Digital Trends in Banking: Keeping Relationships Front of Mind When People Are Shifting to Online Environments

Technological developments have upended virtually every sector of American life, and the banking industry is no exception. Today’s banks have shifted to a strategic growth mindset and increased their focus on digital tools and online environments. 

However, relationships must remain at the core of any successful business. Here are 5 digital trends that are helping banks keep relationships a priority amid the shift to a digital landscape.

1. Implementing Technology to Reduce Manual Touchpoints

In many cases, technology can be used to minimize the need for human involvement. Banks are learning to assess their operations and technology, aiming for straight-through processing to reduce the need for manual touchpoints and serve customers more efficiently.

The reason is simple: Without the interruptions that come from these manual touchpoints, processing times are reduced significantly. This can be particularly helpful when screening potential customers for mortgages, loans, or highly competitive financial services.

With fewer employees engaged in the process, this also reduces the chances of human error and minimizes the threat of data breaches or security threats. This means that banks shifting to digital ecosystems can expect lower rates of error and fraud.

2. Adapting to a Mobile Workforce

The COVID pandemic gave financial professionals a taste for telecommuting — one that remains even after restrictions have been lifted. In fact, many companies are offering their employees the option to work from home for at least a portion of the week.

Working from home has become part of a larger, evolving package of benefits that companies are using to attract and retain top talent. In an age where employees have been eager to look for opportunities at other companies, the option to work from home offers a competitive advantage.

At the same time, this setup demands that your company’s digital infrastructure is conducive to a mobile workforce. How will you handle communication among team members who are geographically scattered? How will you ensure data security when team members are relying on personal or home computers? 

Finding technological solutions to keep your team integrated will become a greater priority as you adapt to an increasingly mobile workforce.

3. Responding to Pressure Regarding ESG Criteria

Larger banks and financial institutions have already taken steps to integrate environmental, social, and governance (ESG) criteria into their business processes, but smaller, regional banks have been late adopters. 

That may soon change, as standardized national and international disclosures are likely to become institutional norms.

The ESG initiative has focused, at least in part, on diversity and inclusion practices in the workplace. Investors look more favorably on companies that have promoted an inclusive work environment.

Here’s where technology makes the difference: Tools powered by artificial intelligence (AI) can discern patterns in an organization’s activities. This means that technology may soon be able to detect bias when it comes to hiring personnel, as well as issuing mortgages and credit.

4. Adjusting to Changing Customer Expectations

It’s no secret that banking customers expect a robust online experience, even to the point of a fully digital onboarding process. And with so much volatility in the mortgage and housing market, customers are shopping around for a banking center that provides a frictionless customer experience.

For the banks themselves, this means augmenting their existing online features while taking steps to secure new leads and connect directly with each customer. For example, some banks are making inroads by offering educational resources or augmenting their customer service features to blend their digital offerings with a human touch.

5. Complying with Shifting Regulations

In the near future, banks can expect regulations to have a renewed focus on data security and consumer fraud. But banks will also face increased scrutiny when it comes to mortgage data and your company’s posture regarding underrepresented or vulnerable populations.

In other words, complying with regulations will soon involve ensuring equity in the way you handle customers, particularly those of underprivileged or underrepresented demographic groups. These regulatory practices will apply pressure to banking professionals and ensure that people remain the greatest priority.

Need Help Adapting your Team?

These adaptations can be challenging for many businesses. We have solutions that can help. From digitizing your training to streamlining HR, our team helps you seamlessly implement enterprise-level technology to support your business, regardless of size. 

Connect with us today to learn more about how AssetHR can provide quality workplace solutions for the banking industry and beyond.