Customer feedback is crucial in any industry. Its true power lies in an institution’s ability to capture, understand and adapt to its clientele’s needs. But are retail banks getting smarter with customer feedback, or allowing it to fester unchecked? Let’s find out . . .
Tracking Changing Consumer Habits
In real life (IRL) generally lags behind “online” in lots of ways, and none more noticeably than at banks. There’s good reason for this.
As we shared in our 2019 Report on Financial Services Best Practices, banks are generally performing dismally when it comes to adopting technological advances:
And a huge online advancement revolves around customer experience. Many banks are performing poorly on customer service all around (online and off). This is because the enormity of the issue, from an overarching “way business is headed” standpoint, seems to not be getting through.
Capturing consumer needs online is crucial. And its implementation has resulted in a definite disruption in the digital space. So much so, that our Social Media Industry Report 2019: Financial Services, revealed entirely online contenders capturing the top three spots. Their audience understanding has allowed each to differentiate and target an increasingly discontent and time-sensitive market:
And as a recent PwC report on Retail Banking 2020: Evolution or Revolution shares, there’s a disconnect between traditional and forward-thinkers in the space. One that retail banks need to understand and accommodate:
Customer expectations, technological capabilities, regulatory requirements, demographics and economics are together creating an imperative to change. Banks need to get ahead of these challenges and retool to win in the next era. Banks must not only execute on today’s imperatives, but also radically innovate and transform themselves for the future.
It’s all about the pain points. And retail banks are at risk of missing out. Great risk.
Let’s see how it looks from a sentiment analysis standpoint.
Understanding Pain Points with Customer Feedback
A quick search for banking industry insight offers lots of consumer behavior to explore. Banks can see why consumers #use or do #notuse their services, as well as which offers they like or #avoid. And what makes them #switch to another provider:
In NetBase, firms are able to click through on interactive word clouds and further filter results. This transparency offers clients confidence that the insight they’re viewing – and basing important decisions upon, is insight that makes sense. Important note: Accurate insight is a social media analytics tool differentiator. Be sure to examine this closely when choosing a tool to use!
Retail banks capable of capturing this intel are blazing a path for themselves online. They’re aware of top trends and understand when it’s time to fall back. And also when it’s time to lead the pack in a technological leap.
Case in point – Wells Fargo.
Getting Smarter with Customer Feedback
Customers increasingly crave digital banking options, that much is clear. They also want a top-notch in-store experience, of course. But everything is increasingly moving online.
Correspondingly, a top hashtag in the banking conversation is #cryptocurrency:
Smart banks are focused on #innovation and adopting #blockchain technology to support #digitalbanking – and beyond that. Top contenders are also focused on #digitaltransformation. These places are powered with solid #cybersecurity standards and are offering not only expanded #mobilebanking options, but access to bitcoin and #ethereum.
And, more often than not, they’re increasingly turning to Next Generation AI-powered social analytics to inform these priorities. Those fortunate enough to be tuned in to this technology have been front and center for the next advance in AI-powered analytics – automated theme discovery. We call it AI Studio, as it’s the first in a suite of options headed your way.
AI Studio Uncovering Customer Feedback for Smart Strategizing
Well Fargo is already tuned in to the Cryptocurrency market, obviously. And, using AI Studio, it could capture an abundance of banking intel. AI Studio offers automatically surfaced insight that has removed analyst bias from the process. Its pre-trained algorithms learn from topic search results and surface related insight that offers financial service firms a variety of strategic opportunities.
In this basic search, for example, beyond noting that the theme of “personnel selection” and “job openings” comes up in multiple contexts (pointing to a potential high turnover issue that institutions can certainly enhance ROI by solving!) . . . Beyond that – AI Studio offers additional themes that any financial services firm may want to explore.
Exploring Automatically Discovered Options
Take the cannabis industry, for example. Although some may not view it as a hot topic yet, it’s certainly becoming something to keep an eye on:
Creating a theme from AI Studio’s automatically surfaced results is super simple – as you can see that “create theme” button on the bottom, right. From there, firms need only to name it and then “analyze” it further in the tool.
And clicking through to the analysis to see what the hubbub is about, we see a spike in mentions on 9/25/19:
Clicking that spike reveals a fluctuation summary, with the specific sound bites powering the results offered for analyst examination:
And clicking through to articles offered, shares info about passage of the SAFE Banking Act, which opens the door for banks to partner with cannabis businesses – a category that is booming.
Social Insight Intel Implications
This isn’t just solid intel for financial services firms, it’s a good thing for politicians to note – as sentiment for it is strong. We see a Net Sentiment around this effort hitting 71% on this day, which is on a range from -100 to 100, so a significant measure.
Looking at the customer feedback insight another way, we can explore top authors around the topic. From there, we can see sound bites to understand what they have to say about it, and how engaged their followers are:
And can analyze negative sentiment around the issue to further flesh out which way the wind is blowing:
But all of that is really just scratching the surface. And there’s plenty to follow that isn’t controversial in nature as well, of course. There are always numerous options – that’s both the beauty and beast of online. And why firms need next gen AI-analytics informing their efforts to help prioritize which path to pursue. Online consumer sentiment really mustn’t be ignored.
So Many Customer Feedback Paths to Pursue
Connecting back to the pain points uncovered during our initial search, it’s important to note that there are always unmet needs. Regardless of industry, and spanning everything B2B and B2C – pain points are unanimous. And they’re also unanimously shared online, whether or not your organization is seeing what’s being said!
Advanced social media analytics, that wonderful technology powered by next generation artificial intelligence, pushes brands beyond the basic intel (and strategies) they utilize now. Most financial service firms find themselves stuck in a digital transformation quagmire – ready to level up, and lots of budget to do so, but too pressed for time to explore the space properly.
We help industry leaders get smarter from customer feedback and focus on the most important, accurate, real-time insight available. And it shows. Reach out and we’ll show you how we can do the same for your financial services firm.