How can NBFCs use Voice AI to Create Differentiated Customer Experiences?

Ashish M. Shaji

24 Aug, 2021

NBFCs play a significant role in financial inclusion today by extending credit to underserved retail, small businesses and consumers in India. This industry has witnessed massive growth in the last few years and may grow further in coming years. The reason behind such growth is their ability to scale faster customized policies and its experiments with latest technologies such as AI and data analytics. This article examines how Voice AI can help NBFCs to create differentiated customer experiences.

Use of Voice AI: NBFCs linkage with Technologies

Right from the start, NBFCs have used technology in order to streamline their operations and become more efficient. In the last few years, they have invested heavily in data analytics and Artificial Intelligence^[1] to improve customer experience through signature, e-KYC, video chats, IoT based data collection cards, behavioural analytics and more.

Growth Opportunities

India lags behind in case of credit to GDP % even after the increase in the disposable income of the consumers and decent access to credit. With regulatory innovations, governmental initiatives and technology convergence in the last decade or so are some of the reasons why it has operated seamlessly.

With the pandemic, NBFCs growth prospects has further increased as more people leverage contact-free and paper less lending. It has promoted digital transformation for NBFCs.

Customer experience challenges faced by NBFCs and Voice AI

Despite this growth, NBFCs face various challenges and especially from the competition from new Fintech companies and increased demand for a superior customer experience. Let’s discuss some of the challenges faced by them and try to find a solution thereof.

• Identifying opportunities and conversion of leads

NBFCs onboard customer base through different channels, whether through website, partnerships or calls. You may find all leads to be good opportunities, but generally, only a few are valuable. Support agents tend to waste their valuable time by speaking to wrong leads. This can impact conversions and the productivity of agents.

To counter this challenge brands outsource their lead qualification to a third party agency. However, it ends up creating challenges for them. Moreover, checking interest level of prospects can’t be enough. One may wish to get a loan, but if he doesn’t meet any of the eligibility criteria, then he is not qualified.

Hence in such scenario, an effective method of automating prospective lead qualification is by leveraging voice bots. Voice bots are powered by voice AI, and they can communicate with customers easily. The communication is very similar to how humans converse. Further voice bots helps in engaging customers 24*7 in a scalable manner.

Other than lead qualification, voice bots ensures that all customers can be engaged in quick time as lead response time is critical. The quicker you respond, the higher are the chances of its conversion. Further, it also helps brands with customer insights and other data that allows them to understand performance of different channels.

• Onboarding experience and customer retention

NBFCs today face the challenge of customer retention as they fail to build trust among users. One may not realize the importance of welcoming customers and explaining critical clauses to them. It is vital in an industry, especially where the customer touch-points is few.

Calling every customer and onboarding them may seem resource-intensive process.

A scalable method of onboarding customers is through voice bots. These voice bots can explain the product, answer queries, and if a customer doesn’t pick call, then it can re-schedule the same. It has the ability to automate the entire process. Thus, Voice AI can enhance the onboarding experience and also help in cost savings.

• Streamlining Collections

NBFCs are trying different methods to streamline its collection process and making it more efficient. To ensure that customers pay on time, they rely on reminders across different channels and calls. The repayment process can be streamlined for scalability and efficiency by leveraging right technology. Voice AI can help in improving the debt collection metrics for Non-Banking Financial Companies. It can send a notification to customers with the payment link. It can also make regular follow ups thereby reducing defaulters list.

• 24*7 Customer Support

Customers’ expectations have gone sky high as they expect quick resolution regardless of the fact whether it is a holiday or a working day. It poses a considerable challenge for NBFCs.

So in such a scenario, voice bots can provide round the clock help to NBFCs. It can integrate with internal systems and extend quick resolution by providing personalized support.

Future of NBFCs

By using technological innovations, it will aid optimization of resources and processes and ensure accessibility of credit/loans for customers at tailor made rates. It gives NBFCs an advantage over traditional banking systems. The success of NBFCs depends upon how they deploy technologies. 

Advanced analytics and AI can help NBFC with robust payments collection and monitor decision. As we advance, more number of NBFCs may leverage the use of technologies such as voice AI for its long term success.

Conclusion

NBFCs should continue to evolve in order to deliver better customer experience. One way of doing that is by adopting the use of new age technologies for sustainable growth. By leveraging solutions such as Voice AI, NBFCs can enhance customer experience and also optimize their operating costs.

Read our article:Significance of NBFC Registration in the Indian Financial Market