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Mobile banking is becoming the new norm in society as customers continue to embrace it as they recognise the convenience and simplicity involved. Mobile banking offers a multitude of benefits for banks - increased loyalty, reduced overheads and increased revenue to name just a few. However, realising 'what's in it for me' for the customer is a different story.
Customers are increasingly searching for more sophisticated mobile banking functions with user simplicity and accessibility that are not readily available in the market and some are frankly not cutting the mustard.
A new study by Varolii shows that only slightly more than half of those surveyed were able to carry out more sophisticated banking functions via their banking app such as proactive account alerts and cheque deposits. However, customers continue to seek more proactive alerts to help them manage their money as the cost of living increases and the amount of disposable cash diminishes. With only just over half of banks already offering these features, others run the risk that their customers will jump ship.
Almost 2 in 3 customers believe banks are responsible for alerting them instantly when funds are low and there is not enough money to pay bills and this figure is much higher in 'younger' consumers. Many also feel a banking app could have helped them manage their finances better to avoid financial problems and that banks are profiteering through not offering a proactive service. The big risk banks have here is that by not developing these features, customers will become dissatisfied and increasingly irate with the bank, with the possibility that they leave and go elsewhere or take their money out of banks altogether.
With account security being a number one concern, banks should be doing everything possible to safeguard accounts. Customers highlighted the number one feature they want from their banking app is to be instantly notified if there is any irregular activity suspected as they seek more control over managing the safety of their account. However, 81% are not receiving any such notifications. This does not help customers feel valued by their bank and has a negative effect on loyalty yet again.
The quality of banking apps is no longer 'a nice to have' but crucial as Varolii also reveals that apps which customers don’t find useful are likely to be deleted. Considering reports that the quality of mobile banking can be a key deciding factor on whether or not new customers join your bank, it is extremely important that banks focus on what customers are looking for and develop solutions which suit their needs to give them more valuable features.
Going forward, banks must develop more innovative mobile banking features or run the risk of losing customers. Find out how UK banks are beginning to catch up with innovations taking place in the market by visiting our HSL Blog.
A new study by Varolii shows that only slightly more than half of those surveyed were able to carry out more sophisticated banking functions via their banking app such as proactive account alerts and cheque deposits. However, customers continue to seek more proactive alerts to help them manage their money as the cost of living increases and the amount of disposable cash diminishes. With only just over half of banks already offering these features, others run the risk that their customers will jump ship.
Almost 2 in 3 customers believe banks are responsible for alerting them instantly when funds are low and there is not enough money to pay bills and this figure is much higher in 'younger' consumers. Many also feel a banking app could have helped them manage their finances better to avoid financial problems and that banks are profiteering through not offering a proactive service. The big risk banks have here is that by not developing these features, customers will become dissatisfied and increasingly irate with the bank, with the possibility that they leave and go elsewhere or take their money out of banks altogether.
With account security being a number one concern, banks should be doing everything possible to safeguard accounts. Customers highlighted the number one feature they want from their banking app is to be instantly notified if there is any irregular activity suspected as they seek more control over managing the safety of their account. However, 81% are not receiving any such notifications. This does not help customers feel valued by their bank and has a negative effect on loyalty yet again.
The quality of banking apps is no longer 'a nice to have' but crucial as Varolii also reveals that apps which customers don’t find useful are likely to be deleted. Considering reports that the quality of mobile banking can be a key deciding factor on whether or not new customers join your bank, it is extremely important that banks focus on what customers are looking for and develop solutions which suit their needs to give them more valuable features.
Going forward, banks must develop more innovative mobile banking features or run the risk of losing customers. Find out how UK banks are beginning to catch up with innovations taking place in the market by visiting our HSL Blog.
For further information regarding HSL, visit us at:
http://www.hslmobile.com
http://www.hslmobile.com
or email us at sales@haysystems.com
