Russell Irwin: It’s time financial sector got in touch with new technology

WHAT content can financial services offer that is relevant to the consumer? How can financial service institutions create digital experiences that will add value and draw in traffic?

Why would consumers want to use a bank app, even if free, never mind paying £4.20?

A recent PWC global survey reported in The Scotsman suggests the technology now available presents a massive opportunity for “banks to revamp their business model”, but this needs a bit of exploration. Technology has matured in the past three years and, with it, social media, as free wi-fi, tablets and touch interfaces make accessing Facebook, Twitter, YouTube, et al, much simpler, making the use of mouse and keyboard to access the internet seem old fashioned.

Some sectors are grasping the opportunity, while others are still considering what it all means. Some believe things like social media are fads that will soon pass (eg MySpace), while others see them as future-state ideas that have yet to fully land and are still evaluating their approach.

The truth is that all these perspectives are valid but also that all can be influenced to generate business value. The technology is ready. Consumers are ready. Business must consider technology and the “digital world” as an end-to-end opportunity.

One financial services business recently had customer feedback which encapsulated the old world as “things were pretty quiet for 23 years but picked up nearing policy maturity…”. The opportunity, and in many cases appetite, now exists for a more natural and frequent dialogue.

The customer service once experienced at a glass counter is now enhanced by tactile, touch surfaces and gestures. The need to interact with consumers via form-filling and dry dialogue can now be challenged with something fresh. So while the recent report is correct to state that the time is now for “banks to revamp their business model”, this can only be effective by taking a fresh look at things from the customers’ perspective.

In short, technology is ready to deliver a new consumer experience. Is the financial services industry ready to deliver the content?

• Russell Irwin is business consultant with Logica.