Banking & Financial Services Industry: How Chatbots can Boost Customer’s Experience
Even if you haven’t started using AI chatbots, get ready to hear a lot about them. This futuristic sounding customer-service tool is already in use by some huge brands like Sephora and KLM and it’s poised to become the next big thing in marketing.
Whether you want to start using a bot for your brand, you are an enthusiast or you’re playing in the financial services industry, this is the best time to dig deep into understanding the goldmine and the potential advantages your brand stands to gain.
One of the reasons I will always preach AI (Artificial Intelligence) and chatbots is the huge upside in customer’s user experience.
What is a Chatbot?
A chatbot (called bot for short) is a computer program designed to mimic conversation with human users on the internet, according to Oxford Dictionaries. Using robotics and Artificial Intelligence (AI), a chatbot can assist customers without the need for a customer service agent on the other end. Chatbots can range from simple to highly intelligent depending on how they are programmed. A rules-based chatbot can only handle very specific commands, while a chatbot that uses machine learning will get smarter with each interaction.
Chatbots in banking are being used by major brands such as Bank of America, American Express and The United Bank For Africa (UBA). These financial organization are utilizing chatbots on social media apps like Facebook Messenger, WhatsApp to provide customer service through conversational banking.
Customers started to see chatbots in banking in the early 2000s through text messaging. These bots could do simple tasks like show an account balance when given a specific command. Now, AI vendors like Abe are making chatbot interactions about banking as natural as chatting with a friend across platforms like Facebook Messenger, Slack and in banks’ mobile apps.
What Is Artificial Intelligence?
In 1956, the term Artificial Intelligence was defined by John McCarthy. He defined AI as:
‘The science and engineering of making intelligent machines.
Types Of Artificial Intelligence Systems:
If I were to name a technology that completely revolutionized the 21st century, it would be Artificial Intelligence. AI is a part of our everyday life and that’s why I think it’s important we understand the different concepts of Artificial Intelligence. This article on Types Of Artificial Intelligence will help you understand the different stages and categories of AI.
From Siri to Tesla’s self driving cars, AIs are quickly rising as a new “voice” in consumer communications. These bots have stronger conversation abilities than ever before.
“According to a recent Accenture report; Banks that invest in AI and human-machine collaboration at the same rate as top-performing businesses could boost their revenue by an average 34 percent and their employment by 14 percent by 2022.”
The Future of Chatbots in Banking
As chatbots continue to become more advanced, customers will see a shift in focus from mobile banking to conversational user interface (CUI) in banking. CUI technology mimics a human conversation. Major tech giants such as Amazon and Apple have laid the groundwork for familiarizing consumers with these conversational interfaces. In order to be on the cutting edge, banks need to have a conversational banking strategy as well. A conversational banking strategy should include investing in the right human talent with skills in artificial intelligence development and natural language processing experts, who can keep up with technological advancements and actively integrate them into existing tools. Concurrently, banks will need an increased focus on digital security to protect sensitive information. This could include investments in voice bio-metrics to verify that the customer is talking to the bot and not a stranger who has their phone.
What benefits do chatbots provide to mobile banking?
Banks all over the world are starting to develop or have already developed chatbots based on artificial intelligence in banking apps to gain the following advantages.
#1. Сustomer support 24/7
#2. Employee assistance
#3. Personal banking services
#4. Measuring customer satisfaction
#5. Personalized marketing strategies
#6. Guidance on financial matters
#7. Streamline routine back-office tasks
Typical Chatbot — customer conversation
Customers today are much different from the customers of yesterday. Today’s clients demand not only round-the-clock consultations but personal assistance as well. They want to manage their accounts, order and cancel services, make transactions, and know their balance within seconds. And they expect you to offer it all.
Trending Chatbot Tutorials
1. Teach Einstein Bots to Pay Attention with Named Entity Recognition
2. Deconstructing Chatbots: How to create FAQ
Below are screenshots of a conversation with Leo — the leading banking bot in Africa.
Leo in the conversation below, successfully booked me a an economy flight ticket from Murtala Muhammad International Airport Lagos, Nigeria to Heathrow, London, UK.
Bottom Line
AI chatbots solve multiple problems in the financial sphere. They can cut spending, improve services, engage clients, and make clients loyal to a company. Chatbots never get tired, they’re always in a good mood and, in many cases, they work more efficiently than people.Don’t forget to give us your 👏 !
