Almost 15 years in the technology industry across the spectrum of multinational products to solution providers freshly funded by Silicon Valley, especially for Financial Services segment, has done more than greyed my hair. It has led to more grey cells than I thought I had. It's interesting to see the shift in technology buying away from the CIO's office (supposed to be temples of worship for most of us). Wisdom of research firms reveals that CMOs will be biggest technological buyers in the industry by 2015.
This inspired us to explore and understand the psyche, priorities and sometimes their vision of marketing via digital channels. Having bombarded with tons of insights by analysts, research firms and probably anyone who can spell Digital, we took charge and wanted to understand reality first hand.
To formalize this, we launched the first ever Digital Marketing Index jointly with Efma. We, at Wipro recently conducted a survey of the marketing and digital channels of retail banks around the world. The survey looks at the key issues in digital marketing for banks and other financial services firms, taking a truly global perspective. While the full detailed report is available here, I intend to cover several key aspects of our findings in a series of blogs. The first one today is on how far banks have been successful in obtaining a single view of their customers.
We found that overall, 35% of banks have real time single customer view of products and transactions. Some banks have had a real time view of all of their customer accounts for many years, even with the use of legacy IT systems and before the advent of digital channels. Often it was a choice of whether to invest in the capability to have the real time view or not, and how many product systems to connect across the typical retail bank silos.
Our survey shows that 57% of banks now have a real time view of all of a customer's product holdings with the bank and 35% have a real time view of customer product use or transactions (see figure below). Most of the rest have a periodic view.
We found that it was much less common for banks to have a real time view of accounts across the customer household, or across business and personal accounts, both of which have significant potential advantages from a marketing perspective. However, banks are taking a very conscious cost/benefit decision when trying to develop a more granular real time view of accounts. An interesting opinion from one bank was that, since financial services is not seen to be an impulse buy, it was sufficient to work from Day +1 data rather than real time.