The Impact of Chatbots and AI on B2C Financial Services Industry
The B2C financial services industry in India is reaching new horizons post demonetization. With more than 80% of the population having access to bank accounts, large scale business transactions and more people accessing banking services there is a need for the adoption of modern disruptive technologies. Financial institutions like banks, insurance companies, lending houses, share brokerage organizations and others which earlier shied away from digital technologies are fast adopting them to attract the young digital generation of India. Automation, machine learning, AI, mobile applications, chatbots are becoming part and parcel of B2C financial services industry in India.
With the complexity of banking processes, even drawing a meager amount from your account or checking the balance in your account involves long and tedious steps for execution if you go to the branch of the bank. These basic necessities can be met with the help of automation & AI. The smartphones and feature phones are making the young digital-savvy users go for more mobile-centric uses of B2C financial services. Financial institutions in India are planning for reducing overhead costs and gain the highest returns on their investment.
AI & Machine Learning
Artificial intelligence & machine learning are finding their way in every walk of life in the modern-day world. The customer-centric processes like customer acquisitions, customer onboarding and services to the client across the B2C financial services industry can be painlessly executed with Artificial intelligence & machine learning capabilities. These technological services can elevate the customer service sector of the B2C financial services industry to reach new highs with increased service quality, time efficiency, and nominal cost.
The traditional online chat assistance in the websites of B2C financial services industry has evolved to become the modern-day ‘Chatbots.’ The chat bots that initially came into the market had natural language processing tools and the basic ability of language use. They were giving the same kind of answers across repeated customer cases. But with the invention of AI & machine learning the chatbots build extensive database depending on different use cases and they learn to interact in a specific way with different customers. These chatbots simulate human conversational skills to mimic the human intellectual capacity needed to be used in conversations with different types of customers.
In the social world, one learns about the traits of a person by continuously conversing with him. Similar to this, the chatbots continuously interact with different consumers, understand their needs, their problems and analyze the different situations to give the highest possible solution to the customer. The extent of the problem-solving capability of a chatbot depends upon its AI & machine learning capabilities. Such advanced chatbots engage the customers so profoundly that the customer will never realize he/ she is chatting with a technological product. Such an advanced chatbot represents a customer-friendly assistant which will deliver impeccable customer service without the worry of incremental costs due to scaling operations.
The chatbot interfaces have made the bank and financial transactions highly mobile &conversational as all the transactions are available in this feature. Such intuitive and state of the art interfaces will be the part of the B2C financial services industry as a mandate in the future. Being progressive, the financial institutions are moving more towards technological advancements as it helps them to solve problems across multiple channels. The soaring customer base and the need to address their growing problems are resulting in an increase in cost and scaling problems, which can only be addressed with AI & machine learning solutions.
The B2C financial services industry is looking forward to the introduction of regional language support and also the support for the inclusion of voice conversations into chatbots leading to next-generation conversational interfaces. The basic functions like customer onboarding, account inquiry, transactional statement, analysis, and recommendations are included in the present generation of chatbots. If the regional language support and the voice format support are incorporated in the present generation chatbots, then the B2C financial services industry will quickly adopt such advanced technology and there will be unparalleled growth in the AI & machine learning adaptation in the use of chatbots across the financial institutions.
Artificial intelligence and machine learning technologies are here to stay and they will make strong impact on the B2C financial services industry revolutionizing the sector. Hence, I am of the opinion that the sooner the B2C financial services industry opens up for new technology, the more it will grow.