Digital and data, two sides of the same coin

Numerous predictive and hyper-personalized experiences have led to a significant shift in consumer expectations. Fitbit tells us how many stairs we must climb to lose 10 pounds by the holidays. Kayak clairvoyantly advises us when to buy that pricey plane ticket to get the best deal. The artificial intelligence-enabled Nest thermostat automatically adjusts our home’s temperature to make sure every family member is comfortable.

Provided largely by young, digital firms, these everyday insights help us improve our lives in hundreds of tiny, yet hugely appreciated, ways. And the fact is, experiences like those delivered by Fitbit, Kayak, Nest and others are changing the way bank customers and credit union members expect to interact with their financial institutions.

Actually, they are reframing the way consumers expect to be treated by all of the organizations invited into their circles. Openly sharing our valuable (and vulnerable) personal information with these firms adds to the expectation they will use that data to enhance our lives.

Legacy financial institutions are beginning to feel the competitive pressures of this ramped-up expectation for predictive, hyper-personalized interactions. When surveyed recently by CO-OP Financial Services, nearly half of credit union executives said they believed they are in an inferior position to the digital brands consumers love. This includes emerging financial brands like SoFi, Lending Tree and Rocket Mortgage.


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