How Has Digital Transformation Changed Banking?

Consumers today are an empowered lot with the internet and with the many ways to stay connected. So they are constantly looking for innovative, secure, robust, and optimized banking solutions. This has made it imperative for banks to maintain the same pace of change andengage with digital transformation on an on-going basis.The “anytime, anywhere” demands customers seek from the banking industry has resulted in tremendous digital transformation across this vital industry.

According to Peter Sands, CEO of Standard Chartered, “Of course banks have invested huge sums in technology – automating processes and enabling customers to bank online. The competitive landscape is changing as new and existing players adopt digital models.”

While most banks are adapting to the change, there is a long way to go. Digital transformation is not just about adopting technologies at work, it’s a complete cultural shift today. Here’s how the banking industry has embraced digital transformation in its work culture.

Paymentsmade easy

Withthe rise in e-commerce where customers can fulfill their daily needs lying on their couch, it has become imperative for banks to improvise and digitize their payment solutions. Now customers can pay, transact and even transfer with ‘one-click’ solutions, anywhere-anytime. Payment gateways like PayPal, HSBC, etc. have changed the face of payment and transactional operations in the banks.

A superior customer experience

Superior customer experience is the key to build trust and retain clients in the long term. With online banking services, the banking industry has greatly simplified the way they serve their customers in real time. In addition, digital banking offers advanced data and analytics capabilities that help banks offer customized solutions.Also, with social media channels, it has now becomes easy for banks to know more about customer expectations and interact with them directly for better understanding.

Improving internal operations

Banks have digitized their internal processes to quite an extent to scale up productivity.They have aligned their existing processes with the new, modernized tech-based solutions. Instead of having endless documents, they have switched to a digital approach, which is quick, effortless as well as paperless. With software solutions like customer management systems, banking officials are now able to validate and process information quickly rather than having to keep asking customers for additional documentation. These approaches are easier and simplify banking.

Customers today want their banks to be partners that focus on relationships instead of just transactions. Therefore, banks are enhancing their capabilities by implementing technologies to exploit the power of analytics,customer information, and digital channels to drive growth in real time across multiple platforms. Continuing with this digital approach, banking industry can definitely thrive in this race.

Anilla Workman,
Sr. Account Executive