3 Tips to Keep In Mind When Choosing an Offer Management Solution

By Binesh K,
Strategy, CEO’s Office,
SunTec Business Solutions

Technology has changed the way the world banks. Cloud-native fintechs have shown customers a new banking style that is hyper personalized, on demand and relationship-based. Traditional banking processes are now being replaced by customer-centric ones that put customer needs at the heart of process design. And as banking goes digital, there are increasing number of customer touchpoints that require a shift from transactional banking models to relationship-based ones. This has put the spotlight on offer management in the banking industry as a strategy to differentiate banks from their competition. To be effective, offers must be personalized, and need based.

Banks must consider robust technology platforms that can create, orchestrate, and manage offers seamlessly. Here are three things to keep in mind when deciding on an offer management technology solution.

1. An Eye for Data: In the new digital economy, data is gold. And an offer management solution must be able to consolidate customer data from multiple touchpoints and analyze it for intelligent insights to deliver contextual offers. Such real-time and contextual offers ensure better customer engagement and satisfaction. The offer management solution must also be able to provide insights on bundling products to meet customer needs in real time. An AI and ML powered platform can identify upselling and cross-selling opportunities, and its predictive analysis capabilities can help to offer a range of relevant options and offers for the customers to choose from.

2. Automated, Dynamic, Unified and Compliant: When seeking an offer management system, banks must consider if the solution is technologically robust enough to automate processes to ensure dynamic, reliable, and comprehensive offer management. It must be able to eliminate human error and biases in day-to-day operations. Banks need a robust offer management solution that can roll out offers dynamically using real-time data. This requires the technology capability to understand the needs of each customer and the context in which the product or service is offered, and the channels through which the customer engages with the bank. A single view of customer engagement across touch points and sources is a critical requirement for developing dynamic offers. Also, the banking sector is governed by stringent regulations pertaining to the use of customer data. These regulations vary from region to region and are also evolving constantly based on the overall risk landscape. Banks must choose a solution that can monitor the regulatory ecosystem and ensure strict compliance.

3. An Agile Technology Platform: Unfortunately, many banks still work with legacy core banking infrastructure that is not agile enough to handle and process real-time data to deliver actionable insights. The easiest way to overcome this is to use third-party solutions that can be deployed as an agile middle layer that seamlessly integrates with the legacy core. Such a cloud-native, AI-powered solution is agile and scalable enough to roll out contextual, effective offers and campaigns. The future of banking lies in customer-centric strategies. Banks must now adopt robust technology-powered solutions that can efficiently orchestrate the offer management lifecycle from customer transaction to tracking, to deriving usable insights, ideation, product development, testing and roll out. It is important to deploy a cloud-native, agile middle ware solution that can integrate with the bank’s existing legacy core and provide a highly agile offer management experience.

As competition for customer share of wallet intensifies, a well-managed offer/ campaign can deliver a superlative customer experience with contextual and real-time products and service bundles to meet their needs. Banks with a robust offer management system can deliver significant value to customers via bundled products that will help differentiate them from their competition. Banks must look at deploying modern and technology powered solutions to help them orchestrate offers efficiently.

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