Putting Data in Action: Why Consumers Expect It — and Deserve It

Data can help financial institutions understand their customers better and increase their impact. And, as Jas Shah in This Week in Fintech said, “Data is valuable, but only when it’s given context, meaning, and put into action to make intelligent, informed decisions.” It all boils down to action.

Last month, Jana Manley, Senior Vice President of Marketing and Digital Strategy at Suncoast Credit Union sat down with MX’s Heather Warner, Vice President of Client Success, to discuss the role of data in growing business and improving customer experiences.

Here are the key takeaways:

1. The Biggest Data Problem Is Unclear Transaction Data

Data is power. And, this gold mine of information extends benefits to consumers and financial providers — as long as it has been properly translated into clear, actionable information. Raw transaction data presents itself in a jumble of words and letters that is difficult for consumers to make sense of. This can lead to poor customer experiences as they face the challenge of figuring out mystery charges and fully understanding their finances.

On the other hand, cleansed transaction data can help consumers clearly recognize and understand their transactions — without time-consuming investigation or frustration. Likewise, financial institutions can readily determine details surrounding a transaction, offering quick and comprehensive support as needed.

2. Personalization Comes Through Data

Money is personal, so consumer experiences should be too. In fact, MX found that 67% of consumers expect their financial provider to know them.

Consumer-permissioned data helps financial providers understand their customers and needs better. And, it creates opportunities for personalization. This data can help financial institutions identify what stage of life their consumers are in, and provide them with relevant offers. 

For example, if a customer shows signs of an increased income from a new job, banks can suggest their savings account options to help consumers grow their savings. If they are getting married, they can offer a relevant offer for a home loan. 

With today’s digital tools, financial providers can begin to communicate in ways that are more meaningful and generate offers that will provide the most value to their customers. 

3. Don’t Be Afraid to Use Data

Financial providers know more about their customers’ lifestyle than even their own medical team. Data tells them where they like to eat, whether they go to the gym, and how often they travel. But, too often, financial providers worry that consumers will feel uneasy about the extent of consumer knowledge that providers possess.

Jana said “[Consumers] are disappointed that their financial institutions don’t look to help them.” Consumers are already opting into data sharing. It’s time to leverage that data for good and transform money experiences — leading them on the path to increase their financial wellness and full-scale financial empowerment.

MX research has found that consumers aren’t indifferent to their financial provider using their data — they expect it:

4. Kicking off Your Data Journey

It may seem overwhelming to overhaul your data process to give consumers better experiences. When it comes to kicking off your data journey, start small. It will take time to completely reshape your current practices and priorities to become more data-driven, but small steps now will be transformative for the long term. And, you don’t have to do it alone. MX is here to help you better connect, engage, analyze, and act on your financial data.

To watch the full webinar on demand, click here.