Almost a third of SME finance managers (29%) have claimed that they are likely to switch their main bank account within the next five years, according to recent research.
Finastra’s SME Opportunities for Digital Banks report found that 49% of respondents under the age of 45 said they would be very or fairly likely to switch banks in the next five years.
Other highlights from the report included:
- the most popular reasons given for switching accounts included a better overall service, an incentive to switch and a better mobile banking experience
- 32% of recent switchers now hold their account with a challenger bank
- 53% of those that switched in the past three years said they were likely to switch banks again
- 40% of SME finance managers under 45 would consider banking with a tech giant like Google, Amazon or Facebook, while only 13% of over 55s would consider the same
“This report is a must-read for any bank targeting the UK SME market,” said Mary Connor, director of product management and retail banking at Finastra.
“It highlights that differentiation beyond the online banking experience — in terms of the products and services offered — is really important.”
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