CHICAGO–New research has found that since the pandemic began 43% of consumers are now doing their banking digitally, with 24% saying they have increased their digital banking usage.
The research, conducted by BAI, further found nearly all customers (84%) say they plan to maintain the same level of digital usage once in-person banking resumes.
The Findings
Among the other findings:
- The top digital banking resource customers across all demographic segments would use if available in the branch is Video ATM, which was ninth on the list of investment priorities for financial services leaders. “Financial services leaders and consumers agree on the value of Interactive Teller Machines (ITM) with remote teller, with all generations of consumers reporting it among their top three priorities,” BAI said.
- Most financial services leaders reported an increase in customer/member center call volume, with 76% reporting at least a five percent increase due to the pandemic. The top two types of calls received by the contact center during the pandemic have been for support in using digital for the first time (41%) or using the mobile app (36%).
- Gen Z and Millennials are more likely to switch their primary financial services organization for better digital capabilities (72% of Millennials and 61% of Gen Z), BAI reported. More than half of Gen X (51%) would as well, but only 21% of Baby Boomers and older generations would switch.
Permanent Change
“The COVID-19 pandemic greatly accelerated the adoption of digital banking across all generations, and our research has consistently shown that this increased usage is a permanent behavior change,” said Karl Dahlgren, managing director at BAI. “One trend that has come from this digital acceleration and online account opening is consumers preferring a hybrid approach to banking. This is where they keep a checking account at a traditional financial services organization with branches but also open accounts at direct banks or nontraditional organizations to take advantage of better rates or specific benefits.”
Dahlgren added that the research continues to emphasize consumer expectations for a seamless omni-channel experience, saying the branch and contact center will be important components to support a digital first approach.