Banking Needs To Prepare For Marketing's Data Arms Race

Despite warnings for more than a decade, most financial institutions are unable to manage the data at their disposal or extract actionable insights, leaving money and opportunities on the table. To compete with fintech, big tech and the largest banks, financial institutions of all sizes will need to harness the power of data, making insight-driven decisions and delivering the level of experiences consumers and businesses have come to expect from the firms with the highest levels of data analytics maturity, like Amazon, Google, Facebook, Apple and others. In research done on behalf of Deluxe by the Digital Banking Report, it was found that many organizations have the ability to extract insights from various data sources, supporting foundational marketing decisions and creating segmented marketing programs. Where most organizations fall short, however, is in using data and artificial intelligence (AI) to power real-time decision-making throughout every aspect of the customer journey. The lack of data analytics maturity also hampers the ability create instantaneous learnings from marketing initiatives, using tools like machine learning (ML), that can improve marketing performance over time.