TurnerLittle Checks Out Banks’ Priorities for 2018
If you’ve been a little—or a lot—disillusioned by the way your bank does business, you’re not alone. A lot of users are turning to mobile payments options, as well as mobile-only banks, as a means to get what they want. A new report from TurnerLittle, sent our way, details just what banks are looking to do in 2018 as a way to respond to the growth of mobile in banking.
Customers have some serious problems with banks, the TurnerLittle report found, and these are problems banks will need to address in short order lest their customer base drift away. Customers are so far concerned with such things as slow-paced technology and products that don’t mesh with their lifestyles. The biggest frustration customers have is with “unclear, complicated language and charges” .
Banks, for their part, are planning to focus on several fronts, the highest priority among these is security. Eighty-nine percent of banks plan to “enhance cyber and data security” this year, followed up closely by “implement a digital transformation program” with 85 percent. Coming in third is a plan to “improve risk management.”
TurnerLittle managing director James Turner noted “It’s clear traditional banks need to embrace digital advances, such as those under the FinTech umbrella, to drive opportunity. Not only will this improve efficiency and help to manage risk; it’s critical to sustainable success. In fact, it is understood embracing digital innovation will provide banks with the key to reach their goals in 2018 and to appease fed up consumers.”
For these reasons, and likely many others, it’s a safe bet that mobile banking solutions will continue to gain ground in the coming months. Banks are trying, but seem to be focusing a lot of effort in directions that customers really aren’t interested in. Granted, customers have long had concerns about security, especially in mobile payments, but if banks want to keep customers out of the mobile pool, they’ll work on addressing organizational complexity just as hard as security.
With banks chasing every problem but the ones customers actually have, the future doesn’t bode well for physical branch banks. Only time will tell what impact this has, or if the banks can make changes appropriately, but for now, the news is not good.