How does your bank engage with customers? Is it through marketing or great customer service? Is it through affordable products and services?
Today, the old ways of engaging – like these – may not work anymore. It is no secret that the landscape of financial institutions is shifting, and banks that evolve as well will be better suited for the future.
The key shift involves the type of engagement between branch and customer. In the past, it has been a transactional interaction: cash in exchange for a service. Now, customers are expecting more, and the best banks can offer more.
Branches become home to advisors
This trend has moved in the direction of the advisor. Customers now want their banks to be able to guide them through their finances in ways not previously offered. While banks always were there for guidance on a product or service, customers want a more wealth management approach.
“Branches can offer more than simple transactions.”
The bottom line is that banks that act as advisors will have more engaged and loyal customers. According to Gallup, only 30 percent of customers are fully engaged with their bank, while just 15 percent of that group are satisfied with the banking industry as a whole.
There is room for growth here, with more banks embracing advising and creating better customer engagement as a result.
How to advise customers
Short of employing actual financial planners or wealth managers in your branch, there are other steps you can take to advise customers.
1. Move away from tellers
The first involves a move away from transactions. The teller wall is a good place to start. Renovate your branch design to incorporate more accessible, friendly employee stations. Safety is still there with pods and kiosks – technology, like cash dispensers, ATMs and computers at each station will minimize physical cash handling. And, it leads to a more personal, interactive banking experience.
2. Cross-train employees
Another option is to cross-train your employees. Instead of employing just tellers, train your tellers about other banking services and products. Then, teach your bankers about more wealth management topics. Well-rounded, educated and informative employees will remove the “transactional” feel from the bank branch.
3. Upgrade your website
The third option is to upgrade your website. Many customers use your site for online banking or to learn about a product or service. You can go above and beyond, though, by offering more informative tips and tricks. Consider writing blog posts on wealth management and financial planning. Share resources for your customers. This will provide additional value and help you better engage them.
The banking industry can be complicated at times, with the significant amounts of regulations, the picky customers, the current economy and a host of other issues. This can make it easy to overlook important ways to engage customers. One of the best is through a more advisory role of the bank branch. Go above and beyond the transaction, and you’ll have more satisfied, loyal customers.