Technology enables customized engagement
Client-facing technologies still suffer from legacy issues, in which communications and transaction processes are quite primitive. These must be upgraded so they are nimble enough to deliver a sophisticated product to end clients while simultaneously being sufficiently simple for customer interaction.
- The wealth interface that defines the relationship between wealth managers and their clients requires significant change amid widespread technology disruption, with financial services coming to this changing field late relative to other industries. The communication challenge must address mobile devices, PCs, and tablets, as end investors seek engagement wherever they happen to be. Five layers make up building blocks for technology solutions: visualization, data, application programming interface (API), analytics, and location-based delivery.
- At the visualization layer, the client interacts with a self-service dashboard and search capabilities, displayed through advanced visualization tools that generate and present relevant materials to stimulate initial engagement. The visualization layer is integrated into the business processes management where the API interface is engaged.
- The analytics layer does the deeper thinking, using advanced AI techniques to profile and predict behavior and suggest patterns. These techniques then connect with data lakes that form the key layer of the technology solution, acquiring data rapidly from various sources and drawing it into solutions.
- A large part of the scenario relates to the distribution model. Importantly, end clients now expect information to be delivered wherever they are. For example, most personal computing in Asia happens on mobile devices, not on PCs or laptops. Firms can take advantage of a mobile’s device’s location-based services to deliver contextualized information to clients.
Consider this: An end client walks past a store, and a firm’s app delivers a thoughtful message to the effect of “Last month shopping there, although fun, put you $300 behind in saving for your leave of absence and trek through Indonesia.”
- Technology can be a catalyst to engage defined contribution participants, and 64% of survey respondents expect these investors will become more engaged in the next 5–10 years. The evolution of the DC platform to include post-retirement income and even extending into full personal balance sheet management will depend on the quality of technology that is developed and adopted.