Banks far outstrip tech pretenders for consumer trust

Banks far outstrip tech pretenders for consumer trust

Consumers trust banks far more than they do companies like Google, Apple and Amazon to protect their card details and personal financial information, according to research by Bizrate Insights.

Bizrate Insights, a division of Connexity (formerly Shopzilla), found in a survey of over 6200 online buyers, a considerable lack of trust around credit card and personal information security among even the biggest online retailers and internet technology providers.

With major retail breaches hitting the headlines, the study found that three out of four (76%) online buyers are dissatisfied with the strength of credit card and personal information security among retailers.

While this is not entirely surprising, the preference for banks as trusted repositories continues to outstrip the faith placed in new entrants to the payments business, such as Google, Apple and Amazon.

Across all generations and both genders, a shopper’s own bank is trusted the most with credit card data and personally identifiable information - some 72% of all respondents.

PayPal and Amazon rank second and third with scores of 48.9% and 45.4% respectively, while Apple gets the vote of just 21.4% of consumers. Google brings up the rear with a measly 12.9% trust score.

Despite the findings, Hayley Silver, VP of Bizrate Insights, believes PayPal still has it all to play for, particularly among younger consumers.

“PayPal ranking number two, and with greater than 50% trust from the younger generations, could be a ‘Major Opportunity’ that deserves more investigation among its customer base," she says. "With low barriers to usage and such high levels of trust, PayPal could make a strong case to add a wallet-less payment option to its arsenal.”

Comments: (1)

Paul Love
Paul Love - Open Payments Cloud - Nottingham 16 December, 2014, 11:03Be the first to give this comment the thumbs up 0 likes

Trust is great, but behaviour is key.

I trust my bank to look after my money, but when I want to spend it there are now many new players I can choose. I dont have to trust them with all of my money, I just have to believe that they will deliver a single payment

Trust is great, but behaviour is key.

I trust my bank to look after my money, but when I want to spend it there are now many new players I can choose. I dont have to trust them with all of my money, I just have to beieve that they will deliver a single payment sucessfully. And if the merchant is happy to accept such a payment method then why should I doubt it.

Consumer behaviour (however we measure it) shows that more people are now making such choices for payments. They are still happy to leave the banks holding their deposits - for now.