SEATTLE (2/8/13)--A disparity exists between what consumers want in mobile banking applications and what their financial institutions are offering them, according to a new survey. That means credit unions have an opportunity to seize a service advantage over their for-profit competitors.
"There's an app for everything in today's mobile-driven consumer environment. And, as the economy has suffered over the past few years, consumers are turning to apps for financial management as well," said Brian Moore, financial services market manager for Varolii Corp., which conducted the study. "However, our study shows that most banks are failing to deliver on consumer expectations with first or second generation mobile applications."
Nearly two in three consumers believe it's their financial institution's responsibility to immediately alert them when they have a low balance or insufficient funds to pay a bill, according to the study. Nearly 70% of survey respondents said a banking application could have helped them avoid an overdraft or bounced check.
But 68% of respondents said they have not been notified of a low balance or reminded to make a bill payment. And, the younger consumers are, the more strongly they believe in the importance of financial institutions being proactive--73% of 18- to-24-year-olds believe they should receive notifications from their financial institutions versus 56% of those over 55 years old.
Consumers also prefer to be contacted through multiple digital channels. Survey respondents said they want to receive these notifications and reminders by e-mail (47%), text message (22%) and through their smartphone application (13%).