Transforming Bank Transaction Data

Transforming Bank Transaction Data Into Personalized Insights

Webinar Recap: Transforming Bank Transaction Data Into Personalized Insights

Banks sit on vast amounts of client data, and it could be argued that this data has greater value than any other industry, given the types of critical transactions that banks handle.1  

Many financial institutions struggle with unlocking the value of this data though, and that’s why we held a webinar to talk through Transforming Bank Transaction Data Into Personalized Insights

Over the course of this webinar, we asked attendees what was holding them back from connecting their data to actionable insights. Here’s what we found:

Insights Data

As you can see above, the readiness of their data is a big issue for financial professionals, along with resource availability. And in yet another poll we conducted, a full 43% of attendees said they weren’t satisfied with the level of intelligence they received from their data currently.

While financial professionals struggle with connecting their financial data to insights, many aren’t giving up, because they’re fully aware of the benefits and possible consequences of not tapping into them. 30% of bank consumers are considering switching banks2 but 78% would continue using their bank if it offered personalized services, however only 44% of banks are actually delivering this3.In our webinar, Eric Jamison, Head of Product Management and Tech at Envestnet D&A, highlighted how transaction data can be used to:

  • Better understand clients
  • Deliver relevant services to clients of different ages, income levels, etc.
  • Offer a digital experience that resonates with clients across different segments 
  • Turn data about consumers into next-best actions 

Eric emphasized how everyone is looking to turn data into action. It’s one of the main things we’re focused on at Envestnet Data & Analytics, and why we created Insights Engine. Tony Kukulich, Principal Director of Product at Envestnet Data & Analytics, explained how Envestnet leverages transaction data via an API and how our Insights Engine solution turns that data into actionable insights.

Transaction Data

Among other things, Insights Engine can help you:

  • Identify the best clients for a HELOC loan – like those who have a moderately high score for income and are spending a lot of cash on home expenses 
  • Pinpoint clients who are ideally suited for a rewards credit card – like those who are spending a lot of money on gas, for instance
  • Highlight existing risk to address within your loan portfolio in regards to low-income and high-spending clients
  • Determine the primacy score with your client and whether they’re using other competing institutions to fulfill their financial product needs
  • Determine who your key credit card users are and if they have a high or low primacy score
  • See which other institutions have high primacy with your client and where clients are spending with competing institutions
  • Identify which clients you should target to change the primacy scoring and build a stronger relationship with

Tony also covered our Envestnet Bank Deposit Index, which leverages data and insights to help financial institutions gain transparency into cash flow. So if you’re wondering how your institution is performing with deposits, inflows, and outflows, or which top institutions you’re taking inflow from or losing outflows to, our Bank Deposit Index product can help. It will tell you what the market is doing and how your numbers compare to the market. It can also tell you the types of clients that are moving money, which ones you should be reaching out to, and ultimately if you need to change or adjust your strategy.

To sum it all up, it’s well known that banks have a treasure trove of data. But it takes a data science key to unlock it and reap the rewards. To unlock the full potential of your institution’s data, watch the full webinar on transforming bank transaction data into personalized insights here.