Advocacy has never been more important than in this age of consumer choice. As account holders become more empowered, financial institutions need to focus on building trust and loyalty or risk being left behind.
Forrester Research says that digital money management is essential to “quash the disruptive threat from digital banks” and “garner the loyalty of younger customers,” and Accenture has found that 67% of millennials "are interested in their bank providing tools and services that help them create and monitor a budget."
Do you ever struggle to understand how to appeal to different demographic segments? In this digital white paper, we turn to industry experts to answer demographic questions including:
With digital leaders like Amazon, Netflix, and Apple setting expectations for user experience, do your account holders rave about their digital experience with you?
Whether you know it or not, the battle to remain top of mind and be the primary financial institution for account holders is (and will continue to be) the biggest challenge you face as a banker. Consumer trends, banking revenue models, the competitive landscape, and the rise of digital have fundamentally changed the game. With all disruption, things build up slowly without you really noticing and then bam, a catastrophic change happens.
The financial services industry is in the throes of the digital revolution. Large banks are spending upwards of $500 million a year on mobile alone, global fintech investment grew 201% between 2013 and 2014 and a CEO of a major bank predicts that up to half of the world’s banks will disappear through the cracks caused by digital. In addition, Accenture believes that these changes, combined with deleveraging and squeezed margins, will put 30 percent of traditional banking revenues at risk by 2020.
Interested in learning more about the products MX offers? We've created a PDF that outlines everything in one place.
Banking today is built on a foundation of digital data. The old enormous filing cabinets filled with account documents and ledgers have been replaced by data centers, and the financial industry is floundering to make the most of the shift. As Chris Skinner, author of the book Digital Bank, puts it: “We built an industry on the physical distribution of paper in a localized world, and we’re now having to get to grips with the digital distribution of data in a networked world.” For bankers, it’s not business as usual.
“Millennials’ annual spending power is expected to surpass Baby Boomers by 2018.” - Market Insights
What is Account Aggregation?
Account aggregation enables users to see all their accounts and transactions in one place. For example, if ACME Financial offered account aggregation, account holders could log in and view data from Wells Fargo, Chase, and potentially anywhere else they have a financial account — all through ACME Financial’s banking portal. In short, account aggregation turns a digital banking portal into a one-stop financial hub.