Digital Banking: A Priority for Financial Institutions

Survey shines a light on customer preferences in an increasingly digital and hybrid financial landscape

NEW YORK – New data from Glassbox, the leading provider of digital experience analytics for web and mobile applications, finds that customers prefer seamless digital banking experiences over human interaction. In an effort to better understand customer preferences in an increasingly digital and hybrid banking landscape, Glassbox polled over 2,000 individuals in the United States and United Kingdom between July and August 2021. The survey unearthed consumers’ expectations for online banking, security, must-have features, incentives for loyalty and more.

In an ever-changing digital space, the survey unveiled some interesting differences between how Americans and U.K. residents prefer to bank. 54% of U.K.-based consumers are twice as likely to choose mobile apps over desktop computers when conducting digital banking transactions, in contrast to 26% of U.S.-based respondents. Moreover, U.K. residents place higher value on human interaction in online banking than their American counterparts:

• 51% of U.K. participants stated access to human interactions such as live online chats and phone support are important to them, whereas only 43% of American respondents placed value on human interaction.
• 30% of Americans stated secure banking platforms are more likely to drive their loyalty, 7% more than U.K. respondents.

“Our findings highlight how with ample banking options on the market, a lack of an exceptional digital experience can affect financial institutions’ bottom line,” said Yaron Morgenstern, CEO, Glassbox. “More importantly, the results expound on how largely relevant it is for banks to adapt and transform their digital presence to keep up with consumers’ ever-changing digital needs. By tailoring digital tools and keeping an eye on region-specific needs, banks will be able to provide more powerful and impactful digital experiences to drive customer retention for generations to come.”

Additional key takeaways from the survey include:

• People of all ages prefer digital banking over in-person – 79% of total respondents prefer to manage their finances digitally on some level, and 51% use digital banking once a week or more.
• Security is a top priority for both U.S. and U.K. consumers – 40% of respondents reported security is the most important element of online banking.
• An easy-to-navigate platform is a necessity and drives customer loyalty – 35% stated easy online banking was the reason they remain committed to their bank, making it the number three response behind ‘length of relationship’ and ‘secure banking platform’.
• Persistent technical issues drive customers to change banks – 32% of respondents reported that if they encountered persistent technical issues when banking online, they are more likely to change banks.
• Mobile app-based banking is picking up on computer-based digital banking – 26% of consumers are banking as frequently on mobile as they are on desktops. This considered, 48% of Millennials and Gen Z still rely on desktops for a seamless digital banking experience. Further supporting that more tech-savvy generations have not been convinced thoroughly of the benefits of mobile banking.

Glassbox empowers organizations to create frictionless digital journeys by providing a complete view of customer’s digital experience analytics across mobile and web platforms. The company currently supports a trillion web and mobile journeys annually for some of the world’s best-known financial institutions.