Independent Banker - August 2022 - 58

PREFERRED
PERSPECTIVES
Generational Expectations Require a New Approach
David Fura,
Head of Card Solutions
The influence of today's younger
and tech-savvy customers
pushing for increased fintech
and bank collaboration can't
be ignored. As millennials and
Gen Z become fully immersed
in the financial services world,
community banks must rethink
how they engage with customers
from all generations and take on a new approach - it's
time to go digital.
Expectations of the younger generations
Maturing in the digital age, millennials expect greater
ease of financial planning, immediate access to banking
information and to bank with firms that can anticipate
their financial needs. Millennials have the highest
percentage of early adopters of technology and lead the
way in digital payment utilization.
Across all generations, more than 60% of respondents in
a recent FIS® Generation Pay Report found contactless
payments easier and more convenient when making
purchases. While millennials are the most open to new
payment methods at 64%, 44% of Baby Boomers+ are
also interested in going digital.
Additionally, COVID-19 has accelerated consumer needs
for digital banking and payments. So, regardless of the
target generation, banks with complete and up-to-date
digital banking capabilities are likely in the best position
to meet these shifting trends.
To retain clients and attract new ones, community
banks must digitize and integrate their clients' entire
experience, from loans to cards and everything in
between.
According to a recent PACE Pulse survey conducted by
FIS, digital banking is more appealing to new regional or
community bank customers, with 26% of respondents
starting a new relationship with a regional or community
bank for digital banking services.
Investing in digital creates better experiences for the
customers and banks. From a cardholder's perspective,
mobile banking apps empower consumers to make
payments easily, view transactions and dispute charges.
Omnichannel experiences like buy now, pay later (BNPL)
are essential to Gen X, Millennials and Gen Z, and a
critical option to offer if you want to stay competitive in
today's world.
There's also the rise of innovations like biometrics that
allow cardholders to register their fingerprint and tie it
to a credit card to make buying easier. We're also seeing
the use of personalized digital experiences based on
buying or spending patterns, where consumers are
more engaged by earning rewards and points for their
spending habits. However, community and regional
banks are often at a disadvantage over their larger
competitors, who have more resources to build out their
digital technology.
Innovation drives digital acceleration
As community and regional banks accelerate their
digital transformation strategies, FIS continues to be a
destination for innovative financial institutions looking
for providers with a complete financial suite of solutions
for the modern user.
FIS Code Connect allows financial institutions to
respond quickly to an evolving industry and changing
customer expectations. Open APIs, along with the
open platform banking they enable, change the way
financial services firms develop products and respond
to demanding market segments. The digital integration
Independent Banker - August 2022

Table of Contents for the Digital Edition of Independent Banker - August 2022
