By Nick Millward, VP Europe at mGage

With the world becoming more digital – as smartphones play an intrinsic part of everyday life – customer behaviours are changing, and the financial services industry should look to further enhance their mobile engagement to deliver exceptional experience and increase customer loyalty. With Gartner predicting that 89 percent of businesses are facing competition based predominantly on the consumer experience, the need for excellent customer service has never been greater.

Today, customers require a seamless experience from their financial service providers, where banking tasks can be handled easily and securely from mobile devices. They also expect businesses to be present at whatever time they want and on whichever channel they use the most.

In fact, 73 percent say they are more likely to leverage digital banking and payments following the current situation. Therefore, financial brands need to commit to a move to mobile and allow a variety of financial tasks to be carried out via mobile messaging to deliver exceptional customer service, which in turn will increase customer retention.

Mobile channels for financial services

Consumers are clear about how they want brands to communicate with them. They want brands to take note of their preferences for which platform to use, to deliver them engaging and interesting messages, or send them information that makes their lives easier, and they want brands to provide some assurance that they have got security right too. There are a variety of channels available for financial services to utilise without customers having to download additional applications from those that they already use frequently. From next-generation Rich Communication Services (RCS), to Push Notifications and SMS, these are all perfect communication platforms for delivering the best possible customer service.

To meet customer demand for more conversational and personalised interaction, businesses should utilise the new RCS messaging platform, which brings text messages to life. In the financial sector, RCS can act as a customer’s real-time branded personal assistant where queries can be answered within the platform by utilising automated chat and rich media items such as mini bank statements can be sent. RCS also builds customer trust with features such as logos and branding and the verified sender scheme, which provides an additional layer of security and boosts consumer confidence. As a platform, RCS can achieve 14 times higher engagement rates and has a two-way nature allowing for users to initiate conversations.

The utilisation of Push Notifications can also prove beneficial for the financial sector to complement the growing use of banking apps, with the message being delivered to the mobile device without the user having to be in the mobile app itself. It allows banks to send timely, relevant notifications to their customers – whether to check a balance, review the latest interest rates, or inform them of the approval of an application. With 55 percent of consumers using their mobile banking app as the primary way to check their account balance, Push Notifications are a key way to alert customers to any changes or important information that they need to be aware of, without relying on them opening the app. Being the most universal form of non-voice communication, SMS is available on any mobile phone device and will remain a key part of a brand’s communication strategy as a channel that many people know how to use, regardless of their demographic. SMS messaging has provided financial institutions with a ubiquitous channel to support the customer journey, with 83 percent of financial organisations confirming that after deploying this technology they have witnessed a greatly improved customer experience.

SMS still remains a technology that can increase efficiency while lowering service costs – providing a cheaper and faster service for consumers that often results in a better service experience too. This will prove key for banks and financial organisations that do not have large call centres, giving customers an alternative form of contact. It also gives businesses a tool for a variety of tasks, such as sending balance updates, fraud alerts, one-time password and payment reminders, as well as using it to verify any new transactions or payees that have been set up via a banking app.

Offering a range of innovative solutions which each bring their own benefits, the power of mobile messaging must not be underestimated, with 88 percent of financial organisations admitting that it has greatly impacted their customer experience. Through these channels, brands can achieve higher rates of engagement in line with customer expectations for instant support.

Customers want brands on mobile

As the world becomes more digital, customers are demanding a move to mobile, making it essential for brands to leverage mobile messaging or enhance their current offering to stay ahead of the competition. With two thirds of consumers now preferring to use text over voice when receiving customer service and 77 percent of people aged 18-34 saying they are likely to have a positive perception of a company offering text capabilities, it is clear that there is a large appetite for these solutions.

With these channels, users can receive support or raise an issue at a time of their choosing to give ultimate convenience. For example, RCS and SMS can be used to report lost or stolen cards, or raise a query relating to a transaction instantaneously without having to wait on the phone for long periods of time.

With 78 percent of consumers admitting that texts have given them more autonomy and confidence when interacting with their bank due to the convenience and accessibility it offers, mobile messaging has proven to be a beneficial resource to improve the customer journey in the financial sector.

Future of messaging

In today’s industry, where customer loyalty is highly valued and it is relatively easy to switch banks, it is imperative that businesses provide the best customer experience and offer a competitive edge. By utilising mobile messaging and enhancing their current communications, brands can unlock convenience and customer-centricity to receive heightened levels of engagement and stay relevant to their customers.

With operational savings by as much as 20 percent, it highlights just how beneficial mobile messaging can be for financial service organisations worldwide. By listening to customer expectations and the growing trends being witnessed in the industry, financial institutions can leverage such solutions to achieve the associated advantages to set them apart from their competition and ensure their success in the future.