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Harness the power of transactional data: How banks can improve engagement and NPS nowadays

Last Wednesday we had a really nice chat at The Fintech House Lisbon with some of the most relevant actors of new business banking in Portugal.

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Our CEO at Coinscrap Finance, David Conde, share thoughts with Teresa Sousa, Manager – CoE for Innovation and New Business at BPI Bank; Victor Martins, Digital Bank Manager at CGD; Nuno Aroeira, Digital Channel Manager at Bankinter and Paulo Gaudencio, Product Operations Leader at Cofidis.

Our host, the biggest Fintech, Regtech, Insurtech and Cybersecurity Hub in Portugal, is a space where Startups, Investors, Corporations and Regulators will work together and create value for the future. We could not be in a better place to discuss the future of Open Banking than The Fintech House!

Customer centric Banks

After an introduction from our CEO, Victor Martins breaks the ice emphasizing the importance of meeting end-user needs in a complex, changing environment. The user experience in the banking world is shifting and we should compromise to offer a better customer service based on their data

We are all suffering the consequences of rising inflation, so the additional information we get as service providers from customer transactions should be used to give them opportunities to improve their financial situation. To achieve this goal, Victor remarked the importance of partners like Coinscrap Finance, who develops technologies designed to anticipate customer needs. 

New competitors in banking

Teresa linked this idea with the importance of offering an excellent customer service in the digital financial world while struggling with AI regulations, market pressure and all kind of new competitors. There is a whole new ecosystem that banks and insurance companies must adapt to. She suggested that financial companies need to offer a friendlier environment for the customer to communicate with them. Otherwise, they will lose engagement and NPS.

As Forbes pointed out in a 2019 article: “The success of neo-banks and fintechs has shifted the paradigm in which traditional banks operate. The positive experience of neo-banks suggests that it is now possible, through APIs, to connect different suppliers of financial products and services and thus expand the range of products available to users, without the need to produce these products and services from within the organization itself. This is known as the paradigm of open banking, a model that some traditional banks are beginning to adopt as a possible solution to the coming disruption”.

That is the core strength of Coinscrap Finance, as all the speakers stated.

Last challenge for the financial sector

At this point, Nuno explained an interesting point of view; banks (as private companies) these days are not so different from the ones back in the nineties. They all want to win and retain customers, right? Of course, there is the net margin increase matter, too… But the main difference is that digital channels are people-centric and, if the financial world wants to catch up, we all shall change our approach to the users.

The challenge now is to help them achieve their economic goals and open banking can make it possible. By connecting all their accounts in one platform we will be able to approach customer requirements and give proper advice.

Then our CEO, David, took the floor to pose a question to the audience:

“Are you ready to share personal economic data with a third party? Raise your hands, please”

David Conde
CEO at Coinscrap Finance

As a result, around 30% of the attending public share their doubts by making the requested gesture. Although it can be challenging at first, there are all benefits: anticipate an overdraft substantiated on your income and expenses, get offers based on your preferences, make the most appropriate investment decisions, among many others.

Banco Santander has been a great success thanks to its Santander Piggy Bank

Transparency is key

The five participants agreed at one point: financial companies clearness must be total so the customers will understand their economic situation and, only then, they will be able to make better decisions and improve their financial health. Paulo emphasized the importance of creating tools that help with that process and solve real problems. Making the company relevant for the user and… why not? getting their love.

The only way is being a helping hand when needed. That is what Coinscrap Finance stands for: turning innovation into products that matter. The AI-powered recommendation engine helps the financial industry deliver hyper-personalized digital experiences to their customers. It also helps banks and insurers to understand the financial situation of their clients and to sell the product that better fits, a win-win for both financial entities & their users.

Wow, this was quite a meeting of the minds! We are very thankful to all the participants and speakers for sharing such a nice time with us at The Fintech House in Lisbon, wish to be back soon. We hope that you enjoy the video as much as we relish it. 

If you wish to see the complete event, please click on this link.

Cheers!

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