Two-Thirds of Consumers Approve Data Use for Personalized Banking

As global consumers seek increased personalization of banking services, more consumers have become comfortable with the use of their data to deliver these experiences, according to Q2.

The newest Harris Poll consumer report found that 74% of respondents have asked for more personalized banking experiences from their financial institutions.

Respondents appeared to recognize that banks require data to meet their expectations as 66% of consumers felt comfortable with their bank using their data to personalize their experiences.

The report also indicated that respondents are more comfortable with banks using their data as 70% expressed their belief in the banking industry’s trustworthiness based on personal experiences.

While consumers are generally supportive of banks using their data for personalization, 48% of consumers have demanded higher levels of security for their financial data in the future.

On the other hand, 70% are comfortable with the use of AI technology for fraud protection.

The report also revealed that many customers feel unsupported by their banks, with 41% reporting their banks provide occasional support or options that reflected their dreams and priorities.

Meanwhile, only 22% said their financial institution regularly anticipates their needs.

According to the report, these figures revealed an area of opportunity for financial institutions to better anticipate and deliver the right solutions and services for their account holders.

Anthony Ianniciello, vice president of product management at Q2, said: "The goal of this survey is to help financial institutions better understand the needs of their consumers and that, while there is a large focus on generational differences, consumers across all generations are asking for the same things: personalized experiences, increased security, and an increased use of AI.

"Understanding these needs is the first step in building banking products that meet consumers in every life stage, while helping banks and credit unions better know, serve, and grow their account holder relationships."