The COVID-19 pandemic has led to uncertainty for many customers who didn’t know when they would see their next paycheque, or if they would lose their jobs altogether. Scotiabank’s Data & Analytics teams were at the forefront of the Bank’s response to this crisis, releasing new solutions to support customers through the challenging times.
In just a few short weeks in the spring of 2020, the team developed an engine that identified two million financially vulnerable customers, using customer data on solvency, liquidity, credit history and external shock data including job loss prediction, employment industry and use of payday loans. From that, the teams were able to further identify 200,000 highly vulnerable customers and reach out to them when they needed it the most.
Customers were pleased to receive proactive outreach and support, as shown in a 5-point increase in customer Net Promoter Scores (a key metric for customer service), and the Bank also saw a strong decline in delinquency rates.
It’s this innovative work in data and analytics that has once again earned the Bank global recognition. Scotiabank has been recognized for the Best AI Initiative globally by The Digital Banker‘s Global Retail Banking Innovation Awards 2021.
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“Scotiabank's approach to data, analytics and AI is intended to protect and deliver the best experience for our customers," said Grace Lee, Senior Vice President, Chief Data & Analytics Officer at Scotiabank. "This technology is transforming the business of banking. It's allowing us to achieve scale without compromising the value of personalized and meaningful interactions with all – not some – of our customers. We are proud that the Bank's efforts to drive forward our data, analytics, and AI capabilities have been recognized by The Digital Banker."
During the pandemic, Scotiabank continued to release innovations in data and analytics. In the fall of 2020, the Bank announced its Global AI Platform to provide faster insights and better advice to customers. The platform provides the infrastructure for the Bank to deliver intelligent and personalized financial advice for customers. Throughout the year, the Bank has been using the new platform to implement several customer models into the Bank’s retail banking businesses across the Americas.
Scotiabank then launched its C.MEE technology in February 2021. The AI-driven technology uses big data to further improve customer experiences. Using the Global AI Platform, C.MEE analyzes data across customer touchpoints — branch, mobile, online, contact centre and email — to determine what advice is most relevant for a customer at any given interaction point. Taking cues from customer activity, C.MEE analyzes where customers are in their life and their financial behaviours, improving the relevancy of the advice provided.
Also at this time, Scotiabank launched SOFIA (Strategic Operating Framework for Insights & Analytics), an early-warning tool that predicts cashflow for retail customers and liquidity for business clients.
Scotiabank’s vulnerability model, Global AI Platform, C.MEE and SOFIA are unique innovations in AI and big data in banking, globally. In fact, earlier this year, Scotiabank was recognized as the Most Innovative in Data by The Banker's Global Innovation in Digital Banking Awards 2021.
Scotiabank also won Best Digital Bank – Mexico by The Digital Banker‘s Global Retail Banking Innovation Awards 2021. This award, too, is evidence of Scotiabank’s investment in digital banking and in its commitment to provide a seamless customer experience.
See the press release here.