Mobile Messaging Holds Opportunities, Challenges for Financial Firms
The vast majority (88 percent) of these businesses believe SMS has a considerable or major impact on customer service, an IDC report found.The greatest benefits of mobile messaging for the financial services industry are its abilities to enhance the customer experience and improve employee relations, according to an IDC study sponsored by OpenMarket. The vast majority (88 percent) percent of these businesses believe SMS has a considerable or major impact on customer service and nearly three-quarters (73 percent) consider it to be very effective for employee-focused emergency alerts. The IDC study also reveals that more than 50 percent of financial services organizations use mobile messaging to differentiate or improve the customer experience, and more than one-third (35 percent) utilize the technology to attract and retain new customers. More than 25 percent use it to improve business risk mitigation, and more than 20 percent of these businesses use it to ensure business continuity and to enhance multi-channel delivery capacity. Surprisingly, just 15 percent of respondents said they use mobile messaging to improve their organization’s security.
According to the research, the top customer-facing use cases for SMS include timely offers and notifications regarding high-risk, high-dollar transactions. Thirty percent of these businesses utilize secure SMS messaging to gain deeper customer insights and to meet industry compliance requirements.