Transparency is a key factor in banking. For people to trust banks, they will need relevant information about all operations and key decisions. Financial institutions should be able to communicate this information in a clear, open, and timely manner. An important factor that makes this possible is the communication system.

Updating employees and customers is easy when an effective communication strategy is in place. Today, every bank invests in customer care services to maintain customer loyalty and build its reputation. Communication Platform as a Service (CPaaS) has become a common feature in this sector due to its flexibility and cost-effectiveness.

The primary goal of a communications platform-as-a-service platform, such as Syniverse's CPaaS Concierge, is to make it easier for businesses to seamlessly integrate all communication channels. But what exactly is a communications platform as a service? How does it enhance banking capabilities? Find out the answers to your questions.

What is a Communication Platform as a Service?

A communications platform as a service is a cloud-based communications platform that provides an integrated development environment and an application programming interface (API) that simplifies the process of adding communications capabilities to applications. The platform allows developers to incorporate voice, video conferencing and messaging capabilities into their applications without building back-end infrastructure.

These real-time communication capabilities are always accessible through a dedicated app. For example, in the past, a built-in mobile app had to be used to call or message a bank customer service. As for video calls, Skype or Facetime is required to complete the task.

But why is it taking so long for banks to add these capabilities to their applications, which are critical to communications? The main reason is the cost of building, operating, and maintaining a communications stack. However, communication platforms as a service are changing this paradigm, making the whole process simple and cost-effective. The platform provides a complete framework; all developers need to do is add real-time communication capabilities, which is nice. Additionally, some providers of the service guide developers through the development process.

How can communication platforms as a service empower banks?

So, now that you know all the basics, what is the impact of this platform on banking? Here are the benefits of this platform:

(1) Provide a safe alternative

Security is very important throughout digital life. When hackers gain access to personal information, they can use it to do more than one could imagine. The most common goal of these cybercriminals is to gain financial gain. Therefore, they use the personal data collected by wrongdoing to enter the banking system.

Native communication functions are vulnerable to these attacks, with social media being the worst. For example, phishing has become very common on social media sites. Many people fall victim to this cyber-attack technique by clicking on links sent to their inboxes masquerading as accounts in official banks.

A communications platform as a service can help solve this problem by ensuring that all communications are done on one secure platform. Since all communication channels are integrated into the official banking application, customers will be protected from cybercriminals. It also ensures that APIs and software development kits (SDKs) are properly integrated to avoid forcing customer service agents to revert to their old ways.

(2) Enhanced personalized solutions

One of the main challenges banks face is the difficulty of engaging customers in serious financial conversations. Many customers have difficulty finding attractive and personalized solutions through online channels. Therefore, they always prefer to visit the nearest branch rather than chatting with customer service online. However, given current technology, banks can make communication more engaging. This is where a communications platform as a service comes in.

Proper integration of APIs and SDKs helps banks create seamless end-to-end client interactions. With this new system, customers can be easily analyzed as all information is accessible on one platform. For example, when chatting with customers via social media inboxes, customer service will always ask for their personal information before suggesting a solution.

But in a properly integrated system, once a conversation is initiated, a customer service agent can access all customer information in the bank's database. This enables the agent to focus on the customer's problem and provide a personalized solution. In the long run, it will increase customer trust and loyalty, a coveted goal of many banks today.

(3) Provide better service at lower cost

As mentioned above, many banks have yet to integrate various communication channels in their applications due to the costs involved. Building a framework from scratch can cost a lot of money, not to mention its maintenance. It is important to remember that communications compliance is a top priority for the financial industry. So app development needs to take this into account as well, which can be very costly in the long run.

Every bank strives to serve their customers better, and nothing beats personalized online engagement in this regard. Communication platforms as a service allow banks to add video, audio and other communication channels to their applications at low cost. Since the platform provides a complete framework, the task of banking software developers is simple.

Many communication platform-as-a-service providers offer integration as part of a software package at an affordable price. As a result, banks do not need to enlist the help of other developers to do the job, further reducing costs. The money saved here can be used to improve other system functions and enhance the agency's business capabilities.

in conclusion

Over the years, the banking industry has evolved through technological advancements. Today, users can access all financial services through a mobile application. However, this convenience does not extend to the communications sector. Most banks are still trying to find better ways to not only engage with customers but also provide personalized answers. However, communication platforms as a service provide a good solution to this problem. The platform allows the bank to integrate all communication channels into the official application of the financial institution. In this way, banks can take advantage of the capabilities of chatbots, live agent chat, voice calls and video conferencing without having to worry about data security. In the long run, the customer experience will be enhanced, enhancing their loyalty and trust. Investing in a communications platform as a service is a great way to strengthen and secure banking at a low cost.