Whenever we think of data analysis, we know it as the algorithms you undertake after collecting and recording data. Data analysis is a complex skill when dealing with your data.
As a statistician, you will realize it is not enough to accomplish the hard skills in data analysis. Still, you will need soft skills, which entails communicating your study to your audience.
Research by the Bureau of Labor Statistics indicates that data storytelling experts will grow by 25% from 2020 to 2030 in several sectors.
In this blog, we will discuss why data storytelling is shaping the future of financial services.
Therefore, it is essential to understand what entails data storytelling.
What is Data Storytelling?
Data storytelling is communicating insights from your data analysis to your audience. This skill requires you to be effective if you want to gain the confidence of interested parties.
According to the Accenture Survey, 81% of the respondents recognized data storytelling as a crucial skill among financial professionals.
You cannot communicate what you do not understand. That is why we refer to it as a soft skill. Your audience is crucial in decision-making from the insights you present.
Data storytelling has vital components, which include:
Data
Data is integral in any industry. You will deal with much data analysis when you work in a financial service organization.
This will help you understand what you need to know about financial-related activities.
Narrative
A narrative serves as your storyline in data analysis. Your report includes your statistics, insights, and recommendations.
You cannot convince your audience to make proper financial decisions without a compelling narrative.
Data Visualization
When you communicate your insights to interested parties, visualizations are essential. You can use graphs and charts to ensure your data storytelling is compelling.
Let us briefly take a look at some of the reasons why data storytelling is essential in financial services.
Why is Data Storytelling Important in Financial Services?
- Improves Client Relationship
Many financial service agencies find it challenging to maintain relationships with their clients. This is because of their client approach to analyzing data.
As a financial service provider, you will require a compelling data story. This is why data storytelling is shaping the future of financial services. Displaying the data and narrative behind your account will answer many questions your clients may have.
- Upgrades Your Competition Status
Financial service providers are always in competition to gain more clients. As a financial service agent, you can be a step ahead of your competition if you can effectively identify insights from your rivals.
Financial services will help you become a suitable public relation officer. This is because it will help you increase brand awareness for your financial assistance to potential clients.
As a client, you will find yourself attracted to a financial service provider that effectively uses data storytelling. This is why data storytelling is shaping the future of financial services.
- Improves Visual Appeal
Since you are dealing with offering financial services to humans, they will want a data story accompanied by visuals.
Your clients want to interact with statistical facts accompanied by visualizations. It will help to contribute to the success of your financial services.
Are you following closely so far?
We are now getting to the exciting part.
Let us now look at why data storytelling is shaping the future of financial services.
Why Data Storytelling is shaping the Future of Financial Services?
As we consider the present, we must consider the future. Every career we choose to undertake will highly depend on financial services.
As a financial agent, you safeguard your services and clients. Data storytelling is integral to the services you currently provide and in the future.
Walk with us on this journey as we examine some of the reasons why data storytelling is making the future of financial services.
- Analyzing Customer Behavior
One fact that you must know is that financial service providers cannot exist without their customers. Data storytelling can help you understand your customer needs and preferences as a financial service agent.
This is one of the reasons why data storytelling is making the future of financial services. We are more concerned with your customers because they determine the success of future benefits.
Financial analytics can use data storytelling to analyze customer behavior in all services. You will gain insights into how customers respond to your financial assistance.
Let us take another essential reason why data storytelling is shaping the future of financial services.
- Cybercrime Prevention
When providing financial services, it is vital to safeguard your business from cybercriminals. With the ever-increasing technological growth, your services are at risk of fraudsters.
You will take all the necessary steps to ensure your clients’ finances are safe. This is why data storytelling is making the future of financial services since you can detect any irregularities in your digital services.
When you use data storytelling to mitigate cyber crimes in your services, you are a step ahead in safeguarding the future of your business.
- Analyzing and Preventing Possible Risks
Financial services will require you to understand how you can manage risks. The future success of your financial services will depend on how you can use data storytelling to identify risks.
One reason why data storytelling is shaping the future of financial services is that you can use a compelling data story to analyze customer risk.
When you obtain insights from your data story, you can take the next step in managing the situation.
Conclusion
The question we need to ask ourselves is, what does the future hold for financial services? From our discussions, we can see why data storytelling is shaping the future of financial services.
As stated above, all businesses and organizations will need financial services. Since many financial services providers like you exist, it is vital to stand out from the rest with a compelling data story.
It isn’t easy to imagine a world without financial services. Data storytelling can help you win clients and investors so they can be part of your business in the future.
From the reasons why data storytelling is shaping the future of financial services, you can improve how you present your insights. Do not be left out in offering satisfactory financial services. Use a compelling data story that can increase and retain loyal clients.