This blog will discuss Chatbot for Banking and how finance companies can use AI for sales.
AI is everywhere these days. From the healthcare industry to the BFSI, businesses worldwide have come up with the most innovative ways to incorporate AI technology in their workflows and organizations.
According to a report by Cognizant, about 74% of financial services executives believe that AI is crucial to the success of their organizations. According to another report by Chatbots Magazine, it is said that Bank systems are likely to automate up to 90% of customer interactions using chatbots by 2022.
Due to the various advantages AI virtual assistants offer, they have now become a must-have for businesses in the 21st century. They are making it possible for companies across the globe to provide better customer care experiences and, at the same time, ace organizational excellence.
When used in the Banking and Finance industry, Conversational AI Assistants or AI Chatbots have not only enabled massive cost reductions but have also helped businesses step up their customer engagement game leading to better sales and brand visibility. This blog will help you understand how AI chatbots can help Banking and Finance companies deal with challenges that lead to low sales numbers.
Major Challenges Banking and Finance Companies face –
The ever-growing competition
With rapid digitization, the world is witnessing more and more startups turning into unicorns. According to a report by Goldman Sachs, the company predicted that Fintech startups would account for upwards of $4.7 trillion in revenue being diverted from traditional financial services businesses. This means that the competition is tight and highly competitive, making it even harder for conventional Banking and Finance Companies to drive sales. That is why chatbot for banking is now even more crucial.
Failing to keep up with the cultural shift
If there is one thing that results in a significant drop in sales, then it is a company’s lack of ability to cope up with the cultural shift. The 21st century’s cultural shift is all about the technological shift. Be it Food production or Banking and Finance, if businesses fail to adapt to new tools and technology like AI, it can result in low customer engagement levels and negatively impact sales.
Low Customer Engagement
Another major challenge that businesses face is low customer engagement levels. This can stem from various reasons like difficulty navigating services or facilities, lack of efficient customer service operations, etc. Investing significant human labour for basic customer service operations can not seem feasible, making many Banking and Finance companies settle for very few but insufficient help desk agents. This affects ticket remediation and ultimately leads to a drop in customer engagement levels.
How Conversational Chatbots can help drive sales –
Conversational chatbots help banking and finance companies in various ways. Thanks to their machine learning abilities and natural language processing capability, conversational chatbots can now play the role of a customer’s personal virtual financial advisor helping customers understand complex financial products or services. From explaining interest rates to providing information on other financial jargon, conversational AI bots help customers better understand certain services or products offered by the company. Better product understanding automatically leads to increased sales and no longer acts as a barrier to other purchases as well.
They are excellent customer service tools. Their conversational tone can quickly educate customers on various products, services, promotions, etc, creating a human-like impression. Conversational Bots can also facilitate self-service portals leading to a hassle-free ticket remediation process. With AI assistants, customers will no longer have to wait till office hours to solve product issues or help desk tickets leading to a much better customer service experience. Better customer service experience = happy customers! This not only impacts customer retention rates in a positive way but also holds the ability to drive sales numbers as a result of high CSAT scores.
Major Use cases of Chatbots that help businesses drive sales –
- They shoot up engagement levels – Thanks to their natural language processing abilities and machine learning capabilities, chatbots can offer human-like assistance that helps drive customer engagement levels, ultimately leading to increased sales.
- They help you with lead generation – Another cool thing about Chatbots is that they help you generate efficient leads through keyword tracking. Thanks to those leads, businesses can effortlessly track consumer groups and design a marketing strategy that meets those leads’ needs, ultimately leading to better closure rates.
- They increase repeat buyers – Due to their human-like Persona and availability throughout the day, chatbots help businesses cater to many customer needs. This not only leads to better customer onboarding but also increases repeat buyers.
- They increase customer retention rates – With their supreme machine learning capabilities, they are always learning about new customer requirements and different ticket remediation strategies, making them more capable of solving help desk tickets, and increasing retention rates.
Why you should invest in a Conversational AI Chatbot –
- It’s estimated that nearly a quarter of the world’s population was using chatbots by the end of 2019. (Source – Chatbots Magazine)
- Companies will save 2.5 billion customer service hours using chatbots by the end of 2023. (Source –Chatbots Life)
- More than 80% of small businesses in India and Brazil say WhatsApp helps them improve customer service and grow business. (Source – Sprout Social)
- Approximately 40% of people of all ages prefer to use chatbots when shopping online. (Source –Tidio)
- Bank systems will automate up to 90% of customer interactions using chatbots by 2022. (Source – Chatbots Magazine)
- Today, 27% of consumers are interested in artificial intelligence support tools. (Source – Tidio)
Related: Conversational AI Chatbot Trends and Statistics 2023
Conclusion
Conversational AI bots help customers navigate through each and every part of the customer journey making the customer experience easy and effective. Though you may feel they are slightly pricey, this chatbot for banking is only a one-time investment. They actually help you save a huge amount on customer support, analytics, and other fronts. Integrating Artificially Intelligent virtual assistants or chatbot for Banking and Finance operations can be an excellent move for businesses wanting to drive sales. Want to know more about how your business can leverage the power of Artificially intelligent assistants like that of Chat360? Click here to know more!