Banking, Member Exclusive

Banking briefing: Bank data is only the first step in solving for personalization

  • Fintechs have been better at offering personalized experiences than banks, but some of the biggest banks in America have played catch up and are now leveraging internal data to offer more personalized experiences.
  • This falls short of ideal personalization, where an FI uses both internal and external fintech data to fully understand a customer's financial life. While challenging, some infrastructure like API-based data sharing exists.
close

Email a Friend

Banking briefing: Bank data is only the first step in solving for personalization

Welcome to the Banking Briefing

The Banking Briefing is part of the Tearsheet Pro subscription.

Our monthly Banking Briefing analyzes the latest developments within the banking industry.


Notes from the desk: Welcome to the Banking Briefing, in this edition I combine the insights from our Working Group on Gen Z and feedback from some of the biggest banks in America to find out what the state of personalization is at these institutions and whether their current experiences raise to bar or maintain the status quo. 


by Rabab Ahsan

If we were to measure banks against fintechs in terms of their personalization capabilities, fintechs would win. Even Chase’s own website lists personalization as a “benefit” of choosing fintechs over incumbents.

But personalization as a strength of fintech companies is an issue for banks. First because some fintechs aren’t just partners but competitors. And second because the lack of personalization keeps banks from acquiring new customers like Gen Z.

Our Working Group on Gen Z with executives from a diverse set of FIs found that a cross-generational strategy coupled with hyper-personalization may be the best move forward.

A personalization based strategy allows FIs to offer products and experiences that are geared towards an individual not a crude segment. But the problem is that for most banks in the US, personalization doesn’t go farther than marketing messages which “are not tailored to individual user experiences and often fail to meet customers’ needs,” said Dallas Wells, SVP of Product Strategy at Q2.

Hyper-personalization for banks then consists of two main parts:
Using bank data to offer experiences that show that the bank understands the customer’s relationship with the bank
Going one beyond the bank and delivering products that takes a client’s entire web of financial relationships into account

“A lot of personalization done right now is superficial, limited to either data points that are available in the channels (e.g. the most recent transaction made), generic insights (e.g. account balance or credit score), or based on crude segments – so not really personalized,” said Jakub Piotrowski, VP of Product at Bud Financial.

At the moment, the biggest banks in the US have made headway in figuring out the first piece of this equation.

Putting bank data into action

Currently U.S. Bank is able to analyze their customers’ transactions in a way that helps the bank provide recommendations that go beyond the bank’s products. For instance, U.S. Bank can tell if a customer has recently traveled abroad based on their transaction history and offer to help summarize their expenses on the trip, a job most customers may usually do on spreadsheets, according to Ankit Bhatt, Chief Digital Product Officer (Consumer) at U.S. Bank. Similarly, the bank is also able to analyze customers’ outflows and identify what amount customers can save safely and allow them to automate those savings.

 


subscription wall for TS Pro

0 comments on “Banking briefing: Bank data is only the first step in solving for personalization”

10-Q, Member Exclusive

Q4 2025 in Consumer Finance: Fintechs move from user counts to dollars per engaged customer

  • Block’s Q4 2025 earnings drew attention as much for the story behind the numbers as for the numbers themselves. Chime’s Q4 2025 results emphasized growth, credit expansion, and ecosystem depth.
  • Block’s structural shift and Chime’s measured ecosystem expansion raise broader industry questions that go beyond individual company performance.
Sara Khairi | March 09, 2026
BNPL, Member Exclusive, Who owns the customer

Affirm’s full-stack ambition is bigger than consumer finance alone

  • Affirm began 2026 on the front foot.
  • The recent moves by the BNPL firm point to an overarching strategy: expanding from consumer checkouts into B2B distribution and institutional control.
Sara Khairi | March 05, 2026
10-Q, Member Exclusive

Coinbase rides the waves of stress and opportunity with its ‘Everything Exchange’ vision

  • 'Everything Exchange' reflects Coinbase’s ambition to be a one-stop financial platform.
  • Outgrowing its crypto exchange roots brings Coinbase fresh regulatory, competitive, and market challenges.
Sara Khairi | March 02, 2026
BNPL, Creating win-win partnerships, Embedded Finance, Member Exclusive, SMB Finance

How embedded BNPL optimizes cash flow for SMBs: Inside the Intuit-Affirm partnership

  • The Intuit-Affirm partnership embeds BNPL directly in QuickBooks invoices, transforming accounting into a real-time decision layer.
  • In the new fintech partnership model, platforms manage workflows and customers while specialists handle the decision layer to drive scalable results.
Sara Khairi | February 26, 2026
10-Q, Member Exclusive

Banking: AI, automation, and the rise of digital-first scale

  • From AI agents at Goldman to automation at Truist and lean growth at Nubank, the contours of a modern banking model are emerging.
  • Banks are rethinking human-machine cooperative roles and new ways to scale.
Sara Khairi | February 23, 2026
More Articles