FEATURE
They want to feel wanted , valued , individual and listened to . This is where banks have been getting it wrong and where they must work far harder to get it right .
customers are no different . It ’ s important to have a large range of offers to choose from since what appeals to one customer may have little to no value to another but not at the expense of personalisation and the human touch .
Ultimately , designing a programme that creates emotional loyalty needs to find the right rewards to give to the right customers and promote these rewards effectively while making the redemption process as frictionless as possible .
Looking beyond pounds and pence
The lack of choice in the type of rewards available restricts banks from creating true customer loyalty . Instead , banking rewards technology should focus on understanding what kinds of offers are appropriate for which customers . To do this , banks need micro-level consumer data . Technology is the key here and with banking companies having access to an abundance of data on spending habits , they are in a perfect position to offer personalised rewards . Failing to do so could cause customers to switch to the competitors who are providing more thoughtful offers .
Deliver a flawless customercentric experience
The banking companies that are operating solely on a ‘ transactional ’ relationship with their clients may never see the financial return of customer loyalty .
The biggest players in the industry know this and have been investing in their loyalty programmes for years – but the goalposts have moved .
This is being driven forward at pace by the almost ubiquitous adoption of digital banking driven by branch closures , the forced separation of the pandemic and the maturity of digital natives . It means loyalty programmes have moved beyond pounds and pence and into ‘ experience ’. Customers expect a personalised and frictionless journey with their banking app .
Successful customer loyalty programmes in the banking sector use the right technologies to understand their customers and customise rewards accordingly . The banking sector ’ s longterm survival pivots on its ability to deliver a flawless customer-centric experience while also holding on tight to the relationships and data that make that possible . x
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