Analyze This: Improving Consumer Engagement Through Customer Analytics

Bank Innovation logoINETCO’s Brad Zaytsoff shares his (and a few other analysts’) 2015 retail banking predictions in Bank Innovation. Below is an excerpt:

Big data and customer analytics have and continue to be hot topics in retail banking. According to Bob Meara, senior analyst with Celent’s Banking practice, “62% of financial institutions in a recent Celent survey strongly believe that customer analytics offers significant competitive advantages and 53% strongly feel they need a granular, holistic and forward-looking view of customers to be competitive.”

But while banks and credit unions understand that there’s a need for customer analytics, questions still remain on what big data financial institutions need to generate said analytics, and where can they get it. In a recent predictions piece, James Plath, digital lead for the financial services industry at Gartner Consulting, touched on a viable source: “Banks own – arguably – the richest data set in existence on any person: transactions.”

Transaction data—data from consumers withdrawing and depositing at ATMs; data from customers making purchases at point-of-sale (POS) terminals; data from home buyers starting mortgage applications on their mobile banking apps and then completing them online once they get home—is chock full of rich customer engagement and customer experience intelligence. The problem lies in somehow getting access to it, and then making sense of all the information.

 

Read the full article in Bank Innovation