Need for banks to help customers make financial decision

According to 2014 EY Global Consumer survey, although, in-person advice is received with the greatest interest by customers in all regions, alternative approaches of advising customers also generate significant levels of interest.

While customers in Latin America, the middle East, India and emerging markets all tend to express above-average interest in the different means of receiving advice, customers in all regions show an openness to speaking with someone by telephone, whether in the branch or a call centre, or receiving through online financial management tools.

Globally, 61 percent of bank customers are very or extremely interested in obtaining financial advice or assistance in person.

In the report, 50 percent globally can speak to someone known by phone at the branch during working hours, 49 percent of customers globally use online financial management tools to make decisions around spending, investments and loans, and 48 percent globally also can speak to someone by phone in a call centre whom they can call any day, any time, while 31 percent globally receive advice by video chat from home or work.

According to the report, although in-person advice is generally received with the greatest interest by customers in Africa, alternative approaches of advising customers also generate significant levels of interest.

Enabling personal contact with someone via telephone, either at the branch or in a call centre is of notable interest among customers in Kenya and Nigeria.

Consequently in Africa, 74 percent of customers of the bank are extremely interested in obtaining advice or assistance in person.

The report says in Kenya, Nigeria, and South Africa, 81, 75, and 65 percent customers, respectively, are very or extremely interested in obtaining advice or assistance in person.

For customers who can speak to someone known by phone at the branch during working hours are 69, 71, 74, 52 percent in Africa, Kenya, Nigeria and South Africa, respectively.

Customers who use online financial management tools to make decisions around spending, investments and loans in Africa, Kenya, Nigeria and South Africa are 62, 73, 61 and 54 percent, respectively, and customers who can speak to someone by phone in a call centre whom they can call any day, any time are 69, 78, 74 and 44 percent in Africa, Kenya, Nigeria and South Africa, while 48, 53, 54 and 25 percent of customers in Africa, Kenya, Nigeria and South Africa, respectively, receive financial advice by video chat from home or work.

In view of the above, there are opportunities for banks to provide more and better advice for customers, specifically advice that is holistic based on the customer’s unique situation and needs.

“Although Nigerian customers have a high preference for branch usage, they have highlighted that they are opened to receive advice through other channels such as contact centres, online financial management tools or video chat,” Colin Daley, EY advisory banking sector leader for West Africa, said.  

Sarah Alade, deputy governor, economic policy, Central Bank of Nigeria (CBN), had told the Bank Customers Association of Nigeria (BCAN) that its mandates were to promote good banking culture and habits among bank customers as well as mutual understanding, trust, confidence and co-operation between banks and their customers. 

For the banking sector to work properly, one of the ingredients is a well-informed customer pool that understands what they need from the system and can adapt to the new innovations in the sector.

HOPE MOSES-ASHIKE