Generative AI can transform the banking sector and more senior executives in the space are taking notice. In fact, senior leadership is getting more involved in the technology to get a better understanding of the role it can play.
That’s based on the latest research from Google Cloud, which polled 350 banking executives who are responsible for gen AI decision making, in addition to more than 2,000 banking consumers.
Growing Interest Among Execs
A large share of banking executive respondents said there’s more demand now for gen AI within the sector, and as a result, this increased interest has them more involved in how gen AI is leveraged in the space.
One of the main reasons gen AI is growing increasingly popular among banking executives that that many (49%) feel that it can help them increase operational efficiency. Cost savings was another factor, with more than a third of banking executives stating that gen AI will deliver roughly 61-80% in cost savings over the next five years.
Currently, 47% of banking executives said they “are in the proof-of-concept stage of gen AI implementation,” and more than a third said they’re in the testing phase.
While use cases may vary, many executives are leveraging the technology to help them create marketing collateral, summarize complex financial information, and enhance their chatbots and virtual assistants to bolster the customer experience.
Consumers Are Eyeing Gen AI Too
Banking executives are increasingly turning to gen AI to better streamline their operations, and overall, improve the customer experience—and according to Google Cloud, consumers are all for an elevated banking experience.
Nearly half of Millennial and Gen Z respondents said they were at least somewhat comfortable with gen-AI powered applications if they lived on their promise and delivered a better customer experience. That said, older consumers were less inclined to feel the same way about the technology. One in five respondents ages 55 and older said they would be at least somewhat comfortable with it.
Looking ahead, consumers are keen for banking executives to adopt gen AI in various ways, including building out smart AI chatbots, automating the credit card application and approval process, and giving them more of a holistic view of their financial portfolios.