Finli believes in the power of relationship-based banking. Our platform is built to supercharge small business relationships and help to accelerate SMB revenue growth. We give banks real-time insights so they can have relevant, data-driven conversations with clients and grow more meaningful banking relationships.
Banks and credit unions today are wrestling with a fundamental question: How do we embrace new technology while preserving the personal connections our customers value? Research shows that 72% of business banking customers want both digital convenience and personal guidance when managing their finances.
Keep reading to discover why successful banking isn’t about choosing between digital tools and in-person connection, but instead finding ways to blend both approaches to better serve customers and strengthen your institution.
(Source: BAI)
The Value of Strong Banking Relationships
Research consistently confirms what many bankers already know – the human element remains irreplaceable in financial services, particularly for small and medium-sized businesses. A recent study found that 75% of SMBs prefer to receive financial advice from their banker rather than through digital channels alone.
This preference makes perfect sense when we consider what’s at stake. For business owners, financial decisions often represent pivotal moments for their companies. During these critical junctures, they seek not just information but trusted guidance from someone who understands their specific situation and industry challenges.
When small business owners need advice about expansion financing, cash flow management, or treasury services, they want to speak with someone who knows their business history and can provide contextualized recommendations. This level of personalized service creates loyalty that purely digital experiences struggle to match.
(Source: J.D. Power)
The Power of Digital Experiences
While human relationships remain central to banking success, digital innovation plays an equally vital role in meeting modern customer expectations. Today’s business owners operate in an always-on environment and expect their banking services to keep pace.
Digital tools like AI-powered financial insights, mobile banking and digital payment solutions simplify everyday transactions. These technologies transform routine banking activities from time-consuming chores into seamless experiences that integrate naturally into business operations. When business owners can deposit checks, send invoices, manage cash flow, and monitor accounts from anywhere, they gain valuable time to focus on growing their companies.
Advanced data analytics enables financial institutions to understand client needs more deeply than ever before. By analyzing transaction patterns, cash flow cycles, and industry trends, banks can proactively identify opportunities to better serve their business clients. These insights, when placed in the hands of relationship managers, become powerful tools for meaningful conversations that demonstrate true understanding of business needs.
Finding the Right Balance in Modern Banking
The rise of digital banking has led some to believe that physical bank branches will disappear. Headlines about branch closures and the surge in mobile banking adoption seem to support this narrative, but the reality is far more nuanced than these predictions suggest.
While branch traffic has certainly declined, customers still want a personal touchpoint and relationship with their banker. Instead of thinking about technology as a replacement for branches, we should be leveraging it to streamline manual processes and free up personnel to focus on the relationships customers crave.
The most successful banks balance technology with personalized service. They recognize that digital innovation and human relationships aren’t competing priorities but complementary strengths.
This hybrid approach manifests in several ways:
- Enhanced relationship manager capabilities: Equipping bankers with data visualization tools and client insights that facilitate more meaningful conversations.
- Intelligent branch experiences: Using technology to streamline administrative tasks in branches, allowing staff to focus entirely on high-value customer interactions.
- Digitally facilitated consultations: Offering video banking options that combine the convenience of digital with the personalization of face-to-face conversations.
- Personalized digital journeys: Creating online and mobile experiences that adjust to each customer’s specific needs and preferences.
When implemented effectively, this balanced strategy creates a virtuous cycle. Digital tools generate data that helps bankers better understand client needs, while personal relationships yield insights that inform digital innovation priorities. The result is a continuously improving experience that strengthens client loyalty.
Takeaways: The Future of Banking Relationships
Institutions that can achieve both digital efficiency and strong personal relationships will lead the next wave of financial services. This balanced approach recognizes that banking has always been—and will continue to be—fundamentally about relationships.
The financial institutions that thrive in the coming years won’t be those that simply deploy the most advanced technology or maintain the most branches. The leaders will be those that thoughtfully integrate digital capabilities with a human touch to create banking experiences that truly understand and address the complex needs of their clients.
