Bottomline Technologies Research: Millennial Decision-Makers at Businesses Unhappy With Their Banking Relationships
Bottomline Technologies (NASDAQ:EPAY), a leading provider of financial technology which helps businesses pay and get paid, today released the findings of its new research study, which revealed that 83 percent of Millennial banking decision-makers at American businesses believe that the right commercial banking relationship can dictate their company’s success. And yet, businesses, particularly those with Millennial decision-makers, are not getting what they need from their bank. Just over half (53 percent) are already using non-bank providers for core bank services.
The report, How Millennial Decision-Makers Are Changing Relationships Between Businesses and Banks, was conducted in conjunction with The Center for Generational Kinetics. It surveyed nearly 500 banking decision-makers at businesses in the U.S. on their attitudes toward their commercial banks.
The study reflects a fundamental shift in the banking industry as users have come to expect an easy-to-use, constantly-available online banking experience that is similar to their personal lives. With Millennials increasingly at the helm, businesses have fully embraced this change, but traditional banks have fallen short of new expectations. As a result, 66 percent of Millennial banking decision-makers (and 50 percent of all business banking decision-makers) would definitely consider other banks with better services, despite the fact that more than half of banking decision-makers (56 percent) say they would rather get a cavity filled than move their main bank account to another commercial bank.
“Despite challenges with business customers, banks still have tremendous opportunities,” said Norm DeLuca, general manager, digital banking at Bottomline Technologies. “In an effort to find a more digitally-driven financial experience, businesses have been left with a frustrating patchwork of non-integrated systems that are difficult to derive actionable insights from. Now is the time for banks to leverage the fundamental trust they’ve built with their customers and step up to the plate to offer them a simple and seamless way to make and manage payments. The banks that are willing to adapt to technology and generational changes will re-gain market share and emerge as the winners in this new landscape.”
Bottomline’s Tips on How Banks Can Adapt to the Changing Business Banking Landscape:
- Make it easy to open accounts and enroll in new services – Take a digital approach to marketing, account opening and enrollment throughout the customer lifecycle.
- Provide convenience with a mobile-first banking channel – Rather than building separate apps that don’t offer full functionality, mobile-responsive banking automatically adjusts the user experience to fit the device, whether it’s a PC, mobile phone or tablet.
- Create more value with customer-centric portals – Look for digital banking platforms that can be personalized and that are designed based on business processes and not bank products.
- Help businesses manage their cash flow – Offer cash positioning and cash flow forecasting tools that integrate data from both the bank and the business’ accounting system.
- Become a one-stop-shop – Small businesses really wish they could have all their important financial management tools in one place. Leverage technology solutions based on Platform as a Service (PaaS) that maximise configurability and more seamlessly integrate the solutions customers need.
Please visit Bottomline’s website to read the full report, How Millennial Decision-Makers Are Changing Relationships Between Businesses and Banks.
The 2016 National Study on Business Banking and Millennials was led by Bottomline Technologies and The Center for Generational Kinetics with assistance from Conversion Research. The study was a custom-crafted online survey of 470 American banking decision-making executives; the margin of error is ± 4.5% at the 95% confidence level.
About The Center for Generational Kinetics
The Center for Generational Kinetics is the leading research and solutions firm on Millennials, generational differences, and the generation after Millennials, Gen Z. The Center’s team of Ph.D. researchers, consultants, and speakers help companies and organizations solve tough generational challenges driven by emerging generational trends and differences. The Center works with over 150 clients around the world annually, from banks and credit unions to car manufacturers, hoteliers, insurance firms, hospitals, and technology companies. The Center’s team is frequently quoted in the media about the effect of generational differences on everything from banking and shopping to working and investing. Learn more at www.GenHQ.com
About Bottomline Technologies
Bottomline Technologies (NASDAQ: EPAY) helps make complex business payments simple, smart, and secure. Corporations and banks rely on Bottomline for domestic and international payments, efficient cash management, automated workflows for payment processing and bill review, and state of the art fraud detection, behavioural analytics and regulatory compliance solutions. Thousands of corporations around the world benefit from Bottomline solutions. Headquartered in Portsmouth, NH, Bottomline delights customers through offices across the U.S., Europe, and Asia-Pacific. For more information visit www.bottomline.com.
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