In today’s competitive financial landscape, leveraging geolocation data has become a crucial component of a bank’s strategy to gain a competitive advantage. Customer location data offers new opportunities for banks to cooperate with retailers and improve customer loyalty and engagement with non-invasive personalized offers that are highly relevant to their needs.
Geolocation Technology: Insights, Personalization, and Privacy Concerns
Geolocation has become a powerful tool for businesses to gain valuable insights into their customers’ behavior and preferences. By tracking mobile users’ locations, geolocation technology allows companies to provide personalized services and target marketing messages based on their customers’ current whereabouts. However, many consumers are understandably concerned about the privacy implications of such technology.
The use of geolocation technology has led to a perception among consumers that they are being constantly tracked. This is partly due to the fact that some geolocation companies do deploy location-tracking solutions that compromise users’ privacy. Such solutions may use hard-core tracking techniques to follow users’ every move and serve them ads based on their exact location.
Open Banking: Working with retailers to codesign beyond banking offerings
Banks should take advantage of the emergence of open banking to play a partnership role in rolling out beyond banking. In so doing, the Bank can develop offerings – a “value proposition” – that goes well beyond conventional banking needs. Coming up with these new offers requires an ecosystem of actors and partners who can collaborate to bring new products and services to the market.
Latinia provides banks with a non-invasive way to leverage geolocation and real-time transaction data for delivering targeted offers and personalized experiences. The use of real-time, context-sensitive insights for improved targeting and sales must become integrated into the daily life of the consumer, transforming the bank from an outside influence to a desired partner who comes up with the right offer at the right time, right moment, and right place.
Here are some examples on how a location-based approach can benefit financial institutions:
- Enables financial institutions to move beyond traditional, calendar-based promotions.
- Offers geolocated promotions from selected retailers including discounts, vouchers, loyalty points, etc.
- Allows for the cross-selling of banking products based on instant needs.
- Offloads basic inquiries such as the location of the nearest ATM or branch.
How does Latinia helps banks leveraging their geolocation customer data?
For retail-centered offers, Latinia provides banks with the following possibilities:
- Categorize third-party retail partners by their vertical: e.g. department store, restaurant, supermarket
- Group them by brand: e.g. Macy’s, Taco Bell, Walmart
- Upload a set of geolocation POIs (Points of Interest) extracted from visual maps, such as Google My Maps.
- Create geolocated condition-based NBA to send third-party offers to the bank’s customers.
After a transaction is registered and the customer’s location information is shared with the bank, Latinia can analyze all available information, including transaction, customer, and geolocation data. By cross-referencing this information with a predefined list of retailers that the bank has agreements with, Latinia can instantly propose offers to the customer in real-time.