Across shopping, streaming, and social media, consumers have grown used to receiving personalized recommendations powered by artificial intelligence. While some may feel less comfortable with AI taking on a similar role in their banking experience, a hyper-personalized digital banking platform can deliver far greater value than simply suggesting the next show to binge.



In a recent PaymentsJournal podcast, Fiserv’s Whitney Stewart Russell, President of Digital and Financial Solutions, and Sean Calhoun, Vice President and General Manager of Digital Banking, along with Christopher Miller, Emerging Payments Analyst at Javelin Strategy & Research, discussed the evolving digital banking landscape, the advantages of hyper-personalization, and the ways AI is reshaping banking strategies.





A Perfect Storm of Opportunity



For many customers, digital banking isn’t just part of their experience—it’s their only experience. As consumers increasingly integrate digital platforms into nearly every aspect of daily life, their expectations have risen. They now demand seamless, intuitive, and personalized interactions each time they login.



For example, many users expect to conduct in-depth research or receive relevant guidance with just a few swipes or prompts.



At the same time, one of the largest wealth transfers in history is approaching, with an estimated $50 trillion set to pass from baby boomers to their heirs. Together, these factors make it more critical than ever for banks, credit unions, and fintechs to deliver a truly robust digital experience.



“If you look at younger generations—Gen Z in particular—Fiserv research would say that they are more willing than ever to move where they bank to where they are most happy and satisfied with the digital experience,” Russell said.



“It's almost like a perfect storm of opportunity to rethink how banks and credit unions show up for consumers and small businesses in the digital space,” she said. “Treat it as an opportunity to get not only a great service delivered, but also a true one-to-one personalized experience that allows them not only to get their jobs done, but also to seek advice and guidance and build a relationship digitally with their bank or credit union.”



Tailoring Individual Experiences



One of the most tried-and-true methods of building relationships is by tailoring each experience to the individual consumer. With the help of AI and data analytics, this goes even further—enabling hyper-personalized suggestions that deliver truly curated experiences.



For many consumers, especially younger adults, these customized interactions are no longer a novelty but an expectation. Their digital-first lifestyles—shaped by e-commerce and social platforms—have already acclimated them to interacting with chatbots and AI agents, making hyper-personalization the new standard.



Despite rising consumer confidence, many financial services firms have hesitated from placing AI at the forefront of their operations, fearing it might alienate customers.



Yet, although AI is still a relatively nascent technology, these concerns are largely unfounded.