Banking and Finance with Location Intelligence

banking and finance graphic

Unveiling the Power of Location Intelligence in Banking and Finance

Welcome back and thanks for reading. Today let’s look at how Locations Intelligence tools can relate to the banking and finance sector.

The world is changing. The way we work and consume information is now 80% to 90% digital with everything we need being online. 

Traditional businesses including banks and service sector organisations are closing or downsizing. Banks are closing branches and offices as more people work from home or shared office spaces. As a result, customer self-service has become the normal.

As tools using Artificial Intelligence start to reduce resource needs, and streamline productivity, the need for understanding data continues to grow . Understanding the spatial dynamics of customer behaviour, demographic shifts, and service distribution has never been more crucial.

The thing is you probably have the data but don’t always make best use of it.  With the advent of location intelligence tools, becoming less niche and more commoditised financial institutions, including banks, building societies, financial advisors, and mortgage providers, can easily harness geospatial data in their operations to increase understanding of customer location and then go on to providing increased customer service.

But how does this translate into real-world applications. And why do we think, tools like Mapsimise can help?

How does Location Intelligence Help

 

Q: How does customer location influence financial services?

In the world of banking and finance, knowing where your customers are is important. More importantly, understanding the context of their locations, can significantly impact service delivery. Location intelligence tools allow institutions to visualise and analyse customer data geospatially. This offers insights into patterns of behaviour, preferences, and needs.

This means banks can tailor their products, from loans to investment advice, based on real demographic and geographic insights. Ultimately enhancing customer satisfaction and loyalty.  Organisations can map customer locations identify clusters of customers, helping identify where resources are needed.  A low customer base in a given region could lead to a review of marketing for customer growth of identification of closing or reducing where services are needed.

Q: How can we use population demographics in financial services?

Demographics and location intelligence can offer an analysis solution. This can help financial service providers understand potential market shifts and emerging needs.

By integrating location intelligence, banks and advisors can dissect complex demographic data. Thus identifying trends such as aging populations or burgeoning youth markets.

These insights may enable the creation of targeted products, risk assessment adjustments, and strategic planning to meet future demands of services.

Q: How does identifying service locations improve customer experience?

As a service provider, location intelligence tools can help provide the means to map out service locations against customer density. This reveals gaps in service provision and opportunities for expansion. This not only boosts convenience but also ensures a provider’s presence is where it’s most needed, reinforcing customer trust and engagement.  Customers satisfaction is increased as they have easy access when needed.

Q: How can location intelligence help with finding advisors?

Whether it’s planning for retirement or navigating the complexities of mortgage acquisition, finding the right advisor is always a must. Location intelligence enables a provider to map customers locations and then deploy resources to those locations. This helps customers easily locate advisors within their vicinity, schedule appointments, and even assess the advisor’s market understanding based on the demographic and economic data of the area. For banking and finance institutions, this means enhanced customer service and a more personalised approach to meeting a customer’s financial needs.

 

FAQs about Access to Financial Services and Location Intelligence

 

  1. How can I find the nearest bank or ATM?

Location intelligence tools integrate with customer-facing apps and websites, allow customers access to important location data that quickly enables them to find nearby services in a given area.

  1. Can location intelligence help in understanding financial risks?

Absolutely. By analysing geographical data, banks can assess risks such as natural disasters, economic downturns in specific regions, and more, aiding in better risk management.  Geo data can be added to a map to show flood risk, crime rate, population and wealth along with business activity.

  1. How is my data managed and protected when banks use geospatial analytics?

Financial institutions adhere to stringent data protection laws, most data that is not part of core financial systems is usually anonymised so that the location and the key identifiers are used with out it directly relating to a customer record, unless it is a customer portal tool.   Analysis is usually carried out of bulk data by zip or post code.

In conclusion, analytical tools that provide and separate data by location can have a benefit to an organisation, helping them understand customer activity, customer satisfaction can increase as service providers use this knowledge to provide relevant services in relevant locations based on customer need and potential growth or decline.

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