Maintaining Balance Between Performance and User Experience

Gaurav Mohan, VP, SAARC & Middle East, NETSCOUT, discusses that consumers expect seamless digital journeys, so banks must invest in performance monitoring tools to prevent service disruptions, enhance customer relationships, and remain competitive.

There has been a significant increase in digital transformation projects across the banking and finance sector, which has led to a shift in investment priorities. In 2024, many banks are focusing on their risk management strategies and ramping up their automation efforts. This is a clear indication of their commitment to providing advanced services while ensuring the safety of their clients’ investments.

According to a recent Deloitte study, banks are have evolved a great deal in the services they offer – offering multi-service platforms in areas such as mobility, e-government, healthcare, and commerce. This is in response to the growing importance of e-commerce, particularly for online sales facilitated by robust digital channels.

While leading banks prioritize automation upgrades to stay ahead, it is imperative not to overlook the fundamentals that underpin these transformations. Reliability, trust, customer retention, and loyalty remain paramount, as any lapse may jeopardize the customer experience and erode trust. Cracks often emerge in the form of performance outages or degradations in user experience quality. On top of the cost of downtime—estimated to be about $9,000 for just one minute—banks must also consider the potential revenue lost from customer attrition and reputational damage resulting from negative publicity.

The Evolving Customer in the Digital age
Banks need to guarantee that business-critical apps and networks operate efficiently around-the-clock to be competitive in a high-stakes market. However, in today’s digital environment, reliable performance is only half the battle. As consumers become more tech-savvy, their expectations for better experiences have grown significantly.

In fact, a recent survey by Fractal of more than 3 million banking customer interactions found that friction was the cause for 70 percent of abandoned digital journeys. Furthermore, consumer research done by Salesforce reveals that 80 percent of customers say the experience a company provides “is as important as its products and services.

Performance and User Experience Monitoring for Banks
As high-quality experiences become strategic in customer retention, IT staff must be able to verify and test consumers’ experiences from anywhere, at any time. For instance, banks can benefit from a comprehensive solution that combines packet-based performance monitoring with synthetic testing to provide important user experience insights.

Should banks fail to implement enhanced network visibility throughout their whole infrastructure, they risk bearing the cost of compensating for service interruptions and subpar experiences, which will have an adverse effect on both staff and clients. Leading banks’ IT teams can ensure that users have a great experience while maintaining business continuity and performance by leveraging real-time packet-based intelligence that is extracted from everyday traffic noise via the use of smart data solutions’ insights and analytics.

The Road Ahead
Banks are constantly striving to find the right balance between reliability and a smooth journey experience.

Adopting agile development principles is crucial for the successful implementation of modern technologies while navigating the constraints of legacy infrastructure.  Continuous improvement of digital technology, embracing a digital mindset, collaboration with external partners, and a supportive regulatory environment are all essential for banks to effectively meet consumer demands, strengthen customer relationships, and remain competitive in the services industry.