The banking advisor of tomorrow: Redefining customer relationships

^{February 2025
Authors: Katharina Casanova, Anaïs Gherbi & Yannick Minder}
 

Big tech players like Google, Amazon, and Apple, along with neobanks, are reshaping customer expectations in the banking sector. Customers now demand 24/7 accessibility, real-time transactions, and seamless digital experiences – services that digitalization and AI can provide. However, technology alone cannot meet every need.

Customers still seek personalized financial advice that goes beyond automated recommendations. They want trusted advisors who understand their short and long-term financial goals and unique circumstances. This is where banking advisors play a crucial role, offering personalized guidance that builds trust and strengthens loyalty in an increasingly digital world.

A new era of customer expectations

In a relatively short time, bank customers have shifted their expectations significantly, accelerated by technological advancements and the global health crisis. The industry is undergoing a radical transformation driven by the emergence of new competitors, innovative products and services, and a notable shift in customer demands. Customers today expect convenience, speed, and personalization, forcing banks to rethink their approach to customer engagement.

An increasingly digital relationship

Physical branch visits are becoming increasingly rare as customers turn to mobile and web-based services for their banking needs. These digital channels fulfill two key expectations: 24/7 availability and access to services. Today’s clients value the ability to perform transactions, check balances, and manage accounts anytime, anywhere.

For banks, directing customers to digital channels for routine inquiries while continuing to welcome them in branches for more complex questions allows them to reduce costs while maintaining personal customer relationships.

The health crisis accelerated digital adoption, but it is just one factor among broader trends that included technological innovation, enhanced security measures, new regulations, and shifting demographics toward younger, digital-native clients.

The human connection

Automation and digitalization continue to redefine customer interactions. While these technologies improve efficiency and accessibility, they also risk reducing human engagement in banking. There is growing concern that digital banking could become too focused on efficiency at the expense of customer trust and personalized service.

Preservation of the human touch

The proliferation of digital banking services does not inherently pose a threat to traditional banking. When leveraged effectively, digital banking can facilitate the establishment of robust customer relationships based on trust, leading to growth. Banks that integrate the human touch and personalization into their digital interactions can foster stronger customer relationships and drive growth.

Toward an augmented banking advisor

To meet evolving customer expectations, banks are equipping customers as well as advisors with increasingly sophisticated digital tools. The role of the banking advisor is undergoing a significant transformation, driven largely by artificial intelligence and the push for seamless omnichannel experiences. However, achieving a fully integrated, customer-centric system has yet to be fully realized.

One of the biggest challenges is that banking companies use a variety of tools and systems, each developed in response to specific IT advancements. While the transformation to a holistic and fully integrated system will take time, it is a necessary and inevitable step for the industry.

The banking platform as a feature aggregator

A priority for banks is unifying the “voice of the customer” across various channels – phone, email, chat, messaging, and apps. Another trend in terms of the banking platform is sharing it between internal and external banking advisors for a 360° view of customers and their interactions with the bank.

The smart use of AI

While customers are becoming more independent thanks to digital banking, they still rely on and appreciate discussions with their advisors. New technologies can help advisors process more data faster, enabling more relevant, high-value customer interactions.

But will banks introduce more and more tools? Not necessarily, according to experts. The future lies in streamlined, intelligent solutions that offer flexibility and significant time savings for clients and advisors, allowing advisors to provide more targeted, efficient advisory services.

Banks are making significant and sustained investments in research and development with the objective of making a technological leap. It is vital to ensure that relationship managers are not overlooked in this process and that they are provided with the necessary support to navigate and fully leverage this development.

How banks can support advisors with a targeted change management approach

The role of the banking advisor is evolving and not disappearing. As customer interactions become more complex and specialized, banks must proactively support their advisors through a structured change management approach that includes:

As the banking landscape evolves, the winning formula will be a human-AI partnership where digital tools enhance, rather than replace, the role of the advisor.