LONDON—A new study conducted by True Digital in partnership with insight research company Strive has found that the British public still has concerns around fintech adoption.
The study, which spanned 12 months and looked into different areas that are causing market inertia in the finance industry, found that despite leaps in fintech innovation, the British public won’t be so quick to adopt new digital-only financial products, Business Cloud reported.
The British public are unsure of how digital-only financial providers operate. The two main concerns are around data privacy and how artificial intelligence will be used to offer products.
“2018 is shaping up to be a pivotal year in the financial services industry,” said True Digital Managing Director Tim Jones.
“For several years now, there has been much talk about digital transformation and the significance of Fintech, but this is the year we will really see things come to fruition with the more mature, widespread application of technology-driven solutions,” he said. “The challenge with fintech innovation will be ensuring customers don’t get left in the dark about fundamental concerns like data privacy, customer service automation, and artificial intelligence.”
The study surveyed 1,002 and found that only 19% of respondents were able to confidently say they know how tech companies use their data.
Trust drops even lower when asked which channels customers trust to keep their personal data secure, finding that only 7% trust a social media/communications brand such as Facebook or WhatsApp, Business Cloud reported.
The study also found that while 56% of respondents are happy to use their bank’s app to transfer money, check their balance and pay bills, only 26% have used a third-party digital payment method such as Apple Pay or Samsung Pay, Business Cloud said.