Customer Experience Trends in Digital Banking and Credit Union for 2021

Emilly

, Business

The coronavirus pandemic changed customer experience dynamics in the banking and credit union space with technological advancement and the strong emergence of digital channels. You can’t take the Covid-19 crisis out of the picture as you continue to evaluate newer trends and other disciplines for 2021. While a few digital technologies became prominent, there were old patterns that were brought back again. The number of members will increase in 2021 as customers will become more tech-savvy and mobile-friendly.  

Some financial professionals believe that the way they work and interact with customers and colleagues will reshape in the next couple of years due to digital channels’ popularity. Banks and credit union customers expect a more digitalized experience and less personal or physical interaction. Some even believe the breakdown of a recession in the second half of 2021. Since it’s a prediction, not a reality, still banks and credit unions have to be ready to face uncertainties. Different people of all ages will turn towards credit unions for loans and look for instant help.   

As employees choose the flexibility to work from home, video banking will become essential to communicate face-to-face. One of the biggest questions around banks and credit unions is, how will they win in 2021? Is it through digital innovation, business relationships, or other factors?   

Customer experience has always been associated with customer satisfaction and how your bank and credit union treat customers. These experiences are based on customers’ interaction and impact customer engagement and future buying decisions. If you continue to provide decent service, customers will be happy, continue their business with you, foster relationships, and become a brand ambassador who recommends your financial instruction to others.  

The foundation of a well-organized customer experience program is to know your members, understand their behavior and expectations, and reward them at regular intervals. The “reward” need not be in the form of points but gratifications in conceptual guidance and assist them based on real-time opportunities. The key to using customer data and analytics is not for record purpose, but to illustrate the same to your customers that you understand their journey. The true essence of customer experience will fade if the data insight is not used for proper communication.  

The best part of improving customer experience is improving customer satisfaction, increasing engagement, building a relationship, increasing revenue, and building a better business. Customer experience was never that important until the pandemic hit us. Although we saw many trends in 2020, a few got extended and came out as a new trend in 2021.   

7 Customer Experience Trends in Digital Banking and Credit Union

Simple and Quick Resolution  

During the pandemic, the customer experience focused more on simplicity, quick resolution, and the speed with which it was delivered. Hardly customers paid attention to new product options and wise words. What drive customer experience was loyalty, trust, and relationship with the brand. In 2021, the quick and straightforward resolution will be considered more valuable, and consumers will pay more for it.  

Brands like Apple, Amazon, and Netflix created very complex products in nature but simultaneously created solutions tailored to individual specific needs and made it easier through simplicity. That is where a unique selling proposition and competitive advantage will be the differentiator. Banks and credit unions still have to streamline processes, upgrade customers, organize back-office operations, and improve customer communication.  

When people do not have the required time and have to make quick decisions, a culture of simplicity leads to a customer-centric approach. When an organization adapts to simplicity and clarity in all its endeavors, customers will feel great, build their confidence, and bring in more peace of mind.  

Please customers with design

When customers want to learn about a brand, they search and scroll through the brand websites and other social media channels. A lousy web or mobile experience will decrease the chance for potential sales and revenue. A slow website will damage the brand’s reputation. Moreover, most customers don’t recommend a brand with a messy webpage or a poorly designed app. And if the website doesn’t offer great content, visitors will drop instantly, and the bounce rate will be high.  

The best part about attracting customers and prospects online is that it won’t take much time to determine whether they like your brand or not and see any potential business opportunity. The experience is even quicker for mobile app customers.   

Multiple options pop up for any given search, and the customer has many reasons to determine whom to do business with depending on the first impression. These impressions are often created through websites and mobile apps. If you ever decide to revamp your platforms, start with redesigning your mobile app because 2021 will be all about the mobile experience.  

Omnichannel experience

With the rapid increase in digital channels during the pandemic, customers don’t differentiate between online and offline channels and interact with their banks and credit unions through other touchpoints. These touchpoints give an omnichannel experience to customers and connect with them where they are most active.  

A customer transaction may occur at multiple places – on a mobile device, at the branch, on a call with a customer service team, through a voice call, or a video call. Whichever option the customer selects, they expect to get their query resolved and have the same customer experience in real-time. As the world transition to the digital era, banks and credit unions must get used to the uniformity in the omnichannel experience.  

When omnichannel experience is mixed and real-time personalization, the financial institution will undergo a drastic transformation that will also affect the existing internal processes. Most importantly, monitoring and measuring customer experience across the customer journey through realistic and real-time data.  

Personalization is the key

Just knowing a little information about your customer is not enough, especially after the pandemic. Customers who have gone through many turbulences during the pandemic now expect their brand to care for them. Just like the way a GPS shows the direction to people. In the case of a bank or credit union, customers expect them to take care of their money.  

Banks, credit unions, and other financial institutions look at past data, compare it with the current trend, add additional internal and external insights to use it to improve customer experience. The data-driven analytics helps them tackle even complex matters which is otherwise impossible to deal. While it’s an excellent way to keep track of customers’ past data and interactions, being proactive in offering personalization is the key to success. It includes setting new protocols to optimize customer financial outcomes.  

Proactive personalization is also essential to focus on investing in the customer journey, improving the dynamics of introducing new products and services to a defined target audience, and how systematically it empowers engagement compared to driving sales and reducing costs.  

Technological advancements

With newer technologies on the web and mobile devices, customers will not pursue the brands they used to do before. Although it won’t be too challenging, still the use of technology will drive customer experience. It will be bringing invincible charm to customer experience.   

Customers always want technology to work seamlessly, without any disruption. They expect the website and mobile app to be user-friendly and easy to navigate, want automation in the process, receive timely communications, and affordable upgrade options. But these changes will not be applicable if the right information is not available at the right time.   

Investing in items that are not useful to the customer is not a winning strategy. Banks, credit unions, and other financial institutions must focus on bringing in new technologies to make the customer life more comfortable. They must decide on the technology that will be there for a longer time, support the people, and amplify customer experience. The customer experience must be designed to cater to all types of customers and be built inside out.  

Reach before your competitors

One negative review for your business is a business opportunity for another. The effect of negative customer experience becomes complicated when customers have their first lousy interaction. It is so quickly without even getting the chance to appease the customer and get things on track. Most customers leave a brand they love after their initial lousy experience. It will increase if brands don’t pay attention to negative customer experiences.  

Adding to the list is the number of impatient customers who have multiple options. If a bank or credit union does not reach the customer immediately, your competitors will contact them and offer them a lucrative deal. If customers fail to find what they want in the first few seconds, they will look for it on a competitor’s website or mobile app. With so many new products available, customers will select the brand with the best customer experience.  

You should keep a record of all the customers who left your brand because of negative customer experience. At times, customers may switch providers due to a negative review and without even telling you. In the digital world, customer attrition can be both visible and invisible.  

Measure sustainability

Due to the global challenges in the last couple of years, the need to create a sustainable customer has become even more critical. Customers expect their banks and credit unions to function worldwide, considering environmental issues, gender equality and supports investment.   

As more customers lookout for financial institutions that meet social, political, and environmental conditions, banks and credit unions must also put those words into practice and keep the customer updated at all levels. In 2021, customers will be more likely to stay with a brand that provides excellent product quality followed by sustainability and best business practices. And many customers will prefer brands that share the same objectives and goals.  

Conclusion

No banks or credit unions can implement digital banking solutions and improve all customer experience elements in a day. The best way to enhance customers is by asking your customer what they want from you before, during, and after any crisis.   

While most customers will be happy and content with the digital transformation that made their lives easier, there will still be many who can even not adjust to technology. Banks and credit unions must create online webinars and training sessions for members who cannot cope with new technologies. Find the best version of your service, and create a recurring customer experience.   

Use the same passion and level of support to create a valuable customer experience that differentiates you from another bank or credit union. With the pandemic still going on, the only way to sustain it is through prioritizing CX in the digital space.