The following is a finding drawn from our upcoming Bank Customer Survey Report, set to be released in late June. Firms that engage Corporate Insight for a custom Bank Website Audit will receive the report for free.
Corporate Insight’s recent Bank Customer Survey found that mobile banking customers are twice as likely to switch firms as customers that have not logged into their bank account via a mobile device in the past 12 months. The survey asked 1,000 bank customers the likelihood that they would move their primary checking account to a different financial institution. Only 7% of non-mobile using customers said that they would “probably” or “definitely” switch to a new firm in the near future. This compares to 14% of participants that do use mobile banking.
Mobile Banking and Brand Loyalty
One explanation for the survey findings could lie in the demographic that uses the technology. Mobile banking customers are younger and hold fewer assets than the average consumer in our survey. As a result, they tend to have less brand loyalty. Mobile is an important channel not only for retaining dissatisfied customers, but also for increasing overall customer satisfaction. This may be especially true for the younger generation of banking customers.
Mobile banking is also tied to customer loyalty in a positive way. The vast majority (88%) of participants that rated their mobile experience as a four or five out of five also reported that they are very likely to recommend their bank to a friend or colleague. Whether banks are attempting to engage younger clients or increase positive mentions, they have plenty of reasons to put their best foot forward with regards to their mobile banking platforms.