Optimove Brings Customer Retention Prowess to Financial Services Industry
Optimove will help financial services counter the harsh effects of increased competition and regulatory restrictions on customer loyalty
With frequently changing regulations and increased competition due to the elimination of switching costs, the financial services space is experiencing a rough patch in customer retention.
A recent research study conducted by Harris Poll found that eight out of 10 millennials would happily switch banks for better rewards; it also found that younger consumers are as likely to consider a large megabank as they are their local bank. Changing user expectations are not only democratizing the financial services market — allowing smaller brands to compete directly with historically well-established names — they have also led to the rise of digital-first fintech companies that aim at taking customer mindshare away from big brands. Add to that the regulatory limits on the kinds of communications operators can send consumers, and viola: a retention nightmare.
Against this backdrop, Optimove has announced its official entry into the financial services space. The company’s Science-first Relationship Marketing Hub, which is already used by retail and gaming stalwarts like StitchFix, Glossier, 1-800-Flowers, Adore Me and Zynga, is now available to all financial services entities such as banks, insurance companies, trading desks and wealth advisories.
Optimove has already emerged as a strategic advantage for its financial service clients, including Chubb, Oanda, Axitrader, CityIndex and Payoneer, helping them not only retain customers, but also keep pace with high expectations of customer service. In a time of fierce competition and limited marketing flexibility, there is no substitute for keeping a much closer connection with customers through personalized communications is paramount.
“Financial services is today undergoing the kind of change that retail was going through a few years ago — technology is disrupting the way this space has traditionally worked, and newer, digital-first brands are threatening long-held market share by big brands,” said Optimove’s CEO Pini Yakuel. “Our goal is to help financial marketers address this change by creating more customer loyalty than ever before — not through fickle perks or points programs, but through highly personalized and emotionally intelligent communications.”
Optimove’s advanced AI capabilities micro-segment customers according to predicted consumer behavior and value, and automates the delivery of personalized customer communications in real-time and multi-channel. The platform empowers brands to create emotionally intelligent loyalty-building relationships with customers by anticipating their needs and wants through cutting edge predictive analytics and machine learning. In effect, Optimove is combining the art of marketing with data science to autonomously generate actionable insights for financial marketers, allowing them to maximize customer spend, engagement, retention and lifetime value.