Fiserv research highlights implications of
consumer behavior for financial service delivery
The latest Expectations & Experiences consumer trends survey
from Fiserv, Inc. (NASDAQ: FISV), a leading global provider of
financial services technology solutions, finds a substantial number
of consumers are comfortable using nonfinancial providers for
essential activities such as paying bills, transferring money to
others, and taking out loans. The survey also found notable
adoption of voice-activated technology, with half of consumers
using a voice-activated device feature within the past year, and
over a quarter of those using it for a banking function within the
past 30 days.
“Technology and payments companies may give banks and credit
unions a run for the money as consumers become comfortable using
these companies for financial activities, an undeniable signal for
financial institutions to take note,” said Mark Ernst, Chief
Operating Officer, Fiserv. “It’s critical that financial
institutions think of themselves as technology providers in order
to capture the opportunity to expand upon existing customer
relationships and meet the demand for fast, convenient solutions
that make people’s lives easier. The best and most convenient
options will be the ones that win out.”
A paper detailing the results and research methodology of
Expectations & Experiences: Channels and New Entrants,
highlighting the impact of consumer technology adoption on
financial behavior and the many implications for financial services
delivery, is available at https://fisv.co/channels17.
Consumers Are Comfortable with New Providers
While consumers remain significantly more comfortable conducting
financial activities through a bank or credit union, many are
comfortable with newer options.
When it comes to bill payment, 88 percent of consumers are
comfortable paying bills through a bank or credit union, 52 percent
through a payments company, 40 percent through a technology
company, and 16 percent through a social company.
For taking out a loan, 82 percent are comfortable doing so with
a bank or credit union, 32 percent with a payments company, 29
percent with a technology company, and 14 percent with a social
company.
Results are similar for other financial activities, including
managing money, tracking budgets, and transferring money to others,
with consumers indicating the highest levels of comfort with
financial institutions, followed by payments and technology
companies, and trailed considerably by social media companies.
These relatively consistent levels of comfort may reflect
consumers’ perceptions about the ability of these organizations to
secure financial information and transactions.
Comfort with Nontraditional Providers Tied To
Demographics
Generally, younger consumers, more affluent consumers, and those
in urban areas are more likely to be open to using nonfinancial
organizations for financial activities.
Nearly two-thirds (65 percent) of millennials are comfortable
managing their finances through a payments company, compared to 26
percent of non-millennials. In addition, 63 percent of millennials
are comfortable managing their finances through a technology
company, compared to 24 percent of non-millennials. Millennials are
nearly five times as likely as other generations to be comfortable
managing finances using a social company, at 34 percent for
millennials and 7 percent for non-millennials.
Despite their comfort with nontraditional providers, millennials
are maintaining relationships with traditional financial
institutions, with 90 percent reporting they have a national bank,
credit union, community bank, or regional provider as their primary
financial institution.
Voice Banking Emerges
Emerging financial services such as voice banking will play a
key role in maintaining consumer relationships.
For some, voice banking has arrived, with half of all consumers
reporting they used a voice-activated device feature in the past
year. Among them, 70 percent used the feature to search for
information, 56 percent to ask directions, and 26 percent to
perform a banking function within the past 30 days.
When asked specifically about accessing voice banking via their
financial institution, 15 percent of consumers expressed interest,
including 33 percent of millennials. Interested consumers said they
would like to check account balances (68 percent), pay a bill (46
percent), and transfer money between accounts (38 percent) through
a voice-activated device.
Expectations & Experiences is one of the longest-running
consumer trends surveys in fintech and builds on 15 years of survey
data. The survey of 3,116 U.S. banking consumers was conducted
online by Harris Poll on behalf of Fiserv in February 2017.
In a world that is moving faster than ever before, Fiserv helps
clients deliver solutions that are in step with the way people live
and work today - financial services at the speed of life. Learn
more at fiserv.com.
Additional Resources
Expectations & Experiences: Channels and New Entrants –
https://fisv.co/channels17
About Fiserv
Fiserv, Inc. (NASDAQ: FISV) enables clients worldwide to create
and deliver financial services experiences that are in step with
the way people live and work today. For more than 30 years, Fiserv
has been a trusted leader in financial services technology, helping
clients achieve best-in-class results by driving quality and
innovation in payments, processing services, risk and compliance,
customer and channel management, and insights and optimization.
Fiserv is a member of the FORTUNE® 500 and has been named among the
FORTUNE Magazine World's Most Admired Companies® for four
consecutive years, ranking first in its category for innovation in
2016 and 2017. For more information, visit fiserv.com.
FISV-G
View source
version on businesswire.com: http://www.businesswire.com/news/home/20170920005839/en/
Media Relations:Ann CaveDirector, Public RelationsFiserv,
Inc.678-325-9435ann.cave@fiserv.comorAdditional
Contact:Elizabeth McMillan, APRDirector, Corporate
CommunicationsFiserv,
Inc.678-231-3443elizabeth.mcmillan@fiserv.com
Fiserv (NASDAQ:FISV)
Historical Stock Chart
From Mar 2024 to Apr 2024
Fiserv (NASDAQ:FISV)
Historical Stock Chart
From Apr 2023 to Apr 2024