It’s old news to say that mobile apps are gaining traction in the financial services space.
In fact, 45% of customers surveyed in the NetFinance 2016 Consumer study said that mobile apps were their preferred method of interaction with their banks.
Auto lenders have recognized that trend, and have looked into leveraging their digital channels accordingly.
The study, published last week, surveyed 580 mobile users to explore attitudes and perceptions around mobile banking. The outcomes were summarized in three key recommendations for mobile banking apps. Auto lenders, however, could also use a page out of this playbook.
Prioritize security around mobile banking platforms to persuade more users
Security threats in mobile banking is a concern among the users. According to the study, 18% of the respondents were “highly concerned” about the security aspects of banking apps; 17% indicated “concerned,” and 39% responded “somewhat concerned.”
“While security is still a major concern among bank customers who have already made the jump to mobile, it is proving to be a persistent barrier to those who have not yet tried it,” the study says. “Concerns around identity theft in particular have many bank customers [67% of those surveyed] wishing for biometric security features as well as stronger mobile firewalls and antivirus software.”
To avoid this barrier, finance providers should prioritize security as a major feature of their apps.
Continue to implement user-friendly design and functionality on mobile platforms
A user-friendly, fun design, with a simple payment page is important, especially when dealing with millennial customers, Max Haynes, chief executive of Car Loans Inc. told us earlier. Fun and easily redeemable rewards for timely payments – such as Starbucks lattes or Amazon gift cards – will keep your customers updated and engaged, Haynes said.
While your app doesn’t necessarily have to include rewards systems (yet?), ease of use, functionality on mobile platforms, and user-friendly design should be on top of your priority list, according to NetFinance’s study. “The main positives that mobile banking users enjoy are their ability to stay connected to their financial information on an at-will basis, as well as the simplicity of operating the apps themselves,” the study said.
When engaging in in-app marketing, the right targeting is an important ally
Like on every other marketing platform, targeting the right audience is essential when utilizing mobile apps for marketing, according to the study. “While mobile users have a generally unfavorable view of in-app marketing [56%], there is a share [18%] that are willing to engage provided that they feel they are being informed about services that are relevant to them,” according to NetFinance.
The takeaway: there is an opportunity for in-app marketing, and developing a strong targeting process should be the first step.
