Search results
Customer loyalty, satisfaction and retention
- Customer experience in banking is crucial because it directly affects customer loyalty, satisfaction and retention. In an industry where competing products and services are often similar, the quality of customer interactions becomes the key differentiator.
www.ibm.com/think/topics/customer-experience-banking
People also ask
What is customer experience in banking?
Why do banks need a better customer experience?
Are banking institutions reshaping the customer experience industry?
How can banks transform customer experience?
Oct 9, 2018 · The benefits of superior customer experience—bottom-line results and stronger customer and frontline-worker loyalty—are not lost on banks. By keeping a focus on the handful of elements central to successfully transforming customer journeys, banks can tap those benefits for durable competitive advantage.
Customer experience (CX) in the banking industry encompasses how customers feel about every interaction with their bank. This covers all stages of their journey, from opening an account and making transactions to seeking customer support or when using various financial services.
Feb 27, 2024 · With banking innovations like Banking-as-a-Service, and embedded banking, customer experience is becoming increasingly integrated and holistic, forming an integral component in the customer value chain.
- Reimagine, not just de-friction, priority journeys. A typical regional bank has over 1,500 customer journeys (across business units, product lines, and customer interactions).1McKinsey analysis.
- Help customers migrate to digital. Most banks have highly inconsistent digital adoption. Even for banks that have similar levels of digital migration, McKinsey’s proprietary Digital Migration Index shows a two to four times variation in digital adoption of the underlying products and journeys.
- (Re)establish and (re)fortify trust. Our research shows that around 60 percent of customers currently trust that their primary bank will be helpful in navigating the next financial downturn.
- Close the loop on measurement. “You cannot manage what you don’t measure” is a common adage in business. This is especially true for customer experience.
- Help customers go digital and remote right now. In the current crisis, there are immediate actions banks can take to help retail and small-business customers; in particular, they can support the use of digital channels so that customers can bank from home, and they can provide extra support to borrowers in distress.
- Introduce new experiences for distressed customers. In times of crisis, customers’ priorities change. Banks can play a significant role in easing financial distress, so that customers can spend more energy on their families’ and their own health and well-being.
- Improve experience in ways that also address efficiency. The economic consequences of the coronavirus will increase the need for banks to improve efficiency and the customer experience.
- Reframe employee experience around mutual commitment, especially reskilling. Employee experience shapes customer experience. That is even more true in a crisis.
Commerce has known for years that embedding customer focus at every level has a tangible impact on a business’s bottom line: reducing cost to serve; lowering customer acquisition costs; improving retention and leading to a bigger share of wallet.
Nov 13, 2023 · Customer experience (CX) in banking refers to how customers perceive and feel about their interactions with their banks. It encompasses every touchpoint in the customer journey, including in-person interactions at branches, online and mobile banking, customer support, and more.
