Over the last decade, we've seen fintechs disrupt the financial services sector when it comes to banking, loans, data usage, and customer service. In particular, we've seen fintech lenders reshape borrowers' expectations by offering improved customer engagement.
Leading the way for this change in the industry is Brisbane-based lender Jacaranda Finance. Here are just some of the ways in which they are maximising their customer engagement.
Jacaranda Finance utilises technology-enabled innovation to offer an improved application process and provide quicker outcomes for personal loans. Often, applying for a loan can be a source of frustration for consumers. So, Jacaranda Finance streamlined the process to create a seamless customer experience and, as a result, keep their customers engaged with their service.
Firstly, Jacaranda were able to build a fast, simple, and digital application form in-house that takes borrowers only a few minutes to complete. Then, they created their own custom-built loan management system, capable of processing thousands of applications per day without compromising on responsible lending practices. Finally, after the New Payments Platform launched in February 2018, they introduced instant payouts for eligible applicants once their loan had been approved.
Together, these innovations have enabled Jacaranda to provide some of fastest turnarounds on personal loans currently on the market. This is in stark contrast to the processes that traditional banks and other financial institutions often rely on for processing their loan applications.
Personalised customer service
Jacaranda Finance puts customer engagement at the forefront of their customer service strategy. A part of this involves building a strong customer service team that creates a personalised experience for customers and responds to their financial needs in real time. This is especially important given consumers' distrust towards the banking sector that has risen as a result of the 2018 Banking Royal Commission.
It is through real-time digital customer interaction that Jacaranda can keep customers engaged. For example, they use real-time online chat services and follow up surveys regarding how they feel about the brand and their experience. These surveys are an effective way to connect with customers and enhance their engagement with the brand. Overall, Jacaranda has reshaped the lending experience to not only incorporate convenience and speed in their application process but also drive customer engagement.
One of the key measures Jacaranda Finance utilises to improve customer engagement as a financial service provider is remarketing. For example, they will often get in contact with customers a few weeks after their loan is approved to see if there's anything they need further help with. In particular, they will ask if a customer needs assistance with their loans including offering consolidation loans to help with repayments. These re-engagement strategies will often be deployed across multiple channels including their SMS, email, social media platforms, or website.
Ultimately, there are a number of unique ways to improve customer engagement as a financial services provider. As a result of the Banking Royal Commission, customers today are demanding more from their financial providers than ever before. While some may see this as a downside, financial service providers should consider this a unique challenge to meet their expectations and keep them engaged in a heavily-regulated industry.