The Financial service industry is evolving at a rapid pace and thanks to some of the aggressive seismic shifts in the demographics; most of the organizations are facing tremendous heat from the competition and this calls for analytics with crucial levels of transparency at every stage in data handling. In this whitepaper, we are going to take a deeper look at Analytics with the Big Data in CRM Financial Services and how they can be strategically used to increase the overall operational efficiencies by using algorithms, to minimize and predict key risk areas.
Firms that are into providing financial services handle big amount of data on daily basis and perhaps they are the ones with the highest volumes of data in the industry. For any Financial Industry to perform at its best, they have to make sure that the data has been put to effective use. Analytics in big data CRM allows the data to be securely captured and analyzed that is available to an organization and let’s see the importance it holds.
Data And Its Credibility In Analysis
As financial industries across the world rely heavily on the data, more and more managers are called upon for the governance and compliance activities related to it. The biggest data challenges organization face as for now stems from CRM systems in terms of how they are collected and stored. Every application needs a data in a different manner and has its own dedicated silo. Every financial organization has hundreds or even thousands of dedicated data silos that ensure the overall effectiveness of data that has been collected over time from the clients and has both the versions – firm’s and client’s stored in the data architecture. Building blocks within the CRM use the complex algorithms to process the bundles of data into accurate insights for financial events to happen and big data analytics ensure that all of this is done in the most effective way possible.
How Financial Services Can Get The Best Of Big Data
The Financial sector has an immense opportunity to get benefitted from big data and here are the key 5 areas that benefit the best from it.
- Always Stick To The Compliance
In the financial sector, you have to be very much sure of the compliance. To always exercise Good Governance, Risk, and Compliance, that is also known as the GRC; you need to have a strategy that lets you have a real-time update and working visibility at the organization at all times. However, to make sure all this works in a proper manner, you have to collect important GRC Data and spread it across the major Resource-Intensive activities to make the best use of it. Using the help of Big Data Technology, you will be able to combine all the GRC data into one central place from every source and then later, you will be able to retrieve the precise information out of it. This includes monitoring the changes 24/7 and contextually understanding the data to actively generate reports.
- Always Keeping Frauds and Threats At Bay
Thanks to the management of wealth and money, financial institutions are always in the target of cyber crimes. While threats occur on day to day basis, it is crucial that the data and wealth is secured all the times, in order to keep the customer’s trust and loyalty intact. So, how big data can be used in order to safeguard the same? Well, Big Data Technology enables you to keep a close track on all the events that are happening on day to day basis and also gives you a close insight on understanding particular events so that the vital information can be used and shared to alert the organizations against potential threats.
- Get Close and Personal With Customer Insight
In financial institutions, customers provide a lot of data on daily basis and handling such large amounts of data posts a serious challenge. Even if you have all the right measures to store the data, you might end up struggling when it comes to taking out meaningful insights from the same. Every data holds a Valuable Customer Insight that can give you the vital information on Buying Patterns and Individual Customer Preferences. Big data helps you to capture and process all the raw data that is collected on a daily basis and using the statistics, you are able to extract vital information such as – Preferences, Behaviour, and Buying Patterns of your customers.
- Enhancing Customer Interaction At Every Level
Financial Services Enterprises often face tough competition and they are in constant search for products that allow them to leave their mark and distinguish themselves from a plethora of options, the market is flooded with. The only way that this can be done is by getting a system that helps you utilize the data at your disposal effectively, in order to capture and analyze the information out of it to create strategies that helps you come up with innovative products and services. Big Data Technologies help you to innovate your Customer Services by helping you mine meaningful data from sources all around you. In order to gain deeper insights and create services that are more engaging, Big Data constantly helps you to redesign your entire approach and helps you optimize the Customer Engagement.
- Effective Pricing Strategy
Pricing plays a crucial role in the Financial Services Sector and if your pricing is not as competitive, then you will have a major disadvantage. So, how you can use the analytics to optimize your Pricing Strategy? How can you capture more customers by giving them acceptable pricing? Well, Big Data Technology comes to your rescue by helping you to Capture, Process, and analyze the collected data, so that you will be able to get all the related information in order to optimize your Pricing Strategy. This results in capturing larger trade portfolios and also lets you capture the data that is related to the social media which can be further used in Social Analytics. All this works in perfect sync for you to price your model more cost effectively to gain more customers.
- Final Words
Big Data Technology presents an exciting opportunity to Financial Sectors where they could apply Analytical CRM Models to gain much deeper customer insights and more informed business decisions. If you look at this from a technological perspective, the Financial Institutions need to have systems that unlock the potential of data and add more value to the business, and Big Data Technology is just the right way to do it!
