Only 13 percent of global consumers feel confident in the capabilities of their financial services providers, according to the latest Consumer Financial Monitor survey. Adding to that grim outlook, only 48 percent of consumers think their financial institutions can keep their promises. On top of that, 40 percent of consumers are satisfied with their financial products and 55 percent believe that banks lack simple pricing fees and policies.
The Consumer Financial Monitor is a quarterly survey from strategy and research firm Corporate Executive Board (CEB) that measures the financial activities and sentiments of about 18,500 consumers from 24 countries. Last quarter's numbers concerning consumer confidence were a bit better than the ones in this last Q2 survey, indicating a general decline in bank customer morale around the world.
"Institutions are still missing the mark when it comes to helping customers manage their finances," said Peter Aykens, managing director at CEB, in a news release. "Re-instilling consumer confidence is critical to the growth of the financial services industry. Executives need to create a sense of urgency inside their organizations and begin connecting with customers in meaningful ways to stave off this wave of negative consumer sentiment."
Financial institutions can help overcome these challenges in customer confidence by being supportive and transparent, suggested CEB in guidance released with the report results. Understanding customers' financial goals and helping them proactively manage their finances can uplift attitudes and possibly increase a customers services portfolio, according to the CEB. In addition, detailing the value of products and services will help financial institutions manage the expectations of their customers in terms of what they're getting for their money.
Additional results from the survey, including information about how customers are managing their finances, are available at executiveboard.com.