now leverage new open core processors that provide configurable and scalable solutions. Some fintech companies are already leveraging these open core processors that allow them to plug in their own systems and share their tools and platforms. This allows financial institutions to tailor and customize their day-to-day transactions and improve the customer experience.
6. Develop secure and robust perimeter access
Banks hold massive amounts of sensitive customer data in their databases and are expected to keep this information safe and secure. Financial institutions have to make sure their data isn’t stolen, hacked, or leaked. The more data banks handle, the more critical it is for them to ensure that their systems are secure. Many banks manage their security through manual means, but they also need to use more advanced technologies to support their security objectives. There are various technologies that are specifically designed for this purpose, and banks can use them to protect their data. They can use malware detectors, security scanners, firewalls, data encryption/decryption, antivirus software, etc.
With more innovations being made every day, it’s critical that the financial sector keeps up to ensure they’re providing the type of seamless experience customers have come to expect. The solution lies in implementing elements such as robust strategies for tech capabilities, a high-performance cloud-based infrastructure, and leveraging big data tools and analytics. Investing in AI-driven solutions can also help financial institutions significantly improve their customer service and help them stay relevant.
At AscentCore, we provide end-to-end product development services and help our global clientele imagine and build world-class digital products, delivered fast, for better value. If your business is looking for technology development services to help integrate AI-solutions successfully, contact us today.