Social Media: Credit Unions Vie With Banks
Sixty percent of U.S. credit union members think their institution is doing a great job at providing innovative technology, according to a survey of online banking customers. That compare with 49% of large national bank customers who felt the same way, and 36% of regional bank users.
Chadwick Martin Bailey conducted the survey, which found 85% of members rate access to their credit union’s online and mobile services as excellent, with significantly lower scores reported for banks.
In fact, speakers at a recent Bank Administration Institute (BAI) Retail Delivery conference focused on a promise unfulfilled among banks, particularly when it comes to using digital channels to give consumers more control over their financial relationships.
Institutions must create a sense of urgency concerning applications such as personal financial management (PFM) tools or more advanced digital alerts delivered via mobile and other channels, according to Mark Schwanhausser, director of multichannel financial services at Javelin Strategy & Research, speaking at the BAI event.
While many banks have adopted both PFM and alerts, there’s ample room to use more advanced data sourcing and analytics to include actionable information in alerts and to make PFM more personalized and integrated closely with online banking.
Consumers are expecting more control over their financial relationships via digital tools, Schwanhausser says, adding that many prevailing online banking and bill payment applications should include enhanced capabilities to allow banks to compete with payments start-ups and attract new customers.
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