The Westpac Banking Corp (ASX: WBC) share price is zoning in on pre-COVID levels but can it keep growing? Westpac is making some new tech, which could unlock future growth.
Westpac share price
Westpac’s new tech
Westpac is developing identification verification technology that can be used on a smartphone.
The technology is capable of recording images of physical identity documents and then matches them with corresponding images or video of the relevant person. It’s essentially similar to biometrics for customer identity when you go through customs at the airport.
A lot of financial services organisations around the globe have embraced this form of identity verification as it avoids the hassle of attending a physical identity check.
Westpac has identified mortgage applications as a potential major beneficiary of such technology.
A potential platform for virtual service
Westpac has indicated this technology could also pave the way for servicing customers virtually.
The bank has been using verification of identity (VOI) via videoconferencing due to prior COVID restrictions. Westpac notes it will be possible to use VOI across a range of financial products through a smartphone in the future.
At this stage, Westpac has tested the VOI biometrics solution on the St. George Bank app, enabling customers to identify themselves to Westpac VOI standards through a smartphone.
My takeaway
I think this new technology will play an influential role in improving customer service and ultimately customer retention.
If Westpac is able to become the leader in this technology, it could attract customers away from the other banks like Commonwealth Bank of Australia (ASX: CBA), Australia and New Zealand Banking Group Ltd (ASX: ANZ), and National Australia Bank Ltd. (ASX: NAB).
In saying this, customer retention is not the only area to consider. This article outlines other key areas to focus on when analysing Westpac.
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