Banks can prepare for industry developments with ATMs
Banks should consider their current ATM offerings in light of shifts in the industry. The future of the banking industry is likely to be more customer-centric than current business models, according to new research from PricewaterhouseCoopers. By 2020, bankers anticipate customer preferences will play a more significant role in business decisions. However, less than 20 percent of these professionals are prepared for this shift in the industry. In fact, the majority of banking professionals did not feel their organizations were ready to meet future challenges.
These findings are especially important for small banks. Smaller financial institutions reported that attracting new customers was their toughest challenge.
Why customer-centricity matters for banks
The PwC report indicated customer service in the banking industry will only improve in the next few years. In addition to service levels, banking clients can be frustrated by increasing fees, according to American Banker. These issues make it more difficult for banks to attract and retain customers.
American Banker pointed out that financial institutions need to make personalized service a higher priority. Taking this extra step can increase customer loyalty. However, a customer-centric approach may mean finding new ways to serve clients outside of standard service inquiries. Consistently assisting customers when they need help can strengthen a financial institution's brand proposition. This can create a feedback loop so banking executives can assess areas that need improvement. Accounting for customer feedback also enables banks to be more proactive when there are customer service issues.
Customer-centricity helps banks stay competitive
Although it's frequently said that customers are now in charge, this has led to an increasing number of self-service channels, Forbes reported. Banking has become more independent, and grocery chains are increasingly adding self-checkouts for customer convenience. While it may seem counterintuitive, more self-service options can provide a better customer experience because people want to accomplish tasks faster.
The article suggested that consumers' relationships with businesses have changed dramatically over time. Financial institutions need to prioritize this positive experience in order to maintain a competitive position in the market. Implementing new ATM technology could be a way to provide the self-service options customers are looking for, which can boost loyalty. ATM offerings can help banks better prepare for shifts in the industry.