Bank / Credit Union

App benefits Bank of America's enterprise

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November 5, 2020

Bank of America offers a unique and competitive feature for customers; Erica, a digital personal assistant for consumer banking clients with two main functions: answering questions easily and showcasing financial highlights for the bank, according to a report in the Motley Fool.

Once a customer downloads the app, Erica uses voice recognition for easy access and gives customers instant information about their accounts, reminders about when payments are due, snapshots of spending activity versus a typical month and a quick glimpse of the account balance.

Digital engagement for the bank spiked in the third quarter, with 2.3 billion logins, which is 45% more than the prior year. Erica sessions increased 95%.

Apparently, Erica is a hit with customers. Bank of America is No. 1 in the consumer deposit market share, according to data from the Federal Deposit Insurance Corp, and services 1 in 3 U.S. households, with 37 million online users and 27 million mobile users, or 77% of clients. Erica's users increased to 16 million in the third quarter.

Although Bank of America has entered other segments such as investment banking and wealth management, its digital consumer banking platforms, particularly Erica, is its strongest segment within the entire enterprise. Erica makes it easy for customers to handle their accounts and deposits fuel the bank's strength.

There's a lot of upside for the bank as it stresses technology and innovation for the future, and Erica will be an important part of its growth.