E X P E R T
F O R E C A S T
E X P E R T
F O R E C A S T
GenAI is already paying dividends in banking
The benefits from GenAI in banking aren ’ t just aspirational ; they ’ re already happening , particularly in banks ’ internal processes . Among bank leaders that have integrated GenAI , huge majorities are seeing gains in :
• Employee experience and satisfaction ( 90 %)
• Risk management and compliance ( 88 %)
• Time savings and reduced operational costs ( 85 %) adoption rate ) or planning to do so within the next two years ( 38 %). And it ’ s not just talk : 90 % said they have a dedicated GenAI budget for the coming year .
Beyond the 17 % of banking leaders who reported fully implementing GenAI into their business processes , another 43 % indicated they are experimenting with the technology at the enterprise level . Six in 10 said they have deployed at least one GenAI use case to date – the highest of any industry .
Banks are also using GenAI across departments and business functions . Compared with cross-industry averages ,
banks use GenAI at a higher rate in marketing ( 47 %), IT ( 39 %), sales ( 36 %), finance ( 35 %) and customer service ( 24 %).
“ GenAI technology is a double-edged sword for banks , as it has been weaponised by criminals to commit fraud faster than banks can adopt GenAI to protect their customers ,” said Stu Bradley , Senior Vice President of Risk , Fraud and Compliance Solutions at SAS . “ But better anti-fraud safeguards are just one of many potential advantages awaiting firms that take the GenAI leap . In fact , leaders on the first wave of GenAI implementation are seeing early returns on their investments in many areas of the bank .”
In addition , more than three-quarters reported improvements in customer satisfaction and retention ( 82 %); efficiency in processing large data sets ( 78 %); and sales or market share from data-driven insights ( 76 %).
Marketing emerged as the most common area for banks to use GenAI , cited by 47 % of banking leaders polled . A related SAS study , based on a separate survey of marketing professionals , found that banking marketers most frequently use GenAI for customer interactions ( 44 %) and generating written copy ( 33 %). They also plan to expand its use within the next year to audience targeting ( 64 %) and trend analysis ( 64 %).
Banking , like other industries , faces obstacles to GenAI success
Like many investments , GenAI does involve a degree of risk and uncertainty . Banking leaders ’ foremost concerns involve protecting the privacy ( 74 %) and security ( 71 %) of their – and their customer ’ s – data . One potential solution ? Synthetic data . Nearly one-third ( 29 %) are already using this form of GenAI , and another 33 % said they are actively considering it .
Implementation challenges are another obstacle facing the banking industry . Over half ( 54 %) said that using public and proprietary data sets has been , or likely will be , an obstacle to implementing GenAI . And nearly as many ( 49 %) said they are experiencing challenges moving GenAI from conceptual to practical .
64 www . intelligentfin . tech