Customer engagement and hybrid wealth advice model : Case study of combining human interaction and digital advisory for retail banking customers in Finland
Turtiainen, Timo (2021)
Turtiainen, Timo
2021
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Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-202105077707
https://urn.fi/URN:NBN:fi:amk-202105077707
Tiivistelmä
This thesis is a case study examining the elements of hybrid wealth advice model, i.e.,utilizing human interaction and use of digital advisory, and the implications of enabling customer engagement in retail customer segment in a Nordic bank operating in Finland.
The aim is to create understanding of the motivations and perceptions customers have towards different elements in the advice model when integrated with a holistic goals-based approach in the advisory process. The case study is based on analyzing qualitative data, and utilizing inductive approach, from interviews with seven customers (with investable assets and previous experience in investment advisory) and four wealth advisory professionals working in the case company. The interviews were conducted utilizing a semi-structured interview framework, where interview guide and additional follow-up questions based on the discussion could be applied in order to create understanding of the elements within the advisory model which enable (or possibly create obstacles for) customer engagement. Based on the findings from earlier research in literature review and the empirical research, the objective of the study is to formulate recommendations to support development of wealth advisory service models in retail banking and provide suggestions for further studies within the researched area.
The findings suggest that customers’ willingness to invest time and effort in wealth advice and financial planning vary, as well as the motivation for engagement within different channels. Furthermore, the convenience and positive experiences of utilizing digital channels do not directly lead to willingness to engage in utilizing digital advisory. Regardless of the customer’s financial knowledge or interest in financial planning, the availability to conduct planning with an advisor is appreciated. As the preferences and needs of customers vary, e.g., due to different financial situations, life situations or interest in financial planning, the service providers are advised to take multiple approaches, based on recognizing customer’s preferences, into consideration when developing suitable advisory models.
The aim is to create understanding of the motivations and perceptions customers have towards different elements in the advice model when integrated with a holistic goals-based approach in the advisory process. The case study is based on analyzing qualitative data, and utilizing inductive approach, from interviews with seven customers (with investable assets and previous experience in investment advisory) and four wealth advisory professionals working in the case company. The interviews were conducted utilizing a semi-structured interview framework, where interview guide and additional follow-up questions based on the discussion could be applied in order to create understanding of the elements within the advisory model which enable (or possibly create obstacles for) customer engagement. Based on the findings from earlier research in literature review and the empirical research, the objective of the study is to formulate recommendations to support development of wealth advisory service models in retail banking and provide suggestions for further studies within the researched area.
The findings suggest that customers’ willingness to invest time and effort in wealth advice and financial planning vary, as well as the motivation for engagement within different channels. Furthermore, the convenience and positive experiences of utilizing digital channels do not directly lead to willingness to engage in utilizing digital advisory. Regardless of the customer’s financial knowledge or interest in financial planning, the availability to conduct planning with an advisor is appreciated. As the preferences and needs of customers vary, e.g., due to different financial situations, life situations or interest in financial planning, the service providers are advised to take multiple approaches, based on recognizing customer’s preferences, into consideration when developing suitable advisory models.