Banks can Regain Merchant Trust with More Digital Options

Banks can Regain Merchant Trust with More Digital Options

In the rapidly advancing world of technology, banks have to make strategic moves to keep up with the competition. With all of the recent cyber security breaches, gaining back customer trust is an integral issue for banks in order to continue business. Find out how you can secure the trust of your customers:

Know the facts

According to a Harris poll, about half of the surveyed U.S. adults reported losing trust in their banks over the past couple of years. There are a number of factors that affect how much trust people instill in their banks. Personal experience is the reigning determinant in how trustworthy customers view their banks to be. The other leading causes are the quality of customer service and products, and the amount of money the bank charges in fees. The Harris poll also found that, smaller, local banks have a higher rate of trust than larger nationwide financial institutions, likely because of the level of service these establishments are able to provide. 

A great way to build customer assurance is by providing customers with the digital options they want. Smaller, consumer-centric banks are providing their clients with banking options in their preferred channels, but this movement needs to be more widely adopted. According to Digital Transactions, smartphone producers are gaining the lead in trust with more consumers transitioning to mobile wallets. This is because people interact with smartphones all day long. Every download, every message and every purchase made on the smartphone contributes to the customer feeling more secure.

Use technology to your advantage

According to Digital Transactions, a Javelin Strategy & Research report revealed that 45 percent of consumers say they would be very likely to use a mobile wallet provided by their primary financial institution. The survey illustrates that banks have potential to win back customers and trust by utilizing the same type of mobile wallet applications as major technology companies. Making banking solutions available for customers through their mobile devices, customers will be able to transfer the trust they have in their smartphones to their banks.

If mobile wallets aren't on your bank's agenda, consider other technology alternatives in order to reinvent the banking experience. Accenture advises that banks adopt a digital-first mindset. Simply switching to digital communications can have a major impact on building customer rapport. For example, consider investing in a virtual assistant application that will guide customers through online banking. This type of application can make personalized suggestions and tailor the banking experience to a customer's needs. Other common digital services provided by banks are electronic check processing and 24/7 ATM availability.