What can commercial businesses do to retain their clients and extend that customer journey?
Among many industries, financial services has been under immense pressure to modernize their services and offerings in order to retain younger and more tech-savvy clients, and commercial organizations are no exception.
These clients expect the same experiences they have with their personal banks and only get frustrated when these B2B organizations don’t deliver. They are not hesitant to switch, in fact 1 out of 5 small businesses and 1 out of 7 middle market companies indicated that they were more likely to switch banks as a result of their poor performance during the COVID-19 crisis.
So what can commercial businesses do to retain their clients and extend that customer journey?
Changing Client Demands
Digital app experience, personalization, and financial education were also the top 3 areas considered to have the most positive impact on client experience in 2021 (Digital Banking Report, 2020).
76% of customers expect an omnichannel experience and 59% of customers expect on-demand, anywhere anytime customer service (Capgemini, 2021).
According to Accenture, nearly two-thirds of small businesses still use retail bank accounts and when they do feel the need to upgrade, they’re increasingly turning to fintech challengers (Accenture, 2022).
95% of commercial banking clients wanted their providers to supply the same aggregated account views and real-time transactional information that their personal apps did (Fraedom, 2022).
Only 15% of consumers had spoken to an advisor via video call pre-COVID-19. But 46% said they would be prepared to do so once branches reopened. 35% said they would prefer this digital method over a face-to-face meeting (Accenture, 2020).
Net Promoter Score (NPS) for financial services and banking dropped to 44 and 30 respectively in 2020. At an especially challenging time for many, customers did not feel supported (Customer Gauge, 2022).
With shifting client needs and increased competition, strategic commercial firms understand the importance and urgency of improving customer experience.
So what do B2B financial organizations need to provide in order to deliver the experiences their clients want?
Empower with Self-Service
67% of the largest banks, with more than $500 billion in assets, mostly offer a single web portal to access all online services, an important competitive differentiator, and one that most banks should aspire to duplicate (Celent, 2020).
26% of financial institutions expect that greater use of self-service will have a significant impact on their business in 2022 and beyond (BDO, 2021).
26% of clients say they want to avoid face-to-face banking entirely going forward, preferring to have 24/7 access to their accounts (Fintech Futures, 2021).
- 49% of banking customers say instant support is key in building loyalty (Accenture, 2022).
Distinguish with Personalization
65% of customers are interested in saving tips based on previous spending patterns and 61% want updated budget information based on spending this month (Accenture, 2020).
Nearly three-quarters of banking customers reported that product offers are more valuable when they’re contextually relevant, and 65% believe institutions should make it easier to find and shop for financial products today (Blend, 2022).
72% of customers rate personalization as “highly important” in today’s financial services landscape (BusinessWire, 2021).
- According to Statista, personalization efforts in regions like the US and the UK can result in a significant return on investment (ROI) — anywhere from $3 to $20 and more for every $1 spent (Statista, 2020).
Provide an Omnichannel Journey Studies show that banking digital channels gain significance yearly, but nearly 50% of customers want to have branch services as well (Revechat, 2022).
Companies with strong omnichannel marketing engagement see 9.5% year-over-year increase in revenue, compared to only 3.4% for businesses which don’t use omnichannel (Financial Express, 2021)
In 2024, consumers will expect 61% of their banking business to be digital, with 39% to involve human assistance. They expect the biggest increases to come from mobile and ATM channels as branch and drive-up services decline as a percentage of the channel mix. (BAI, 2022)
A study revealed that only a minority of 24% of banks have the technology and data capabilities that are required to enable omnichannel steering (Banking Hub, 2020).
- Only 27% of banks have a unified customer record that tracks all interactions with the bank via all channels, including key results of customer inquiries (Banking Hub, 2020).
Quickly Transform and Personalize Your Client Experience
This all may sound daunting to financial firms who might have a lot to catch up on. But with a robust digital experience platform, businesses can build the seamless, engaging, and relevant experiences clients want.
See how you can do this with Liferay DXP.