Banks Must Leverage AI-Driven Insights as Customers Demand More Personalisation
Individuals are beginning to rank financial wellness as their top life concern, surpassing health and family relationships, according to a new report from Personetics, a fintech helping banks build and monetise customer relationships.
In the survey report, ‘Understanding Consumer Demand in the AI-Banking Era‘, Personetics reveals that 84 per cent of respondents indicated that they would likely switch to a bank that provides timely, relevant advice to improve their financial health.
Through a survey of 2,000 banking customers based in the likes of North America, EMEA and APAC, Personetics also found that 74 per cent would likely display greater loyalty to a bank that helps them achieve their financial goals through timely insights and autonomous spending and saving actions.
With these types of personal banking insights and product recommendations so high on customers’ wish lists, it appears that AI will be required by banks if they are going to successfully achieve this level of service.
“Today’s consumers are digitally savvy and expect advanced, personalised banking experiences,” explained Udi Ziv, CEO of Personetics. “Banks must meet this demand by providing comprehensive, needs-based services that leverage AI-driven insights and advice to assist their customers in making smarter financial decisions. Banks are discovering that these services enhance customer loyalty and, consequently, drive product sales, demonstrating that financial wellness benefits everyone involved. These services are not merely optional for banks; they are essential.”
As much as 70 per cent of customers also strongly want their bank to proactively analyse and understand their financial situation and needs according to their daily spending and saving habits. About three-quarters express a preference for AI-driven financial insights, such as alerts for double billing, overdraft warnings, and savings nudges.
Personalisation driving switching decisions
The fact that increasing numbers of customers would favour a bank that offers personalised tips and insights tailored to their daily spending and saving habits is significant because, with most banking services now being digital, switching providers has become easier, and the rise of open banking will further simplify the process.
Although there was a strong demand for these services worldwide, customers in the EMEA region exhibited the highest interest, with 79 per cent compared to the global average of 70 per cent. This is not surprising, given that banks and government regulators in EMEA have endorsed financial wellness services.
Gen Z customers (aged 17 to 27) show significantly higher interest in these services compared to other age groups. Eighty-six per cent of Gen Z respondents report their interest, compared to a 70 per cent average across all age groups. Interestingly, the second-highest level of interest comes from those over 60, with 76 per cent expressing enthusiasm.
This global survey underscores the urgent need to address the soaring customer demand for AI-driven banking services. By leveraging its AI-driven platform, Personetics is transforming everyday banking into a highly personalised, data-driven experience that enables banks to deepen customer relationships, drive meaningful financial actions, and ultimately enhance financial well-being.
February 26, 2025: Banks Must Leverage AI-Driven Insights as Customers Demand More Personalisation, Warns Personetics | The Fintech Times
