Banking's Customer Service Revolution

Banks who embrace new technologies increase customer retention. A recent white paper entitled, “The End of the Banking Autocracy” uses research culled from worldwide survey to reveal that banks need to not only keep up with the latest technology, but to also listen to their customers’ rapidly changing needs in this increasingly high-tech world. Finance companies can no longer ignore the demands their customers place on them to deliver a customer service experience that not only meets, but exceeds, their expectations.

The white paper used the results of an October 2013 survey carried out by UK-based marketing research company Ipsos Mori.  The company surveyed banking customers in France, Germany, the UK and US and came to the conclusion that over 50% of these consumers felt “undervalued” by the financial institutions they patronized. Among their findings in the United States: 

  • Over 50% of customers aged 25-34 use online-only statements
  • A little over 40% of customers in the 35-44 age range utilize online-only statements
  • Nearly 30% of customers strongly feel their bank values them as a customer 41% have a great deal of trust in their bank.
  • A little over one third of US consumers strongly believe that banks understand how to provide good customer service and 36% believe that banks are currently delivering it.
  • Nearly 40% of survey respondents said they accessed statements online several times per week and over 40% reported checking statements via mobile devices several times a week.
  • As far as interactivity in digital banking, a little over 30% agreed that online banking was truly interactive and 20% reported the same for mobile banking.
  • Over 60% of the US consumers believed that the online statements were just like paper statements. 30% of consumers accessing statements via mobile devices felt the same.
  • On average, one third of consumers will upgrade a laptop after three years (33%) and smart­phones between two and three years (27%).
  • Overall, 72% of all the consumers polled (across the US and Europe) would like to receive information from their bank in their preferred format. 74% of the consumers want the information to be available to them whenever they demand it.

When asked how banks can best enhance the customer, US consumers cited reduced charges as the top way to achieve this, followed by greater honesty, greater transparency and simplified service.

The report concluded that, “With new technologies becoming mainstream and consumers living in an always-on and always-connected world, it looks at their desire for the ‘market of one’ – the need to be treated as individuals with a personalized service that is delivered at the right time and via the right channel.”

With new opportunities and challenges facing the banking industry at every turn, making sure to meet the demands of customers for a satisfying servicing experience must remain a key goal. Research shows that there is no one-size-fits-all solution to customer satisfaction and retention, but keeping an ear open to customer needs is imperative to banks to make sure they are doing as much as they can across all channels of communication to deliver an effortless servicing experience to each customer, each time.