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Nearly half of banking customers say they are missing the human connection in banking
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Research released today shows that banking customers are frustrated with their banking experience and are craving a more human connection from their interactions with their bank. The research has been commissioned by experience services
Research released today shows that banking customers are frustrated with their banking experience and are craving a more human connection from their interactions with their bank. The research has been commissioned by experience services business – Foolproof, a Zensar company.
Findings show that – as a consequence of banks closing branches and making a move towards more faceless solutions (such as telephone banking, automation and chatbots) – customers are frustrated with these services as they are falling short of being useful, especially in the current climate where many customers are more financially vulnerable due to rising costs.
Foolproof has distilled the following insight from the research:
Foolproof, a Zensar company, has a long history of working with many of the largest banks in the world, helping them define their digital offerings. These findings fall under a wider initiative to garner more understanding of how customers are interacting with digital products and services within the sector today. When discussing the research, Anup Rege, Chief Business Officer, Integrated Studios at Foolproof said:
“As the data shows, customers are rightfully expecting some kind of change in their relationship with their bank. While it’s not realistic to expect a return to bricks and mortar branches, or to see an expansion of call centres given a focus on reducing cost to serve and large investments in offering a better digital experience, it is reasonable for customers to expect a better relationship with their bank. Especially during this time of economic precarity.
There are technological advancements being made inside banks to evolve chatbots and other automated process functions to take them to the next level because they recognise the opportunity for innovation and the ability to improve experiences and self-service at a lower cost, without a loss of service. Moreover, with the rise of LLMs, creating chat and automated functions which solve customer problems at a deeper level would be incredibly timely and useful. What is required now is a step change rather than the optimisation of existing tools, systems or even digital products themselves, this means releasing these next-generation automations and the experiences which house them.
It is also crucial for banks to understand the pains customers are experiencing, especially at a time when people’s relationships with all financial products and services particularly mortgages, loans and other credit products, are under increased strain. This means designing and radically overhauling help, support, chat and other digital experiences to offer more of a human edge to banking to meet the need of the hour. This might also mean putting touchpoints which are high touch under the microscope, this could enhance systems that support a call centre or online advisor, increase efficiency and drive down cost while still offering a more human connection if they were designed better, with a grounding in employee and customer needs.
Solving this desire for a more human connection is not about some great outpouring of emotion from banks in marketing or digital design but rather connecting with and understanding customers better. This work should facilitate understanding and comprehension through content and design as well as being fundamentally usable and useful. While this may mean a short-term incursion of cost, it will give banks a better chance of maintaining customers and projecting a strong brand when customers need someone to trust.
The end goal of this work should be creating banks or financial products that are as dynamic as people’s lives. What we could see coming to the fore is Open Banking powered financial products which meet more specific needs through more targeted design and service. Banks need to wise up now to respond to this threat.”
Customer experience refers to the overall perception and interaction a customer has with a bank or financial institution throughout their relationship.
Chatbots are automated software programs that simulate human conversation, often used by banks to assist customers with inquiries and services online.
Digital banking involves the use of digital platforms and technologies to provide banking services, allowing customers to manage their accounts online.
Financial vulnerability refers to a state where individuals or households are at risk of financial hardship due to various factors like income loss or unexpected expenses.
Human connection in banking refers to the personal interactions and relationships customers have with bank representatives, which can enhance trust and satisfaction.
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