Digital Commerce

Winning Customer Loyalty in the Moments That Matter

What does it take to win and keep customers in financial services? Today’s consumers demand instant gratification – having their needs met in the moment, when and where it’s relevant to them.

They want to feel confident and in control of their money and expect their bank to be there for them, especially in critical moments that matter.

Increasing customer connections through digital innovation is essential to growing relationships and winning business. These digital connections help build customer confidence — you are always with them as a trusted financial resource, the one they rely on and recommend.

How digital experiences transform loyalty

Every customer interaction matters. But some situations have a heightened impact on people, both financially and emotionally. Let’s look at a few scenarios where digital innovation can make a significant difference that helps you earn customer loyalty.

Scenario 1: Take the sting out of a stolen wallet

Imagine your customer is on business travel and her wallet is stolen. She panics, realizing her debit and credit cards are lost and may become compromised. She’s stressed just thinking about having to contact multiple banks to report the card stolen and wait days for new plastic to arrive. Even more, she’s scared realizing she has no money to get back home. Much like dealing with a medical emergency, your customer is having a financial 911 moment.

47% of consumers rank the ability to turn payment cards on and off via their phone as “extremely valuable.” 1

This cliffhanger in the customer journey means she may have to search online for bank phone numbers, deal with call centers, and wait for representatives to confirm if her stolen cards have been used. She may prevent further fraud, but she’s still stranded without financial lifelines.

To inspire customer confidence, of course you want to make sure call center employees have the tactical and emotional skills to effectively support customers. But in a crisis, what people need most is to feel in control again. That means the best and fastest ways to help your customer may be through innovative, self-service technology.

For example, convenient mobile services can help your customers:

  • Regain peace of mind with digital tools at their fingertips to immediately turn off cards, receive alerts about unauthorized charges, and request new cards.
  • Eliminate worry about access to money by instantly replacing debit and credit cards with virtual cards pushed to their mobile wallet.
  • Easily get the support they need, when they need it – all within the app.

Giving your customers the power to take control and restore things to normal as quickly as possible is an experience they will value and remember.

Scenario 2: Avoid embarrassing credit card declines

Much less traumatic, but more common, is when a customer tries to make a legitimate, but out-of-pattern credit card purchase and has their card declined. While these declines are intended to protect them from suspected fraud, the experience can be jarring and embarrassing. They may try using the card again or switch to another card – and if many attempts are declined, the net effect is a very unhappy customer.

To make a notable difference, you need a seamless way to verify purchases and avoid disrupting the customer experience. That’s where innovation can save the day. For example, you can:

  • Push a prompt from your mobile app that makes it easy for customers to confirm a charge at the time of sale, and enables them to successfully complete the transaction.
  • Integrate geolocation mobile services that enable you to approve more legitimate payments by knowing the customer is in the same location as the transaction.

Remember that customers aren’t thinking in terms of “unusual account activity” – they’re just trying to get what they need. The more you can make that easier for them, the more they will trust you with their financial needs over time.

Scenario 3: Ensure happy travels

Another critical financial moment is when your customers are traveling and unexpectedly cannot use their debit or credit cards. Again, the blocked usage may be for their protection. But when people are away from home, especially in a foreign country, having no access to money is more than stressful. It can be devastating.

78% of millennials will use digital wallets by 2022. 2

Before a trip, people are often distracted by travel details and may forget about the cards they count on every day. Notifying card issuers may require tracking down phone numbers, navigating IVRs, and confirming travel details with customer care representatives. Amid a busy life, that’s a hassle.

Worse is if your customer is already out of the country when they discover their cards won’t work. Making international calls at odd times to regain control over their spending can be frustrating. For banks and credit unions, the key to success is ensuring this never happens.

With digital connections, you can help your customers be confidently prepared, such as:

  • Simplify the in-app user experience for submitting travel details
  • Prompt them to set travel plans when they arrive at new destinations
  • Create travel alerts based on transportation purchases made with a debit or credit card

When your customers travel, their payment card experience could make or break your relationship with them. Smart digital connections let them know you’re watching out for them, and that they can count on your services anywhere their card takes them.

Scenario 4: Accelerate onboarding for powerful first impressions

Building loyalty starts the moment customers try to open accounts. For credit cards in particular, getting started has typically been cumbersome and slow. Hampered by legacy processes, onboarding often involves many steps and a long wait until they can start spending – the opposite of what consumers want.

Even if customers could start a card application on mobile, they often have to switch to a computer or branch to supply documents and complete the process. Then it’s still another week or two before they receive plastic and can start spending. It’s convoluted and takes too long – a negative experience right out of the gate.

New entrants are changing that expectation though. Consider the recently launched Apple Card, which allows consumers to apply and start using a card in just minutes. Even if Apple Card doesn’t gain a large market share, it is likely to change customer expectations for applying for a card.

Fintech partners are now helping banks and credit unions of all sizes meet these expectations, with fast onboarding that let customers apply and start using a new card in minutes, while helping issuers reduce account fraud with enhanced ID and KYC (Know Your Customer) on the mobile phone.

Redefining the financial customer experience

The digital age is transforming how people think and act when managing their money. More than ever before, small and mid-size banks and credit unions can compete with mega banks to create a memorable impact across the customer journey.

Far more than just new technology for products, services, and processes – digital services help you increase customer connections in real-time to build confidence and trust. And driving positive emotional outcomes – from everyday interactions to critical situations – is key to winning customers and earning loyalty.



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