The concept of conversational banking has emerged with the use of chatbots and voice assistants. Conversational banking is a new trend in the industry. It makes complex or time-consuming financial topics and tasks more accessible to potential customers. It also allows users to perform routine tasks without human assistance. At the same time, it means they get faster service and that support staff can also save time.
In addition, chat history is saved when communicating via messenger. This means users can always go back to review information they've shared in the past, and managers can later review a user's previous chats with the bot to understand the context.
In the first two weeks of March, Telegram in Russia overtook WhatsApp in popularity for the first time. Telegram's share of total messenger traffic increased from 48% to 63% compared to February.
This happened against the background of restrictions on access to other social networks. Telegram has become not only a means of communication, but also one of the main sources of content. The service began to actively develop since February 24.
Many large financial companies were already developing this channel of communication with their clients, but did not see the point in transferring all financial services to Telegram. When mobile banking apps began to be blocked in the App Store, companies actively sought solutions.
Downloading the app from the site is only available for Android. But there is a risk of being hit by a phishing link. The apps also need to be updated regularly, otherwise security threats and bugs will arise in the interface.
Customers have come to love the full range of financial tools on their smartphone. The need to use online banking or go to a bank branch for service creates an additional barrier between the customer and the bank, which also plays a negative role in the profitability of banking services.
Customers are already on messengers, and companies only need to come to them. The rapidly growing Telegram audience has allowed both large companies and small players in the financial services industry to attract new customers.
Apps are a thing of the past
The Telegram chatbot can bring all financial tools and implement a service for business segments such as banking, insurance, investments, MFIs, retail, marketplaces, self-employment, and many others.
If you look at the development of traditional banking apps lately, chat has become almost the main interface of the app. That said, traditional sliders and buttons are a thing of the past. Almost all banking apps have a structure similar to Notagram with Stories. People increasingly see finance as a form of content and a form of interaction, and they're not interested in classic outdated banking apps with their cluttered systems and awkward interfaces that try to create the illusion of security.
Just as websites once disappeared, but not completely, but gave way to other, more mobile-friendly channels, apps are now a thing of the past. Messengers now act as the main channel of communication on the Internet, largely diverting users' attention from other forms of content consumption.
Using a chatbot in a messenger, it is possible to accept payments, make transfers, register as self-employed, arrange insurance, go through online identification, pay for services, and so on. This functionality makes it possible to transfer the necessary financial tools to Telegram and offer services within the messenger.
Financial tools in Telegram
All modern banks are trying to create a messenger bot, which in most cases should provide users with information services - about the nearest ATMs, exchange rates, arranged loans or deposits. Major Russian banks are now represented in Telegram: Sber, VTB, Tinkoff Bank and Alfa-Bank.
Banks are more active in introducing bots in mobile applications, but taking into account recent events, the popularity of chatbots in messengers in the Russian market is predicted to grow.
The functionality of chatbots is not limited to solving questions or answering customers' questions. The dialog interface of chatbots allows customers to easily request payment. Let's say a customer is browsing one of your products in a messenger and clicks "Buy Now". Instead of switching to another app, the bot handles all payments.
If we talk about the benefits for the financial sector, it is an increased conversion to the use of services in the messenger. The total number of users of the service can grow by 30% compared to the same service on the website.
The automation of chatbots in financial technology helps to diversify audience traffic and promote company's services and products. Chatbots work similarly to email marketing. The difference is that the sales funnel developed in chatbots is interactive and stimulates a dialogue with the user, helping them choose the right services and products they want.
