In a world dominated by digital transformation, where algorithms and artificial intelligence are reshaping industries, the BFSI sector is often seen as a pioneer in embracing technological advancements, having witnessed an interesting confluence of the physical and the digital, it challenges the narrative that digitalization is the panacea for all customer interactions.
As the roundtable discussion commences, Anil Jain, heading Credit and Operations at Aadhar Housing Finance, delved into the transformation over the years. In the past, the BFSI sector heavily relied on physical interactions to guide customers through complex processes. These interactions included simplifying financial products, legal and technical aspects of property transactions, and ensuring a comprehensive customer understanding.
Today, companies are adopting a more streamlined approach, leveraging digital platforms to reduce the physical touchpoints without compromising on the customer’s understanding and satisfaction. This shift has been a game-changer, especially in rural areas where the potential market is vast but often untapped.
The onset of the COVID-19 pandemic, as Anil and Arun Subramanian, founders of Sharpsell.ai, pointed out, acted as an accelerant to this evolution. People realized that physical presence might not be imperative, leading to a migration from metros to tier-three and tier-four cities.
Manish Tiwari, heading Micro Lending at HDB Financial Services emphasized the role of human touch even in the digital era. While digital platforms enhance efficiency and scalability, certain segments of customers still value physical interactions. Aniruddha Shende, heading Affordable Housing at Mahindra Rural Housing Finance echoed the sentiment, shedding light on how digitization has facilitated financial inclusion.
However, digital platforms have bridged these gaps, making financial services accessible to a broader spectrum of customers, irrespective of their geographical location or linguistic proficiency.
Deepak Joshi, heading Operations as Senior Vice President at Motilal Oswal Wealth, added a crucial perspective from the wealth management sector. The shift to digital platforms has not only made financial guidance more accessible but has also enabled customers to make informed investment decisions independently. The concept of “phygital” (physical + digital) is evident here, where assisted digital journeys play a pivotal role. The challenge lies in striking the right balance, ensuring a seamless blend of digital and human-centric physical touchpoints.
Further, Shirish Deshpande, heading the Micro Finance Business at Tata Capital Financial Services Ltd, shared some insights regarding the rural and microfinance sector, shedding light on the unique dynamics of this industry. He emphasized the rural and microfinance industry’s substantial size, amounting to 3.47 trillion INR and catering to 6.4 crore unique customers. This sets the stage for the significance of offline touchpoints in a sector that thrives on personal connections and localized relationships.
He also mentioned that 30% of the customer base is new to credit every year. This statistic states the perennial need for personal interaction, trust building and personalized guidance, as these new customers, often in rural areas, may not be fully acquainted with financial products and services. The rural and microfinance sector’s growth rate, pegged at 30%, prompts a critical question: How does one sustain this growth in a sector deeply rooted in offline experiences?
It was subtly stressed that despite the digital wave sweeping across various industries, the unique nature of this sector, coupled with the predominantly offline habits of its customer base, makes offline touchpoints indispensable.
Ensuring a seamless offline sales service experience
In the next segment, the discussion focused on the tools, training, and initiatives essential for ensuring a seamless offline sales service experience. The delegates highlighted the crucial aspect of training finance professionals in enhanced customer interaction skills, emphasizing the significance of their role in the housing finance industry. He acknowledged the challenge of attrition within the sector and outlined the strategic initiative of hiring fresh talent from campuses. This proactive approach aims to create a new pool of skilled professionals, addressing the evolving demands of the industry.
The focus on training encompasses various aspects, from lead generation to end-to-end customer service, ensuring that finance professionals can navigate complex processes and deliver a superior customer experience. This initiative aligns with the industry’s commitment to staying ahead in a dynamic landscape by nurturing a competent and well-trained workforce.
The significance of personalized communication through SMS triggers and WhatsApp messages, tailored to the customer’s language and preferences. He introduced a quality assurance layer within the organization to monitor and maintain service quality at the ground level. The combination of digital tools, localized communication, and offline monitoring contributes to a holistic customer experience.
Further, the crucial need for seamless integration of offline and online channels in the financial sector was emphasized, especially at the extensive branch networks of SBI and HDFC Bank, with SBI having over 12,000 branches and HDFC Bank boasting around 6,000 branches. The importance of physical presence, particularly in rural and unbanked areas, to build trust with customers, the importance of simplicity and transparent pricing in the digitization process were underlined.
‘Synergy between physical and digital channels necessary’
The leaders took note of the fact that a combination of physical and digital channels is necessary, especially for low-value transactions and areas where customers may require hand-holding for technology adoption. Examples like SBI and HDFC Bank’s branch networks highlight the real-world impact of balancing offline and online strategies. It emphasizes the enduring importance of offline experiences, especially where a personal touch and physical presence are essential for effective customer service.
The panel also discussed the challenges and opportunities associated with the offline customer interaction in the financial services sector. In the dynamic world of face-to-face engagements and direct calls, each interaction carries a unique set of variables, making it challenging to implement a one-size-fits-all approach. Factors such as individual preferences, varied customer needs, and the contextual nuances of each conversation contribute to the unpredictability of the sales journey. This unpredictability poses a distinctive challenge in crafting a standardized process that can seamlessly adapt to the diverse and evolving nature of offline interactions.
Their observations underscored the importance of flexibility and adaptability in navigating the complexities of offline sales. By acknowledging the unpredictable nature of these interactions, businesses can better tailor their strategies to accommodate the diverse scenarios that unfold during face-to-face meetings and calls.
They shed light on the integration of physical and digital experiences, emphasizing the importance of combining the two seamlessly and, leveraging digital tools for document verification and authentication, streamlining the customer’s journey, and enhancing overall experience.
Panellists noted the shift from cash to digital payments, citing collaborations with post offices and CSC for smoother transactions.
Arun emphasized the urgency of rapid digitization, foreseeing simplified KYC processes with minimal physical documentation in the future.The experts then focused on the role of field sales personnel and the need to equip them with digital tools for effective customer interaction. They emphasized the importance of personalized counselling, training applications, and continuous learning to enhance the customer experience in offline settings. He shared practical applications of Sharpsell.ai, focusing on optimizing offline customer experiences.
The discussion centred on the effectiveness of personalized sales playbooks in optimizing field agents’ efficiency during diverse customer interactions. These tailored approaches aim to elevate the overall customer experience by addressing unique needs and scenarios encountered during engagements. The integration of personalized playbooks aligns with the goal of enhancing customer satisfaction, offering valuable insights to field agents for more effective and customer-centric interactions.
Conclusion
In conclusion, the collective insights underscored the critical role of offline customer experiences in the BFSI sector amid rapid digitization. The experts highlighted the undeniable role of their field reps in delivering a superior sales experience while also highlighting the necessity for personalized approaches, strategic collaborations, and seamless integration of digital tools to ensure a holistic and satisfying customer journey. The complex interplay between offline and online interactions emerged as a key factor in achieving sustained growth in the continually evolving financial services landscape.
(Brand Connect Initiative)
