By James Reeve, Executive Director of Design at UIC Digital
Banking complaints in the UK have soared to a decade high, reflecting growing consumer dissatisfaction and significant challenges within the sector. With 80,137 complaints reported for 2023/24, it highlights systemic issues in banking services. Recent incidents, like Natwest’s app and website outage, have only intensified frustration.
Once again, this highlights the importance of digital infrastructures in the banking sector (as well as their prolonged fragility). This is even more surprising given the long-term transition that the industry is undertaking, with 86% of UK adults using online banking and over half of Brits (49%) either have or intend to open a digital-only bank account.
Although UX design is vital for user satisfaction and engagement, its technical infrastructure is the foundation of effective digital banking. Stable, well-maintained systems are essential to prevent outages and ensure continuous service availability. Without a solid technical backbone, even the best UX design cannot compensate for the disruptions in customer experience.
As we shift even further into a digital world, businesses, particularly those in the finance sector, must ensure that their digital offerings are strong. It is therefore, crucial to place a huge focus on stable digital infrastructure and protect this when things go wrong.
Digital imperative in finance
In today’s fast-paced digital landscape, the functionality of banking apps and websites is no longer a luxury but a necessity. Customers rely on these platforms for everyday transactions, financial management and services. Any disruption, as experienced by NatWest, can lead to significant inconveniences.
Unfortunately, NatWest’s digital faux pas is far from a one off. Whether it’s Barclays’ app glitch which left dozens of account holders unable to access their digital services, the 245 Santander customers reporting app issues or the Bank of Ireland’s unexpected mobile problems – reliability has fallen by the wayside.
Financial institutions must develop robust digital systems and maintain them with proactive and continuous improvement, ensuring they remain robust and adaptable to evolving demands and technological advancements.
Building trust through digital reliability
Trust in digital banking services is built on reliability and security. Ensuring uninterrupted access to accounts and seamless transactions is fundamental. By focusing on technical stability and effective issue management, banks can prevent disruptions and enhance customer trust and satisfaction.
In situations like the ones mentioned above, banking apps damage customer engagement as customers expect not just ease of use but also reliability and security.
Banks must invest in best practices in digital product development to avoid such outages and consistently deliver premium services. This involves regular updates and improvements addressing user needs and emerging technological challenges.
By staying on the front foot with these updates, banking apps can minimise the risk of disruption and ensure that their digital services remain robust and reliable.
Proactive digital practices
Improving digital offerings doesn’t necessarily mean implementing large, sweeping changes. Instead, a strategy of continuous improvements can be highly effective.
This approach allows banks to stay ahead of potential issues and ensure their systems are resilient and adaptable to changing demands. Yes, disruptions can and will occur – but having a solid response plan is crucial. This plan should include clear communication strategies to keep customers informed and reassured. Transparency during crises can significantly mitigate the negative impact on customer trust.
Customer-centric innovation
At the core of improving customer experience (CX) is the principle of customer centricity. Banking apps must understand their customer needs and preferences and ensure that any enhancements align with these expectations. This involves gathering and analysing customer feedback and continuously monitoring user interactions with digital platforms.
It is also important that your business remains at the cutting edge of new technologies. At UIC Digital, we recently launched an innovation hub called UIC Labs, collaborating with clients to understand their digital problems and experimenting with forward-thinking solutions to solve them.
For example, there’s been a lot of engagement around artificial intelligence (AI) and how that applies to enhancing customer experience. For finance firms, AI-driven tools have the potential to bring natural language responses to queries, or go a step further and allow users to query details and facts of a product or solution – making it easier for customers to find relevant information and complete transactions with minimal friction.
Building trust through reliability
For digital banking services, trust is built on the reliability and security of the platform. Ensuring that customers can access their accounts, make transactions and manage their finances without disruptions is paramount.
As we move further into a digital-first world, the importance of robust digital practices cannot be overstated. Banking providers must prioritise digital infrastructure and proactive maintenance to ensure reliable service delivery. By doing this, they can not only prevent disruptions but also enhance customer satisfaction and trust.
