By now you’ve probably heard, read and studied (at length) how Millennials are disrupting the banking industry.
For instance, one large survey found that 1 in 3 Millennials are open to switching financial institutions in the next 90 days — and that, as an industry, banking is at the highest risk of disruption by the Millennial generation.
Even though Millennials are less brand loyal in the financial services space than previous generations, senior Millennials and Gen X surprisingly desire the same things from their banking relationship as generations past:
- Security
- Simplicity
- Multiple customer service options
These “traditional values” are reflected in their banking choices – over 90 percent bank with a traditional institution (even if they’re open to change.)
What About Baby Boomers?
With an average of $100,000 in investable assets, Baby Boomers are far wealthier than their Millennial counterparts. This is no surprise given the Boomers’ longer tenure in their careers and higher earning power. They’re also 37 percent more likely to be brand loyal to their primary financial institution.
But Boomers aren’t banking in just one place, either. Boomers bank with an average of four different institutions.
And while many members of this generation still prefer face-to-face interactions in a branch, mobile banking is on the rise, with 71 percent interacting with mobile banking at least once a week.
Three Things All Generations Want From Their Financial Institution
All of the data paints a clear picture: each generation is different.
And yet, common ground exists.
No matter the generation, account holders want three important things from their financial institution.
1. “Any time, Any Place” Access
Sixty-one percent of all account holders want “any time, any place” access to balances from their financial institution. This means at midnight on a Saturday night or when they’re thousands of miles from the nearest branch. This emphasis on technology and convenient web access is no longer just for the younger generations.
2. High–Level Customer Service
The attraction of stellar customer service is universal. Account holders across all age demographics want to bank with brands with outstanding service. In a recent study, 29 percent ranked customer support as the most important factor in the purchasing decision, and a reported 20 percent of account holders swap banks because of poor service.
3. Customized Product Offerings and Advice
Millennials may be the “all about me” generation, but account holders of all ages would love to see more customized product offerings and advice from their bank.
Sixty-three percent of respondents (across many ages and demographics) in a recent study wanted more personalized advice from their financial institution.
How Financial Institutions Can Deliver On All Three
Mobile banking delivers on the three “must haves” above.
But, beyond having a mobile app, how can financial institutions ensure account holders fully utilize their mobile technology? Despite the popularity and convenience of mobile banking, many account holders do not understand the true value the tech offers and remain unmotivated to try mobile deposit.
Mobile Deposit Activation by Vericast takes on this challenge by engaging less active mobile users via a direct mail incentive offer that nudges them to give mobile deposit a try.
