Harnessing Abandoned Experiences for Financial Services Brands

By Heather Anding, VP Strategic Consulting. In the competitive landscape of financial services, customer experience is everything. Companies spend significant resources attracting potential customers, yet many of these efforts are thwarted by those moments when a customer starts an interaction but fails to complete it.

These moments might seem like dead ends, but for brands willing to dig deeper, they’re actually untapped gold mines. By understanding and making the most of these abandoned experiences, financial services brands can boost customer engagement, improve conversion rates, and ultimately drive serious growth.

Understanding Abandoned Experiences

An abandoned experience occurs when a customer initiates but does not complete a transaction or interaction. This can happen at various stages: filling out an application form, beginning a loan process, starting to create an account profile, or engaging with customer service without reaching a resolution. The reasons for abandonment are varied, including complex processes, unclear instructions, security concerns, or simply a change of mind.

For financial services brands, these abandoned experiences represent more than just lost opportunities; they are also rich sources of data. By analyzing why and where customers bail, brands can uncover critical pain points and pinpoint areas that need fixing.

Analyzing Abandonment Data

The first step in harnessing the value in abandoned experiences is data collection and analysis. Financial services brands must implement robust tracking mechanisms to monitor customer interactions across all touchpoints. This means everything from online forms, mobile apps, chatbots, and customer service interactions.

Once data is collected, the next step is to segment it by various criteria like customer segment, demographics, interaction stage, and device used. Advanced analytics tools can help identify patterns and common reasons for abandonment. For instance, if a significant number of users abandon a loan application midway, it might indicate a need for a more streamlined process or clearer instructions.  This data may inform optimization of the user experience, be it online or in a branch office. 

Personalized Follow-Ups

Armed with insights from abandonment data, financial services brands can craft personalized follow-up strategies. A well-timed, tailored message can reengage potential customers and guide them back to the abandoned process. For example, if a customer leaves a credit card application incomplete, a follow-up email series can offer assistance or highlight the benefits of the card, driving users to complete the application.

Even better, leveraging multiple channels for follow-ups—emails, SMS, push notifications—can boost the chances of reengagement. Personalization is key here; customers are more likely to respond to messages that address their specific needs and concerns. You can also leverage channel engagement data to reach the customer where they are at. 

Simplifying Processes

One of the primary reasons for abandonment is the complexity of processes. Financial services experiences often involve detailed forms and multiple verification steps, which can overwhelm customers. Simplifying these processes can support reduction of abandonment rates.

Brands should focus on creating user-friendly interfaces, providing clear instructions, and minimizing the number of steps required to complete an interaction. Additionally, offering real-time assistance through chatbots or live customer support can help customers navigate complex processes, reducing frustration and abandonment. 

Website personalization can also serve as the initial follow up when abandonment behavior is happening. With the right messaging and content, a website assistant or custom pop-up message can drive users back to complete their action.

Enhancing Trust and Security

Security concerns are another major factor leading to abandoned experiences  in financial services. Customers need to feel confident that their personal and financial information is secure. Brands must prioritize building and communicating their security measures.

Being transparent about data protection practices, displaying visible security badges, and offering two-factor authentication can all help put customers at ease. Plus, educating customers about the importance of these security measures can build trust and encourage them to complete their interactions.

Continuous Improvement and Testing

Finally, the journey to harnessing abandoned experiences is ongoing. Financial services brands must continually test and refine their processes, messaging, and follow-up strategies. A/B testing different approaches can provide valuable insights into what works best for reengaging customers.

Getting direct feedback from customers who abandon interactions can offer qualitative data that complements quantitative analysis. Hearing their reasons firsthand can reveal issues that data alone might not show.

In the end, abandoned experiences are not just lost opportunities; they provide valuable insights for financial services brands. By systematically analyzing these experiences, simplifying processes, enhancing security, and crafting personalized follow-ups, brands can turn potential losses into significant gains. In a sector where customer experience is crucial, leveraging abandoned experiences can effectively set your brand apart, driving growth and fostering long-term customer loyalty.