Find new ways to interact with customers to protect their financial security

Over the past five years, the number of fintech brands in India has grown rapidly. The competition is fierce, but fintech offers unique products and services with superior experience and is already underway. The Covid-19 pandemic stimulated digitization of the financial sector, and the entire industry is now going through a mini-renaissance. But we have only scratched the surface – the sheer number of people who need better services in the financial sector in India is huge. Consumer behavior is changing rapidly with incredibly short attention spans and digital formats for media consumption. All of this has and will continue to push brands to innovate on consumer engagement to leave a lasting impression and reap long-term benefits.

A consumer-first approach gives Fintech brands an edge

Instead of a customer going to the branch, Fintechs bring the experience to their mobile phones and their homes and offices. Instead of relying on physical processes that cause delays in resolving customer issues, Fintechs offer automated chat flows and guided content (videos, gifs) to help with faster resolutions. The decades-old approach to banks, one size fits all, no longer applies to today’s demanding customers. Fintechs are turning the tide with their agility and better customer understanding by curating personal experiences on a large scale. They even speak to the customers in the language that connects (meme marketing, story format content, topical content, etc.) and help them build brand equity.

Fintechs increase engagement by revealing hidden opportunities

Whether it’s a financial transaction, insurance payments, expense reporting, investment review or any other financial service, Fintech finds white areas in customer experiences and closes those gaps. Whether it’s setting up automated reminders for customers to pay their bills, giving them a monthly overview of credit card spending, investment growth or improving credit scores, Fintechs deliver value by analyzing customer usage data and communicating these insights in a simple way. digest, visual/graphical reports on their mobile phones, thus elevating the overall experience.

Fintechs see engagement opportunities in customer journeys

Fintechs are trying to change existing customer journeys and the extent to which they are experimenting and analyzing consumer behavior is incredible. Many Fintechs have figured out and implemented gamification in their experience and have leveraged a possibly difficult situation to their advantage. If the process is taking longer than usual, show a mini-game or offer a relevant blog to keep the customer engaged. Presenting user reviews that build trust or the success rate of a particular channel on payment sites goes a long way. Also, Fintechs see “magic moments” in their app experiences where a user is most likely to review the service, refer a friend or spread the word on social media.

Fintechs remove friction points and ensure that customers see relevant messages

Fintechs have been at the forefront of delivering digital journeys and providing paperless customer onboarding by implementing eKYC, video KYC and customized chat-based customer onboarding flows. But adopting these for the masses is a challenge and that is where Fintechs are helping even a few large banks and institutions in their digital banking initiatives. By implementing automated marketing communications across channels (mobile push notification, SMS, email, interactive voice recordings, Whatsapp messages) and offering content tailored to a customer’s financial history, thus delivering a seamless experience, Fintechs have outshined traditional players .

Fintechs solve customer anxiety with a content-led approach

Economics has generally been challenging to understand, which is why it is frightening for many. The customer is forced to wade through an information overload filled with jargon before making a decision. Traditionally, banks and financial institutions solved this by having account managers or customer representatives who assisted customer journeys. Post-Covid-19, brands are fighting this battle head-on by creating simple yet powerful content such as short story format videos, long format explainer videos and various “How-to” videos/safety and by speaking to the Millenial and Gen-Z customer segments on a way they understand. More and more Fintech brands are enabling their apps and websites to support vernacular languages.

Trust is hard earned and challenging to maintain for Fintechs

With all the technology bling that Fintechs bring to the table, this is by far the most difficult challenge for them. Fintechs must work harder than their banking counterparts to deliver a trusted proposition and brand. With cybercrime on the rise, the need of the hour is to ensure that robust systems are in place. Fintechs work proactively on this front by creating awareness of how customers can be safe and why their brand is worthy of customers’ trust. Over time, Fintechs will raise the standard of service and build a stronghold, but until then, delivering consistently good service can help build loyalty.

India is on the verge of a financial revolution and Fintechs are the catalysts that will create the metamorphosis of the banking and finance industry. This in turn will strengthen the customers and thus the nation. Only by embracing the changes and innovation unleashed by Fintechs can the Indian banking industry become customer-centric, at par with global leaders, and truly revolutionary.

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