The document discusses the role of technology in improving customer service in the banking sector. It notes that technological advancements have enabled banks to gain a competitive advantage by delivering personalized insights in real-time. This allows banks to improve the customer experience and grow their business. The document identifies four key areas banks should focus on to improve the customer journey: improving the new account opening process, adopting user-friendly authentication, embracing chatbots, and implementing cross-selling strategies. It also discusses how COVID-19 has accelerated digital transformation in the banking sector.

1. ROLE OF TECHNOLOGY IN BANKING SECTOR WRT CUSTOMER SERVICE
PrakashOruganti
80302200004
Technologydisruptionhasaffectedeveryindustryinthe world.Few industrieshave beenasaffected
as retail banking.Asbankscontinue toevolve,theyare also facingnew challengesandopportunities.
Due to the rapid pace of technological change and hyper-competitive environment, businesses are
finding it increasingly difficult to acquire new customers. The rapid emergence and evolution of
technologyenabledbankstogainacompetitiveadvantagebydeliveringreal-time,actionableinsights.
Thisallowsthemtoimprove theircustomerexperienceandgrow theirbusiness. Bankingenvironment
has become highly competitive today. To be able to survive and grow in the changing market
environment banks are going for the latest technologies, which is being perceived as an ‘enabling
resource’that can helpindevelopinglearnerandmore flexible structure thatcan respondquicklyto
the dynamicsof a fast changingmarketscenario.It is alsoviewedasan instrumentof cost reduction
and effective communication with people and institutions associated with the banking business.
OBJECTIVE OF THE STUDY:
Objective ofthe studyistoanalysethechangesincustomerserviceofferedbybanks/FI’s inthecurrent
technological world with mobile becoming more prevalent, What is the role of Information
Technologyinbankingsector? howcanbanksimprovethe customerexperience?Inthiscontext,what
four keyareas shouldtheyfocuson to improve the customerjourney? What has beenthe impact of
COVID-19 on the digital agenda of banks? What are the key areas for digital success in banking?
Improve new account openingand on-boardingexperience:
Most customerswantto be able toopenan account withouthavingtogo to a branch.However,this
processcan be verytime-consumingandleadstofrustrationforthe bank.
Consideruser-friendlyauthentication:
Securityis an importantaspectof banking,butitdoesn’twantto getin the wayof the customer's
experience.Thisiswhytechnologiessuchasfingerprintreadersandfacial recognitionare becoming
more prevalent.
Banksshouldstart implementingthesetechnologies inordertocreate a peace of mindfor their
mobile bankingcustomers.Itcouldalsohelpusersavoidexperiencingsecurityissues.
Embrace the rise of the bots:

2. Now a days we saw the launch of bots like Eva in HDFC website, a chatbot that enables banks to
interact with their customers through text message. With the emergence of new platforms such as
Amazon Alexa and Google Assistant, chatbot technology will become more prevalent. Further, by
using chatbot technology, banks can offer their customers a better and more personalized service
wherever they are.
Embrace cross selling:
Cross selling is a strategic tool that can help banksform better relationships with their customers. It
can alsohelpthemacquire newcustomersandimprove theirlifetime value. Withvariouscapabilities
such as geo-location and mobile, banks can offer their customers the best channel to interact with
them. Due to the rise of mobile banking,bankshave toadaptto the changinghabitsanddemandsof
their customers. This is why it is important for them to improve the customer experience through
continuous innovation.
The needforvariousstrategiestoaddressthe variouschallengesassociatedwithdigital bankingwas
alreadyapparentbefore the pandemichit.As a result,the expectationsof customershave changed.
This topic is very important for banks as they seek to convince investors that they can offer a more
effectiveandresilientdigital bankingexperience totheircustomers.While itisdifficulttoanalyze the
impact of COVID-19, we can still detect some changes.
A mere 16% of Europeanconsumersexpecttheirbankstochange inthe future due toCOVID-19.This
isa significantdropfromthe previoussurvey,whichhadpredictedthatCOVID-19wouldcause banks
to change their ways. Although banks are working on developing a more resilient digital banking
environment, they still have a long way to go before reaching a permanent digital adoption rate.
How fast can banks adapt newtechnologies
The speedatwhichchange canhappen iskey.Havingtherightcontrolsinplacecanhelpminimizerisk
and ensure that customers are getting the best experience possible. Having the ability to quickly
smoothoverany issuescanhelpavoidanydamage to the brand. It can alsohelpbanksimprove their
webchannelsandlowercall costs. OpenbankingAPIscangive banksandotherfinancialorganizations
the ability to provide richer, more personalized experiences to their customers.
DigitalizedData

3. Those with better digital capabilities will be able to handle the influx of customers wanting to use
digital channels during the lockdown. However, they should also be prepared to provide a positive
experience when using remote channels. Regardless of their digital capabilities, banks should start
analyzingthe data they are seeingintheirchannelsto improve theircustomerservice.Thiswill help
themimprove theirresponse timesandprovideabetterexperiencefortheircustomers. Usingchatbot
technology can help banks lower their operational costs and boost their contact center capacity.
Despite the availability of branches, banks are still able to provide their customers with banking
servicesthroughtheirappsandwebsites. Evenforthe digitally-capable customer,banksare notable
to meet their complex and specific needs. This is why they should start improving their digital
capabilities.
Four Key areas to be focussedby Banks
Many banksalreadystartedto include these fourareasintheirdigital strategy.
1. Redefiningthe customerexperience is aboutputtingthe customeratthe centerof
everythingthatbanksdo.
2. Customersexpecttheirproductsandservicestobe easilyaccessible fromtheirmobile
devices.
3. Developingastrategyforpersonalizationinvolvesknowingthe datayouhave andthe
questionsyouneedtoaskto extractthe most outof it.
4. Whenbuildingnewdigital services,banksneedtoselectthe righttechnologyplatformsto
use and manage theirlegacysystems.
For a bankexecutive,these issuesare justpartof the manychallenges theyface intoday'sfast-paced
environment. Some believe that the cloud is the most disruptive technology that banks can use to
transform their businesses.
Despite the challenges they face, banks have a great opportunity to improve their customer's
experience and retain their trust.