One of the primary goals of banks and financial institutions is to improve the overall banking experience for customers. Banks leverage technologies like artificial intelligence (AI), machine learning (ML), automation, and location intelligence (LI) to streamline and strengthen their business processes.
Location intelligence software, with its ability to visualize spatial data, provide context, and perform analysis, can help banks improve their performance by allowing them to measure and optimize their operations.
Let’s take a look at key location intelligence use cases for BFSI.
Location Intelligence Use Cases for BFSI
1) Doorstep Banking
Doorstep banking is a vital customer offering that includes services like account opening, deposit and withdrawal of cash, account maintenance, cheque book issuance, and other banking needs. Banks can streamline and automate their doorstep banking operations with the help of a location intelligence platform.
Banks can use LI software to identify areas with high concentrations of elderly or disabled populations, which can help them prioritize offering doorstep banking services in those areas. LI can help banks analyze customer data and understand the demand for their banking service in a specific area which can help them manage resources and improve staffing to meet the demand. It can also detect and prevent fraudulent activities by analyzing customer location data and transactions to identify unusual patterns or anomalies.
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2) Field Sales Executive Tracking
Field sales management software uses location data to track field sales executives and manage their work. It helps them empower field executives with a dedicated app for tracking leads, appointments, and collecting customer data on the go with intelligent real-time integrations. At the same time, sales managers get clear visibility into the daily operations of sales officers.
3) Cash Transport Management
Location analytics helps in cash transport management by providing real-time visibility into the location and status of cash transport vehicles, enabling organizations to optimize routes, reduce transport costs, and improve security. It can also monitor and analyze patterns in cash withdrawals and deposits, helping organizations anticipate cash demand and improve cash forecasting. An AI-enabled location intelligence platform can streamline the long and tedious process of ATM cash transfer and manage multiple agencies and stakeholders seamlessly.
4) Risk Profiling
Using location data, banks and financial institutions can identify areas of a city where residents would not qualify for credit approval. By analyzing spatial data, they can gain better insights into potential market discovery with the help of AI/ML-based systems. The system locates areas with high or low delinquencies and helps understand customer credit profiles, repayment history, and delinquency trends by location. This allows business leaders to make informed decisions about lending and business expansion.
5) Site Selection
LI helps banks and financial institutions leverage location data to analyze a specific area, measure its potential over others, and get a more in-depth picture of its customers. Business intelligence provides recommendations for a favorable location for opening a bank branch or a new ATM. Banks can even staff the branch accordingly and determine realistic sales and profitability targets.
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6) Optimize Customer Offering
More than half of respondents want their banks to recommend banking products, services, and offers proactively, as per an Accenture survey. Financial service providers can build customer profiles and show them the right product with accurate location intelligence. They can adapt their offering and communications to keep up with the changing customer requirements. Analyzing location information and merging it with business data can help BFSI companies make more informed decisions while rolling out customer-centric products and strategies. Besides improving the quality of their customer engagement, it also highlights the inefficiencies in their banking networks.
7) Fraud Detection
Banks use LI to analyze the distances and times between transactions and detect unusual patterns in real time. It is also possible to build a clear picture and identify a customer’s spending pattern from their location intelligence data, such as where they live, where they travel, and so on. Insurance companies can leverage accurate mapping data to quickly identify false or invalid addresses to build a single customer view. They can reduce the number of false positives that mistakenly extend to legitimate claims. Also, companies can speed up the process of claims and improve turnaround time (TAT). Spatial analytics software can derive market intelligence from location data to help leaders make business decisions.
Dista Sales, our sales productivity platform helps leading banks and financial companies improve their operational efficiency and enhance customer satisfaction. Get in touch with us to see our platform in action.