For financial institutions, customer data is the most valuable asset. Over 70% of all data contains geographic information. Location is the key to solving vital tasks for the financial sector. For example, mapping of finance function gives insight into the analysis of the development of local markets, helps identify opportunities for the development of a network of branches. GIS finance toolkit will allow you to work with various data to enhance analytical capabilities and visualizes data to employees, stakeholders, and even customers.
Local Market Analysis
The market in which financial institutions conduct or want to conduct their business should be directly related to profit growth. With the mapping of finance function available, financial institutions can visualize and analyze key market characteristics. For example, concentration profiles:
- Demographic / lifestyle
- Demand for products
- Growth characteristic.
These indicators can be combined with information about potential customers to make more informed decisions and develop effective marketing campaigns and improve work with existing customers. Financial institutions can take the next step in targeting customers outside their usual places of residence, outside the scope of their previous activities, etc. Using various solutions to gain geo-relevant data makes your client approach more reliable in terms of customer information.
Banking and GIS
The geographic information system for banks provides effective means of supporting the customer service process. GIS is designed for any activity in which there is a need for efficient data retrieval and the adoption of quick decisions. The flexibility and simplicity of working with the system will allow you to avoid unnecessary waste of time searching for information and will make the bank’s work more efficient. Problems solved within “Banking and GIS” framework include:
- Maintaining up-to-date information description and cartographic reference of banking network objects (branches, ATMs, self-service areas, partner ATMs).
- Visualization of the location of objects on the map, displaying information on the selected object. Ability to work with thematic layers.
- Search for nearby objects, depending on the location of the client, the ability to set additional search conditions (when searching for points closest to the client).
For financial institutions to be able to assess existing risks fast, Aspectum provides technologies for identifying, assessing, and monitoring risks by industry and asset. For example, data analytics for banks: from the allocation of individual loans to doing new business in specific regions. For example, the ability to use data with geospatial analytical components. Risk management solutions using the mapping of finance function will be more effective in helping financial institutions maintain profitability. Other benefits of banking and GIS in conjunction include:
- Multi-functionality of the GIS environment;
- The ability to expand the functions of the system to the needs of the activity;
- The convenience of use;
- Stable work 24 \ 7 \ 365;
- The effectiveness of the system in practice;
- Ability to connect analytical modules.
For example, to finance the creation of a new network (for example, a trade network), investments of more than $1 million are required for each object, which can pay off and start making a profit no earlier than in 5 years. But to be profitable, financial institutions cannot wait five years for a return on investment. Detailed data on the dynamics of the local market and demographics created using GIS data analytics is visualized to make a decision on the distribution of objects in your network. This information should include the identification of unprofitable markets, as well as information about existing and potential competitors. Depending on these indicators, decision-makers can define the amount of investment of the project. Financial institutions may have the simple ability to visualize a new network for CRA verification.