“Bots are the new apps,” said Satya Nadella- the CEO of the tech titan Microsoft and it is no coincidence that the number of chatbots on Facebook Messenger has tripled in the last year. Though taken up rapidly, the process has been in the making for the last many years and to finally reach a point where financial transactions and advice can be availed while having a conversation is no small technological feat.
Like all businesses, banking too needs to strike a balance between cost and convenience to bring maximum value to its customers while still keeping their operations profitable.
From setting up branches in different cities to deploying ATMs on major streets to going virtual via Internet banking and mobile apps, every step has been an attempt to balance that cost and convenience in light of new emerging technologies. In a sense, the maxim for banking industry seems to be something like instead of trying to bring in customers, go where they already are. And right now, with social and messaging platforms like Facebook, Skype, among others boasting of over a billion users, banks precisely know where to move next. It is this shift in the business approach and overall financial behavior of customers that have created a whole new domain of chatbot development to bring together the best of both app development and AI.
Before we get any further to how banks can benefit by deploying chatbots, it is first important to know what they are really capable of. Additionally, since AI and machine learning are rapidly evolving technologies, the prospects are virtually limitless and for that reason, we are here listing only the proof of concept and chatbots that are successfully serving on various platforms:
- Amex is a chatbot of American Express on Messenger that provides customers with real-time information on card benefits and related services.
- Erica is a chatbot of Bank of America that is armed with AI capabilities and predictive analysis to let customers make financial transactions, check balance, and even offers personalized financial advice.
- Wells Fargo is another bank that has seen a tremendous response for its banking chatbot that offers a myriad of services and is admired among all groups.
- Yes Bank, HDFC, ICICI, among others are some the earliest adopters of this banking tool in India with services like conversational banking, insurance advice, financial transactions and much more.
Now that it is clear that chatbots are indeed a viable tool and are set to go mainstream in the coming years, there is essentially no reason to not have a chatbot. On the other hand, since you will have to deploy them at some point in time, the sooner you get onboard, the more you will have to gain. Here are just a few of them:
Exposure
Despite major banks making inroads in technology, chatbots are still at a nascent stage. Be it the small set of limited services they offer or the lack of awareness among customers, there is yet a lot of ground to be captured. So, if you launch your chatbot at this stage, not only will it give you a higher exposure and leading technological edge, but can also be used as a marketing tool to lure new customers.
A step towards automation
To say automation is coming is now a futile statement because, in a sense, it is already here. Having disrupted many industries, there is no doubt that finances too are heading towards a major transformation. So, if you want your business operations to adapt to this transformation rather than falling behind, chatbots will definitely play a major in the process.
Cost saving
Keeping employees on the payroll is expensive. To create and manage app is relatively cheaper but still, drains considerable costs and resources. Chatbots, on the other hand, can be built at a fraction of their cost and offer more convenience than both of them put together. So, if you go through a simple cost vs. convenience matrix, you will notice that chatbots come out as the top choice.
Final Remarks
Everything said it is now clear that there is no question of if but when to deploy chatbots. And as any business pundit will tell you, the time for any venture in new technology is always now. So, if you have any such projects in the pipeline, we have the finest Indian app developers with years of experience and expertise in related technologies and multiple such deployments in our portfolio.
Whether you are looking to initially test the waters with a simple proof of concept or are committed to a full-scale Chabot with a wide range of services, we have all the tools and knowledge in place to make it make that happen. To further discuss your projects, get in touch with us at sales@konstantinfo.com.