Yes, there are risks to working with people with thin (or no) credit histories. Enter alternative data.
To optimize marketing efficiency and performance, financial institutions need to enhance their core data, segment their audience, use consistent messaging across channels and use closed-loop attribution to measure performance.
While Millennials are certainly more tech-savvy than previous generations, they also display a surprising preference for opening checking accounts at the branch, which provides cross-sell opportunities for financial institutions.
While banks often struggle to lend to microbusinesses profitably, leveraging their branch sales force effectively can improve the odds.
Financial institutions can improve the customer experience by making themselves easier to do business with, being guided by the Voice of the Customer and by systematizing data collection and usage.
Analyzing credit card customers using enhanced credit data can help improve the efficiency of marketing outreach to those customers.
Despite the stereotypes of Millennials going all-digital for their banking needs, jumping to conclusions about generational change can lead bankers astray, according to BAI Research.
Bankers can improve their capabilities in profitability measurement if they learn to utilize funds transfer pricing analysis to its full potential.