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8 out of 10 consumers prefer full digital banking experience, yet some are left short-changed

• Banks continue to see strong levels of customer acquisition via digital channels; 42% registered for an account via an app, 35% via website, Onfido survey shows.
• Users find digital identity verification both secure (81%) and convenient (88%), highlighting that security and convenience can and should go hand in hand.
• Integrating digital processes to enhance the in-branch experience improves customer satisfaction.

Minneapolis, US & London, UK – May 21, 2024: Onfido, an Entrust company, today announced the results of the End-User Expectations of Digital Identity Report, exploring the growing preference among consumers for digital-first services – both online and in-person, and the non-negotiables of the user journey.

The survey found that users have a strong appetite for digital services, with 81% saying they access services online daily. Specifically, more than 8 in 10 (82%) respondents access online banking services always or mostly online. Yet, in the last year, some have been prevented from doing so, with more than one in four (26%) banking customers unable to access online services, double the number of any other industry.

The appetite for the digital banking experience is not confined to online services either. The survey finds that users seek the benefits of digital within in-person banking, too. In fact, 8 in 10 users would opt for digital processes that help speed up in-person services and waiting times.

Digital vs. in-person service preferences

During the COVID-19 pandemic, physical restrictions forced many businesses to meet users online, and in turn, they have become accustomed to digital-first environments. This is particularly true when it comes to setting up new accounts. Across industries, users are equally split between setting up accounts via an app (40%) and setting up accounts online (40%). But industries such as investment and trading (46%), gaming (44%) and banking (42%) are leading the way when it comes to app usage.

End-users are more likely to choose a digital-first option to open a bank account, manage investments or make a money transfer. However, for services that might involve more considered decisions or financial advice, such as lending and mortgages, users are more inclined to want an in-store element in addition to online services. Over 2 in 5 (44%) said they prefer an in-store experience when signing up to lending platforms.

However, there is a third preference for end-users: in-person services enhanced by digital processes. The research shows that users are embracing digital processes to speed up services in other industries, for example, to help them skip queues when checking into a hotel (82%) or renting a vehicle (76%). Banks and other financial institutions must now match these wider expectations for frictionless journeys, removing points of disruption, like a slow-moving line, if they are to boost user satisfaction.

User expectations and non-negotiables

Despite high demand for digital access, businesses still have a lot of room for improvement in customer onboarding. Across industries, more than 1 in 5 (22%) consumers abandoned signing up for a new account in the last year because it either took too long (37%) or was too confusing (35%). Speed and convenience are non-negotiables for younger generations, with almost one in three (31%) people aged between 18 to 24 abandoning sign-ups, with the top reason being because it took too long (44%).

With 77% of those who have registered for new accounts within the last 12 months having done so through digital means, like an app or website, businesses simply cannot afford to short-change customers on the online experience and risk losing new customers.

The survey shows that remote verification has changed the face of onboarding and is consumers’ preferred choice to prove their identity when signing up for digital services. Users find digital identity verification both secure (81%) and convenient (88%), highlighting that security and convenience can, and should, go hand in hand.

“A new era of digital access has arrived – one that offers simpler and more secure end-user experiences while providing additional revenue opportunities for businesses,” says Tony Ball, President of Payment & Identity at Entrust. “With Entrust, companies can not only safely onboard new customers and immediately issue digital and physical payment cards but also provide a secure and seamless way for verified users to re-access their accounts and sign up for new products and services using simple e-signature processes. Striking the balance between convenience and security, without compromising either, has never been more important.”

Onfido is now an Entrust company – its Real Identity Platform makes it easy for people to access services by remotely verifying their identity. The platform allows businesses to tailor verification methods to individual user and market needs in a no-code, orchestration layer — combining the right mix of document and biometric verifications, trusted data sources, and passive fraud signals to meet their risk, friction, and regulatory requirements.

About the research

The survey was conducted with 6,000 respondents split equally between the US, Canada, UK, France, Italy, and Spain. More information is available upon request.

About Entrust:

Entrust keeps the world moving safely by enabling strong identities, secure payments, and protected data. We offer an unmatched breadth of solutions that are critical to the future of secure enterprises, governments, the people they serve, and the data and transactions associated with them. With our experts serving customers in more than 150 countries and a network of global partners, it’s no wonder the world’s most trusted organizations trust us. Learn more at www.entrust.com.