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There’s a way to understand and pinpoint your financial institution’s customer pain points: it starts with customer feedback.
L.T. “Tom” Hall, president and CEO of financial institution consulting firm Resurgent Performance, puts customer service in banking into perspective: many community banks are not paying enough attention to their customer’s pain points.
“Just a couple of decades ago, bankers were considered trusted advisors,” Hall writes. “They can reclaim this role by identifying bank customers’ needs and offering viable solutions.”
In order to keep up with financial services trends and attract loyal customers, banks must create long-lasting relationships to profit for the long term, rather than focusing on the short term. Hall offers an example for how community banks can pinpoint customer’s problems and find solutions to fix them.
One way to keep customers is to look at how 8 percent of customers incur nearly 75 percent of all overdraft fees. For banks, this represents a tremendous opportunity to provide personal financial management service (and a great customer experience) to help people manage and budget their money and avoid overdraft fees.
Why Use Online Reviews as Part of Customer Feedback?
Financial institutions — banks, brokerage firms, insurance companies — have the opportunity to analyze and improve overall customer experience by obtaining customer feedback from sources like social media, online reviews and customer surveys.
Listening to the voice of the customer is necessary to understanding where improvements need to be made within organizations in the banking and financial services sector.
Build customer relationships
If you’re looking to build long-term relationships with customers, read and respond to their reviews. Show that you’re listening to their concerns and work on finding solutions.
Why do you go to the diner across the street? It’s not just because the waiter always gets your order right; it’s also because the food is cheap and you know their chicken salad is healthy and delicious.
It’s similar for financial institutions: customers rely on you, and they want to see their needs are being met, beyond transactional convenience.
Make sure prospective customers give you a try
According to ReviewTrackers, 69 percent of consumers are unlikely to decide on an insurance agent with zero reviews.
By including reviews as part of your customer feedback strategy, you will be able to drive consumer trust levels, build and strengthen your brand reputation, and improve your visibility across key digital touchpoints like search, social media, and online review sites.
Be a better financial institution
According to FIS, about half of global bank consumers will either look somewhere other than their primary financial institution for lending and advice — or they don’t actually know who to go to for assistance.
These consumers believe that financial advisors are not part of their lives. More than 70 percent say that they don’t even have one — which presents an opportunity for companies hoping to attract and keep potential new customers.
Financial institutions need to start listening to their customers and provide services where there are needs. Look at the patterns within your reviews. What are customers saying? What do they need other than your digital strengths and product mix and rewards program? How do they feel about their experience with your company?
Grow your customer relationships by focusing on understanding and improving the banking customer’s experience. Invest in amazing customer service and support. Finetune your sales and marketing strategies based on information revealed by your online reviews and customer feedback. And tailor your entire offering in ways that address customers’ pain points. That way, you can set yourself apart from the competition, build consumer trust, foster customer loyalty, and positively impact your bottom line.