The first stage in customer engagement is onboarding. However, customers want a simple, quick, and painless registration process. Lengthy forms, complex paperwork, and process delays aren’t conducive to starting a constructive client relationship. As a result, customer onboarding services have become quite prevalent, as these streamline the customer experience, reduce drop off rates, and minimise manual intervention. In addition, increased operational efficiency translates into a tangible business benefit for your company.
A few organisations often side-line customer onboarding as a standard procedure. However, it is crucial to note that the user and organisation relationship is based on two key factors: the organisation’s security in acquiring a genuine client and the potential client’s final decision to become a client.
What is the Onboarding Process?
Onboarding is acquiring customers and ensuring that they have easy and quick access to all of the services and products that a company has to offer; this step also includes integrating them into the database. Moreover, the process is the formal start of a direct and mutually beneficial relationship with a registered user or official customer.
Onboarding, which has undergone digitisation, may be completed entirely online and from any device with a camera. Companies in every industry, particularly those as sensitive as finance, may add new customers and users from anywhere, at any time, and through any channel with security and regulatory assistance, thanks to unique and comprehensive technological and safety controls.
Know Your Customer (KYC) is another term for customer onboarding services. These concepts are synonymous with digital onboarding and are applied in many businesses and domains, including banking, finance, insurance, and related sectors.
As a result, we define ‘digital onboarding’ as a semi-automated onboarding procedure accomplished via a digital device.
How Does Identification Work in Digital Onboarding?
The financial sector has undergone fundamental transformations by digital identification. Banks and financial institutions have acknowledged the demands of today’s clients and have transformed their processes to provide them with a smooth and accessible experience devoid of friction and difficulty. Digital onboarding works with the help of AI-enabled tools with facial detection, geo-tagging, documents screening, etc.
Is Digital Onboarding Transforming Business?
The financial sector has profited from this ground-breaking new technology and its enabling legislation. First and foremost, this technology is easy to use, turning a time-consuming and complex procedure into one that is quick and fluid.
Companies that use this technology to acquire customers have seen a significant boost in conversion rates. This new system also protects customers against fraud since it adheres to the most stringent security standards, such as RBI policies, GDPR laws, etc.
The Advantages of Digital Onboarding in the Financial Industry
Digital onboarding not only increases conversion rates and improves user experience but also lowers expenses, increases productivity, and eliminates obstacles and waiting periods.
Traditional onboarding processes, which take an average of three weeks, may now be completed in three minutes or less owing to digital onboarding. Time savings for both staff and consumers are significant, minimising bureaucracy and preventing potential customer losses in the last phases of client acquisition. All of these elements have enabled these businesses to lower their operational expenses while increasing their sales volume.
Effective onboarding improves both domains — the customer space and the employee space. This comes with turn-key customer experiences that cover the entire customer lifecycle.
These seamless experiences optimise customer conversion rates and help with cost savings by digitising all back-office processes. Archiving and gathering customer information, professional reference check, setting up an account, managing and continuously identifying cross-sell opportunities are tasks that are all automated.
The Future of Onboarding
The rise of technology-driven customer onboarding has resulted in the creation of automated routes with transaction abilities, rapid enough to finish the process in a few clicks and with few touchpoints or company support calls.
Robotic process automation and artificial intelligence-based authentication systems have a ton of potential. When regulatory due diligence and verification requirements have become more demanding, onboarding process automation ensures that paperwork does not impede the issuing process.
The Solution
Automated customer onboarding services use APIs to validate a client’s identification, reputation, financial standing, and modifiability, ensuring the least amount of manual involvement possible.
With real-time image-based KYC and geo-triangulation of geographical data, our digital address verification solution lowers reliance on executive connect and verifies an individual’s current/permanent address.
A 360-degree perspective of an individual’s identification, financial and reputational data points, intelligent authentication, and risk mitigation systems may help you discover fraud in real-time and onboard only legitimate customers.
Conclusion
Customer onboarding services look even better as industry players move toward a transparent and client-centric solution, from prospect to sale conversion, while also keeping up with regulatory changes.
