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Mobile technology has transformed consumer expectations and drastically changed the way that customers connect with brands. SMS, or texting, is no exception. Businesses across industries are using SMS alerts to keep customers informed and engaged with their brand.
But what about financial services? Financial organizations like banks and credit unions can also benefit greatly from this powerful technology as it allows them to offer customers real-time notifications of events that impact their accounts and foster greater interaction and engagement within their customer base. There are many ways that companies in the financial sector can use SMS alerts to offer greater value to their customers.
Fraud prevention is one of the top ways that financial institutions are using SMS alerts to add value for their customers. When it comes to financial fraud, time is of the essence. It is vital that customers react immediately to any irregularities in their accounts. SMS notifications allow the financial institution to alert the customer instantly to any activity that seems out of the ordinary so that they can take the necessary actions to report fraud.
SMS transaction alerts are not always one-sided. By allowing for a two-way interaction, banks can use texting to communicate with customers in real-time. The customer can reply to an alert in order to flag the transaction as fraud. The more quickly this process takes place, the easier it is to prevent fraudulent activity.
SMS alerts help customers gain control of their account monitoring, allowing them to be more involved in the fraud prevention process. Not only does this add value for the consumer who can now stay more up-to-date with their account details, but it can also save the financial institution money.
Deliver Timely Service Notifications
In the financial industry, timely notifications and updates are essential for customers who want to stay on top of their financial accounts. This goes beyond just fraud notifications. Many financial institutions are using SMS alerts to offer customers other service notifications, such as low balances, account activity, and large transactions.
Chase is a great example of a bank that uses SMS alerts to deliver account notifications such as balance and credit limits, when a purchase is charged to the account, or when a payment is due or posted. Chase also uses two-way interaction through its “Instant Action Alerts.” This notifies the customer when their account has gone below a preset limit, and allows the user to reply to the text in order to transfer money to the account. Chase also allows the customer to personalize their alerts so that they are only getting the information they want.
Offer Payment Reminders
SMS alerts create a win-win situation for both financial institutions and their customers when it comes to payment reminders. Financial brands want their customers to make payments on time so that they can continue to use their accounts. Customers want to stay on top of timely payments in order to avoid added fees or the negative repercussions from a missed or late payment.
Financial institutions can use SMS alerts to remind customers of payment dates and amounts. The SMS alert allows banks to connect directly with their customers and send timely payment notifications straight to the customer’s phone. This is sometimes more effective than email notifications because there are often more messages in the inbox competing for the customer’s attention than there are in their incoming text messages.
Promote Loyalty Among Members
Customers rely on timely information for managing their financial accounts. Institutions that deliver financial services can use SMS alerts as a way to have routine, yet low-cost interactions with customers that help improve customer loyalty. This constant and timely communication helps financial institutions build relationships with their customer base.
In addition, SMS alerts can also be used to offer rewards as part of a customer loyalty program. This can be integrated into existing programs, such as credit card points by using monthly SMS alerts rather than static paper statements. Also, by using location targeting technology, financial services can work to develop rewards programs that deliver special offers and coupons based on location.
Are you interested in using SMS alerts and other mobile technology to provide value for your customers? Trumpia helps brands across industries connect with and engage their customer base by using responsive communication technology to deliver effective and efficient brand messaging. Contact us today for more information about how your financial brand can use SMS alerts to enhance your customer service experience.