Conversional AI: A More Privileged Banking

Banking CIO Outlook | Monday, November 19, 2018

IT decision makers believe that AI is needed in the banking, financial services and, insurance (BFSI) segments and that it will lead to drastic growth in operational efficiency and will essentially transform the core financial processes. Conversational AI technologies facilitate two-way interactions and allow banks to establish long-term relationships with customers by rendering seamless experiences including multiple banking features throughout the year.  With time, the Conversational AI technologies will slowly reach a level towards an automated response system to contextualize and personalize conversations with their customers on-demand and in real time.

Machine Learning and Artificial Intelligence are the concepts that have moved into the area of permanence and have already been adopted by many sectors. Banking is among the advanced sector that has taken to AI.

According to an Accenture survey titled ‘Future Workforce Survey—Banking,’ banks investing in AI can increase revenues by 34 percent on an average by 2022. The study also records that 77 percent of banks intend to use AI for automating tasks over the coming three years.

An important benefit of AI in banking is that it helps in regulatory compliance, which requires huge costs. AI-based supporters help in monitoring transactions. Banks that employ AI can be benefitted in fraud prevention and reducing the operation costs. Banks have been digitized, but there is still plenty of paperwork, which can be transformed using AI. Natural language processing (NLP) technology with automation can reduce errors and save time. The use of AI-based assistants will enable humans to focus on other major tasks, leading to higher profitability.

Customer choices have gone a long way in ushering in the AI revolution. Banks can serve customers, understand and learn about their behavior and even create bespoke packages to meet customer needs by chatbots and other AI-based platforms. The result of this is an increasing customer faith and support, and higher conversions.

While AI takes away grunt work, the importance of human elements such as empathy and judgment will only be strengthened further. Conversational AI will usher in a new era of harmony between man and machine.

    Check out: Top Conversational Platform Companies

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