• / Free eNewsletters & Magazine
  • / My Account
Home>Payment, Tech Companies May Give Banks a Run for the Money as Consumers Grow Comfortable Using Them for Financial Activities

Payment, Tech Companies May Give Banks a Run for the Money as Consumers Grow Comfortable Using Them for Financial Activities

Payment, Tech Companies May Give Banks a Run for the Money as Consumers Grow Comfortable Using Them for Financial Activities

09/20/2017

Payment, Tech Companies May Give Banks a Run for the Money as Consumers Grow Comfortable Using Them for Financial Activities

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.

©2017 Morningstar Advisor. All right reserved.