- On May 23, 2019
Smart marketing campaigns rely on predictive analytics to help them assess information and accurately project their progress. In the banking industry, the thoughtful use of data is key in everything from customer acquisition to a personalized customer experience.
Today’s banking customer expects immediate gratification. They trust your institution with more than just money – what your work represents to them is safety, security, and the ability to build a successful future. When communicating with your current and prospective customers, you need ready access to where they are in the journey and which priorities are important to them. This is where predictive analytics comes into play heavily.
What Is Predictive Analysis?
You gather a great deal of data about your customers just through the process of doing business in the world today. Every interaction and communication can be examined. Predictive Analysis is the ability to take all of this information and create concise pictures to help you better serve the customer. Gathering a wealth of data isn’t enough. You need predictive analysis to help you organize the information in the right way to fully use these resources.
Smart analytics are the most important ingredient in a true digital transformation for your institution. It allows you to use pieces of data to see the large picture for your organization, the individual picture for each customer, and it even helps you to provide heightened security in the form of fraud detection. As customers turn more fully to acheiving their banking goals online and through mobile apps, your digital transformation takes center stage in allowing you to better serve their needs before they’ve even stated them.
Predictive Analytics and a Personalized Customer Experience
When you use computer aided predictive analytics, there are numerous ways to improve the experience for your customers. In years gone by, companies and banks often created their offerings without the customer in mind. The alternative to that was in doing market research, which could be costly and time consuming. Today, your market research is already within your grasp. There’s no reason to guess what your customers respond to because the information is already located within the massive amount of data you compile throughout your business day.
Predictive analytics allows you to use that data more efficiently and provide better services to your clients at a faster pace. Customers benefit from more in tune offerings. For instance, you can set markers in your analytics to automate offerings for clients who have set habits or patters. When your system sees a regular customer saving a set amount of money every pay period, it might automate different communications to offer them more advantageous savings vehicles through your institution.
Fraud protection is another aspect of predictive analytics that is very beneficial to your customer. With the right settings in place, your analytics can alert you or alert the individual customer when out of characteristic activities occur on their accounts.
Customers today are very aware of their choices in places to do business. They tend to be bargain shoppers who want good value and they prize high quality service. Placing customer experience as a high priority is essential in building loyalty and return business.
The Ways Predictive Analytics Improve Institution Wide Performance
Predictive analytics are an irreplaceable asset in leveraging the customers’ data to provide the most personalized customer experience. It also allows for a much fuller picture of the bank’s performance overall and can even be segmented down to individual departments. With smart analytics, you can determine accurate customer churn in a fraction of the time which makes benchmarking your progress much more straightforward.
As your bank moves forward in the digital age, using all of the data you gather can be confusing without a set way to organize and fully decipher your information. Partnering with a leading expert in predictive analytics streamlines this process to give you the best benefits from the technology you employ.