“If I’ve learned anything in these seven years at the helm of Coinscrap Finance, it’s that I have to stay on my toes at all times. Change lurks around every corner – if you work in banking and insurance, you probably know what I’m talking about. Technology permeates everything, especially when it comes to new entity-client relationships.”
David Conde
CEO & Co-founder of Coinscrap Finance
User experience is the touchstone of technological developments
We have compiled in an eBook the most relevant success stories about data enrichment at a global level. It is about the application of this technology by leading companies such as Amazon, Meta, Google, IBM or Microsoft. The financial sector can take advantage of these experiences to learn about the benefits of enrichment and take advantage of the information available to them.
Let’s not forget that Mastercard has announced a regulation that all card issuers in its network must have an enrichment solution in place by October 2023. And Visa is working on a similar measure. We tell you how it is being used by the world’s leading technology companies and how it can help banks and insurers create hyper-personalized services and products.
Some key terms to avoid getting lost in the world of data enrichment
User experience
Process that occurs when the user interacts with a digital interface. It includes their sensations, motivations and needs during navigation. A whole mix of emotions towards the website or App that makes them want to come back again and again.
Behavioral Design
Discipline that combines design and psychology, used mainly in improving the efficiency of digital products. Behavioral Design discovers their motivations in the interaction with online platforms to offer a UX that makes their life easier.
Data enrichment
Processes involving AI, NLP and machine learning engines. Through different internal and external sources, large amounts of data are obtained and enriched in order to reach a comprehensive view on a topic.
Amazon’s success story: Knowing consumer habits to predict future interests
Amazon is the world’s largest online marketplace and uses data enrichment and behavioral design to improve the customer experience on its website. As a result, it is able to increase sales and build user loyalty. The main applications of this technology by the retail giant are:
- Audience segmentation
- Personalized recommendations
- Search results optimization
- Customer feedback analysis
Financial sector learning:
Following this example, banks and insurers could start segmenting their users using behavioral patterns. Knowing what they buy, when and where helps your company improve product and service offerings while increasing satisfaction with your platforms.
Meta’s success story: Getting to know users’ real interests
The company created by Mark Zuckerberg has in its portfolio such well-known applications as Facebook, Messenger, Instagram or WhatsApp. With data enrichment, Meta can identify user preferences and provide more relevant content.
- Tracks user activity
- Adapts content to the user’s location
- Anticipates potential problems or needs
- Delivers personalized ads
Financial sector learning:
The Meta case demonstrates that banks and insurers can use machine learning algorithms to analyze their customers’ day-to-day activity. Thanks to data enrichment, they can offer personalized alerts and generate greater engagement.
Google’s success story: Discovering the best time to communicate with your audience
Google is the world’s most widely used search engine, with more than 92% market share. The company uses data enrichment to improve the accuracy of its search results, adding information about the user’s location to deliver relevant results.
This is how Google applies data enrichment:
- Instant answers
- Semantic search
- Search suggestions
- Targeted advertising
Financial sector learning:
Entities can take advantage of data enrichment to launch alerts to their customers, either because an insurance maturity date is approaching or because of some new circumstance, such as an extra income susceptible to be derived to an investment product, for example.
IBM’s success story: Detecting risky or fraudulent behavior
IBM is a leading technology company that, thanks to enrichment, improves data quality and adds valuable additional information for business decision making. Let’s see how it uses data enrichment in its products and services:
- Product personalization
- Improving data quality
- Sentiment analysis
- Semantic enrichment
Financial sector learning:
IBM is able to identify trends that help you anticipate potential problems and ensure the best solutions are chosen. With data enrichment, banks and insurers could easily detect the risk of fraud, thus obtaining savings in premiums and indemnities.
Microsoft’s success story: Increasing time spent using digital platforms
Microsoft uses data enrichment in its Dynamics 365 business platform to improve the accuracy of its tools. This platform offers a variety of integrated business applications. Let’s take a look at how it applies enrichment:
- Extracting key information
- Data integration
- Perform predictive analytics
- Machine learning
Financial sector learning:
Thanks to enrichment, the banking and insurance user can have all the information related to their financial health available in real time, in order to make better economic decisions. It has been shown that this means a longer App usage time and an increase in satisfaction with the service.
Delivering a good user experience is essential for digital banks
If all financial institutions offer the same products and services, what can you do to differentiate yourself from the competition? You need to offer an exceptional user experience and leverage financial data enrichment to hyper-personalize your offering.
A truly great user experience is basically a seamless experience across all customer touch points. This means that banks should strive to provide the user with what they are looking for and give them access to useful information that will improve their financial situation.
Factors to consider
- Simplicity: Users demand agile solutions.
- Transparency: Create confidence in the product from minute 1.
- Personalization: Meet the unique needs of each client.
- Support: Offer differential value and help users.
- Security: Protect sensitive customer information.
An unstoppable change is taking place in the financial industry. With customers’ online experiences evolving rapidly, it is more important than ever for banks to offer an enriched and personalized experience.
