Every day, banks send millions of communications to customers— transaction alerts, loan application status notifications, account update emails, monthly statements, and more. But customers differ in how they prefer to interact with their bank, and delivering these messages effectively—and securely— in a multichannel environment is a growing challenge.
How can banks deliver the right message, via the right channel, at the right time to maintain trust, transparency, and engagement?
The customer impact of servicing messages
When I was an analytics manager at a large bank, my team studied how different types of notifications influenced customer behavior. Using advanced analytics, we analyzed over 70 distinct alerts sent to millions of customers, examining their impact on customer engagement with the bank. We found that vague or alarming alerts often trigger spikes in inbound calls and branch visits, resulting in friction.
Our research also showed that over-communication contributes to dissatisfaction. When customers receive a flood of messages from their bank, they become overwhelmed, leading to “notification fatigue.” In turn, this erodes trust and reduces engagement.
Optimizing message delivery
To address these issues, a bank’s servicing message strategy must strike a careful balance between message frequency and relevance. It must also consider modality (delivery method) and latency (how quickly it’s delivered). For urgent alerts (e.g., suspected fraud), low-latency modalities like push notifications and in-app alerts help customers respond quickly to potential threats while maintaining security. For routine communications (e.g., account updates), email can offer a less intrusive way to keep customers informed.
However, to keep customers satisfied, banks must tailor message delivery to individual customer preferences. For example, a customer who rarely engages online might prefer phone calls over push notifications for urgent issues. Meanwhile, a customer who primarily uses mobile banking may respond best to in-app notifications regarding urgent and routine matters alike.
While personalizing message delivery, banks must also uphold the highest standards of data security and privacy, especially when sending sensitive information. Compliance with local and international regulations adds complexity, as requirements vary widely across jurisdictions.
How Teradata can help
Delivering the right message at the right time—through the right channel—demands a sophisticated communications platform backed by a robust data analytics infrastructure. Teradata enables banks to build this foundation by integrating multidimensional customer profiles, including channel preferences, payment behavior, and more.
It’s equally important to understand what customers are trying to accomplish in real time. Using ClearScape Analytics®, banks can analyze a customer’s channel usage and recent transactions to gain task-level awareness of customer intent. This insight allows for timely delivery of high-impact messages—such as fraud alerts—while minimizing unnecessary service interactions.
Ready to deliver smarter, more personalized messages? Explore how Teradata’s customer experience solutions can help your bank activate real-time signals of customer intent, optimize message delivery across channels, and build lasting trust through secure, relevant interactions.