BearingPoint Digital Leaders Study shows continuing investment by Irish banks in digital channels.
Irish banks once again performed strongly in this year’s Digital Leaders Study, achieving an aggregate score of 3.04 across all dimensions. This is not surprising; digital channels are a key battleground as banks compete for customers impacted by the withdrawal of Ulster Bank and KBC from the Irish market.
Mobile apps, in particular, will be the primary interaction points that customers will have with their new bank. Accordingly, many will judge the service provided by the facilities offered on mobile apps. For example, Permanent TSB has introduced a new “in-app” current account opening functionality and AIB now provides an online mortgage application functionality.
It is interesting that Revolut has emerged as the leading Irish bank in the survey this year, with a score of 3.42 followed by Bank of Ireland with a score of 3.29 and AIB with a score of 3.19.
Will the superior digital offerings from Revolut be critical in the acquisition of switching customers compared with the other retail banks' greater product and service offerings? Or, will the greater range of products, (savings, mortgages etc.) be enough to swing customers towards the traditional banks?
Ultimately, it will be the digital offerings of the banks that will make the difference, particularly for the younger (and more profitable) customers.
The Digital Leaders will win out in the end.