In the fast-paced digital age, traditional financial entities find themselves contending with customer demands for efficient, convenient service similar to what’s provided by digital powerhouses like Amazon, Netflix, and Spotify.
The explosion in interest around wealth management coupled with these increased digital expectations is prompting banks and financial institutions to hasten their tech transformation, often in conjunction with specialist partners.
Swedish life insurance company Skandia, a forerunner in pension and investment counsel since 1855, has surged ahead in harnessing tech to enhance the customer experience. As the insurer works to convert to a digitally-led business model, it prioritises boosting the quantity of valuable customer interactions while diminishing the average cost per interaction. Their target is clear – to construct a digital platform capable of offering pertinent, impactful touchpoints to stimulate engagement across all of Skandia’s avenues.
To modernise its conventional approach to the numerical side of financial guidance, Skandia collaborated with Kidbrooke, harnessing their financial simulation engine, OutRank. This technology affords personal-level asset and liability management, employing a Monte Carlo simulation to offer dynamic assessments of a customer’s future financial landscape, considering present and prospective decisions, taxes, and charges.
The deployment of OutRank has yielded impressive results, including:
- A teaser widget predicting the outcome of investing a monthly sum over a specific duration.
- A simplified financial guidance process for customers wishing to establish a tax-efficient ISA-like account available in Sweden.
- A personalised digital experience offering customers a range of assistance levels, from regulated financial advice to DIY portfolio building, as they traverse the investment journey.
By using OutRank’s vast flexibility, Skandia can provide diverse digital experiences, such as regulated financial advice, financial guidance, DIY portfolio building services, and execution-only services enhanced by simple forecasts. OutRank ensures consistency across customer journeys, which is paramount not only for building customer trust, but also for expediting compliance, risk, and asset management processes.
The implementation of next-generation financial analytics tools like OutRank perfectly aligns with future customer demands. Since introducing its digital self-service customer journeys, Skandia has achieved up to 50% more meaningful touchpoints across channels. These journeys also foster increased conversion across all channels, as customers who embark on these journeys execute more business more quickly compared to those who don’t.
To find out more about how Skandia is leveraging OutRank, read an in-depth report here.
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