Bank customers are using digital and increasing mobile channels to check balances, but they are still reluctant to pay bills through their bank site. Bank branches continue to be important to consumers.
Financial Technology
Convenience, not #trust, is why people choose to pay their bills #online, according to Fiserv’s quarterly report on consumer payment trends. The report, titled “Expectations & Experiences: Consumer Payments,” was released last week. It revealed that while 59% of #consumers surveyed paid bills online, more than half of them said they did not trust the […]
Bank Innovation
EXCLUSIVE— #Banks are competing on multiple new platforms, with a rising number of competitors, but traditional banks still have the majority of the #consumer’s #trust: at least according to Carey Kolaja, chief product officer for #Citi #Fintech. While fintechs and other FIs continue to nudge their way into the #financial ecosystem, 87% of consumers “still […]
Bank Innovation
With the introduction of the revised payment services directive (PSD2) in January 2018 just around the corner, #banks face a new and potentially disruptive era. #Open APIs and PSD2 will, in time, disrupt traditional #banking. It’s no surprise, then, that the majority of global banks are planning to invest heavily in open banking initiatives by 2020, as revealed in a recent Accenture study.
But are consumers ready to embrace the era of open banking? Customers will, for example, be able to share access to their financial data with non-bank third parties, which could provide customers with new, innovative services using their customer data. However, consumers appear to have their doubts and concerns about financial services being provided by non-financial third parties. Another recent Accenture study shows that two-thirds of consumers in the UK said they won’t share their personal financial data with non-bank providers.
These results suggest that banks already have an extremely valuable competitive advantage they can use as they build their open banking initiatives: their customers’ #trust. But in order to capitalize on this in a rapidly changing market landscape, banks need to act now and create their strategy for winning in the era of open banking.
The banks need to move quickly because while they currently possess the advantage of customers’ trust, the study shows millennials are already significantly more open to using services from non-banks. Banks should use the time before PSD2 APIs become mandatory to strategically plan for open banking, create compelling digital launches, link into ecosystems and gather a developer community to be better positioned before non-banks make their moves.
In the Nordics, we see quite a mixed degree of preparedness between various banks to enter the new market. In contrast, for example, retail companies seem to be actively grasping the upcoming opportunities. Many Nordic banks face challenges from adapting their legacy systems and architecture to become Open API-enabled business models.
Reach out to us to learn more about how to address open banking in order not just to comply—but to compete.
The post Open Banking: Why trust matters appeared first on Accenture Banking Blog.
With the introduction of the revised payment services directive (PSD2) in January 2018 just around the corner, #banks face a new and potentially disruptive era. #Open APIs and PSD2 will, in time, disrupt traditional #banking. It’s no surprise, then, that the majority of global banks are planning to invest heavily in open banking initiatives by 2020, as revealed in a recent Accenture study.
But are consumers ready to embrace the era of open banking? Customers will, for example, be able to share access to their financial data with non-bank third parties, which could provide customers with new, innovative services using their customer data. However, consumers appear to have their doubts and concerns about financial services being provided by non-financial third parties. Another recent Accenture study shows that two-thirds of consumers in the UK said they won’t share their personal financial data with non-bank providers.
These results suggest that banks already have an extremely valuable competitive advantage they can use as they build their open banking initiatives: their customers’ #trust. But in order to capitalize on this in a rapidly changing market landscape, banks need to act now and create their strategy for winning in the era of open banking.
The banks need to move quickly because while they currently possess the advantage of customers’ trust, the study shows millennials are already significantly more open to using services from non-banks. Banks should use the time before PSD2 APIs become mandatory to strategically plan for open banking, create compelling digital launches, link into ecosystems and gather a developer community to be better positioned before non-banks make their moves.
In the Nordics, we see quite a mixed degree of preparedness between various banks to enter the new market. In contrast, for example, retail companies seem to be actively grasping the upcoming opportunities. Many Nordic banks face challenges from adapting their legacy systems and architecture to become Open API-enabled business models.
Reach out to us to learn more about how to address open banking in order not just to comply—but to compete.
The post Open Banking: Why trust matters appeared first on Accenture Banking Blog.
Javelin thinks #trust is the key to building long-term #relationships in banking.
Financial Technology
Javelin thinks #trust is the key to building long-term #relationships in banking.
Financial Technology
We live in an incredible, and incredibly connected, world with nearly half the population now online – and there is no turning back. The estimated 8.4 billion connected devices through the internet of things combine with advances in artificial intelligence (AI) and other innovation to deliver personalized payments. For the millions of digital natives, practically […]
Bank Innovation
Checks, cash, and cards are on their way out, right? Not exactly. A majority of U.S. consumers (56%) feel that #mobile payments increase the chance of fraud and theft, according to a study by YouGov released today. As a result, those customers prefer to use debit or credit cards (49%) or even cash and checks […]
Bank Innovation
Javelin thinks #trust is the key to building long-term #relationships in banking.
Financial Technology
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