In our three latest Money Minute videos below, we hear from Craig Focardi, Senior Research Director at CEB Towergroup, Rick Claypoole, Director of Retail Product Management and Marketing at Cadence Bank, and Pankaj Parekh, VP of Mobile Banking at Wells Fargo.
Craig Focardi, Senior Research Director at CEB Towergroup
"Financial empowerment is the key differentiator for financial institutions today. With technology-only banks entering the market and less loyalty to traditional financial institutions, customers are looking in lots of places for service, and providing them a digital experience and empowering them to make good, informed choices through excellent advisory tools that are backed by good systems and data is really critical to hold on and retain customers, as well as being able to cross-sell them other products and services and give them as much value or more as you want to get as a financial institution."
Rick Claypoole, Director of Retail Product Management and Marketing at Cadence Bank
"All the banks in the country are trying to figure out how to monetize a physical distribution network that's undergoing some pretty significant behavioral changes ... at the same time, we're serving people — Gen Xers and Baby Boomers — who, in a lot of cases (particularly with Baby Boomers), still like a packaged-goods approach. They don't want a la carte, they don't want a self-directed experience. They want packaged goods provided through people, with a relationship-orientation. And those clients are just as important as anybody we do business with."
"You hear a lot about omnichannel these days, and what that looks like, and what that means... I think one of the things that makes that so hard is that it means a different thing to all the customer segments that we serve. And I think one of the things that makes banking so hard is that our customer segments consist of everybody — we want to serve everybody. And all of them have different taste in preference. Some of them want to bank at 2:00 am and do it digitally. Some want to do it at lunch hour, and come into the bank and talk to the banker that they know. And they're all great clients, and we want them all. Everyone's got a point of view, and I think it's important to be really open-minded these days. Definitely think ahead as much as possible, and really be good listeners to clients."
Pankaj Parekh, VP of Mobile Banking at Wells Fargo
"We were always about omnichannel, but lately we started saying, "Hey, that's not scalable." So we started talking about as our customer population is increasing — the mobile-first customers — we started saying, "If I'm sitting on a beach in Spain, and I have my tablet or my smartphone, what would I be doing?" That's why we started changing the paradigm shift about, "Hey, whatever we designed 5 years ago or 12 years ago on the online space, we can't use all of that." We need to start thinking differently, and we need to start thinking quickly because we don't have that time. This industry's shifting, devices are shifting, and now we're getting more and more capabilities on these small devices. As these things move fast, we've got to keep up with the customer experience as well. Some of our expectations are defined by industries outside of the financial industry. Facebook, Pinterest, all those kind of guys who are doing things fast, and they're reforming things quickly, so we're trying to get into that space very quickly as well. So we're trying to get into that space quickly as well — otherwise we'll be way back in the pack."