May 19, 2020
The coronavirus pandemic has deeply affected communities and businesses alike. While COVID-19 in itself presents a set of issues, it has also amplified and exposed some hidden fundamental problems in most business aspects that were previously ignored. As a result, some huge castles appear to be built on very thin ice.
One of those long-ignored opportunities/challenges is the development of custom relationship management methods. In this article, we explore how banks have been addressing changing customer relationship management needs and what it means for the post-COVID-19 world.
For the banks, this crisis brings in a two-fold challenge: First, they need to support their customers, and at the same time, they need to support themselves by juggling multiple priorities such as scaling up operations, stabilizing business, safeguarding employees’ health, making prudent cost & workforce decisions, dealing with the changing macroeconomic conditions, etc. This unprecedented business crisis is a call for the traditional banks, especially in the retail banking space, to go beyond their current approaches to managing consumer relationships. While customer behaviors are changing, banks must shift gears accordingly to keep pace with customers’ needs and expectations.
When it comes to relationship management, we are witnessing the three most common areas that retail banks are focusing on in the last five months (say January 2020–May 2020). These three common focus areas include: