At Appway Sphere for Banking Singapore in June, senior private banking experts gathered to understand how new digital tools, work automation, and cutting-edge technologies can empower businesses and shape the future of banking. Various industry players along with senior Appway executives discussed and debated how digital transformation can enable banks to collaboratively innovate.
Speakers agreed that despite the burden and complexity that organizations face in terms of compliance and regulations, technology can and should be used as a way to turn these into a competitive advantage. Technology is also part of the mission that financial institutions should have for their wealth management business—to create seamless collaborations and enable more effective communication between bank employees and customers.
In order to reach these goals, urged speakers, firms should start by empowering their employees. This will drive productivity and reduce frustrations with any existing processes or systems. From here, investment in user experience and work automation can take place.
Ultimately, speakers concurred that making digital transformation a personalized engagement with relevant content is key. This can best be done, according to speakers, by concentrating on the challenges clients face and ensuring there is capability to address these internally. While this will increasingly—and inevitably—involve the need for digital solutions, a certain amount of physical interaction and personal advice via multiple touchpoints will continue to be an important part of the mix.
Highlights of audience polling
In terms of issues and trends related to balancing customer experience while guaranteeing compliance:
• 97% of respondents said they would be comfortable (as a client) with electronically signing contractual documents when opening a bank account.
• When onboarding a new HNW client, 43% said the key objective of process automation is to improve customer experience. This was followed by ‘improving efficiency and shortening time to market’ (27%) and ‘helping guarantee compliance with regulations’ (23%). Freeing up the time of internal staff was a distant fourth at 7%.
• 60% of respondents said that improving customer experience is the priority in their organization’s budget for next year. Compliance trailed at 24%, with cutting costs now less important for most firms, getting 16% of the vote.
• When considering how regulators will likely impact customer experience in the next five years, 68% believe it will be negative—focusing on client protection rather than customer experience.
When it comes to driving client experience in the future:
• In terms of chatbots, 73% of respondents said they would open a bank account via this method today.
• As far as their own financial institution’s digitalization roadmap, however, the majority of poll respondents (44%) said AI personal assistants and chatbots are not yet part of the process. 31% said they already have a proof-of-concept or a live application. And only a quarter of respondents said their firm has started implementing AI personal assistants and chatbots.
• For two-thirds of respondents, organizational silos are the biggest obstacles to providing great digital client experience. For the rest, legacy technology is the issue. None opted for ‘regulations’ or ‘cybersecurity risks’ as the main hurdle.
• In five years’ time, 75% of respondents believe that financial services customer experience will be mostly digital, with perhaps one-fifth of the process being handled by a human. The rest of the respondents predicted it will be a 50/50 split as a hybrid model.