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US banking industry

Leading a US Banking Industry Client through the Coronavirus Pandemic with Custom Market Intelligence Solution

As the governments around the world attempt to defend against COVID-19, companies in the US banking industry are experiencing an unprecedented period of growth and prosperity. Small and medium-sized consumer banks are most at risk owing to the disruption caused by the COVID-19 pandemic. Also, social distancing has changed the way people interact with physical space and has subsequently created an unprecedented crisis for the US banking industry. The longer the crisis exists, the more likely we are to see transformative and lasting changes in the US banking industry. As such, its’s high time for banking companies to take actions to respond to the coronavirus pandemic and prepare for the post-COVID-19 environment.

This case study provides detailed insights into how our custom market intelligence solutions helped a US-based banking company to respond to the threat of COVID-19, centralize cash management, implement a flexible operating model, and serve customers in challenging times.

Our market intelligence experts can help you to develop a customer-central multichannel operational model to keep pace with the changing financial needs of customers amidst the COVID-19 crisis. RFP here.

Business Challenge

The client is a banking company based out of North America. 

Since the coronavirus outbreak, the global banking sector has been hard hit across the value chain. As a consequence, a US-based bank encountered significant operational constraints as well as business risks. Also, the client was struggling to mitigate health risks for their employees and consumers. Besides, their traditional operating models were no longer helping them in ensuring business continuity.

The client, therefore, wanted to implement a dynamic and flexible operating model, take initiatives to protect employee health, establish an interim operational model for branches, and develop a support model for remote employees. They sought to collaborate with Infiniti Research to leverage their expertise in offering custom market intelligence solution.

Other key objectives of the client included:

  • To invest in boosting digital engagement and sales
  • To differentiate themselves in delivering value to consumers
  • To rethink the portfolio strategy for supporting the most hard-hit industries and segments
  • To build contingency plans for supporting customers in the post-COVID-19 environment
  • To enhance current digital offerings
  • To address technology gaps for offering a seamless digital customer experience
  • To offer payment holidays to customers for coronavirus related relief
  • To enable technology setup and infrastructure for employees working from home
  • To rebuild demand forecasting and capacity models for developing resiliency in the face of future demand shocks

As COVID-19 cases continue to increase in the United States, the nation has the potential to become the next epicenter of coronavirus outbreak. To succeed in the long-term, we can help you centralize cash management and enable seamless customer experience amidst the COVID-19 crisis. Get in touch with us.

Our Integrated Approach

To help the US banking industry client achieve their key objectives, the experts at Infiniti Research adopted a three-phased approach:

The initial phase of the custom market intelligence engagement involved working closely with the US banking industry client’s financial, technical, and marketing team to analyze the extend of the impact caused by the rapidly spreading COVID-19 pandemic and assess customer needs. This phase of the engagement also involved implementing a dynamic and flexible operating model to help the US banking industry client to ensure business continuity. Also, by monitoring the situation on a day-to-day basis for over four weeks, the experts helped the client to establish an interim operational model for its branches. Besides, by analyzing their key competitors, the experts recommended the client to enable technology setup and infrastructure for remote work.

The next phase of the custom market intelligence engagement involved conducting customer intelligence analysis and understanding the needs and requirements of customers in this challenging time. By conducting a thorough customer analysis, the experts recommended the US banking industry client to allow mortgage customers and small businesses to delay payments by 80 to 100 days. The experts also helped the client to embed financial fitness tools to create opportunities for human interaction. Besides, the experts helped the client to devise a customer-centric multichannel operational model and encourage digital migration.

In the last phase of the custom market intelligence engagement, the experts helped the US banking industry client to experiment with radical redesigns of their operating models and rethink the portfolio strategy for small businesses.

Business Outcome

By leveraging Infiniti’s custom market intelligence solution, the US banking industry client was able to implement a dynamic and flexible operating model, establish an interim operational model for different branches, and develop a support model for employees working at home. By reinforcing hygiene and cleaning protocols inside branches, the US banking industry client was able to protect employees and customers’ health. Besides, by closely analyzing China’s response to COVID-19, the experts recommended the client to dynamically modify branch hours of operation and closures while maintaining critical services for customers.

The experts also helped the US banking industry client in identifying third-party service providers to support them in enabling technology setup and infrastructure for remote work. This subsequently helped the client’s employees to handle calls from home while maintaining customer-data confidentiality standards. Besides, to serve customers at this challenging time, the experts recommended the client to promote personal engagement and program chatbots. Also, the experts helped the US banking industry client to launch a digital platform to help local community managers monitor the impact of the COVID-19 pandemic in their specific geographies.

By devising a sound marketing strategy, the experts further helped the client to enhance their current digital offerings and encourage more customers to use digital channels for banking needs. The experts also helped the client to speed up procedures to increase limits on online transactions and simplify password resets. By analyzing the client’s infrastructure capacity and network bandwidth and identifying weaknesses in architecture, the experts helped the US banking industry client to stabilize critical infrastructure and address technology gaps to offer a seamless digital customer experience. In addition to this, the client was able to rethink the portfolio strategy for small business and encourage relationship-based banking.

Request more info to know how our custom market intelligence solutions can help you to navigate the COVID-19 crisis.

Banking industry

Coping with emerging trends in retail banking 2020

Although many have predicted the doom of traditional retail banking with the rise of new entrants especially in fintech that focuses on superior customer experience, we believe that traditional banking companies still have a bright future. The emerging trends in retail banking such as AI and RPA are aimed at enhancing customer experience and matching performance with that of innovators in the banking industry. Apart from these, we can also expect several transformations in the approach and operations of banking companies. Infiniti Research has worked with dozens of banking companies across the globe and played a pivotal role in helping them to adopt agile business strategies to survive the dynamic market conditions. Based on our observations and expertise, here are some of the emerging retail banking trends that players need to be prepared for in 2020.

Want to transform your business with customer-centric innovation? Request a free proposal to know how you can benefit by partnering with us.

Emerging trends in retail banking 2020

Emerging trends in retail banking

Reorganizing around customers rather than products or channels


In 2020, an interesting emerging trend in retail banking that we can expect to see is that banks will gradually move their focus away from products and services and begin organizing themselves around creating exceptional customer experiences. They will aim to develop the ability to view customers as a single unit by recognizing their uniqueness and tailoring offerings to suit their needs rather than being ‘pushy’ to buy banking products or avail different services.

The growth of social media

Social media is not just one of the emerging trends in retail banking, but it has become widely popular across industries. In 2020 and beyond, retail banking companies will embrace social media platforms as a primary source to connect, engage, inform, and understand their customers. It is also expected to become an important platform where customers research banking products/ services and make a purchase decision. Mastering social media capabilities will be a core competency for retail banking companies to cope with the emerging trends in retail banking.

As the pace of change is increasing in the retail banking space, companies must ensure that they are well positioned to align with the emerging trends in retail banking. Get in touch with an expert to learn how we can help you stay updated and cope with the retail banking trends.

Cybersecurity in building customer trust

Security of transactions is one of the most crucial factors that banking customers consider while choosing their banking partner. To avoid cybersecurity glitches that have occurred in the past, we can expect to see several top banking companies investing heavily into preventing cyber-attacks. This year onwards, you can expect to see leading banks develop cyber-security strategies that are aligned with their business objectives, risk-management protocols, and regulatory requirements. Since several retail banking companies lack the ability to tackle this issue, they might partner with third-parties to provide cyber-security assistance.

Two factor authorization to become common in transaction authorization

Although biometrics is believed to be unique, it can often be replicated and can result in fraud. As a result, two factor authentications will soon become mandatory and one of the most notable emerging trends in  retail banking industry. This means though retail banks will allow fingerprint or voice recognition in transaction authorization, it will remain tied to a replaceable physical device such as a smartphone.

Know more about our services for companies in the retail banking sector.

Banking sector

Reducing Annual Operating Cost by $7 Million for a Banking Sector Client through Market Intelligence Engagement

Banking Sector Overview

The global banking sector is expected to witness positive growth over the coming years as major developed markets are experiencing increasing commercial banking activity as a result of strong economic performance and positive expectations. Despite this stable growth, the evolving customer expectations, lower return on investments, rising competition from FinTech providers, and regulatory pressures are increasing challenges for companies operating in the banking sector. As such, companies in the banking sector will need to revamp their traditional banking models in order to keep up with the fast pace of changes in the industry.

Recent studies show that around 70% of companies in the banking sector have adapted a customer-centric business model. So, have you revamped your traditional banking model to meet the need of your customer segments? If not, our market intelligence experts can help. Request a FREE proposal.

Business Challenge

The client is a banking company based out of North America.

Increasing competition from FinTech companies made it difficult for the client to adjust quickly to the changes, not just in technology but also in operations and other facets of the industry. Also, owing to the evolving regulatory requirements, the banking sector client had to spend a large part of their discretionary budget on being compliant and on building systems and processes to keep up with the escalating requirements. In addition, due to the client’s inability to keep pace with the latest technologies and trends, they faced difficulties in delivering the level of services that consumers demanded, especially with regard to technology. As such, they wanted to thoroughly analyze the US market changes, competitors’ strategies, and industry developments to revamp their business models accordingly. To do so, they approached the experts at Infiniti Research to leverage their expertise in offering market intelligence solution.

Other major challenges that the banking sector client wanted to tackle by leveraging Infiniti’s market intelligence engagement were:

  • Changing landscape for lending and payments mechanisms
  • Regulatory compliance hurdles
  • Falling net interest margins

Traditional, time-intensive market research cannot help you to keep up with the needs and demands of a more demanding, smarter world. Contact us to know how our custom market intelligence solutions can help you gather data-driven insights into a new or existing market.

Our Approach

The experts at Infiniti Research followed a four-phased approach that involved:

Market research study to analyze the current market landscape and identify the right scale of opportunities.

Customer intelligence study to analyze customers’ changing needs and demands. This phase of the engagement also involved analyzing reasons for customer churn.

Market scanning and monitoring to assess and predict changes in emerging regulations in the US banking sector.

Competitive intelligence engagement to compare the client’s offerings with that of the top companies in the US banking industry.

Results Obtained

The insights obtained from Infiniti’s market intelligence engagement helped the banking sector client to assess local competition, evaluate the right scale of opportunities, understand the impact of emerging regulations, and analyze the changing landscape for lending and payments mechanisms.

By understanding customers’ needs and demands, they were able to adopt a customer-centric business model. This helped the banking sector client in delivering the level of service that consumers demanded. Identification of security and operational threats in advance helped them to build a more advanced information security system. This subsequently helped them to enhance customer experience and acquire new customers.

By identifying the cost-effective technologies in the US banking sector, the experts helped the client to reduce manual processing through automation of critical tasks. These improvements enabled the banking sector client to boost customer satisfaction and retention, while at the same time reduce annual operating costs by $7 million.

To sustain a leading edge in today’s competitive marketplace, companies in the banking sector will need to keep pace with the market changes and differentiate their service offerings. Request for more info to know more about our services for companies in the banking sector.

The Evolving Retail Banking Landscape in Canada

Retail banking

Over the past couple of years, Canadian banks have set a global standard for their stability and best practices. However, the pressure on retail banking companies and other financial institutions in Canada remains high. This is making innovation and customer satisfaction more important than ever before for players in the retail banking sector. Innovators in the retail banking industry are moving towards a seamless, one-stop-shop approach to service and engagement via digital platforms that bring products and services together to provide a unified customer experience. Interestingly, technology is not the only factor that’s disrupting the industry; it is also characterized by the rising need for customer-centric experiences, and this is driving every transaction and touchpoint for companies in the sector. Here are some critical retail banking trends that experts at Infiniti expect will lead the momentum of the financial sector in Canada.

Canada’s retail banking sector will see several opportunities to capitalize on and challenges to dodge this year. Not prepared with the right strategies to thrive? Request a free proposal to know how our solutions can help you keep a close watch on the market and formulate effective strategies to succeed.

Retail banking trends in Canada

Unbundling services

Canada will soon be exposed to open banking regulations that will fragment traditional retail asset and liability gatherings. Open banking refers to common interfaces among banks and third parties to facilitate more competition and also create new business opportunities. Although retail banking companies had sought a vertical approach that offers services from top to bottom over several decades, now several new entrants in the retail banking industry want to be ‘horizontal’ and dominate an attractive specialty.

Planning to Invest in Canada’s retail banking industry? Get in touch with our experts for more insights on the benefits of leveraging our solutions for better decision-making and choosing the right market entry strategies.

Rising interest rates

Interest rates are gradually rising from historic lows and consumers are soon bound to be challenged by debt levels. The retail banking industry will reflect the changing environment with an increased focus on the impact of rising interest rates, transparency in lending, and innovative new value propositions. The continuing rise in rates may result in personal loan offers to decline, however lending solutions such as installment loans and point-of-sale financing will shift the market towards time-sensitive credit sources.

Platformification

Innovation is vital for retail banking companies to effectively meet consumer demands. The financial services industry in Canada now largely revolves around the digital age and rising consumer expectations of convenient and frictionless digital access. As a greater number of consumers seek streamlined solutions, retail banking companies in Canada will soon shift their focus to providing ‘one-stop-shops’ that bring both products and services on a single platform.

Learn more about Infiniti’s solutions for companies in the retail banking industry.

Banking sector

Understanding Evolving Business Models and Market Opportunities in the US Banking Industry – Market Intelligence Engagement

US Banking Industry

The US banking industry is undergoing radical transformations due to evolving business models, security challenges, mounting regulations, and disruptive technologies. Also, with the rising competition in the US banking industry, the traditional branch-based model is no longer helping banking companies to sustain a leading edge in the market. This necessitates banking companies to rethink the way they do business. Also, undertaking a market intelligence study is becoming imperative for banking companies to understand market transformations and adapt to the fast-evolving marketplace.

Wondering what are the key trends, opportunities, and challenges that may affect business operations and strategies of companies in the US banking industry? Our custom market intelligence solution can help you gather comprehensive insights into the US banking industry. Request a FREE proposal!

Business Challenge

The client is a banking company based out of Germany.

Our client, a leading banking company, wanted to set up a new office in the United States. Before expanding to the United States, they wanted to gather comprehensive insights into the US banking industry and understand the competitive landscape. In addition, they wanted to understand the business challenges in the US banking industry and identify lucrative market opportunities. They approached the experts at Infiniti Research to leverage their expertise in offering custom market intelligence solution.

Other challenges faced by the company were:

US banking industry challenge #1: Optimizing the mobile experience

With the proliferation of smartphones and other associated devices, customers in the US inclined more towards banking online. This necessitated US banking companies to have a mobile-friendly banking experience to retain current customers and acquire new ones. The client, therefore, wanted to identify the business models gaining popularity in the US banking industry.

US banking industry challenge #2: Security and authentication

With security breaches and identity threats rising in the US banking industry, undertaking safety and security measures were becoming paramount for banking companies to enhance consumer trust. Therefore, before expanding to the US, the client wanted to understand the strategic safety plans undertaken by the top companies in the US banking industry to ensure the safety of their customer’s financial data.

US banking industry challenge #3: Rise of technology disruption or FinTech

As FinTech companies displaced some of the profitable financial services of traditional banks such as financial advising, loan, and money transfer, they posed major challenges for companies in the US banking sector. The client, therefore, wanted to understand the alternatives undertaken by the top companies in the US banking industry to tackle this challenge.

Our market intelligence solution can help you tackle the above-mentioned challenges and gain a leading edge in today’s competitive marketplace. CONTACT US today!

Solutions Offered

The experts at Infiniti Research conducted a market research study of the US banking industry. The factors such as market developments, technological advancements, opportunities, and evolving industry regulations were taken into consideration. Also, our experts conducted a risk assessment study, where they analyzed the operational and security risks impacting companies in the US banking industry. This phase of the market intelligence study helped the client to undertake risk mitigation approaches to tackle the rising industry risks and security threats.

Our experts also conducted a market trend analysis. In this phase, the experts at Infiniti Research helped the client to identify all the latest trends in the banking sector in USA and prioritize them based on their profitability for the company. Lastly, by conducting a competitive intelligence study, our experts helped the client to analyze the top ten companies in the US banking industry. In this phase, factors such as competitors’ banking models, risk mitigation approaches, and other strategic alternatives were taken into consideration.

Results Obtained

By leveraging our market intelligence solution, the client was able to understand all the latest trends that were gaining popularity in the banking industry in US. Also, they were able to gather comprehensive insights into market developments, opportunities, and challenges. Furthermore, they were able to adopt a customer-centric banking model and gain a leading edge in the US banking industry. In addition, by undertaking strategic safety plans for protecting customers’ financial data, they were able to enhance customer trust and acquire new customers.

Our market intelligence solution further helped the client to gain a leading spot in the US banking sector and enhance market share by 31%.

banking

Request for more information to know more about our services for banking sector companies in the US.

Banking sector

Winning in the German Retail Banking Battleground with Customer Experience Strategy

Modern consumers expect exceptional services and frictionless buying experiences irrespective of how big or small the product that they intend to purchase. When it comes to the retail banking sector, digital disruptors and fintech firms often succeed in delivering an enhanced customer experience (CX) when compared to incumbent banking companies. Although the importance and prominence of retail banking companies will not die down anytime in the near future, customer expectations from banking is not the same anymore. As a result, incumbent banks are increasingly reevaluating themselves on how they perceive customer experience and what needs to be done to meet the changing customer expectations.

Giving customers a supportive, hassle-free, omnichannel experience is a must for banks in today’s changing environment. Request a free proposal to know how our solutions can help you achieve this.

German retail banking companies overview

The German retail banking sector faced a rough ride during the financial crisis. While some banks almost drove off the road, others managed to stay on track, allowing them to overtake their competitors. However, the road ahead remains unclear for German retail banking companies. Innovative trends are shaping new traffic patterns, putting additional pressure on all types of banks, even those that are in decent shape today. The next five years will be crucial for the German retail banking sector to decide which turn to take to avoid a dead end. The German banking market has a unique three-pillar structure of private, savings, and cooperative banks. This distinguishes it substantially from banking sector companies elsewhere. German banking is also characterized by its strong dependency on net interest income, an extensive branch network, and a prudent risk profile. The long-term profitability is of German retail banking companies are low compared to global peer markets, and German banks have difficulty earning their cost of capital due to factors including high competition, low prices, and lack of focus on customer experience.

Trends shaping German retail banking sector

Retail banking sector

What are the common pitfalls that retail banking companies encounter in CX?

Most of the companies in the German retail banking sector have ample room for improvement when it comes to enhancing customer journeys by improving the overall customer experience. As customers are gradually changing their perception of an ideal banking experience, German banks must attempt to adapt. We have seen banks across the globe enthusiastically embrace the value of improving customer experience only to step into common pitfalls. Here are some ways to avoid missteps and set your customer experience strategy up for success.

Focusing on isolated touchpoints

Customer experience is often misunderstood as customer pain points that needs to be addressed. While these efforts are certainly vital to improve the overall customer experience, focusing only on these factors leads companies in the retail banking sector missing out on the root cause of these pinpoints. Furthermore, simplistic solutions that have been merely copies from competitors could sometimes prove to be misleading. Customers who rate single points of contact as satisfactory often tend to rate the whole journey as a negative experience. In such cases, these customers are less likely to become the engaged, valuable customers that banks strive for.

Customer experience is a powerful way of bringing tremendous value to a retail banking sector company’s business. Get in touch for more insights on how our solutions can help you enhance your CX and create a positive business impact.

Ignoring key customer journeys

Once banks in the German retail sector have realigned their thinking toward holistic customer journeys, the next step is to map their customer journeys and figure out which ones are most critical to business. This includes taking into consideration factors such as the areas of improvement, factors that could have an impact on brand image, and other value considerations. For improving critical journeys, banks should determine what degree of improvement will make the most economic sense and generate the most value. German Retail banking sector companies must arrive at a decision on how much needs to be invested to create that “wow” experience for customers and whether the effort is worth it, given the expected additional revenue.

Choosing right customer segments to prioritize

Direct banking companies often show the highest customer satisfaction levels when compared to big private banks. Corporative banks, and savings banks. This is because the latter has a more diverse customer base with a range of differing needs, making it harder to provide superior service across the board. This necessitates banks to identify their various customer groups and determine how important each is to the bank’s business. The value of a customer to a bank can vary based on the product or service being offered and can be measured by number of products, loyalty, credit, or future financial opportunity. Companies in the German retail banking sector need to understand the needs of each group in detail and target the segment with an exceptional and differentiated experience across the end-to-end customer journey.

Learn more about our solutions for companies in the retail banking sector.

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