Bank and Consumers having huge gap today – Cisco Study

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Bank and Consumers having huge gap today -Cisco Study

NEW DELHI: Tech giant Cisco has found that a significant “value gap” between the banking services that today’s digital consumers demand and what banks currently provide.

These are the findings from its global study of more than 7,000 consumers in 12 countries revealing a gap between digital consumer behavior and bank delivery.

The study highlights that Indian consumers have been adopting technology at a blazing rate but don’t feel their primary banks provide the relevant, convenient services they value.

According to the study, 97% of the Indian respondents agreed that they would move their money to a different financial institution for personalized, Internet of Everything (IoE)-enhanced services such as mobile payments, branch recognition, virtual financial and mortgage advice, and automated financial advice.

The data demonstrates a growing gap between what banks offer and what consumers demand; 46 percent of Indian consumers believe that their primary bank doesn’t understand their individual needs. Almost three-quarters of the respondents (72 percent) indicated that they would open an account at a different bank that offered the specific branch recognition services they sought. And nearly a third (30 percent) revealed that they plan to shop for their next product or service at a different bank.

It is clear that despite having customer and transactional data, banks have not leveraged it to its fullest potential. These actionable customer insights would help them enable the personalized digital services that are demanded of them

The study indicated strong consumer interest in key IoE-enabled services that closely align with banks’ core strengths of physical branches, financial expertise and rich customer data; using digitization to leverage these will help banks transform themselves for next-gen customer services.

Source:The Economic Times

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