AI in Banking: The Tech Journey to Serving a Segment of One

The banking industry is leading the race to adopt artificial intelligence (AI), with the top banks in North America filing 99% of all the AI-related banking patents in 2021 (the most recent full year of filings). AI creates new possibilities for banks to provide a hyper-personalized customer experience, but developing machine learning and deep learning algorithms comes at a huge cost and the rest of the industry is struggling to keep up with their largest competitors. So not only will banks find that competition with the top tier banks is going to get even harder, but the banking industry consistently struggles to retain tech talent - a must-have in the AI race.

Delivering hyper-personalization through AI

Banks can also explore the use of AI in developing "hyper-personalization." AI will enable banks to personalize their product and service offerings in real-time, tailoring them to the unique needs of individual customers. By using AI to analyze transaction data, spending habits and more, banks can offer the right product or solution to the right customer at the right time.

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For instance, AI can help banks recommend personalized investment options based on an individual's risk appetite and other factors. This not only enhances customer satisfaction but also increases the chances of customer loyalty.

There's no doubt that AI is revolutionizing the banking industry. By harnessing the power of AI, banks can elevate their customer experience at every touchpoint. As the technology continues to evolve, banks that can develop the most symbiotic partnerships with technology partners will continue to stay ahead of the competition and delight customers with a world-class experience - even if they're not a top 5 bank.