How Voice Tech is Transforming UK Finance
This latest edition of our student blog series comes from Sithmi Perera, who is currently pursuing an MSc in Financial Technology (FinTech) at UWE Bristol.
The way we manage our money is changing. Gone are the days of solely relying on bank branches and physical statements. Voice technology is making waves in the UK financial sector, offering a new level of convenience, security, and accessibility for customers. In the rapidly evolving financial services sector, voice technology is emerging as an important tool for enhancing customer experience (CX) and operational efficiency. This blog explores the transformative potential of voice technology in the UK financial services market, drawing on global trends and data to highlight its significance.
The Rise of Voice Technology in Financial Services
Voice technology, including voice search and assistants like Siri and Alexa, has become an integral part of consumer behaviour. According to reports, 30% of adults are active voice technology users, and it's predicted that by 2020, 50% of all searches will be voice searches. This shift underscores the importance of financial services firms adapting to this new consumer behaviour.
Personalization and Engagement
Voice technology offers a unique opportunity for financial services firms to personalise their services and engage customers more effectively. A significant 40% of banking clients are more inclined to stay with a financial institution when it offers more personalised services. Voice-enabled applications provide a conversational channel that can make financial services experiences more engaging and personal than ever before.
A Survey done by PwC in 2018 shows which situations customers use voice assistance showcasing how three fourths of customers use voice assistance at home.
Source: PwC Consumer Intelligence Series Voice Assistant Survey 2018
Omnichannel Financial Assistants
The future of financial services is leaning towards self-service, with voice technology playing a crucial role in this transformation. By creating omnichannel financial assistants, financial services firms can provide contextual recommendations and services at any stage of the financial buyer’s journey. This approach not only enhances customer experience but also streamlines operations across various platforms, from mobile apps to desktop websites and third-party platforms.
Global Examples and UK Market Insights
Globally, voice-assisted technologies in banking are making significant strides. For instance, Bank of America's virtual assistant, Erica, uses predictive analytics and natural language processing to offer personalised financial advice. In the UK, Santander's SmartBank app features voice-activated technology, allowing customers to monitor their spending through voice commands, emphasising convenience and ease of access. These examples illustrate the potential of voice technology to enhance accessibility and user experience in financial services.
The Future of Voice Technology in Financial Services
As backend technologies like artificial intelligence (AI) and natural language processing (NLP) mature, the use cases for voice technology in financial services are expected to evolve. Financial services firms must remain compliant with industry regulations while exploring innovative ways to apply voice technology to differentiate their customer experiences.
Conclusion
The integration of voice technology in financial services is not just a trend; it's a strategic imperative for firms looking to stay competitive in the digital age. By focusing on personalisation, leveraging omnichannel capabilities, and embracing global trends, financial services firms in the UK can lead the way in harnessing the power of voice technology to enhance customer engagement and operational efficiency. As the financial services sector continues to evolve, voice technology will undoubtedly play a pivotal role in shaping the future of customer experience and service delivery.