Additionally, a sizeable minority (30%) use a financial product provided by an AltFI, and as many as one in twenty already use AltFIs for their current account, according to the ‘Banking Disintermediation: The Personalisation Imperative’ survey issued by Personetics, a provider of predictive solutions, paymentscardsandmobile.com reports.
Customer satisfaction was cited by consumers as the key driver when choosing their banking provider. AltFI customers felt that their finances were better understood, better guided and better managed than customers of traditional banks.
When asked ‘what your current provider is best at supplying?’ AltFIs outperformed traditional banks on ease of interaction (46% vs. 29%), convenience (54% vs. 51%) and speed (23% vs. 13%). AltFI customers are also 20% more likely to recommend their provider than traditional bank’s customers.
Service use
94% of respondents use traditional financial institutions for their current account and 30% of respondents have relationships with AltFIs for products other than a current account, with savings accounts and credit cards the most popular.
More than 1-in-4 people (27%) are currently tempted to switch bank accounts. Nearly half (45%) of non-AltFI users would consider switching to one. AltFI customers are 20% more likely or very likely to recommend their provider is than customers of traditional institutions.
Two third (66%) of AltFI customers said that their provider helped them better manage their finances, opposed to 57% of traditional institutions’ customers. Close to half (40%) of traditional institutions’ customers felt that they were little more than an account number.
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