MELBOURNE – January 21, 2014 – Australian financial institutions have embraced digital applications but consumer sentiment and adoption rates reveal that there is a significant opportunity for deeper and more defined customer engagement in 2014.
The latest research from Effective Measure, the Australia founded online measurement specialist, covering the finance sector: Australian Finance: Mobility & Access Report, revealed that Australian mobile and web based transactional services are competitively benchmarked against global counterparts but the shifting engagement dynamic caused by technology and generational usage patterns requires a more sophisticated approach.
The Effective Measure Finance Report findings suggest that there are key areas of opportunity for financial brands to consider in the development of the app economy and the future of transactional banking.
Specifically, data wrangling, demographic analysis and pairing services with targeted users are the foundations for enhanced usage and new service integration.
Targeted demographic data research is key to improved customer relationships. While market research can test the barometer of consumer intention, leveraging the data that apps and online customer engagement can provide offers providers with unique behavioral insights into client needs and engagement patterns.
“The deployment of financial apps across devices is not just about enhancing transactional functions but also about developing deeper engagement with customers. By shifting the customer relationship to a personal device, banks can provide a service, build brand awareness and get to know the needs of the customer more acutely and tailor future services in that personalized basis. The consumerization of technology and data has changed the game and the personalization of services puts the customer’s needs on centre stage,” said Effective Measure Regional MD – Oceania, Dinesh Arasaratnam.
The report also found that there is a growing generational divide in usage for specific services, which is set to continue. Effective Measure research revealed that the younger demographic, the under 24 year olds, are leading the trend for debit card use and generally steering away from credit based choices. This is clearly apparent in current usage and intention to use over the next six months. Comparatively, the older generation, 35 to 64, remain devoted to high propensity to use credit.
“The rise of debit card services in the youth demographic can be matched to a higher engagement in this age group for digitally based transaction methods. This is a generation that has grown up with PayPal and virtual currencies and is very comfortable with digital transactions. Financial institutions need to cater to this growing demographics needs and
offer services accordingly. For the older users, the research suggests that more education of newer services is required,” Arasaratnam advised.
Effective Measure’s service suite utilizes the best of breed, big data, statistical analysis that can assist in defining target markets in specific and quantifiable terms which improves the understanding of the many markets and client profiles that financial institutions serve.
“By differentiating among the many segments of a target market, institutions can allocate resources more effectively and precisely. Effective Measure is assisting financial institutions and brands in how to use demographic data to provide deeper and more precise engagement with clients. Mobility is a clear channel to enhanced services and direct communication in addition to merging the needs of the evolving consumer with targeted services,” Arasaratnam
added.
The Effective Measure “Australian Finance: Mobility & Access Report”, January 2014, is based on a survey of Australian consumers via Effective Measure’s network. The research took place during December 2013.
