Our latest study, The Future of Money, reveals the next digital imperative for financial services firms: focusing on “slow money” to make consumers more loyal, less price sensitive and more inclined to do more business with your organization. The study will be presented at the Fast Money vs. Slow Money Seminar, which you can join online here.
In the wake of the fintech threat and other digital disruptions, financial services executives are thinking long and hard about how to deepen their customer relationships. The problem is, many don’t understand their customers’ relationship with money — and neither do consumers, themselves. In fact, many are often unaware of why they act how they do with their money.
Given how much the financial services industry plans to spend on digital (estimated at more than $310 billion annually by 2020), it’s crucial that executives better understand where to focus their investments to meet their acquisition, retention and revenue goals. In conjunction with our partner ReD Associates, we’ve uncovered new insights into just that by studying people in their real environments — and understanding how they make sense of money, investments, pensions, savings, credit and wealth preservation.
Key findings from the study indicates that there’s a big difference between how people feel about “fast” (daily and short-term spending) vs. “slow” (pensions, insurance, investments, etc.) money. The study also indicates that financial institutions are missing the “slow-money” boat. What to do then? We have identified five actions that financial institutions can take to meet the slow-money challenge:
Today, the biggest challenge for financial services organizations is determining how digital can support the marriage of people’s fast- and slow-money challenges: giving customers convenience when it comes to their fast money, and meaningful guidance and integration when it comes to their slow money. Doing so will determine leaders vs. laggards in the digital future.
In the wake of the fintech threat and other digital disruptions, financial services executives are struggling with how to deepen their customer relationships. The problem is, many don’t understand customers’ relationship with banking and money. Until now.