Brits unmoved by new digital challengers
10 July 2017 | 8155 views | 5
Brits may be the most prolific users of digital banking services across Europe, but only 14% would contemplate switching to an app-based challenger bank, according to a study conducted by Mastercard.
Research conducted among over 11,000 consumers across European markets, found that nine out of ten Brits now use online banking or banking apps, and 54% access them daily, far surpassing the reach of other countries.
Overall, six out of 10 Europeans welcome digital banking options and believe that the technology is making their lives easier and safer.
Nonetheless, only 14% of UK respondents said they would switch to a new digital bank, reinforcing the primacy of incumbents. Seven out of ten of the consumers surveyed plan to stay with their current bank or wouldn’t consider moving to a digital-only institution.
One of Mastercard’s biggest partners in mobile banking is app-based startup Monzo. Launched in October 2015 in the UK, Monzo now has 250,000 cardholders.
Tristan Thomas, head of marketing at Monzo, takes the results of the study with a pinch of salt: “We believe the future of finance is global and mobile. People want to be able to do everything instantly, anywhere in the world, with no hassle from their mobile. Bank branches are dying. Waiting on hold on the telephone to access your bank account is dying. Traditional banking is dying.”