No one likes friction; no one likes it when your pant legs stick to your socks. It’s certainly not something you want between you and your bank.
Frictionless Banking means to eliminate the pain points for clients to handle their banking needs, including not having to go into a branch. It is getting pretty rare to stand in a teller line to make a deposit or cash a check. Consumers are now able to bank with ease and immediacy. This challenges financial institutions to find secure, convenient ways for their clients to bank in this age of digital banking.
Technological advances are making it possible for clients to deposit significant sums of money from their cell phone, or for businesses to make daily deposits to their bank accounts, without leaving the safety of their offices. As long as the client has checks to deposit, there is technology to help ease that previous pain point of having to find the time to drive to a physical branch location.
Most banks have already adopted ways to help their clients with these digital options and 2020 sped up that requirement for financial institutions across the board. According to Steve Morgan of Fin Extra, there is a thought in the fintech world that soon clients will be able to use Alexa, if they choose, to check account balances or have Alexa check different banks for rates on certain products. We’ve already seen the shift from face-to-face account opening, or applying for a loan, to all of it being online through a bank website.
Banks are clearly rethinking their branch strategies. Some are adding locations, but most are reducing them. This reduces the cost to the banks, allowing them to be more competitive on rates and fees. Physical buildings are considered strategic marketing. Banks today look for a great site, on heavily traveled roads, versus the convenience of having multiple locations. Making sure their technology accommodates the user, and eliminates all of their pain points, is what matters to clients today.
Even with a touch-free and frictionless financial system, the one thing that consumers still look for is convenience and consistency. This is vitally important to the banking client. No longer should bankers expect the traditional 9 to 5 accessibility to work. Bankers must be available to their clients when the client is looking for a trusted advisor. Being able to reach their bankers when they need to receive a quick response is one friction point that remains basic to solve. Bankers need to act more like the entrepreneurs they serve.
Susan Maurer is the Tampa Bay Market President for Axiom Bank. At Axiom, we pride ourselves in our concierge service levels; we bring banking to you. From cutting edge deposit and mobile products to a commercial suite of lending services designed for businesses of all sizes and in all stages of company life cycles, Axiom is all about maximizing your potential. By providing high-touch value and convenience to our consumer and business clients alike, we live up to our tagline: We Make Life Easier.
