Why Fintech Brands Need to Adopt the Netflix-Inspired Banking Framework
In 2019, consumers accessed finance apps over one trillion times across the globe, double the number reported in 2017. Seeing this trend, anyone could guess that a rise in the usage of fintech apps was imminent, but COVID-19 accelerated the adoption of fintech apps to an unimaginable extent.
Since consumers could not go out of their houses due to the lockdown, more and more of them began to rely on mobile apps to access essential financial services. In 2020 users installed 4.6 billion finance apps globally, spending 16.3 billion hours in-app, up 45% from the previous year.
The increased adoption of fintech services also made the industry more competitive, with newer products launched to cash in on the newfound demand, forcing apps to find ways to differentiate themselves. One framework to have come out a winner from this necessity is ‘Netflix-Inspired Banking’.
One of the major reasons for Netflix’s exponential growth has been the company’s ability to identify consumer needs based on behavior and context. To identify customer needs, the company built data-informed models to draw from users’ online behavior to tailor services in real-time. Now, users not only expect Netflix’s flexible and fiercely personal approach, but even demand it.
And it is this experience that has set a new bar, nudging companies in finance and insurance to develop and deliver a similar level of personalization. Since the new approach is based on replicating a similar experience in the fintech world, it is dubbed “Netflix-Inspired Banking.”
As far as execution of the framework is concerned, it depends on your customers’ digital demographics and how they want to interact with your brand.
But there is one universal constant across the customer journey, according to Jessica Cheney, VP of Product Management and Strategic Solutions at Bottomline Technologies, a company focused on making complex business payments simple, smart, and secure.
As Cheney writes in a milestone article, this is the requirement to adapt to your customers’ unique behaviors and preferences seamlessly. “Where competition was once centered around account features, interest rates, and lending, today’s winners and losers will be determined by the level of data-driven, personalized advisory services they can offer their clients,” Cheney writes.
To help fintech marketers in their efforts to scout and implement marketing strategies like ‘Netflix-Inspired Banking’, we interviewed 15+ C-level executives and marketers at leading financial institutions and fintech companies across three regions (APAC, LATAM, and North America). And we put all the insights uncovered from these experts into the Rethink Fintech Playbook: 2021.
Here’s a brief overview of what you can learn from the report:
- How to infuse fintech marketing with humanity and maximize customer lifetime value
- How to make marketing memorable across the customer journey by individualizing customer education
- How to use data to help customers reach personal goals
- How to harness data to grow ecosystems and super apps
- How to unlock the power of a ‘Personal Finance Operating System’
