How can Financial Service Providers improve the KYC onboarding experience? : challenges and technological solutions
Kawamura, Leena (2022)
Kawamura, Leena
2022
Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-2022060114256
https://urn.fi/URN:NBN:fi:amk-2022060114256
Tiivistelmä
This qualitative research explores the current and critical business problem of Financial Service Providers; How to improve customer experience (CX) during the Know Your Customer, KYC, onboarding process, considering both customer and regulative expectations. Moreover, the challenges of and potential technological solutions for KYC onboarding are in focus. The research is relevant and timely as an increasing number of Financial Service Providers, fintech companies, neo banks, and incumbent banks are focusing their services on online environments and platforms. Simultaneously, the service providers operate in a highly regulated environment, which affects their service delivery possibilities while competing for the empowered consumer’s attention and patience online. Based on 11 semi-structured expert interviews, the current struggles of meeting customer expectations during the KYC onboarding process are explored by evaluating current tools, technologies, regulations, and digital benchmarks. The thesis reveals how the current regulation within the EU affects customer experience in connection to digitally distributed financial services and explores the implementation possibilities and implications of technologies that are presented to bring aid to the business problem.
Resulting from the gathered textual data, the research reveals five main dimensions, which impact the customer experience during KYC. The dimensions include views on 1) KYC in the intersection of regulation, technology, and business evaluations, 2) Customer Relationship Management, 3) Data-driven optimization, 4) CX challenges and solutions, as well as 5,) KYX factors, which affect the KYC experience from the customer’s point of view. As the research focuses on exploring various onboarding touchpoints from a customer experience angle, further service usability, and possibilities for customer experience improvement with the help of technology, as well as correlations between onboarding efforts and service usage and potential customer-related doubts towards fintech solutions are pointed out as further subjects of research. The research contributes to current knowledge around customer onboarding and successful digital customer flows,
specifically in the context of regulated financial services and KYC, and sheds light on industry trends and future focus points that affect the consumers in the understudied intersection of regulation, technology, and customer experience.
Resulting from the gathered textual data, the research reveals five main dimensions, which impact the customer experience during KYC. The dimensions include views on 1) KYC in the intersection of regulation, technology, and business evaluations, 2) Customer Relationship Management, 3) Data-driven optimization, 4) CX challenges and solutions, as well as 5,) KYX factors, which affect the KYC experience from the customer’s point of view. As the research focuses on exploring various onboarding touchpoints from a customer experience angle, further service usability, and possibilities for customer experience improvement with the help of technology, as well as correlations between onboarding efforts and service usage and potential customer-related doubts towards fintech solutions are pointed out as further subjects of research. The research contributes to current knowledge around customer onboarding and successful digital customer flows,
specifically in the context of regulated financial services and KYC, and sheds light on industry trends and future focus points that affect the consumers in the understudied intersection of regulation, technology, and customer experience.