Dive Brief:
- The banking industry is the latest to see potential in artificial intelligence (AI) to create a better consumer experience per CNBC.
- Banks intend to tap AI to create what Carlos Torres Vila, CEO of Spain's BBVA, called a “self-driving bank experience” in a CNBC interview at the Money 20/20 conference in Copenhagen. The technology will act like a personal digital banking assistant for consumers.
- While the automated technology will possibly provide consumers with seamless financial advice and a better overall user experience, the fallout could include accelerating the trend of physical bank branch closures.
Dive Insight:
Personal digital assistants are already deployed in many homes in the form of Amazon’s Alexa-powered devices and Google Home, and even more people engage with AI-powered digital assistant technology via their mobile devices and Apple’s Siri and Google Assistant. More specialized AI has been developed for customer service applications such as Geico’s virtual assistant, “Kate,” and BP’s talking gas pump. Hotels are also showing interest in embracing digital assistants via smart speakers in guest rooms.
Banking is a natural fit for AI-powered assistance given its combination of mundane regular transactions and decisions that require understanding cost-benefit analyses based on historical financial data and future projections. Also, the speed with which mobile users have embraced mobile banking suggests customers are looking for more convenient ways to conduct banking on their own terms. According to CNBC, major banks including BBVA are already making investments in AI technology. Accenture surveyed 600 bankers and found 76% think in the next three years a majority will make AI interfaces the primary access point for consumer interactions.