Home Banking & Finance UnionBank to use AI to personalize its product offerings for customers
UnionBank to use AI to personalize its product offerings for customers
UNIONBANK of the Philippines, Inc. is looking to profile its customers using data science and artificial intelligence (AI) to help match them with the products that suit their needs.
“By harnessing AI, we have the ability to analyze data culled from various sources — customer profiles, and past interactions, for example — and provide tailor-fit recommendations on products and services that truly address our customers’ needs,” UnionBank Executive Vice-President and Head of Retail Banking Center Joyce Gonzalez said in a statement.
The algorithm will be used for the bank’s latest offering called “UnionBank for life,” which is a bancassurance product in partnership with Insular Life Assurance Co., Ltd.
It uses AI and data science to sort potential customers into profile archetypes such as a “mom saver” or “young spender,” among others. UnionBank will recommend insurance products relevant to them based on their archetype.
“UnionBank has always believed in the power of data science and AI to enable lasting positive impact not just on the lives of customers, but also on society as a whole. This is why we will continue to harness these and other emerging technologies in many of our products and services, including insurance,” UnionBank Senior Advisor for Data and Artificial Intelligence David Hardoon said.
The bank is also looking to use this technology for more complex processes to allow the personalization for its insurance offerings, UnionBank said.
UnionBank last month held a virtual groundbreaking ceremony for its Innovation Campus in Laguna. It will house hubs for research and development in areas such as data science, artificial intelligence, and blockchain.
The Aboitiz-led lender’s income climbed by 78% year on year to P4.7 billion in the first quarter on the back of a better risk profile and stronger capital buffers.
Its shares closed at P77.70 apiece on Thursday, gaining 70 centavos from its previous finish. — LWTN