Blog » MRS API

August 8, 2022

What do Customers Expect from their Bank?

• Digital Banking
• Transaction Enrichment

Banks need to understand the changing expectations of their customers when it comes to providing banking services and respond to them. In today’s landscape, customer experience in banking is a top priority as millennials and wealth management consumers increasingly demand services that are fully integrated with their digital lives. To meet these needs, challenger banks are rapidly emerging, prioritising user experience from the very first interaction.

Some of the expectations that the digital customer has from their bank include:

1. Customers want easy-to-use and transparent mobile applications

In 2024, with 78% of consumers using mobile apps as their primary banking tool​, improving customer experience in banking depends on the usability of these platforms. Customers demand apps with intuitive, user-friendly interfaces that allow them to have an effortless and clear experience. They want a banking option available at the tap of their smartphones, a device that they use for almost all their online engagements.

In addition, a consistent and transparent browsing experience improves user engagement. This is where transaction enrichment plays a crucial role. By transforming raw transaction data into meaningful insights banks can greatly enhance the transparency and usability of their apps. For example, when customers review their recent purchases, they see clear information instead of confusing numbers or unfamiliar merchant codes. This includes recognisable logos, merchant names, and even the location on a map. This level of detail not only greatly improves customer experience in banking but also builds trust, as users feel more in control and aware of their financial activities.

2. Customers prefer smooth banking procedures

The ease with which users navigate their banking apps significantly impacts the digital banking customer experience. Therefore, banks should strive to make the banking experience seamless and straightforward for their customers.

With most transactions shifting online, users demand an experience that is both frictionless and efficient. Real-time notifications are becoming increasingly crucial in this context, as they allow users to stay informed and act immediately on important financial activities. These alerts enhance the overall user experience by providing timely information and are also key in fraud detection for banks.

3. Customers demand simplified account opening

A smooth onboarding process is key for improving customer service in banks. In other words, customers increasingly expect to open accounts quickly and easily, with minimal hassle. On this matter, digital banks like N26 and Monese have led the way in simplifying this process, allowing users to verify their identity quickly through their mobile apps.

In this regard, location-based services, such as Google Maps Platform APIs, play a key role in this process by allowing customers to input their addresses through geolocation. This enables banks to instantly verify the information against official databases, speeding up the onboarding process and reducing the need for manual checks. The result is a more convenient, efficient customer experience that meets the growing demand for fully digital banking services.

4. Customers seek personalised and contextual financial services

Personalised digital banking has become a fundamental component of a superior user experience, with consumers seeking tailored financial services. Customers tend to be loyal to banks that grant them access to good deals. Most of them will open accounts with banks that have a customer loyalty program in place. For this reason, banks need to go beyond the personalisation of existing customers to offer excellent, high-value reward and cashback programs that will attract and help retain customers.

AI-driven personalisation is also becoming the norm, with banks leveraging transaction data enrichment to deliver contextually relevant offers. For example, offering a discount on travel insurance to a customer who has just purchased a flight ticket adds significant value and enhances the overall user experience​.

5. Customers are looking for responsive customer service enhanced with AI-powered solutions

The most significant percentage of consumers look for quality customer service when deciding where to open their bank accounts. Consumers are looking for banks that are transparent in their operations and charges, friendly in service, and accessible to their customers.

In this regard, AI and chatbots are revolutionising customer service in banking by providing instant, efficient support. Customers expect quick resolutions to their issues, and AI-powered chatbots offer 24/7 assistance, handling routine inquiries and transactions with ease. According to a Finextra article, 61% of consumers are happy with their banks using AI to support them and 13% are excited about AI’s potential in banking.

These AI tools are not just about cost-saving; they enhance the customer experience by providing personalised interactions. Advanced AI systems can analyse customer data to offer tailored advice and solutions, making the banking experience more relevant and user-friendly.

Conclusion

As digital banking continues to evolve, the emphasis on enhancing the customer experience is paramount. Banks that prioritise intuitive design, streamlined processes, and advanced technologies like AI and transaction data enrichment will be best positioned to meet customer expectations.
By offering enriched transaction details—such as merchant names, logos, and locations—banks not only improve transparency but also build trust and engagement. For banks looking to stay ahead, focusing on these innovative solutions is key to transforming customer interactions and fostering long-term loyalty.