Digital Consumer Trends 2020 – The Nordic Cut
Industry Spotlight: Financial Services
Are the traditional banks challenged by newcomers?
The number of new players in the financial services sector is limited – banks have built high barriers of entry against potential newcomers.
Insurance companies are interacting with their clients via digital channels more than ever, as they handle time-sensitive and increasingly complex matters via phone. Banks, on the other hand, are applying technology in a more situational way. Day-to-day activities are increasingly digital and even mobile, but mortgage negotiations and investment planning are still very much face-to-face activities. Banks have managed to maintain their strong market positions by responding to changing consumer behaviour – even directing the change at times.
Five key stats from the financial services industry:
- Four out of every five Nordic consumers regularly completes daily banking activities, i.e., transferring money to other individuals domestically (84%), checking bank balances (84%) or making other banking transactions (81%) on their smartphones.
- For big decisions like mortgages, face-to-face meetings are preferred (38%).
- On average, more than half of the Nordic consumers acquire insurance online (58%) and almost two thirds make insurance claims online (64%).
- Investment advice is most commonly sought through in-person meetings (31%) or on the phone (25%).
- Top investment tools are browsers on computers (54%) and banks’ apps on smart phones (73%).