In today's rapidly evolving business landscape, building societies operating in the UK face a myriad of challenges, from regulatory complexities to changing customer behaviour across both consumer and business banking customers. However, amidst these challenges lies an opportunity for innovation and growth, powered by banking technology. In this article, we'll focus on how banking technology, including internet banking, mobile apps, digital origination and lead capture, can drive efficiency, enhance service levels, and support business banking customers and banking staff.
Meeting the Evolving Needs of Business Customers:
The landscape of business banking has transformed significantly, particularly with the rise of digital solutions and the shift in customer behaviour brought about by the emergence of digital-only banks. Business customers now expect banking services to be highly accessible, efficient, and tailored to their specific needs. Let's delve into the key aspects of meeting these evolving customer expectations:
- Convenience and Accessibility: Just as individual consumers demand round-the-clock access to banking services, businesses also seek convenience and accessibility in managing their finances. Internet banking and mobile apps tailored for business banking empower companies to access account information, initiate transactions, and manage cash flow anytime, anywhere, enhancing operational efficiency and agility.
- Personalisation and Customisation: Digital banking platforms equipped with advanced analytics capabilities enable building societies to understand the unique needs of their business clients and offer tailored solutions, such as customised financial reporting, cash management tools, and risk mitigation strategies. It also allows for real-time access to critical information for the business banking customers. Through access to data and reporting, the customer can make informed decisions on their cash flow projections and business operations.
- Speed and Efficiency: Digital origination solutions streamline account opening, online loan applications, and other financial services, reducing manual workloads and increasing data integrity and creating efficiencies for both staff and customers alike. Incorporating digital origination technologies across lead capture, application processing and post-settlement servicing enables businesses to access capital quickly and make timely financial decisions, driving growth and competitiveness.
- Enhanced User Experience: User experience is paramount in business banking, where complex financial tasks require intuitive and user-friendly interfaces. Internet banking and mobile apps designed for business users prioritise functionality, security, and ease of use, offering features such as multi-user access, customisable permissions, and seamless integration with accounting software. These features enhance usability and satisfaction, making banking interactions more efficient and productive for business customers.
- 24/7 Customer Support: Businesses operate around the clock, and so should their banking support services. Digital banking channels provide building societies with the ability to offer round-the-clock customer support through chatbots, virtual assistants, and self-service portals. AI-powered chatbots handle routine inquiries, provide instant answers to frequently asked questions, and guide businesses through complex transactions, reducing downtime and enhancing service accessibility.
- Real-time Notifications and Alerts: Internet banking and mobile apps equipped with real-time notifications and alerts enable businesses to stay informed about account activities, transaction updates, payment reminders, and security alerts. This proactive approach to communication enhances financial visibility and control, empowering businesses to manage risks effectively and seize opportunities.
Digitisation and Automation: Driving Efficiency and Productivity for Banking Staff:
While much attention is often given to the benefits of banking technology for customers, its impact on the daily lives and productivity of banking staff is equally significant. Let's explore how digitisation and automation empower staff to better serve business customers and navigate the complexities of the banking landscape:
- Automation of Routine Tasks: Banking technology enables building societies to automate repetitive and time-consuming tasks, such as maintaining passbooks, transaction processing, and account reconciliation. Digitising processes and implementing workflow automation tools streamline workflows, reduce manual errors, and free up banking staff to focus on value-added activities, such as relationship management and strategic advisory services.
- Streamlined Customer Onboarding: Digital origination platforms simplify the account opening process for businesses, reducing paperwork, eliminating manual errors, and accelerating application processing. Automated workflows, electronic document management, and digital signatures enable banking staff to onboard new business clients efficiently, enhancing the customer experience and fostering stronger relationships from the outset.
- Enhanced Data Analytics: Banking technology empowers building societies to harness the power of big data and analytics to gain actionable insights into business customer behaviour, market trends, and operational performance. Advanced analytics tools and machine learning algorithms enable banking staff to identify opportunities for cross-selling, detect fraudulent activities, and optimise risk management strategies, driving revenue growth and improving decision-making.
- Omnichannel Engagement: Digital banking platforms facilitate seamless omnichannel engagement with business customers, allowing banking staff to deliver consistent and personalised experiences across multiple touchpoints, including internet banking, mobile apps, call centres, and relationship manager interactions. Unified customer profiles and real-time data integration enable banking staff to track interactions, anticipate needs, and deliver targeted solutions and recommendations, enhancing customer satisfaction and loyalty.
Technological Innovation: Staying Ahead of the Curve:
Banking technology plays a pivotal role in driving innovation and growth for building societies operating in the UK business banking sector. By embracing digital solutions such as internet banking, mobile apps, and digital origination, building societies can meet the evolving needs of business customers, enhance service levels, and support their staff in delivering exceptional experiences. This can help them stay ahead of the curve and drive business success in the competitive landscape of business banking.
However, navigating the complex landscape of emerging technologies and integrating them into existing infrastructure can pose significant . Collaboration with fintech’s and technology partners is instrumental in fostering a culture of innovation within building societies. Open banking APIs, and the likes of sandbox environments facilitate experimentation and help to empower building societies to leverage cutting-edge technologies such as artificial intelligence (AI), and machine learning (ML) to drive operational efficiency, enhance customer experiences, and unlock new revenue streams.
When discussing how technology can support business banking customers within the building society sector, it plays a support role. Business customers will always require a direct relationship with the building society through their relationship manager (RM). The technology needs to aid in freeing up the RMs to focus on high value tasks by automating and digitising the lower value and manual tasks, or to provide access to critical information 24/7. A building societies’ digital strategy must look at how the technology will help uplift customer support, the customer experience, operational efficiencies and banking processes. A digital-first strategy is designed to support the overall growth of the business, choosing the right technology partner will determine the success of the overall strategic vision.
