The behaviour of customers have evolved in 3 particular areas due to digital transformation.
The relationships that customers have with their bank and insurance company.
The relationships between a customer and a bank/insurance company have been getting better as digitalisation has been gradually increasing the relationship between the two. This has been reflected by a steady decline in customers leaving the bank/insurance companies and the growing social media networks improving for customer relationships. All digital practices have been integrated and implemented into practice by many different organisations.
Banking Services Have Become Products.
Clients have the same expectations for the banking services and insurance contracts as they do for any other consumer products. They will require their bank and insurance to:
- Communication available through channels they use.
- Simplicity and intuitive use of the digital platforms
- Loyalty and support in the market
- Personalised financial and insurance products and services
In short, customers will expect the same attention from their bank and insurance company as they will from any other consumer brands.
Customers Are More Likely to Change Rapidly
Customers of the bank and insurance are mature and have been well informed. Before they buy a banking product or take out new insurance, the customer will have already done a lot of research on the internet. This is so they understand the product precisely and compare the available offers. This means that the consumer will arrive with a fairly precise idea of the product he would like.
In order to choose the best offer and to get the best price, playing the competition has become very common in the cycle of buying a financial product or insurance contract. Banking and insurance customer are very unpredictable and quick to change which means they will not hesitate to upgrade their subscription or change the organisation according to the newest offers. A recent study shows that 25% of customer have wanted to leave their bank or insurer and 50% have terminated their insurance or banking contract in the last 12 months. This shows that customers are forever changing and demanding new offers, which shows how important is it to gain a strong relationship with a bank or insurer.