Hyper-personalisation of Financial Services

  1. Hyper-Personalisation in Financial Services - Deltec Bank & Trust
  2. Hyper-personalization: The silver bullet to success in digital banking
  3. How hyper-personalization helps FIs boost open banking potential
  4. How Is Hyper-Personalization Changing the Banking Landscape? | Softjourn, Inc.

Millennials and Generation Z will have a lot more disposable income to spend in the next decade. Meanwhile, their shopping habits will be more in line with their digital-first attitude. They will look for more personalised services that are based on their demographics, interests, location, and personality in all of their interactions. Meanwhile, as the world becomes more and more digital, more and more data is being produced. This allows businesses to create a “segment of one,” which allows them to better understand their customers. To take advantage of this growing opportunity, one will need to have a digital-first mindset. BFSI companies should start from the ground up and change their customer value proposition from there on out. It won’t help if one uses old-fashioned, small-scale legacy shifts. If BFSI companies want to meet the needs of consumers and serve them in a way that they like, they need to make all of their digital interactions as smooth as possible.

The goal of hyper-personalization is to improve customer engagement by getting to know each customer’s unique needs and putting together a set of personalised experiences across both digital and human channels. This is good for both BFSI companies and the people they serve.

Building an end-to-end hyper-personalization mechanism requires new skills and a digital mindset. These skills include a single view of the customer, cross-enterprise collaboration, cross-channel offerings, and a new technology ecosystem.

Source: Wipro Insights

Hyper-personalisation starts with data!

In a report from HSBC in 2019, hyper-personalisation is said to be the major trend in the industry for the next 10 years. In the future, as more and more people use digital banking, banks will keep looking for new ways to use technology to organise and analyse customer data. In the long run, investing in personalisation tools will help banks connect with customers and offer the right products at the right times.

Artificial intelligence, machine learning, predictive analytics, and prescriptive analytics are some of the tools in the hyper-personalization toolbox. The rate at which these tools are used by people in the financial services industry varies a lot. In some cases, IoT and AI technologies have already been made commercially available. Others are working on “proof of concept” projects that show how AI and IoT can work together.

Here is an example from Lemnisk that shows how hyper-personalisation works in real-life.

Popular examples of Hyper-personalisation from across the globe

  1. Capital One

Clients are notified of new offers, assistance with simple tasks, and assistance with personal finances. If you’re near one of their shop partners and are interested in buying anything, you’ll be prompted to do so using geolocation.


Using AI, HSBC is able to forecast consumer behaviour when it comes to redeeming credit card points and provide them with useful incentives. They observed that their customers were more likely to read their email alerts when they received personalised rewards.

3. Mitto

Mitto, a green fintech firm in Spain, is an intriguing example of a neobank with distinctive branding. As a result of Mitto’s openness regarding its CO2 footprint, it has drawn a large number of young people, teenagers, and even other start-ups to its services. The neobank also helps its customers save money on eco-friendly products and services that fit with their lifestyles of environmental activism.

Mitto’s hyper-personalized method indicates how much CO2 each transaction creates and proposes environmental initiatives the client may support.