As anyone in the banking industry knows, fintech (and the businesses that harness technology to provide new options to the market) have been disrupting the landscape for a while now. It’s not a stretch to say that digital banking has transformed the industry, taking traditional, tried-and-true processes and offerings and turning them on their heads. And it is showing no signs of slowing down.
Much of it is fueled by consumer expectations. We do everything on our smartphones today, whether it’s monitoring our health by tracking our exercise and diet, running our households through smart home apps or communicating with our loved ones instantly. So, why not bank on your phone, too? Digital banking is not a nice-to-have for financial institutions anymore, it’s a must if they want to stay relevant and competitive. It’s a brave new world out there. Customer expectations have driven innovation in the digital banking arena, and just when you get comfortable with one trend, another eclipses it.
What is the role of technology in the bank of the future? Here are a few examples.
Mobile banking technology
According to Business Insider Intelligence’s recent Mobile Banking Competitive Edge study, a full 89% of survey respondents use mobile banking today.
Just a few years ago, the hot new technology was remote deposits. Imagine, depositing a check by taking a photo of it on your smartphone! Now, remote deposits are a must-have on your bank’s app. Newer options are catching consumers’ eyes today. Security is an issue with mobile banking, so the ability to place holds on credit and debit cards, and mobile wallets that allow consumers to make purchases using their smartphones, are becoming increasingly popular. Look for innovations in savings tools and increasing options to help users track their financial wellness.
We’re not heralding the ultimate demise of brick-and-mortar banks, but there’s no denying the growing popularity of digital-only banks or “neobanks”, especially among younger customers. These are banks that have no physical locations, like Chime – one of the fastest-growing digital-only banks in the U.S., with 2 million users and climbing, adding more new consumers each month than either Wells Fargo or Citi.
What does Chime offer that your mobile app doesn’t? Their app is award-winning, modern, intuitive and, dare we say it, pretty. Chime has no hidden fees, no overdraft fees, early direct deposit features, spending tracking, bill pay, money transfer and more. Creating an account takes two minutes on your smartphone.
According to the Business Insider Intelligence report, The Evolution of the U.S. Neobank Market, digital-only banking is set to explode in the U.S. because of changes in regulations. Two major players, Chase and Goldman Sachs, have already rolled out digital-only options.
How Deluxe technology can help
We get it. It feels like technology is turning banking’s solid foundation into shifting sands. It’s vital for banks to keep up with technological trends. But don’t worry – we can help with that.
We frequently help financial institutions update and revamp their websites. We’ve found that many financial institutions just haven’t spent the time to design their homepages with their consumers’ needs in mind. Today, it’s all about convenience, speed and security. Here are five things to make sure you include on your homepage.
Routing number. Your customers and members need this information every time they sign up for direct deposit or set payments to come out of their checking accounts automatically. Don’t make them hunt for it.
Fraud hotline. If people get their wallet stolen or lose their credit or debit card, they don’t want to wade through pages of information to find the phone number needed to cancel that card. You probably have valuable information on your website about this, but their immediate need is the phone number.
Link to mobile apps/payments. Some people will instinctively go to Google Play or the Apple Store to look for your mobile apps, but you should also make those links readily accessible. If for no other reason, it tells consumers immediately what digital offerings are available to them.
Information about how to join (for credit unions). This is the single most important piece of information people need before they become members of your credit union. Either put the eligibility requirements directly on your home page or include a link with words like How to Join or Become a Member.
Loan application. You’d be surprised by how many financial institutions don’t have a link to their online loan application on their homepage. Make it easy for your customers to find.
Banker’s Dashboard App
Users know how powerful a tool Banker’s Dashboard is for financial executives, getting daily access to data about their bank’s performance at their fingertips. We developed an app specifically for the iPad OS in response to the fact that an increasing number of our clients were accessing BD on their tablets. The desktop tool is so comprehensive and packed with features, we created an app with a streamlined interface specifically for tablets that takes better advantage of the tablet’s interactive capabilities.
It’s all part of Deluxe helping our customers keep up with technology, staying ahead of the tide of digital transformation and helping banks be more relevant in the digital age.
We want to hear your thoughts about banking’s digital transformation.
- What are your biggest concerns with how digital is changing banking?
- What are your greatest pain points?
- What is something your institution is doing to meet your customers’ digital needs?
- How is Banker’s Dashboard helping you stay on top in this area?
Email us to let us know how we can help!