While many businesses are using or planning to adopt digital banking services, capitalizing on this opportunity isn’t as simple as offering businesses the same digital banking services as retail accountholders. Businesses have very different banking needs and expectations than consumers, and the solutions offered must reflect those differences.
A new white paper from Fiserv finds the majority of small- and mid-size businesses already use online banking, and mobile banking is on the rise. Research from Raddon Financial Group found that 35% of small businesses use a smartphone and 25% use a tablet for business banking, and industry forecasts suggest these numbers will rise.
Businesses require some of the same digital banking capabilities as consumers-such as balance checking and funds transfer-they also have additional needs that aren’t met with retail banking solutions. These include cash management features such as wire transfer approval, ACH transaction approval and positive pay decisioning. Among small businesses that use mobile banking, one-third use it to check balances, while a smaller number use mobile for remote check capture, to initiate payments or to approve payments, according to Aite Group. As the technology evolves, it’s clear that businesses are likewise evolving in their use of digital banking, from a strictly transactional vehicle to one that facilitates managing the organization’s finances.
Investing now in the mobile experience for businesses is essential for financial institutions that plan to ride the mobile wave and not be capsized by technology. Solutions that were designed as short as three years ago may not meet the demands of today’s tech-savvy business users and certainly will not meet the needs of tomorrow’s workforce.
Fiserv says optimizing the experience for business users requires a solution that starts with security and control, adds advanced cash management capabilities, offers streamlined onboarding and facilitates a consistent user experience across all channels. By delivering the optimum business banking experience across all digital channels-tailored to the unique needs of commercial accountholders-financial institutions will deepen their relationships with business customers, paving the way to increase transaction volumes, enhance revenue and improve profitability.
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