Companies will need data-driven technology and analytics to secure a more sophisticated view of their clients’ behaviour and the markets the companies serve, says information services multinational Experian South Africa chief customer officer Mark Wells.

Companies will need to compete and thrive in fast-changing markets by meeting rising client expectations, which can be achieved only by harnessing the potential of new technologies.

There is significant economic and political uncertainty in not only South Africa but also worldwide, which is putting extra pressure on organisations to make efficient and effective decisions, he says.

Providing a frictionless and fluid customer experience is vital to retain clients, he adds. Recent research sponsored by Experian and conducted by Forrester Consulting shows that most clients (51%) will simply abandon an application if subjected to a slow sign-up processes.

Simultaneously, 74% of businesses say that improving client experience is a critical or high priority. Automation can significantly accelerate processes by removing the need for human involvement and 35% of companies use automation to assist in accurate decision-making regarding new clients.

Implementing these processes requires data. By combining access to traditional and nontraditional credit data with analytics and machine learning tools, organisations can access deeper insights to understand their market and, thereby, make faster, more accurate decisions, even if a client’s circumstances change during a time of financial uncertainty, emphasises Wells.

Organisations can build a complete and accurate view of clients by drawing on several different data sources to provide more granular and predictive insights into affordability and financial behaviour, he explains.

Organisations need to access the widest possible data universe, encompassing in-house and external data sources, as well as traditional and nontraditional, structured and unstructured, current and historical data. They need to use data science, machine learning and on-demand analytics to reveal new and unique data attributes and patterns of client behaviour over time, says Wells.

“This widens their prospect pools by identifying new, underserved markets and client segments without changing their overall risk appetite. It also removes the costs, risks and complexity of building an integrated in-house data and analytics ecosystem.”

Specifically, 82% of businesses say that they understand the importance of data, analytics and artificial intelligence for their prospects, while 71% plan to invest in advanced analytics and automation as a priority, in the next year.

“Businesses have identified investment in new technologies as a priority, because they will enable companies to identify the right clients and serve them more effectively, quickly and efficiently,” concludes Wells.