How Banks Can Keep Young Consumers from Switching to FinTechs
Digital platforms have become all the rage in the last decade. Younger consumers, who have grown up with technology, are becoming more inclined to use digital services like FinTechs. If you own a traditional bank, this can seem frightening. However, there are ways you can capture the attention of young consumers. All it takes is a little creativity in your business model.
Offer More Attentive Customer Service
Face-to-face interaction is a huge benefit to consumers, and young people are no exception. It can be reassuring to talk to someone directly about your financial problems. If the situation is urgent, most people do not want to rely on technology to get the job done, they want to communicate with a real person.
When you do have the chance to interact with your customers, make it worthwhile. Train your employees to be kind and to put the customer first. Live chat options for people visiting your website can also show that your business is alert and sensitive to the needs of its customers.
Get Serious About Mobile Banking
What is the one edge FinTechs have over traditional banking? Mobility! As digital natives, Gen Z consumers want more flexible mobile options. If you can create an effective app that gets the job done, it will more than likely compete with the prevalence of FinTech software.
Hire someone who knows how to make a professional-looking app. They should know the basics of UX design. Add features that people will likely want to use while they are on the go. If you make the online banking experience a swiss-army knife for customer finances, it will make your company look a lot more useful than FinTechs.
Develop a Rewards Program
Another way to incentivize people to come to your business is by creating a rewards program. Loyalty programs are pretty common for businesses—particularly for restaurants and grocery stores. While you probably can’t reward someone for setting foot inside your business, you can reward them with small benefits here and there.
If you are looking for ideas, some websites go into the different benefits you can provide your customers if they open accounts or credit cards with your business. Get as creative as possible! This is a fun way to bring more people to your business.
FinTechs may seem like the cool new thing. If banks don’t learn to adapt to the gradual shift into technology, they could become irrelevant. By merging the in-person benefits of your bank with digital convenience, you can become unstoppable.