Generative artificial intelligence enhances customer experiences through personalisation, driving engagement with micro-targeted marketing, and accelerating software development for faster innovation.
Generative artificial intelligence (GenAI) can further innovate the way in which software development, marketing, and customer care are handled in the banking and finance industry. Traditional banks and financial service providers struggle to meet the higher client engagement and operational efficiency offered by digital giants, with yet another battle in this civil war being led by GenAI, an increasingly important partner in three game-changing plays.
Better experiences for customers
GenAI can help banks truly excel in customer satisfaction. With the power of granular data and complex models, banks can provide individual finance advisory services and easy digital onboarding from start to finish. According to Tony Moroney, co-founder of The Digital Transformation Lab: “The magic happens when you consider how Generative AI can leverage creativity to distill into value propositions and strategies that are differentiated.”
JP Morgan Chase’s IndexGPT highlights the industry’s early attempts to harness the power of GenAI as effectively as possible. ENCODE shows how GenAI can be employed by banks to personalise securities analysis and selection in a way that enhances customer loyalty and satisfaction.
Change in marketing and sales strategies
GenAI sets a new standard in sales and marketing. By tracking individual consumer behavior and trends, banks can tailor marketing campaigns and product recommendations to be hyper-personalised. By 2025, Gartner forecasts that 30% of outbound marketing messages will be artificially generated content.
Advanced tools like Lexalytics and Azure Analytics are helping out in Sentiment analytics. This allows financial institutions to provide contextual material that resonates with their customers on a deeper level. While this strategy may not make you money straight away in the traditional sense, it does ultimately benefit financial service providers by increasing client engagement and conversion rates over time.
Software development productivity through the roof
The software you have to develop must be strongest in order to achieve success in the digital era. A solution to accelerate this process in a secure and compliant manner, GenAI allows software developers to complete coding tasks approximately twice as fast.In 2024, banks intend to use Generative Had Trained transformers that automatically generate code, paving the way for faster development lifecycles with enhanced coding standards. Models such as variational autoencoders also help to improve data security protections via the creation of synthetic datasets for training and testing more easily.
Financial service providers will have to recalibrate growth strategies. Infrastructure stakeholders are, of course, eagerly watching this space. Realising the full potential of GenAI is to incorporate it into existing go-to-market strategies and digital transformation plans. In the future, GenAI, as Imtiaz Adam, founder of Deep Learn Strategies says, is really going to be able to let human bankers and AI operate harmoniously, side by side, creating an outcome that creates value for clients and businesses alike.