Latest Banking News Reveals Opportunities for Better Customer Connection

Survey Provides Latest Banking News Insight

In a recent survey, BAI, a nonprofit independent research organization offering the latest

banking news, provided insight into customer preferences and bank perceptions. The

findings provide new information on some of the most important trends and events

shaping the activities in community banks.

The study included responses from 2,000 consumers across a variety of age groups and

556 financial institutions representing a variety of banks, from small community banks to

large megabanks. The intent of the survey is to provide actionable insights to banks

across the country with the latest banking news:

Banks have an opportunity to reach out to millennials. The survey showed that most

new customers are millennials, but marketing efforts could be more effectively targeted

to this age group. Nearly three-quarters of millennials reported finding their primary

financial institution through online research or ads, yet only 33 percent of the typical

budget for a financial services institution is designated for advertising on digital channels.

Investing in apps is a good move for banks. Banking on-the- go is increasingly

important, and customers want the apps to be user-friendly. According to the results, 70

percent of banks say that their banking app is appropriate for their customers’ needs, but

more than half of millennials surveyed said they would switch banks for a better banking

app.

Person-to- person (P2P) platforms are increasing in relevance. The growing

importance of P2P platforms is due largely to non-banks as P2P platform developers. The

survey reveals that over the last year, 93 percent of Millennials and 81 percent of

Generation X have used a P2P platform at least once.

Convenience for in-person banking still matters. Across all age groups, the

convenience of branch locations was the primary reason why consumers chose a

particular bank. In reality, those branch locations are getting far less activity. The survey

showed that nearly half of all bankers indicate that in-branch transactions have decreased

over the last 12 months.

A gift never hurts. Millennials participating in the survey said that receiving cash or

gifts or another incentive is nearly as important in their decision as the convenience of a

branch location.

These survey results demonstrate the importance of understanding customer preferences

and needs. Providing you with the relevant information you need to create the ideal

customer experience is one of the important roles of the ICBM. Take some time to look

around our site at the many resources available to help your bank succeed, and then give

us a call to talk more.