Customer churn. Growing competition. Constantly changing regulations. Retail banks face more challenges than most. Here are seven ways to use automation to respond to some of today’s biggest retail banking challenges:
Challenge 1: Meeting customer expectations
The level of personalized service your customers expect today is dictated by the other brands they interact with. This includes entertainment brands, fintech, and challenger banks.
Giving customers quality, consistent, and memorable experiences across multiple channels is key to cutting through the noise and wowing customers. How? By implementing low-code automation, you can connect and orchestrate your systems to increase how quickly you can serve your customers. You’ll also reduce the number of manual administrative errors, again improving your customers’ experiences.
Challenge 2: Outpacing the competition
The retail banking industry has never been so competitive. With banking no longer restricted by geography, your competition can come from anywhere. When online-only banks don’t have to cover the overhead of having branches, their budget is freed up to try and tempt your customers into switching.
The solution? Increasing your customers’ loyalty by offering a more personalized experience. With automation, you can collect and analyze more customer data than ever before. This helps you better understand your customers, so you can tailor your service and promotions to their specific needs.
Challenge 3: Meeting regulations
A core challenge for retail banks is keeping up with regulations and maintaining compliance. In fact, it remains one of the biggest problems banks are facing today. That’s because of the endless updates to existing regulations, as well as the introduction of new ones.
Let automation do the legwork for you. It’s easy to maintain compliance when you use low-code technology that proactively assesses and responds to risks. Your systems can even automatically update when new regulations come into effect, giving you the peace of mind that you’re always one step ahead.
Challenge 4: Managing risk
Managing compliance and security risks effectively is essential for retail banking organizations to avoid financial and reputational damage.
Low-code automation enables you to connect your systems to ensure compliance and actively detect any fraudulent activity or other security threats.
Challenge 5: Improving employee recruitment and retention
Could automation be the secret to attracting more employees – and keeping the ones you already have?
By using automation to handle some of the more mundane tasks, you’ll free up your workforce to focus on more rewarding, interesting, higher-value tasks, which is shown to lead to higher job satisfaction.
Challenge 6: Combatting outdated technology
Legacy systems could be holding you back from growth and being able to serve your customers better. They’re costly to maintain and complicated to integrate.
Automation simplifies how you manage multiple software applications and can increase your agility to respond to changing demands. Using low-code process automation helps you link up systems with an agile layer of low-code applications, so you can make the most of existing investments while avoiding cost-heavy, mammoth upgrade initiatives.
Challenge 7: Optimizing costs
Cutting costs while increasing revenue. The ultimate business challenge.
Automation never sleeps. It can increase your efficiency and productivity by streamlining operations and taking care of tasks to free up resources. It can even help you navigate the extra administrative pressures caused by economic disruption in areas like loan origination and credit referrals, without needing to take on additional staff. VKB Bank made their credit deferrals process 10x faster using automation.
Bizagi has helped many banks overcome these challenges. Find out more about our Banking Solutions.
Before you go, get your free copy of our Essential Guide to Modernizing Banking Operations. You’ll find key insights for IT and Operations leaders looking to improve customer experience, boost back-office efficiency, and protect the bank. You’ll also see how other banks are transforming right now.
