2023 is an extremely unusual year, and this year is called "the first year of AI large models" by many people. From the birth of Chat GPT4 at the beginning of 2023, to Google's large model Gemini in the middle of the year, and finally to the new model "Sora" released by OpenAI at the beginning of 2024. These three large models, whether it is from text dialogue, to the processing of professional problems, to text imaging**, are enough to subvert our cognition and make us re-realize that technology changes life. Rather than saying that 2023 is the "first year of AI models", it is better to say that it is "the arrival of the fifth industrial revolution".
2023 is also the most critical year for small and medium-sized banks in their digital transformation. This year, China's consumer market has gradually recovered, and the original offline model has been completely unable to meet the financial needs of consumers, providing financial-based retail business to individual consumers, small and medium-sized enterprises, which has gradually become the main direction for banks to explore the market and continue to compete in the future.
The two seem to be independent of each other, but they are inextricably linked. How small and medium-sized banks can use AI technology to ride through the cycle with the help of technological strength has become an independent proposition. In the context of digital transformation, what is the trick in how to open up the whole line of business for "digital intelligence", so as to iterate its own technology through the economic cycle? As an enabler of the digital and intelligent economy, Bairong Cloud provides "one-stop AI services" to financial institutions with the help of its own science and technology, laying a solid foundation for the technology empowerment of financial institutions.
First, there is no overtaking in corners in technology, and the outbreak of "AI large models" is inevitable
The reason why 2023 is called the "first year of AI large models" is, in the final analysis, that technology has become a reality. When we were children, we were all fascinated by science fiction movies such as "Star Trek" and "Star Wars", and now some of the "robots" and "AI tools" in the movies have become a reality. It is worth mentioning that these AI models are not "built in a day", but are obtained through continuous accumulation, trial and error, repeated testing, and continuous computing and learning. Therefore, any science and technology enterprise is tempered and created, and there is no shortcut to science and technology, and it cannot overtake in corners.
From the accumulation of hardware, the innovation of software, to the fact that existing large models can truly serve the scene, this is the progress in human history. Therefore, in the future, there may be different large models used in different scenarios, so this should be the beginning of the "fifth industrial revolution". The first four industrial revolutions, whether they were the steam age, the electrical age, the computer information age or the network technology age, all promoted the development of productive forces and subverted people's perception of the world and life.
Most importantly, the first four industrial revolutions were able to change the industries that are closely related to us to a certain extent, from people making things by hand to the operation of steam engines and electrical appliances, from primitive computing methods and working methods to computer processing. And then to the application of large models in the future, it will deeply affect every industry and even everyone around them. Because services and applications have been on the road of digitalization and intelligence.
It is not difficult to find that all industries are not "disrupted by AI models", but must take the road of digitalization. This also illustrates why all industries are currently going through cycles from a technology perspective.
Second, for small and medium-sized banks that have passed through the cycle, "digital intelligence" is a must
First of all, from the macro point of view of the cycle, the development of everything will have cycles. This cycle is not metaphysics, but science. No single industry in the world is set in stone, and the financial industry is no exception. Since the day the financial industry was born, it has not been rising and rising, and it has not been continuously improving. With the passage of time and development, and the continuous change of the environment, the orderly increase and decrease is the benign development.
At present, China's small and medium-sized banks are going through the economic cycle. From the perspective of the consumer market, consumption was weak in the first three years, and the overall economic operation trend was moving forward in the trough. As a financial institution, the original offline business, business and risk control technology have fallen behind. With the continuous improvement of people's living standards, more and more efficiency is pursued in material and financial services. Many banks have seized the market opportunity and shifted from the original institutional business to the retail business for individuals and small and micro enterprises, improving efficiency and output, and gradually occupying the mainstream in online and intelligent business development, marketing, and business ports.
This also represents the innovation and breakthrough of financial technology for banking technology.
With the continuous intensification of China's digitalization process, if digital reform and development are not carried out in the future, it will inevitably be eliminated by the market. Relying on the original business to "eat the old bottom" and not invest in technology, future business, risk control and other related services cannot be carried out, because online and intelligence have become the most popular trend at present. At present, many small and medium-sized banks are limited by personnel and technology, and are unable to carry out large-scale improvement of technology, and some are limited to the online development and marketing ports, which leads to a weak position in the future competition. With the improvement of science and technology, the use of AI is not to save labor costs, but to change the business process and business development mode of finance under the premise that the essence of finance remains unchanged, so as to enrich its own soft and hard power.
Therefore, it is inevitable for small and medium-sized banks to carry out digital innovation to maintain strong resilience through the cycle, which is also the only way to go through the cycle. It's like in the science fiction movie "Star Trek", if you want to travel through the galaxy and reach the other side ahead, you need to have a "Star Battleship".
3. Bairong Yunchuang has built a "digital and intelligent galaxy battleship" to lead small and medium-sized banks through the cycle
In December 2023, the CEO Forum of Small and Medium-sized Commercial Banks was successfully held, and Chen Liyu, Senior Vice President of Bairong Yunchuang, was invited to participate and delivered a speech, saying: The customer operation system built by Bairong Yunchuang is like an aircraft carrier, the "Digital Intelligence Center" is the aircraft carrier combat command room, the algorithm model architecture and intelligent support platform form the aircraft carrier deck, and the large-scale intelligent strategy is the carrier-based aircraft cluster. During the operation, the digital intelligence center sends signals and provides precise guidance, and the carrier-based aircraft group makes a large-scale assault to jointly complete the combat mission.
In fact, this is more like a "galactic battleship". Bairong Yunchuang fully applies its own AI technology to this "battleship", Bairong Yunchuang is customer-oriented, forms "precise target orientation" through AI and other technical capabilities, and relies on offline counters, account managers, online APP, remote customer service and other omni-channel platforms to build a "precise and three-dimensional" customer group operation model, which reflects Bairong Yunchuang's ability to completely apply AI technology and make it acceptable to banks and the market.
The most important thing is that the ultimate goal of digital intelligence is not to enable banks to fully realize online, but to find the pain points in the financial business and solve the "barrier" problem, so as to improve efficiency and get close to the actual business.
From the case point of view, a city commercial bank hopes to carry out direct customer promotion through the retail marketing platform, but when carrying out this project, the bank faces four major pain points: the proportion of low-value customers is large and the activity is low, the manual strategy implementation process consumes labor costs, the lack of quantitative data monitoring indicators, and at the same time, it has not established a normalized operation mechanism.
In response to the demands of the bank, Bairong Yunchuang has built a full-cycle solution integrating strategy, model, speech content, effect evaluation system and normalized operation system for it, and successfully created a closed loop of digital and intelligent customer group management for it. With the help of this solution, the bank's wealth management business quickly saw results. According to preliminary data feedback, after a period of operation, the number of low-value households with bank wealth (the average monthly and daily AUM is less than 100,000) has increased to more than 100,000 AUM to 4,000, an increase of 259%. The long-tail customer group (monthly average AUM less than 1,000) increased to more than 1,000 yuan to 8,000, and the overall AUM growth reached 1.5 billion.
This marks that Bairong Yunchuang's technology has completely taken root and can be applied to practice, which is the greatest value of science and technology, and it is also the social value created by Bairong Yunchuang and financial institutions.
Finally, the development of AI technology will usher in explosive growth in 2024, and we look forward to Bairong Yunchuang bringing us surprises in AI technology innovation and digital and intelligent applications. AI technology has subverted our understanding of the world, and at the same time, it has also made us realize that only by continuous exploration and excellence can we get out of the "high-quality development route". Bairong's "Galaxy Battleship" can be equipped with more AI tools to lead financial institutions through the cycle smoothly and reach the glorious other side.