Can Banks Improve Their Online Presence?

Phone showing bank stocks

Can Banks Improve Their Online Presence?

Can Banks Improve Their Online Presence?

There are two statistics that should spur banks into action when it comes to their online presence. The first is that 97% of those aged between 25 and 34 make use of internet-on-the-go, and that in 2017, the most common way to use internet-on-the-go was a mobile device. With online banking profiles mobile apps, notification systems, and easy payment systems available, it may seem like banks are crossing all their t’s. An answer to the question whether banks can improve their online presence is a resounding yes, however, and here’s why.

When Was The Last Time You Saw Anything But Ads On Twitter?

Although banks enjoy massive followings on Twitter, it’s hard to remember a time where they actually engaged with their customer base. There is a lot to learn from Twitter superstars such as Walmart, Whole Foods, Nike, and AirAsia, who not only respond to their customers in a fast and efficient way, but also engage in witty banter. There is no replacement for human interaction and while Twitter is a digital product, there is nothing worse for a customer than to feel like they’re part of an auto-reply loop.

Customers Still Feel The Need To Go To The Bank

Big financial decisions still prompt bank customers – as much as 63% – to put on their Sunday best and make their way to the bank. This is not because technology is failing them, but rather the inability to educate customers to use these products. Although banks provide enough tech to support a fully online service, customers are still nervous as they are either unsure how to use the technology to improve their financial journey, or they’ve had a bad experience before.

Customers want to know that there is someone on the other end who will guide them through the difficult parts and that there is remedy if they make a mistake or forget something. With a fully online system, they may not feel comfortable with the process, especially if the application isn’t cookie cutter. The chance that a computer might be making a decision is off-putting to customers.

Banks Need To Build Their Brand Too

The fastest way to reach a modern customer base is online, and social media is one of the key levers to pull. But many banks seem to miss out on the opportunity to build their brand and instead, punt their product. For a consumer, the constant barrage of ads might just deter them from certain institutions. Advertising is no longer about persuading people to buy a product, but rather to be noticed and remembered. For banks, this can be a tough one as they’ve always been used to pushing products as solutions.

Banks are now in the predicament that they need to prove innovation, and disruptive technology such as cryptocurrency is just the start. The traditional approach to banking will no longer suffice and the ask is that banks create awareness around online innovation. Perhaps video conferencing facilities with a bank instead of a physical appointment, or online facilities that allow for unique situations, not the cookie-cutter approach.

Banks can do better online and the public perception needs to improve as well in order for these changes to be accepted. For banks, the severity of not adapting to the ever-evolving digital age will result in loss of market share as a result of poor brand awareness.