Over the past decade, fintech has transformed the customer experience in banking, with key technologies such as generative AI, mobile banking, and digital wallets leading the digital revolution. Banks worldwide are planning to spend an extra $31bn on AI embedded in existing systems by 2025, and virtual assistants and chatbots are being used to answer customers’ queries around the clock.

AI-Powered Predictive Analytics and Open Banking

AI-powered advanced predictive analytics is helping customers access affordable finance and manage their money better. Open banking and AI models can examine an applicant’s financial history by looking at broader data sets, granting access to affordable finance for many customers who couldn’t previously obtain bank loans. Banks are offering customers more control over their financial affairs through self-service tools such as saving pots and in-app budgeting functionality.

Digital Wallets and Embedded Finance

Digital wallets and e-cards have simplified the payment process and rendered it frictionless. Embedded finance and open application programming interfaces have enabled non-financial businesses to offer financial products via smartphone apps. AI can suggest what customers will want by scrutinizing material extracted from all parts of the payment process.

Neobanks and the Rise of Super Apps

Neobanks, digital-first, software-driven banks that operate exclusively online, offer benefits such as lower fees and higher interest rates due to their lack of physical branches. They must find other ways to deliver outstanding customer experiences, such as offering 24/7 service and always-on chatbots. Neobanks can expand their services far beyond those of traditional banks, with many becoming “super” apps with the implementation of services such as travel and cryptocurrency.

Partnerships Driving AI-Based Customer Experiences

Cognigy has partnered with Black Box to deliver AI-based solutions that drive customer experiences. The partnership aims to increase automation and efficiency, improve customer satisfaction and loyalty. Automating routine customer interactions with AI-based virtual assistants can free up contact center and customer service agents to focus on more complex issues and provide more personalized support. Customers benefit from faster, more convenient service that is available 24/7.