Banking on a digital future

The importance of User Experience in online banking

26 Nov, 2017
5 Min Read Dan Ward

The importance of User Experience in online banking


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You don’t need to be a banking app developer to know that online banking services are soaring in popularity. It’s easy to see why - customers no longer need to stand around in queues waiting for a teller. They don’t have to worry about making it to a branch during opening hours. And online banking is, unsurprisingly, typically quicker than doing transactions in person. (Some sources even go so far as to claim that 78 percent of the time customers spend on offline banking transactions is wasted.)

From the customer's’ perspective, online banking is easy, fast and efficient – provided that banks get it right.

Banks that have invested in technologies that deliver omni-channel digital banking, created by user design experts, can reap considerable rewards. But for many, getting the digital banking user experience (UX) spot-on can be tricky. Because it’s a rapidly growing area, keeping up with developments on a practical level can be challenging. 

The reality is that it’s now essential that banks invest in UX design to meet user expectations. Aside from the obvious benefit of engaged, satisfied and empowered customers, here are the three main reasons why a smart UX strategy is critical to online banking.


  1. The future is digital

Historically, banks have invested millions of dollars in traditional marketing and advertising. However, with customers increasingly using mobile devices like smartphones and laptops, banks need to adapt. In short, banks need to develop a substantial, appropriate digital presence and leading-edge online services. Many Australian banks are heading in the right direction, such as Macquarie Bank, which recently launched an open banking platform, and Commonwealth Bank, which has its own dedicated innovation lab. 

For some, moving into the digital space can be a radical change. But the benefits of offering appropriate websites and applications that are fully compatible with online banking needs are extensive. They include:

  • Being able to obtain a holistic view of customer behaviour and needs
  • Being better positioned to provide relevant solutions to client need
  • Increased ability to develop personalised products and services
  • The potential to deliver added value for money to the organisation

Embracing this paradigm shift in technology and understanding the resultant change in user behaviours can be challenging, and that’s where quality UX teams can assist.

Collaborating with a provider who has extensive insights into the challenges banks face in adopting an increased digital presence can make the transition smoother. Partnering with a provider that is well equipped to help banks understand the needs of their customers and transfer them to the digital environment to enhance the user experience and engagement is recommended.


  1. Users have increasingly higher omni-channel expectations

While the days of dial-up internet seem well behind us, the transition to mobile has actually happened pretty quickly (after all, even the iPhone is barely a decade old).  It’s no wonder that some banks have struggled to keep up with the pace of development. But customers – understandably - now want to be able to control their finances at their convenience, and banks are under pressure to deliver.

It is now essential for every bank to offer personalised, omni-channel banking services with optimal functionality and consistent, appealing design across devices.  

A well-considered and carefully executed omni-channel approach has the potential to unify the user experience. New, critical technological possibilities are evolving rapidly – and the right UX provider can help banks create a customer experience that is usable and attractive as well as functional.


  1. Personalised, intuitive banking is made possible through quality UX

Digital UX helps banks segment products and offer them in a more personalised and productive way. Because a wealth of qualitative data is made available about the banking behaviour and preferences of users, this is a valuable window into customer motivations.

Online banking is also an excellent platform for banks to increase their interaction and engagement in social networks. Social media can be leveraged to engage with customers, raise brand awareness, and provide targeted, tailored messages.

A principal aim for banks is often the creation of a satisfying and technology-intensive, yet personalised, online user experience. This should be backed by services that match user needs, via interfaces that clients actually want to use.

For this to happen, a high-quality online platform is essential. The days of having to navigate through numerous irrelevant or confusing screens are, fortunately, on the way out. A team of experienced UX specialists, such as those at RXP Collective, can assist in ensuring that your digital product minimises the chances of your customers becoming frustrated or confused.


Does your organisation consider online UX to be important?

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