August 2020

Customer relations in banking: what has changed during pandemic?

In March 2020 the entire world stopped in response to the global pandemic. That caused numerous problems for both individuals and companies that were struggling to provide their services to the public. The prolonged restrictions forced many businesses to switch to remote work and remote business relations. This was not so simple for the banks fighting for survival within the limits of operational safety that was always tied to the branches. Is there anything that could be done to prevent such struggle in the future?

Business relations vs coronavirus: defining the problem

Until now, business relations maintenance was tied to bank’s branches. Documents and files with original, hand-written signatures were the base of every transaction – even the scans were not considered to be secure enough to be used in professional environment. Every single action was connected with a set of paperwork needed to be filled in person in order to proceed.

What is more, getting in touch with the Relationship Manager was also difficult. Remote means of communications, such as chats or video calls, were merely an interesting feature, not a basic tool for maintaining banking communication. On the other hand, even if those programs were available, bank representatives would have significant troubles accessing their professional accounts in internal systems outside their workplaces. Suddenly all of those practices were challenged when coronavirus pandemic struck not only the industry, but also the world, and forced financial institutions to redefine their services and reach their customers in a brand new, remote environment.

The world has changed; what about business relations?

The recent pandemic forced banks to face the mistakes of the past and embrace online transformation. According to the Digital Banking Report prepared by The Financial Brand, 75% of responding institutions claimed that such digital changes were their post-pandemic priority. Meanwhile, an overwhelming 98% of organizations stated that they will try to focus on improving customer relations in post-pandemic environment, indicating the connection between digitization and providing clients with banking products. Despite those declarations only 31% of organizations claim to be successful in relation maintenance, with only 51% that were moderately satisfied with their results. Why is it so?

Improving customer relations and automation of transactions settlement are aims of every single business. Still, even the banks need some digital tools to achieve this goal – especially in the time of lockdown, when customers could only rely on online solutions. However, while financial institutions were focusing on customer relations themselves, many of them failed to choose and implement the programs and platforms that were crucial for their digital transformation.

Data provided by Digital Banking Report confirms that paradox: less than one in five of organizations considered themselves either highly or very highly successful with data and analytics, while less than one in four claims to achieve their goals in the evolution of business model, back office efficiencies improvement and legacy core systems transformation. Those are tools and systems essential for implementation of digital solutions and for further improvement of customer services.

How to improve business relations in banking in post-coronavirus world?

Digital success has to be based on many different tools and solutions; it is difficult to implement all of them, especially during a global pandemic. Data provided by various financial organizations confirm that: less than 20% of them believe they have deployed digital transformation “at scale.” In the same time, customers are using online banking platforms more than ever before – and they expect to maintain they business relations with those tools. They also tend to choose banks offering digital tools and means of communication over those who do not provide them with such applications. Thus, digital transformation in banks must happen as fast as possible – and it can happen thanks to platform such as Corporate and Business Banking designed by Ailleron.

Corporate and Business Banking is a set of services tailored to the needs of financial institutions. This platform provides customers with a variety of tools, such as automated payments settlement, bulk payments, online negotiation of FX rates, loans management, Trade Finance improvement and online communication connection tools like chat, video and voice calls, online consultations and more – everything you need to offer and support your products in a remote environment. Thus, it can help you reach thousands of your customers and help them manage their account and apply for new services within seconds. Such a feature will make your bank more accessible for the public and it can help you maintain customer and business relations while keeping the highest standards of services.

Help your bank become one of the 20% of institutions that have successfully completed their digital transformation. Contact us and become a digital native in the world of innovative online banking with Corporate and Business Banking Suite.

Any questions?

Need quick hints? Feel free to contact us

Agnieszka Piróg

Business & Product Development Manager +48 506 967 166

Ailleron
20 Życzkowskiego Street
Avia Building, 1st floor
31-864 Kraków, Poland