6 in 10 Indians use mobile banking primarily to check account balance, says Accenture report
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A recent report by global IT services firm Accenture revealed that more than six out of ten Indians (67 per cent) use mobile banking mainly to check their account balances.
The survey, which included 49,000 consumers across 33 countries, including 2,000 respondents from India, shed light on the digital penetration of banks in the country.
Despite the significant digital outreach, only 42 per cent of respondents rated their primary bank's customer service as excellent. Moreover, 54 per cent of them faced challenges in obtaining human support when needed.
Banks in India have achieved significant digital penetration across their value chain. But they are now faced with the reality that digital channels are functionally correct but emotionally devoid. Banks need to bridge this divide by humanising and personalising digital transactions," said Sonali Kulkarni, Lead - Financial Services, Accenture India.
The report found that approximately 36 per cent of respondents were satisfied with the range of products and services offered by their banks.
Additionally, only 35 per cent considered their banks highly competent in providing tailored financial advice, leading to a search for alternative service providers.
Interestingly, 88 per cent of consumers in India acquired financial products from providers other than their primary banks. This trend indicates that banks need to focus on retaining customer loyalty and enhancing their service offerings.
Though digital channels are gaining traction, the report revealed that 78 per cent of consumers still preferred seeing bank branches in their neighbourhoods, considering them a symbol of stability and availability. Moreover, 70 per cent turned to branches to address specific and complex issues.
One notable challenge highlighted by the report is the difficulty faced by younger age groups in managing their increasing number of financial service providers due to fragmentation.
Around 53 per cent of consumers admitted to losing track of their various financial products and services.
The report suggested that banks can leverage artificial intelligence, and data and analytics to better identify customers’ financial intent, have more personalised conversations that flow seamlessly across digital and physical channels, and deliver relevant and holistic products and services, including non-banking offerings.
