Through hyper-personalization, Financial Service Providers (FSPs) can improve marketing segmentation, sales and delivery. Just as Amazon suggests related items for consumers to buy or predicts the consumer might be running out of an item, so can FSPs through the use of financial wellness tools.
Smart tools promote smarter decision-making
While first-generation financial management tools focus on spending and budgeting, today’s financial wellness tools help consumers with their day-to-day finances, as well as long-term budgeting and savings goals.
Peer benchmarking – a peerless capability
One of the most welcomed financial wellness tool is peer benchmarking. This leading-edge tool allows consumers to compare their financial situation to their peers – and so can their FSPs.
For example, a millennial making $50,000 a year might want to compare how much they spend on eating out versus their peers, and how it’s affecting their ability to establish a savings. When the consumer reviews the data, they may choose to tighten their belts. Plus, FSPs can use this same peer benchmarking data to hone their marketing offers to different personas’ behaviors and needs.
Another example is financial planning, a major stress point for many people, especially in uncertain economic environments. Providing insight into income, spending, cash flow, all accounts and net worth is essential for preparing for “what’s next.” Knowledge gained from relevant benchmarks can help ease the burden and provide consumers with a sense of understanding and control.
This is the type of spending awareness and financial coaching the FSP can provide as a trusted advisor through any channel, including digital and conversational banking, cementing the FSP’s role as a source for information and a sense of security.
Financial wellness fosters a healthy bottom line
Financial wellness counseling is a highly valued service, and an area in which FSPs are equipped and trusted to deliver. Providing consumers with actionable information, backed by data via an intuitive user interface will go a long way toward helping them on their financial journey and the FSP to become an integral part of their lifestyle.
How Envestnet | Yodlee can help you deliver hyper-personalization
For more information on how Envestnet | Yodlee can help you build robust digital financial wellness experiences, please visit our solutions homepage.
