Unique and potentially meaningful digital bank branding that uses A.I. to target the specific needs of individual bank customers is having a big moment right now. Fintechs, old and new, are entering the fray of offering community banks the backend tools needed to sort through their customer data and present pertinent information in real time while a customer is on their banking app making any manner of transaction. The customer’s bank engagement gets digested by advanced A.I., while probably on their phone, with appropriate products and service offerings that apply directly to their needs in the moment they are engaged with a bank’s digital branch. It is a powerful technology that the banking industry is taking seriously, according to one large and recent study.
Integris, an IT service provider for the financial industry, released the study, “Understanding U.S. Banks’ Annual IT Spend in 2025.” The study of 1,051 bank executives is a glimpse into what bankers are focusing on during the rapid tech changes seen across the industry, and 40 percent said they expect to increase their investment in customer service technology in the near term.
“Community banks are fighting a tough battle between managing expenses and growing revenues over the next few years,” said Cal Roberson, director of strategic partnerships of Integris. “Spending the time to outsource the things they do not have a talented team for, and focusing on getting the right tools for their team and customers, will continue to be a theme for the years to come.”
Outsourcing digital services is quickly becoming the norm for community banks, which is making it possible for bankers to get better data analytics of customer behavior. With A.I., bankers are responding more quickly than ever to the data.
Finovate, a company that hosts increasingly popular banking technology conferences, held its most recent one September 8 -11 in New York City. Hundreds of fintechs presented their wares; here are two that focused on how community banks can weave digital sales into its branded app.
Rob Thacher, founder and CEO of Bankshift, which launched in 2021, told conference goers that technology for smaller banks has to adhere to the heart of their community-focused model.
“We’re a bunch of former Capital One engineers,” Thacher said. “We build what regulators expect, what brands require and what community banks under five billion need. We know community banks are facing tough challenges in the digital age. There are limited resources and regulatory pressures, while other financial businesses are tapping into fintech revenue with limited compliance.”
Thacher said the Bankshift solution features patent-pending technology that “harmonizes brands with existing banking technology to drive acquisition success by being embedded in their digital ecosystem. Money is emotional and customers’ favorite brands are emotional. Our model looked at consumers first, because we needed to nail the experience.”
Bankshift looks at its product as a financial literacy tool in addition to a sales tool, Thatcher said. “The next time that consumer opens their bank’s phone app, they will have a new experience.”
Finalytics.ai, founded in 2021, also presented at the Finovate fall conference. Its embedded sales platform also uses A.I. to deliver personalized digital experiences. Finalytics.ai says its technology provides “data insights for better decision-making and more effective digital strategies.”
“When I went to college and we talked about marketing, it was focused on these five things: product, price, promotion, place and people,” said Craig McLaughlin, Finalytics.ai’s CEO. “But really what’s moving the needle for companies today isn’t those five Ps. It’s what we call the sixth P, which is personalization. Look at commodity products like Netflix streaming, Amazon shopping or Spotify music. Their services are delivered with personalization, and they’re able to achieve amazing growth performance numbers.” He said banks can do something similar with financial services.
Baron Conway, Finovate’s chief strategy officer, said community banks need to start thinking differently about digital services. “What we all need to do is start treating digital visitors, whether they are customers or prospects, the same way you would at a branch. You can understand their needs and still deliver that high-touch, personal service. We’re all about bringing that into the digital channel.”
It’s worth noting that while a good number of community banks are interested in investing in this technology, the study mentioned above suggests 60 percent are not ready to dive into pure robot banking sales and service. On paper, the whole concept goes against the traditional community banking model. But A.I.-driven sales, promotions and financial advice tailored down to the individual as they interact with a bank’s app is here, and it’s not going away.