#1 BIGGEST CHALLENGE COMMERCIAL BANKS FACE
The consumer continues to gain strength globally as a driving force behind market strategies and product offerings across the spectrum of industries.
With a more informed consumer base and increased competition, leading companies are trying to find new ways to predict and fulfill growing consumer demands, which leads to customer loyalty. This strategy is a wise one, as evidenced by a recent CapGemini survey reporting that 80% of consumers are willing to “pay more for a better experience.”
However, many businesses are falling short of these increasing consumer expectations. Over the past three years, 78% of consumers are withdrawing loyalty from businesses more quickly than before. This is concerning for banks, where keeping customers engaged is the biggest challenge in 2017, according to Moorad Choudhry—global banking expert and author of The Principles of Banking.
Let’s take a look at several key takeaways from a recent survey from CGI Group that reveals what consumers are looking for in the financial institutions they do business with.
Value As A Customer
Three of the top five banking preferences among CGI’s 1,244 survey participants revolved around receiving acknowledgment and added value as a customer, with 24/7 access to their balance.
For instance, an overwhelming majority (81%) desired to be rewarded for their business, while 61% wanted “anytime, anyplace” account access, and more than half wish to be “viewed as a person”.
Customers look to their banking institutions for expert council on financial planning and overall advice on saving money and preparing for the future. Many wish for special consideration on loans as well.
Here are the numbers; 55% say they want advice on growing prosperity, while 52% believe their bank should provide insight into their spending habits and provide them with ideas and tips for saving.
Protecting The Future For Everyone
With almost two out of three customers saying they would switch institutions for improved service, banks top other industries in possible losses by customer churn.
To protect wallet share, financial institutions need to tap into the wealth of client data at their disposal. Using this information, banks can develop an understanding of what their customers want and need now, and into the future.
Developing programs and strategies to satisfy consumer needs opens new revenue opportunities for banks while building long-term customer loyalty.
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