Community Banking Customers Want More Mobile Options

BY Courtney Huckabay
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Community banks are in a continuous struggle against their national competitors. "A recent KPMG report says that 57% of legacy banking institutions are only in the planning phases of upgrading their systems to provide more mobile digital banking services. And fintech competitors are 'nipping at their heels,' happy to take advantage of what is clearly a “disconnect” between today’s financial services consumers and the banks that serve them," Michael Salo writes in business2community.

Digital Banking Trends 2018 Relating to Potential Community Bank Efforts

In looking toward 2018, a white paper published by Info Systems lays out the latest trends in digital banking technology, for both community banks and regional ones.

  • Digitization in the banking sector will move to cloud-​based infrastructures rather than the cumbersome in-​house technology systems still in use by legacy institutions.
  • Personalization will be a key factor for the best custom solutions. Consumers will up their demands for things such as alerts, warnings that they are exceeding their budgets with certain expenditures, recommendations for savings habits, etc. And all of this should be delivered through mobile banking for both regional and community banks.

Online Banking Customers will want this type of personalization for Apple products as well as Android devices. The new AudienceSCAN study found 37% of Online Bankers use iPhones, and 48% use Android phones.

  • Big data and AI will grow in importance, as the finance industry looks to market new products and services that consumer behaviors indicate they want and need.
  • New methods of security will be one of the key trends impacting mobile banking, with such things as fingerprint and photo technological innovations that streamline previous cumbersome and less secure passwords and security questions.
  • Mobile banking trends will incorporate wearables as devices to perform online banking transactions.

Community banks can be on the cutting edge by offering wearable apps. The new AudienceSCAN survey showed 10% of Online Banking Customers wear and use smartwatches (like Apple Watch, Android Wear, etc).

  • Mobile digital bank development will mean lower transaction fees for the consumer, along with the streamlined processes that the consumer now demands.

Credit unions can capitalize on these demands by advertising the above features. The latest AudienceSCAN data revealed 28% of Online Banking Customers took action after receiving mobile smartphone app ads or text message ads in the past 30 days.

  • Fintech app developers are an increasing segment of professionals who are innovating digital finance solutions for the banking industry. And they are in high demand.

AudienceSCAN data is available as part of a subscription to AdMall for Agencies, or with the SalesFuel API. Media companies can access AudienceSCAN data through the AudienceSCAN Reports in AdMall.