CUSO-News---Payments-Report

close

Categories

More Tags

Subscribe to Email Updates

Popular Stories

MAP Wins 2019 CUSO of the Year Award
Frictionless Payments
The Quick On Visa’s 8-Digit Bin Migration
How Are Person-to-Person Payments Being Used?
The Most Important Components Of A Credit Score
Written by Cyndie Martini
on September 10, 2019

Signicat recently completed a study of European consumers and found that 38% of them abandoned completion of financial service mobile applications. Despite banks and credit unions continuing to pour money into technology, including mobile, the experience for consumers hasn't changed much since 2016. This is evidenced by the fact that abandonment rates in 2016 were 40%, hitting a high of 52% in 2018.

Overall, 2019 numbers are similar to those from 2016 on ease-of-use for mobile applications. When asked, "How easy did you find the application process for a financial service?", comparative responses looked like the following:

  • Seamless: 2016 - 12%, 2019 - 10%.
  • Very Easy: 2016 - 29%, 2019 - 24%.
  • Easy: 2016 - 46%, 2019 - 43%.
  • Difficult: 2016 - 9%, 2019 - 14%.
  • Very Difficult: 2016 - 2%, 2019 - 6%.
  • Painful: 2016 - 2%, 2019 - 4%.

More people today are finding mobile applications difficult to use compared to 2016. Additionally, the experience in 2016 seems to have been overall better. What is happening here? One thing that accounts for the drop in user experience is that user expectations have increased. As various mobile experiences have improved since 2016, users have come to expect the same from all mobile applications in any industry.

“Institutions have clearly improved their on-boarding processes. But customer expectations have shifted, partly due to challenger banks and fintechs that are laser-focused on perfecting customer experience, but also because consumers are used to better, slicker interfaces elsewhere,” said Gunnar Nordseth, CEO at Signicat. “On-boarding has become a “Red Queen Race” - everyone is innovating and consumers expectations are continually increasing. Financial services providers need to run fast just to maintain the position they have.”

Banks and credit unions can work to increase user experience when filling out mobile applications through document scanning. Some mobile credit card apps such as Apple's wallet already do this by allowing users to scan their credit card. Once the scan/photo acquires the credit card information, it is populated into the wallet's credit card screen. Such technology, coupled with AI-software, can be used for W-2s, drivers licenses, and more to populate customer details and avoid extraneous typing

Let Us Know What You Thought about this Post.

Put your Comment Below.

You may also like:

Online Banking mobile

Your mobile banking app needs an update: Here's what credit unions should do

Your mobile banking app needs an update: Here's what credit unions should do