UnionBank of the Philippines has leveraged data-driven strategies to enhance customer engagement through the implementation of Cloudera’s advanced technologies. Encouraged by the government to promote digital products, UnionBank identified numerous possibilities to improve offerings, automate manual processes, and better understand customer profiles. Chief Information and Operations Officer Dennis Omila underscored the pivotal role of data as UnionBank strives to become a digital banking leader. In the competitive financial landscape, UnionBank created the Data Vault platform—a centralized repository of quality data resources and assets, powered by Cloudera technologies.
The Data Vault platform enabled the development of data-centric applications through APIs, business process automation, robotic process automation, and low-code development environments. This innovative platform allowed UnionBank’s data scientists and business users to collaborate on deploying artificial intelligence (AI) and machine learning (ML). Utilizing Cloudera’s sophisticated tools, UnionBank developed AI-based models and personalized product recommendations, particularly for bancassurance, credit cards, and auto loans. These advancements significantly bolstered UnionBank’s cross-selling efforts; an AI-driven “look-alike” model utilized data like customers’ average daily balances and relationship managers’ personal networks to generate increased leads.
Enhancing Cross-Selling Capabilities with AI and Data-driven Models
UnionBank’s strategic integration of AI and machine learning has led to notable enhancements in business operations and customer engagement. By the end of the current year, bancassurance bookings saw an impressive rise of 138%, credit card conversion rates surged by 187% through telesales and 237% via electronic direct mailers (EDMs), while auto loan conversions jumped by 178% through EDMs. The AI-powered models and robust data-driven strategies have enabled UnionBank to achieve time savings, higher conversion rates, and improved customer affinity. This demonstrates the transformative potential of AI applications in banking, where routine processes can be optimized, and customer experiences can be personalized.
Chief Information and Operations Officer Dennis Omila highlighted that AI enables hyper-personalization and customizations across UnionBank’s product range, potentially streamlining operations like loan approvals. This level of personalization allows UnionBank to tailor its services to meet the unique needs of each customer, thus fostering stronger relationships and enhancing overall satisfaction. The adoption of Cloudera’s platforms has proven especially beneficial in developing models that create greater customer value, as emphasized by Chief Data and AI Officer David R. Hardoon. UnionBank’s collaborative efforts in AI and data science are set to continue, capitalizing on innovative projects to drive further business value and customer engagement.
The Path Forward with AI and Data Strategies
Looking ahead, UnionBank plans to further harness AI and ML technologies to derive additional business value by considering solutions that secure big data lifecycles in any cloud or data center environment. This approach can potentially reduce project timelines from several months to mere weeks, enabling more agile responses to market changes and customer demands. As these technologies mature, UnionBank intends to explore their application across various aspects of banking operations, including fraud detection, risk management, and enhanced customer service protocols.
The future of banking at UnionBank is characterized by a commitment to innovation through data-driven and AI-powered strategies. UnionBank’s success in integrating AI and ML to enhance its offerings and streamline its processes exemplifies the transformative impact of these technologies on the banking sector. This approach not only positions UnionBank as a digital banking leader but also sets a precedent for other financial institutions seeking to navigate the complex digital landscape.
Conclusion and Future Implications
UnionBank of the Philippines has utilized data-driven strategies to boost customer engagement by implementing Cloudera’s advanced technologies. Following government encouragement to promote digital products, UnionBank saw numerous opportunities to enhance offerings, automate processes, and gain deeper customer insights. According to Chief Information and Operations Officer Dennis Omila, data plays a crucial role as UnionBank aims to lead in digital banking. In a competitive financial market, UnionBank launched the Data Vault platform, a centralized repository of quality data resources and assets, powered by Cloudera.
The Data Vault enabled the creation of data-centric applications via APIs, business process automation, robotic process automation, and low-code environments. This innovative platform facilitated collaboration between UnionBank’s data scientists and business users, allowing them to deploy artificial intelligence (AI) and machine learning (ML). Leveraging Cloudera’s tools, UnionBank developed AI-based models and personalized product recommendations, especially for bancassurance, credit cards, and auto loans. These improvements greatly enhanced UnionBank’s cross-selling efforts. An AI-driven “look-alike” model used data like customers’ average daily balances and relationship managers’ networks to generate more leads.
