Driving Engagement When Consumers Have Multiple Banking Relationships

July 14, 2023|0 min read

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Amid market volatility and stubborn inflation, financial institutions are competing to win — and keep — consumer deposits. And, the reality is that consumers are more apt to hold multiple accounts and not afraid to switch or open a new one if their current primary account doesn’t meet their needs. According to Ron Shevlin, Chief Research Officer at Cornerstone Advisors, of the consumers who have opened a checking account in 2022 or 2023, six in 10 have more than one checking account.

Cornerstones latest research also shows 14% of Americans have already opened a new checking account this year. Forty-seven percent of those new accounts were opened with digital banks and fintechs, a notable increase from 36% in 2020.

MX’s latest research showed an even higher influx of new account openings — more than half of the 1,000+ consumer respondents said they have opened a new bank account (23%) or considered switching to a new bank (28%) in the past 6 months.

So how do you keep consumers and their deposits from switching? Engagement is key to increasing share of mind and ultimately, growing share of wallet. It requires frictionless, proactive, and value-driven digital interactions that help consumers’ manage their financial lives and achieve their financial aspirations.

Guide consumers to their financial goals. Consumers want a financial provider that helps them manage their finances with proactive, personalized insights and tools.

Add clarity to transaction data for consumers. When asked about how often consumers see transactions on their account that they don’t recognize at first glance, nearly 1 in 4 report this happens at least sometimes or more frequently. Turn indecipherable transaction data into clear, actionable information to help consumers better understand their transactions.

Empower consumers to create a full picture of their finances in one place. By making it easy for consumers to aggregate all of their financial accounts in your digital or mobile experience, you can become their finance hub, as well as gain greater insights into consumer behaviors to deliver a better experience.