The End of Average: AI Is Rewriting the Rules of Digital Banking CX: By Alex Kreger

This mass migration to digital channels has been facilitated and accelerated by AI-driven enhancements to self-service. To gain significant value with industry-specific capabilities, experts suggest blue-sky thinking new mobile AI experiences rather than just bolting AI on existing mobile applications. Even when SaaS platforms announce agentic experiences, data teams should evaluate whether data volume and quality on the platform are sufficient to support the AI models. Mission-critical workflows performed by more people, in real-time, and with higher data volumes are indicators of where AI can provide business value.

Business services

More than half of customers would be willing to use a generative AI assistant for customer service, potentially transforming customer relationships, according to Gartner. A whopping 79% of customer service leaders report feeling at least some internal or external pressure to adopt generative AI. Many executives believe it has the potential to reduce staffing requirements significantly. A sentiment echoed by Rosenberg, who also insists that when it comes to selecting generative AI technologies, safety is just as critical as quality — yet most companies simply don’t know how to assess the security of potential providers. Businesses should start by selecting the appropriate generative AI platforms and tools tailored to their specific needs and goals, followed by a detailed implementation roadmap, delineating tasks, timelines and responsibilities to ensure a smooth rollout.

Customers will rely more and more on AI assistants for customer service and support

But an AI agent could not only check the balance but analyze the customer’s full financial picture across different accounts and institutions and then deliver suggestions on how to pay off the credit card. In an era where technology is rapidly evolving, the use of generative AI in customer experience and marketing is a transformative force, reshaping the dynamics between brands and consumers. Generative AI holds unparalleled potential in revolutionizing customer experience and marketing, but it’s not without its pitfalls. According to Rosenberg, the biggest mistake companies make with generative AI is rushing in without a clear, coordinated strategy. In the UK, banks collaborated with fintechs specializing in inclusive design—for instance, leveraging AI fintech solutions that help dyslexic users by changing fonts or reading out text.

Newer features of AIR include call analytics, multi-location support, Spanish language support, which is still in beta, and HIPAA Compliance. In practical terms, 2024 saw banks introduce features like AI-powered voice assistants for those who prefer speaking to navigating a screen. These go beyond basic IVR systems; they use natural language processing to carry out banking tasks via voice (useful for visually impaired customers or the elderly who find apps challenging). Further AI-driven support in banking will evolve from simple chatbots to more advanced virtual agents. This evolution will improve the speed, availability and consistency of customer service, thereby lifting overall customer satisfaction despite initial skepticism.

What is RAG in fintech and how financial services are using it with LLMs to power AI innovation

Another development was AI-driven image recognition for bill payment or check depositing, simplifying processes for those who struggle with manual input, just snapping a photo and letting AI do the work. These kinds of features improved the overall usability of digital banking for a wider audience. In the UK, NatWest’s Cora not only answered routine questions but also helped perform transactions, effectively handling workload equivalent to thousands of support agents. Cora handled 11.2 million retail banking conversations in 2024, matching the scale of their human-assisted contacts. From a qualitative standpoint, AI-powered engagement in 2024 meant banks could anticipate customer needs instead of waiting for customers to reach out.

The agents can help automate certain business functions such as customer service, lead qualification, scheduling and sales, according to the Austin, Texas-based upstart. The Genius AI platform offers trusted AI governance, modular tools, and embedded intelligence across the customer journey to help businesses accelerate outcomes, empower agents, and increase automation at scale, according to San Ramon, Calif.-based Five9. For instance, AI can detect when a customer is having difficulty navigating an app (through behavior patterns) and proactively offer simplified explanations or switch to a voice-assisted mode. AI-driven personalization also means interfaces can adjust to a user’s needs in real time.

In summary, 2024’s AI push in banking was not only about efficiency and personalization, but also about humanizing digital experiences and leaving no customer behind. From adjusting to a user’s pace (as simple as noticing if someone is scrolling slowly and might need extra help) to providing emotionally intelligent responses via chat, AI made digital banking more accommodating. Some banking apps added real-time transcription and translation services (AI translating speech or text on the fly), making services accessible to non-native speakers or customers with hearing impairments. For example, a customer could speak in one language and have the chatbot respond in another, bridging communication gaps. 20 million BofA clients used Erica in 2024, and feedback has been positive enough that Erica’s capabilities keep expanding.

• This led to higher customer engagement, measured by increased logins, more frequent interactions and deeper usage of digital services.
• Especially for tech-savvy segments (millennials and Gen Z), digital banking is the default – 60% of millennials primarily use mobile banking apps as their main way to bank.
• For instance, AI can detect when a customer is having difficulty navigating an app (through behavior patterns) and proactively offer simplified explanations or switch to a voice-assisted mode.
• The forthcoming EU AI Act will designate many financial-risk models as “high-risk”, meaning they will require rigorous documentation, fairness testing and human-override channels before the 2026 enforcement date.
• The Genius AI platform offers trusted AI governance, modular tools, and embedded intelligence across the customer journey to help businesses accelerate outcomes, empower agents, and increase automation at scale, according to San Ramon, Calif.-based Five9.

This technology can execute transactions and escalate complex cases, saving institutions an estimated US $7.3 billion in annual service costs, according toJuniper Research, and freeing up resources that banks can redeploy to higher-value client work. After two years of explosive progress in generative models, artificial intelligence (AI) has become the defining force behind innovation within financial services. At bank branches, employees focusing on complex and high-stakes financial decisions can be augmented by AI agents at kiosks that perform automated tasks such as scheduling appointments or even providing a primer on a financial literacy topic. However, he cautions, context and personalization are critical for businesses to gain value from generative AI — otherwise, they’re left with generic, lackluster content that isn’t relevant to their business or customers. CMSWire’s Marketing & Customer Experience Leadership channel is the go-to hub for actionable research, editorial and opinion for CMOs, aspiring CMOs and today’s customer experience innovators.

• As development tools improved, organizations adopted a “mobile first” mindset and designed phone and tablet apps for specific user personas and job contexts.
• Then there are the Contact Center as a Service (CCaaS) players, such as Five9, who are building out agentic AI capabilities at scale for more context-aware experiences.
• The company in March announced introductory pricing for AI Receptionist and in July announced the general availability of the phone agent.
• Mission-critical workflows performed by more people, in real-time, and with higher data volumes are indicators of where AI can provide business value.

The impact of generative AI in customer experience (CX) and marketing strategies has been transformative, enabling unprecedented levels of automation, efficiency and personalized customer experience. For more insights into U.S. enterprise challenges related to data centers and hybrid clouds, plus ISG’s advice for addressing them, see the ISG Provider Lens ® Focal Points briefing here . Since the company’s launch last year, it has successfully deployed over 20,000 AI voice agents, handling more than 2 million calls and texts for SMBs and telecom providers, Vida said.

Our dedicated editorial and research teams focus on bringing you the data and information you need to navigate today’s complex customer, organizational and technical landscapes. Sunnyvale, Calif.-based Intermedia recently launched a new way to embed its advanced voice capabilities directly into Microsoft Teams, one of the largest collaboration players. The move, which provides a flexible alternative to native Microsoft communications, is enhancing deal sizes for partners, the company’s COO Jonathan McCormick told CRN in February.

Customers who use an AI assistant will likely raise more requests because it requires far less effort, which could increase operational costs, according to the report. Greater automation could help businesses manage inbound volume, ensuring that humans only intervene when needed, according to Gartner. AI is no longer a laboratory curiosity; it has become the new operating system of finance.