When was the last time you were inside a bank? You know, with human tellers, cardboard marketing promotions, and lollipops? The answer probably depends on a few factors, including your age and the type of transaction you were trying to make. Recent research suggests that "Generation Y" (the folks born in the mid 1970s through early 2000s, also known as "Millennials") will shape the future of online banking, effectively making brick and mortar banks a thing of the past.
Two interesting surveys, one conducted by Cisco and the other by the American Bankers Association, concluded that Gen Y-ers are demanding "on-the-go, personalized communications" and will want to use a variety of platforms and channels to conduct their banking, including mobile devices (97% of Gen Y-ers own one), and social media. The ABA survey found online banking to be the preferred banking method for 25% of bank customers under the age of 55.
Interestingly, nearly 40% of Gen Y-ers are interested in interacting with an adviser via video and prefer web-based personal financial management tools (primarily those offered by their banks) to manage expenses, reduce debt, and maximize long-term savings. Because of this, it’s never been more important for banks to stay ahead of the curve and invest in technology that will support online banking and sustain the influx of the largest American generation since the Baby Boomers as they enter the marketplace.
So, what can banks do?
Two interesting surveys, one conducted by Cisco and the other by the American Bankers Association, concluded that Gen Y-ers are demanding "on-the-go, personalized communications" and will want to use a variety of platforms and channels to conduct their banking, including mobile devices (97% of Gen Y-ers own one), and social media. The ABA survey found online banking to be the preferred banking method for 25% of bank customers under the age of 55.
Interestingly, nearly 40% of Gen Y-ers are interested in interacting with an adviser via video and prefer web-based personal financial management tools (primarily those offered by their banks) to manage expenses, reduce debt, and maximize long-term savings. Because of this, it’s never been more important for banks to stay ahead of the curve and invest in technology that will support online banking and sustain the influx of the largest American generation since the Baby Boomers as they enter the marketplace.
So, what can banks do?
