Artificial intelligence is bound to be one of the main disruptive technologies in the financial sector.
Does this mean job losses? Quite the opposite – training the workforce to work along with machines will be key for growing the industry.
The concept of artificial intelligence has recently began to gain relevance these past few years, thanks to breakthroughs on different sectors, but mainly in machine learning. This technology enables the development of programs that access vast amounts of information and use it to ‘learn’ and improve with the experience.
ML is capable of identifying patterns and then analyzing diverse data from different sources and get ahead of events or respond to a given situation. It is one of the secret weapons that allow the most innovative financial institutions to tailor products and services to the client’s needs.
Currently, part of the sector is using AI and ML for diverse purposes. Some of them may include:
- Automatic detection of fraudulent operations (either from credit cards or transfers) to avoid displeasing their clients.
- Historic profitability analyses of financial assets to offer customized investment recommendations according to each client’s appetite for risk.
- Risk assessment for granting loans.
- Constant assistance through bots.
In short, we’re talking about organizing operations, streamlining services, cut down costs and control risk. Both routine tasks and complex analyses are executed by these technologies.
What’s going on in digital marketing?
One of the main goals of marketing areas at financial institutions when incorporating these technologies has to do with attracting clients and earning their loyalty. Regarding financial entities, the brand image being developed, trust and client relationships are crucial –they are the heart of the business. That's why technology is used in order to enhance the full consumer experience and to send the right messages to the right people at the right time.
For example, when marketing pros decide which communication channels they’ll use, they’re predicting where a product will sell best. An ML algorithm might automate and execute said strategy way more accurately.
Therefore, the question is: will indeed analyses or human intervention no longer be necessary for these processes?
The future of marketing in the financial market
The answer is a resounding "no". Incorporating automation solutions featuring AI means changing the working paradigm, but AI automation cannot manage without human resources. The solutions actually free those resources from repetitive tasks in order to seize on that human intelligence for assessing the work performed by algorithms and their risks, interpreting them correctly and correcting mistakes.
In the end, it will be work teams that will make the most out of those technologies and achieve the best results in a more efficient way.
In a recent article, Harvard professors and experts explained in detail that sometimes, the difficulty lies in how we interact with algorithms. Executives and specialists are responsible for understanding algorithms, adapting them to each context and using them based on defined goals.
In marketing, we have to adapt our tools to our business goals, understand which data are relevant and assessing if what has been done, achieves the expected results. Algorithms will provide answers according to the established premises, but they will require constant adjustments.
For now, in most cases it’s the human view that is helping technology to reach the correct predictions and not the other way around.
Do you want to see an automation marketing platform for financial institutions which uses IA and ML to run omnichannel campaigns?