Study: Bank of America, Citi lean more on location data
Bank of America and Citibank are among the financial services companies in the U.S. that are using proximity data to better understand consumer behavior and focus their marketing efforts for the most effect, according to a Q3 2017 report from Unacast’s Proximity.Directory, which has information on proximity solution providers in more than 58 countries, per news announced today in a release and made available to Mobile Marketer in advance.
In addition to banks, hedge funds are making investment decisions using proximity data gleaned from satellite, foot traffic and internet of things (IoT) sources. The data let investors increase the scalability of their market predictions, reduce fortune-telling and create new economic indicators, per Unacast.
Proximity.Directory has information on 17.3 million mobile proximity sensors throughout the world, a 14% increase from the prior quarter. About two-thirds (58%) of sensors are beacons, 25% are Wi-Fi points and 17% are near-field communications (NFC) detectors. The number of Wi-Fi sensors deployed jumped by 47% in Q3 from the prior quarter, NFC sensors grew 33%, while the number of beacons remained stable, per the statement.
The report points to the number of ways mobile location data can be leveraged by businesses. Location data help commercial banks improve efficiencies, identify underserved markets and boost profits, per the quarterly report. Proximity technology provides insights into optimizing branches and ATMs, makes engagement easier, improves customer service, develops stronger loyalty and leads to increased market share. Unacast’s latest Proximity.Directory includes case studies on the financial services industry throughout the world.
Bank of America worked with Pitney Bowes Business Insight to identify locations for banking centers in low-income neighborhoods. Banks are required to comply with the Community Reinvestment Act (CRA), a 1977 law that sought to prevent “redlining” discrimination against granting loans to people and businesses in poor neighborhoods. The geographic analysis helped the bank gain important insights into target markets. The proximity analysis cut audit times by 25% while helping the bank boost its CRA compliance score.
Citibank ran a pilot program with mobile data platform Gimbal to find ways to offer a more personalized mobile experience for customers, depending on the time of day. The program looked at secure ways to open ATM doors for customers and the feasibility of creating alerts when VIPs walk into bank branches. Citi used beacons and Gimbal’s geofencing technology to message customers who were near sponsored events such as the Today Show/Citi Summer Concert Series in New York City’s Rockefeller Center.
- Unacast Bank of America and Citibank Among Financial Services Companies Turning to Proximity Data for Sophisticated Industry and Customer Insights at Scale in Real-Time
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