Would you bank with Amazon? New research from Fiserv finds consumers are significantly more comfortable with the idea of using technology companies to make financial transactions than ever before. As the potential for disruption grows, financial institutions are evaluating their offerings and go-forward strategies.
Expectations & Experiences: Channels and New Entrants, the most recent quarterly consumer trends survey by Fiserv, found more than half (55 percent) of people would be comfortable using a technology company, such as Apple or Google, for various types of financial transactions, compared to 40 percent of respondents in 2017. At the same time, use of traditional financial institutions for bill payments, loans, money management and other financial services remains steady.
“Financial institutions are already competing at some level with nontraditional providers and technology companies for mortgages, payments and budget-tracking capabilities,” said Pat Reetz, senior vice president of Product Management for Bank Solutions, Fiserv. “While that disruption can be disconcerting, our advice is to embrace it. Yes, offer innovative products and services but differentiate with personal attention, data-driven recommendations and relationship-building interactions.”
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