TSYS announced the publication, in association with FICO, of a new report titled “Engaging Customers: Why Should Financial Institutions Move Toward a ‘Bring Your Own Persona’ Approach.” The report explains that with the growing consumer adoption of mobile devices, social media and improved user interfaces, financial institutions can differentiate themselves by understanding their customers’ preference for digital communication and their degree of trust in sharing financial information through digital channels. 

More than 2 billion people are using social media worldwide. The always-connected digital consumer is demanding more self-selection and more personalised management tools, and those financial institutions that can segment their customers based on their level of digital engagement will gain a higher level of customer interest and interaction. 

Most financial institutions are leveraging “Know Your Customer” (KYC), traditionally a risk-management tactic and regulatory compliance obligation, as an approach that allows customers to elect their preferred channel of communication. The report suggests, however, that this approach is no longer adequate. A “Bring Your Own Persona” approach, according to the report, allows new segments to be identified and categorised by their level of digital engagement and trust in sharing information. 

“Financial institutions now recognise that the traditional approach to communicating with customers is no longer adequate. Relying solely on data such as income, age and geography isn’t enough In the digital age, customers expect banks to understand their preferred communications channels, willingness to share personal data in various scenarios and ability to transact,” said Bruno Courbage, senior director of Product Management for Customer Management at FICO. 

“Financial institutions’ relationships with their customers are changing, largely driven by two key influencers —the adoption of enabling technology and the insight available from big data. Banks that embrace big data, use it to better understand their customers’ habits and preferences and combine it with the user experience will have a true strategic advantage,” said John Goodale, group executive, product and market development, TSYS International.

The report looks at the findings from the 2015 TSYS U.K. Consumer Payments Engagement Survey, which identified key consumer preferences around engaging with financial institutions.The report concludes by providing four prescriptions for financial institutions that intend to use a “Bring Your Own Persona” approach to engage customers. 

The report is available online at: http://tsys.com/bringyourownpersona/.