Around half of people want better access to financial products and services without physically visiting branches, according to Moneyhub.
Moneyhub’s new research, which surveyed over 2,000 consumers, finds that financial services companies are failing to provide digital services, missing opportunities to raise income, cut expenses, and increase customer engagement.
According to the findings, half of respondents want a wider selection of products and services without having to visit physical branches, and 48 per cent feel financial applications can help consumers save more money.
Customers also want more personalised assistance (47 per cent), more account management flexibility (47 per cent), simpler financial advice (44 per cent), faster transactions (41 per cent), and automated financial development ideas (40 per cent).
The research finds that technology has caused a shift in customer expectations, with many considering Open Banking as a solution. Over a third or 36 per cent believe Open Banking will increase product quality, with the figure jumping to 54 per cent among young individuals. Open Banking’s beneficial impact is corroborated by Moneyhub platform customers, who report 84 per cent better financial control, 70 per cent better savings or investing, and 68 per cent better retirement planning.
Moneyhub COO Dan Scholey says: “Companies embracing Open Banking and Open Finance can already meet and exceed what customers have come to expect from their financial services providers and provide low friction personalisation at an affordable price point. The kind of data insights necessary to recognise and meet customers’ needs – and to keep meeting customers’ needs over their lifetime – can only be derived from understanding a customer’s full financial position. Without Open Finance, it is virtually impossible to provide this to the mass market and therefore comply with Consumer Duty regulations
“The recent King’s Speech shows that the government means business when it comes to advancing the use of data to support economic growth, specifically by laying the foundation for the creation of Smart Data schemes. However, there’s only so much the government can do to bring modern data solutions to its citizens. Financial services, from banks to insurers, building societies to pensions providers or wealth and investment managers, on the other hand, already have the power to make a tremendous difference to their existing customer bases through the quick adoption of open finance and open banking solutions.”
