Top focus areas for analytics in banking

  1. Relationship-based product and fee price optimization
  2. Customer churn reduction
  3. Client prospecting
  4. Portfolio risk monitoring and management
  5. Branch sales effectiveness and cross sell
  6. Commercial RM sales lead generation
  7. Retail and commercial card analytics
  8. Extended services analytics and needs
  9. Next best product identification
  10. Fraud prevention and security checks

We believe that – to effectively manage and analyze customer data – Africa’s banks will need to: • Build a long term data strategy that is deeply rooted in the long term business and customer strategy goals of the bank. The data strategy should support specific business outcomes and focus on finding the data required to reach the goals.

Get the right high-quality data to the business in a fast, flexible manner. Business and IT must work closely together to develop processes that enforce the capture of quality customer data upfront and not as an after-thought. • Develop systems and capabilities that aggregate data across business lines to create a single view of the customer. • Overcome internal obstacles by managing, measuring, and compensating employees based on how well they use relevant data to make business decisions and drive business outcomes.

While the digitization of banks and the availability of sophisticated analytics tools has now made it possible for banks to gain unique and valuable customer insights, banking executives will need to think carefully about what capabilities, culture and infrastructure they will need to move from data to analytics to value. To start, Africa’s banks could be taking a number of immediate steps to capture greater value from their customer data – from identifying customer data gaps and building a ‘single view’ of the customer through to improving the quality of data and creating centralized Centers of Excellence for customer analytics that cut across Marketing, IT and Finance.

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