CX Growth Opportunities in the Banking, Financial, and Insurance (BFSI) Industry 2024 to 2025

CX Growth Opportunities in the Banking, Financial, and Insurance (BFSI) Industry 2024 to 2025

Customer Perspectives

The BFSI sector is in a disruptive state as customer needs and technologies rapidly evolve. Uncertain economic conditions make financial decisions more volatile. According the Frost & Sullivan’s Global 360o Research Team, “Global headline inflation will fall from 6.9% in 2023 to 5.8% in 2024, while core inflation will persist. Advanced economies will start cutting interest rates in H2 2024, but emerging economies will start earlier than that.”

When interest rates drop, consumers have more buying power. In the BFSI industry, this impacts growth in consumer spending for big-ticket items, such as houses and cars, often requiring loans and insurance. BFSI contact centers need to be ready for more interactions across channels. They will also need to invest in analytics to create campaigns to attract more customers and empower agents to close the deal on loans.

New banking and investment options such as fintech and bitcoin pressure legacy banking institutions to further modernize to ensure seamless transactions.

Trends such as open banking and central bank digital currencies (CBDC) generate market opportunities for banks to expand their services with higher-margin products. It also creates new threats, with more businesses and platforms involved in transactions, requiring continual investment in network security.

Changing regulatory landscapes around the globe necessitate continuous monitoring of data that moves across various channels and platforms in the organization so that customer information remains private and misinformation is not shared with customers.

The primary goals of this study are to determine implementation plans of interaction channels, applications, and solutions in the contact center environment in the banking, financial services, and insurance (BFSI) industry and to understand purchase trends. It also investigates the factors that influence product selection.

Decision-makers and purchase decision influencers of BFSI contact centers (total n=135) were surveyed across business functions including CXOs, managing directors, owners, senior management, middle management, and others. Countries include Australia/New Zealand, Brazil, Germany, India, Mexico, the Philippines, the U.K., and the U.S.