Numerous surveys show results of over 80% of global banks already starting to adopt and implement various strategies for digital transformation. One of the technologies found to deliver on these needs across the bank sector is machine learning or/and A.I. or Artificial Intelligence. But what is A.I.?
Artificial intelligence is a branch of computer science that aims at creating machines that have aptitudes similar or ultimately largely superior to what remains until now the privilege of the human brain. It has become an essential part of the technology industry.
Research associated with artificial intelligence is highly specialized. The core problems of artificial intelligence include programming computers for certain traits such as learning, building knowledge and knowing how to use it, reasoning, problem solving, perception (hearing, seeing, sensing, interpreting and reacting accordingly), planning, making decisions, a certain ability to instruct other machines, operate these machines and manipulate and move objects, and more.
AI-powered virtual assistants are becoming more common in the banking industry, especially those with cognitive abilities in serving clients properly.
A.I. Enhances Customer Service and Sales
One of the forefronts of Fintech A.I banking Deltec Bank www.deltecbank.com, the promoter of the Deltec Annual Conference on Innovation and Disruption in Nassau, The Bahamas, is developing and implementing A.I solutions, which will enable finance-specific interactions that allow customers to ask questions to take the right decisions when it comes to their finance through chat. Many of A.I. powered apps used by the banking industry help to enhance customer experiences. However, customer experience is not the only role that artificial intelligence plays in the banking sector.
A.I. also plays a significant role in sales. For example, there are robo-advisors using machine learning to give recommendations adjusted to customers profile, such as what specific car to buy. As technology and artificial intelligence continue to become mainstream, it is expected that it will play a more prominent role in the banking and financial services, eventually reinventing it.
Younger Audience Expect More Technologies When Dealing with Banks
According to customers surveys, the younger audience expects to find easier ways engage with their banks. The younger customers are, the more they are likely to expect that banks and financial companies have intelligent technology-supported services, to facilitate the management of their bank accounts. Consumers see such services as a reward for the data they share, which banks analyze and utilize for strategic purposes.
The data shared by consumers are vital for banks, as they are used to deliver a more personalized service. Technologies such as devices that use artificial intelligence can reinvent and improve the banking sector as it provides profound insight into the financial behavior of customers as well as how they interact with banking systems.
A.I. Creates a Mutually Rewarding Relationship between Banks and Customers
Through A.I. powered systems and devices, the relationship between banks and customers can be mutually rewarding. One should note, however, that the financial industry started to automate its operations and services way before artificial intelligence become a catchphrase. Banks began to automate routine tasks such as updating their books and handling salary uploads, customer verifications, and more, decades ago. However, the legacy systems in place, while robust and reliable, are most often rigid, slow and costly to adapt to new demands.
The fact that it can significantly improve customer service makes it crucial for banks to adopt this technology. Younger customers are born with technology surrounding them: they don’t question its usage, but would question its absence. More than that, they want seamless customer experience. Artificial intelligence will lead the future of banking by promising a revolution in the global banking industry.
Disclaimer: The author of this text, Robin Trehan, is Senior VP at Deltec International www.deltecbank.com. The views, thoughts, and opinions expressed in this text are solely the views of the author, and not necessarily reflecting the views of Deltec International Group, its subsidiaries and/or employees.