It is not easy for a financial services company to adapt to the constant changes in the digital world. At the same time, for some companies, a successful step into digital is a matter of survival. This article contains banking UX trends that will help you quickly switch to a new promotion model and make the most of modern technologies for the benefit of your business.
Before we begin, a short digression. If you don’t think you have enough experience to design for your finance business or you don’t have enough time to devote yourself to it, then don’t worry, we have good news for you. For those who do not have time to do such things, but it is very important to have a thoughtful design, there are special UX/UI Design Services for the Finance Industry.
New promotion model
Until recently, companies told consumers about their products and services on TV, in magazines, and on advertising posters. In those days, an aggressive promotion model was common: it didn’t matter what you were selling, the main thing was to motivate people to buy with the help of advertising.
With the rise of digital technology, proven marketing tools no longer work. The world is placing new demands on business – and the banking sector is no exception. To better understand these requirements, let’s look at the changes technology has brought about in the world:
Network effect
Due to the ubiquity of the Internet, classic advertising channels and traditional forms of marketing are losing their relevance – people simply ignore them.
Direct interaction
Previously, there were many intermediaries between the manufacturer and the consumer. Many decisions had to be made blindly since there was no way to track customer reactions. Today, businesses can communicate directly with consumers through digital channels.
Social media has changed the rules of the game. People are not afraid to share the most personal aspects of their lives and expect the same from businesses. The company’s website, and a group on social networks – all determine the degree of trust. People need to understand what motivates entrepreneurs, what actions they perform, what their values are, and how they act in difficult situations.
Increased competition
Today, launching a fintech startup is as easy as shelling pears. Barriers to entry have fallen, business can be done from anywhere in the world, it is possible to use ready-made solutions from third-party providers, and many cloud-based products have appeared. Add open banking to this list, and it becomes clear that the banking industry will never be the same.
Trend #1: Don’t sell – serve
Companies that move into the experience era focus on delivering maximum value to customers. In response, customers are happy to use the company’s services and support its development. Such sincere “win-win” relationships truly change the world for the better.
Trend #2: Emotions instead of information
“What’s wrong with the information?” – you ask. “Isn’t it a cool topic to explain everything to the user in detail?”
From a marketing point of view, yes. In essence, advertising is informing the client about the functions of the product. Unfortunately, this does not work for digital products. There is a lot of information and competing products around us, but only ⅕ of our brain works rationally.
Users forget numbers but remember impressions and emotions. This means that information should become an organic part of the client’s user experience.
Trend #3: Solution instead of feature set
Another misconception is that a product packed with killer features is easier to sell. Some companies are downright feature-obsessed. They are sure that the value of a product is determined by the size of its functionality – but this is already a relic of the marketing era.
The more features, the more difficult the product is to use – and people don’t like complexity. This is why many fintech startups have become so popular: they offer users simple solutions.
Trend #4: Don’t protect your product – destroy it!
In the era of marketing, the market was a battlefield. They had to fight to defend their market share. Marketing people saw competitors, spies, and envious people everywhere.
Yes, in the world of consumer goods, this approach was the only viable one. Thousands of identical products differed only in the brand name – and you had to actively protect your product.
It’s the same in the banking world. For example, you need to transfer 1000 euros to another country. Will they tell you openly about the size of the commission? No, this information will be hidden so as not to scare the user.
In the era of experience, such things will not work: any deception, any scheme will instantly spread across the Internet. We need to change the approach.
