Digital channels: how to accelerate their adoption?

The Coronavirus pandemic helped to break down resistance to change and those who still did not dare to operate through apps had to do so. We are at a defining turning point, as people who test the agility, simplicity and security of online banking do not want to return to old methods.

82%of customers are worried about going in person to their bank

73% are carrying out more remote work or procedures.

63%are more inclined to try a digital app.

Source: Lightico (data from EUA, 15 March 2020)

A recent Google study indicated that we are becoming "multiscreen".

90%of consumer interactions are taking place via telephone, tablets, and computers (4.4 hours a day per person).
Source: Google

Furthermore, users are using multiple devices simultaneously with Smartphones as the main tool.

That is why it is time to value the digital transformation of banking channels: this is no longer about digitizing services, but about creating efficient experiences that take user ratings into account. The main points to consider are the following:

1. Final adoption of mobile devices: omnichannel bank implies understanding that including mobile in a marketing plan is not optional. Consumers investigate, compare, and make purchases via intelligent phones. As a minimum requirement, a bank must offer an optimized website for mobile channels, and consider the immediate inclusion of personalized applications to facilitate different operations.
   
   
2. Extreme personalization: the best experience emanates from the thorough knowledge of the consumer. And this is achieved with advanced data analysis carefully transferred in the bank digital channels added to a communication prioritizing proximity and daily feedback with each client. Furthermore, it is increasingly more important to understand the relationship with the bank, and the context in which consumers use the channels to optimize their experience and show what they need to observe. They will otherwise seek non-traditional alternatives.
   
   
   

   A study revealed that three main reasons why clients select non-traditional alternatives are the following: 70% lower costs, 68% user-friendliness, and 54% faster service. Source: World Retail Banking Report 2019

    

3. New channels, new world: financial organizations offer a fully digital experience decreasing the need to physically be present in offices as much as possible. Banks contemplate this possibility as a reality, and this is the opportunity traditional banks have to be the protagonists of this change, and respond in advance to consumer's growing demand.
   
   
4. Simple & agile look & feel: recent studies indicate that the design and user experience of most working applications are not updated. Even if the trend in digital banking is shifting towards multichannel, many times the rigidity in the procedures and regulatory standards cause the neglect of main aspects of digital banking such as technology improvements which provide a good experience to the client.
   
   
5. Security and simplicity: the intensive use of apps in the last months made companies leaned towards diversification and expansion of operation possibilities within these new channels. This process increases daily use from clients, and it is fundamental to guarantee a simple and safe operation materializing in the successful risk-free technological transition. Where security is not a minor issue since ...
   

    

   Banks around the world lose more than $1 billion dollars in cyberattacks each year. Source: GlobalSign

    

Consumers already migrated. Are these companies prepared to receive them?

Maybe it’s simpler to observe the ongoing web to app file transfers from users, but digital banking also applies this operation logic although with more suspicion and caution from the clients: applications are replacing home banking and this is even more evident in personal banking.

Banks today need to be proactive considering two fronts: an inward front, to define an efficient customized implementation strategy; and an outward front, designing training tools for their users enabling the adoption of new digital channels to occur in a setting establishing a relationship of trust and resilience between the entity and each one of the client needs.

A good digital experience for gaining loyalty.

The traditional banks are called upon to observe the new behavior dynamics of their clients, because what was previously only associated with the new generations, and today is a requirement transcending all ages. All of them, to a greater or lesser extent underwent some type of experience with Fintech services, and this transforms them into the most demanding technology consumers.

For banks and clients to adopt digital channels it is necessary to abandon the fragmented approach to services and begin offering experiences. The key variable for customer loyalty and retention is to work with digital integration.