I’ve been involved in data and analytics for a long time – since my days at Capital One when I worked on credit policy. It’s amazing how much has changed since then. And how little.
First, the big changes. There is an almost unlimited amount of computing power – particularly leveraging the power of the cloud – that makes even the biggest analytical projects fast and inexpensive. The volume and velocity of data have increased exponentially, with much of that growth coming in the past few years as petabytes of digital data are streamed and analyzed (often in real time!) to improve marketing effectiveness and the customer experience. Even the most old-fashioned bankers recognize that better, faster customer data and analytics can provide a huge advantage in the competitive marketplace.
Now for what hasn’t changed. Analytics and modeling is still the preserve of experts. Database administrators. Data analysts. Statisticians. Predictive modelers. Decision scientists. Chief Data Officers. And so many more. Yet, all of these various roles have developed over the years to manage the complexity associated with managing and analyzing customer and prospect information. Entire industries have been created to support this worthwhile endeavor.
Similarly, IT organizations have mushroomed over the past few decades to manage all the necessary software tools required to make a modern bank function. The marketing technology stack alone at a large bank can easily encompass 25 different software platforms. Legacy systems and challenging integration make interoperability almost impossible.
Complexity has run amok, and all that banks have to show for it are increased costs and little if any improvement to the customer experience. In fact, customer satisfaction with banks hasn’t changed significantly in more than 10 years, while efficiency ratios have been moving sideways during that same period.
Fortunately, the data and analytics game is changing. With the massive power and flexibility of cloud computing and dramatic improvements to software design (and functionality), sophisticated analytics are now available to even the least technical business users. Imagine analytical power without complexity. Simplicity without loss of functionality. How refreshing would that be?!?
If you find this compelling, I invite you to check out the Earnix demo at Finovate 2016 and the future blog in this series – Earnix will unveil new pricing and customer analytics software that is not only fast and powerful, it is exceptionally easy to use. Register for Finovate now and SAVE 20% with our special discount code Earnix20FS16.
To learn more about the Earnix pricing and customer analytics software, download the Earnix banking brochure.