Top Challenges Faced by New-age Banking and Financial Services Institutions

Top Challenges Faced by New-age Banking and Financial Services Institutions

2 min read

Banking and Financial Services companies are in a continuous process of evolving and expanding. Their entire focus is on technology-intensive solutions to improve and optimize their revenues, functions, and most importantly, Customer Experience. The industry, as a whole, is in digital transformation mode and one who makes the digital-first move will be at an advantage.

Though many disruptive technologies are hitting the market, there are many challenges that these companies face. Let us see some of the top challenges that this industry is facing.

Trying to Make Money in an Uncertain Environment: The institutions are here to make money, but the fact is that in spite of all those talks regarding banking profitability, they are not getting enough returns. The interest rate scenario is not stable. The institutes would love to have a predictable interest rate environment with good core deposits. The fact is that the central banks regulate their policies based on a number of factors and the banking institutions have to keep aligning their strategies accordingly.

To Stay Engaged with the Customer: The biggest challenge that a number of Banking and Financial Services companies feel today is to meet the customer’s expectations and to be engaged with them. Customers are getting more and more demanding, and these institutions are feeling a pressure in delivering the level of service that they are expecting or demanding. This is especially felt more when it comes to implementing the technological tools to provide convenience and security in operations. The bottom line is simply that the institutes must provide the customers with what they want if they desire to keep them engaged.

Top 5 wants

Navigating the Regulatory Compliance: The regulatory requirements are on the rise and the institutions have to spend a significantly huge portion of their discretionary budget on ensuring compliance. They have to invest in building processes and systems that can keep up with the increasing requirements. They have to adopt the technological tools that provide them with a perpetual, risk, and compliance solution.

Using Data to Drive Greater Marketing ROI: New strategies are based on new technologies that are coming up and these can help institutions to develop loyal relationships with their customers. But, this will be possible only if they can use the data available to them through different tools and deploy these data-driven insights to achieve greater marketing ROI.  Those institutions that will take the comprehensive route for optimizing their performance by incorporating the data intelligence will be at an advantage.

What would be an effective solution to win over these challenges? Speech Analytics is a great way to overcome most of these BFSI challenges with an incredible potential to revolutionize customer service all through the financial and banking services sectors. From ensuring process compliance to enhancing customer experience, Speech Analytics can unearth business insights for better business outcomes.

The challenges will continue to change shape and escalate. It is for the BFSI institutions to identify them in time and take appropriate actions to get past them successfully.

Recommended: To know more about how Speech Analytics can uncover specific business insights for companies operating in the Banking and Financial Services sector, click Speech Analytics Augmenting Customer Experience for Banking and Financial Institutions. 

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