The devil is in the detail as banks digitalize
Banks’ digital-transformation ambitions continue to be checked by difficulties in combining customer data from disparate systems and sharing information across the industry.
As banks gear up for the next phase of digital transformation, their efforts are pivoting toward creating personalized customer experiences and using granular data to better understand customer needs.
Publicis Sapient’s 2022 global banking benchmark study noted that combining customer data across different systems was identified as the top customer-experience priority.
However, this study also suggested that banks had made “only moderate progress” during the preceding 12 months. One reason for this is that obtaining a single view of customer data remains a problem.
There are complexities in centralizing data from multiple geographies due to the varied nature of data-sharing regulations
Challenges include difficulties integrating historically siloed IT systems and matching customer profiles across different geographies, explains Kate Platonova, group chief data and analytics officer at HSBC.
“There are few globally unique identifiers that can be used reliably to do this, and historical data gaps or quality issues can make it even more challenging,” she says. “There are also complexities in centralizing data from multiple geographies due to the varied nature of data-sharing regulations.”