Global Banking and Finance Review: Cognizant’s Head of Banking and Financial Services in the UK and Ireland Says Banks Must Adopt a Digital-First Strategy to Remain Competitive

“As a result of the ever-evolving, rapid advances in video and mobile technology, two new banking services were launched in the UK at the end of 2014 that that will further disrupt the way people carry out their everyday financial activities,” writes Tony Virdi. “The first of these innovations is a video banking service, providing digital face-to-face customer service from their smartphone, tablet or computer. The second service is a system that allows people to pay in a check by taking a photo of it on their smartphone.” Excerpts:

“The introduction of these two technologies demonstrates an important trend in the banking and financial services industry addressing a new type of customer: one who expects more convenience, more choice, and more availability, both in a secure and rapid manner. This digital-first approach is now resulting in a further shift in focus by the banks to the customer and is further enriching the customer experience whilst at the same time streamlining costs and efficiency. This shift also strengthens the digital-first relationship with the customer.

Banks are evolving the way they think to match their customers’ banking behaviors relative to the specific customer context. This is based on behavioral and financial patterns and customers’ lifestyles, which no longer evolve around the traditional working day. Technology is enabling simpler customer experiences, allowing customers to interact relatively seamlessly with their banks across multiple touch points on their own terms, rather than via traditional methods.

In order for banks to remain competitive, it is important they continue to adapt quickly to the digital era, to evolving technology, their customers’ needs and adopt a digital-first strategy, rather than seeing it as simply an additional channel with which to interact with customers.

With banks becoming more efficient, the resultant benefit will be in funds being freed from daily processing tasks (which can be automated) and reinvested in innovation. Running things differently at the customer end by recognizing the potential that technology offers will lead to a more convenient and ever more personalized service, enriching customer experience and creating loyalty.”

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