Video Banking
How Banks Aim to Restore the Human Touch in Banking
What is video banking?
The world has seen a unanimous shift towards digital channels in recent years, and banking systems are no different. Numerous banks closed their physical branches, encouraging customers to move their banking online.
Customers proved to be hesitant to switch over to an online-only experience, though, showing reluctance for complex or high-value transactions over an audio call or through an app.
According to a Forbes article, branch transactions sunk by 30-40% between March and November 2020 as economic cuts forced banks to close physical branches.
Financial institutions had to come up with a solution that would combine the efficiency of online banking with the reassuring presence of the human touch. This is where video banking entered the picture.
How does video banking work?
Customers do not like to sift through tons of information from a banking app or website to get their desired particulars. They want to perform transactions easily and efficiently while feeling like they’re important to the bank.
That’s why banks must devise an effective digital strategy that includes video banking services, adding the human element to the system.
Video banking allows banks to maintain a low-cost communication channel at their end while providing necessary assistance to customers who want to interact with people instead of machines.
This touchpoint works for banks because it decreases costs when compared to running a physical branch. It also adds depth to the customer experience because consumers get to absorb information in a relatable way.
How can you use video banking?
There are various ways in which banks can retain customers by adding a human element to transactions.
It’s useful and relevant to the banks’ growth strategy because one-on-one interactions can attract more customers, generate leads, and produce loyal existing consumers.
Video banking also ensures that the bank can stay in touch with consumers who live in places where the bank doesn’t have a physical branch.
Here’s how the human touch can harmonize with the new trends of digital disruption:
1. Free Video Conferencing
Video banking is one of the most efficient ways for customers to communicate with their bank. Since video calls are widely used, several business phone number providers also offer free video conferencing too. So, banks can purchase such subscription-based services for cost-effective solutions.
Banks can hire video customer service providers instead of going through the long process of hiring and training customer service staff at physical locations.
Video banking offers another feature that makes it easier for the customer and bank representative to communicate, i.e., screen-sharing.
Screen sharing is particularly useful when a customer has a specific complaint or needs help with a niche issue. Certain problems can’t be explained properly over an audio call or using online chat boxes.
With screen-sharing solutions, bank representatives can ask customers to share their screens when they are facing problems. In this way, banks can satisfy their customers via high-value consultations.
2. Expand In-Person Hours of Operation
Banks can increase their hours of service for customer satisfaction. Physical branches don’t usually allow bank staff to serve customers after banking hours have ended. If a bank chooses to offer extra hours to assist their consumers, they’ll find an increase in customer satisfaction and retention.
Many of us are already aware of telephone numbers for business solutions which often provide 24-hour support.
A video consultation can take this one step further. They provide a quick solution, clear up any confusion, and, crucially, show the customer that their bank thinks they’re essential.
For example, a customer might be struggling with a particular transaction or problem after banking hours or during a bank holiday. Video consultations can assist with this in a more interpersonal way that mirrors an in-person interaction and, ultimately, provides an improved customer experience.
For tech-savvy customers, you can use online financial proposal templates to help them understand the plan to the full extent. You can search for a lot of these templates online.
One such example is the PandaDoc financial proposal template. Bank representatives can make customizable financial proposals to satisfy the financial needs of their customers.
3. Install Interactive Teller Machines (ITM)
An Interactive Teller Machine (ITM) gives users access to live customer support through video conferencing at any time of day or night. This is a personalized experience that makes banks stand out from the competition.
Satisfied and happy customers will recommend the bank to their friends and family through word-of-mouth, increasing brand awareness. People remember how businesses treat them, especially important ones like banks.
Banks can expand their ITM service timings to 24 hours, allowing customers to interact with representatives whenever they want or need.
Think of this as a kind of physical branch in a box. Many credit unions and banks are using automation tools like these to create a more efficient banking process.
4. Use the Best Technology and Software for Video Banking
Banks must offer more than video banking solutions to retain customers and generate leads. There’s a lot of competition in the market, and customers flock to banks that provide multiple options for problem-solving and human interaction.
The tech used in banks should be continuously improved to retain and engage their customers.
Automation software helps banking representatives interact with customers more effectively and helps the bank with data management.
Automated tools make it easy to sort, record, and categorize customer data, ensuring that valuable information stays private and is accessible to bank staff.
Advanced data management tools ensure that bankers can pull up whatever information is needed to help clients, cutting waiting times.
Clients shouldn’t have to wait long hours to speak to a banker. Banks are services, and their reputations are always on the line. Financial transactions can be particularly frustrating, especially if customers are dealing with a time-sensitive issue.
Banks have to build brand equity through multiple touchpoints; these should be state-of-the-art and have the client experience at their heart.
A virtual branch should have the following features regardless of whether it works with private equity or investment banking:
a. Bank Appointment Scheduling Solution
Customers located in different time zones should be able to schedule calls with the bank’s representatives. An organized appointment scheduling system means that banks can interact with remote clients and increase retention. It’s imperative that the virtual branch offers an easy-to-use scheduling solution, so there are no disruptions throughout the process.
Most financial institutions worldwide are hurrying to provide better technological solutions to retain their customer base. They might find that installing all-new tech is a little pricey when everything has to be implemented at once.
There are workarounds to almost every problem regarding tech, and a private branch exchange (PBX) takes care of expensive call systems.
A cloud-based PBX system works much like a traditional phone system but doesn’t have a physical presence, decreasing overall costs. Banks don’t have to install dedicated phone lines and hire staff to be present at an on-site call center.
It allows bank staff to access all the services that would be used in a conventional call center, except everything is online. There are also more functions to access as data is organized in a better way, and calls can be routed, categorized, and recorded if necessary.
A cloud-based phone system keeps costs low while maintaining customer interaction and building equity. There’s also a high potential for scalability, making this an efficient solution.
c. Virtual Queuing
If a person wants to interact with a specific banker each time, it is better to opt for virtual queuing. Since many customers do not use appointment scheduling features, it allows every customer to get information on a first-come, first-serve basis.
5. Third-Party Technologies and Native Experience
A lot of banks use third-party solutions when dealing with clients. This means outsourcing customer service to call centers in different countries, hiring remote bankers for customer-facing touchpoints, and creating meaningful experiences through third-party vendors.
Using external solutions is effective, but banks should be careful in selecting people who speak their clients’ native language(s).
Building brand equity is essential with banking customers, and it helps if you’re offering them solutions in their language. It cuts through any communication barriers as people find it easier to explain their problems in a familiar tongue.
It’s possible to hire remote workers who speak the relevant language and handle consumers easily and confidently.
Banks can also arrange a cloud-based phone system to deal with remote customers or workers. This will generate a lot more leads as reach is expanded to different cities or countries that don’t have a physical branch.
Conclusion
Apps are a nifty way to get things done. Financial transactions can be a little tricky to manage through dedicated in-app experiences because certain people like the human touch. They might also be hesitant to trust their hard-earned money to a tech-heavy app that they don’t fully understand.
On top of this, some people have specific questions that can’t be answered with apps or through online chat boxes. Whether you are an investment bank or a retail bank, banks need to add a human element to their services.
Well-trained banking experts should be available on video to assist confused customers.
This helps the bank stand out among competitors as video-related services allow bankers to serve clients outside of normal banking hours, keeping them satisfied and happy. Customer satisfaction is key in this process, and banks must work hard to retain their clients.
Face-to-face virtual meetings, interactive teller machines (ITM), scheduled appointments, and cloud-based PBX systems can open new ways for banks to grow their customer base, increase retention rates, and grow their operations.
Customers can enjoy new and personalized experiences through innovative digital interactions.
Free Resources
To continue learning and advancing your career, check out these additional helpful WSO resources:
or Want to Sign up with your social account?