Industry snapshot: average frustration, low engagement
As the financial services industry expects to grow by 6% and hit $26.5 trillion heading into 2022, fintech funding is up 82%. But the ways in which banks and insurance companies operate is rapidly evolving, especially in the wake of COVID-19. With digital financial services supplanting in-store operations as the new norm, delivering the same quality services through frictionless website and app experiences is the new gold standard.
Financial services’ biggest user frustrations
As the financial services industry shifts to a digital experience-first mindset, it’s unsettling to see that just 48% of institutions have a well-designed user journey that facilitates clear communication and seamless interaction. User frustration appears to be one of the biggest digital experience killers, so if you’re frustrating users on sign-up forms or account navigation you’ll face low conversions or high churn.
With 6.4% of page views containing instances of user frustration, financial services generally performs in line against the 6.5% average of other industries. However, it has a relatively high occurrence of bird’s nest behavior, which refers to when a user rapidly shakes their mouse in confusion, unresponsive multiclicks, which typically occur on broken links or buttons, and repeated device rotation, the result of content not fitting the screen. It does have a lower incidence of rapid scrolling per user session, which signals user frustration in certain contexts.
3 ways to reduce frustration in financial services
Simplify online contact forms
Users dread filling out forms, so if your forms are confusing and long, you’ll surely see spikes frustration-driven abandonment. But by using behavior detection technology, you can quickly identify areas of frustration and optimize forms for experience and conversion.
Make site navigation intuitive
If you offer a variety of services and account features, navigation and user journeys can grow complicated and ultimately frustrating. Its best to use a journey discovery tool, so you can learn exactly where user journeys bottleneck with frustration and iron out any navigation missteps.
Cater to mobile user journeys
With quick mobile account access becoming the norm, your mobile site or app can’t afford to fall short here or user frustration will lead to churning. To nail mobile experiences, you’ll want to make journeys as simple and efficient as possible for fast user access and minimal confusion.
In financial services, customers generally view fewer pages per session than they do in other industries – they wish to fulfill their objectives quickly. They have relatively low engagement and focus rates, and are more focused on images than text.
Financial services’ biggest user engagements
How exactly is experience tied to engagement?
Well, 75% of consumers expect a consistent experience wherever they engage – from social media to your website or app. So, if you fail to meet experience expectations on your website, engagements will inevitably start to dwindle, and other metrics will follow suit.
With sessions having an average Engagement Score of 4.4/10, financial services performs slightly worse than the 4.6 average of other industries. In terms of overt signals, it has more incidences of reading behavior, which refers to users following content with their mouse, and select and copy behavior; but performs poorly on responsive multiclicks, which refers to users clicking through a responsive element like a product carousel.
3 ways to drive more engagement in financial services
Streamline common user interactions
Whether checking account balances or making an insurance claim, popular user interactions should be simple and accessible in order to drive more of those engagements. To streamline these journeys and drive engagements, limit the number of touchpoints required to go from ‘Point A’ to ‘Point B.’
Offer personalization and notifications
To keep users engaged, you’ve got to minimize efforts on their end and tailor experiences to their interests. With personalized experiences like content or services and delivering noteworthy notifications, users will be more inclined to act and engage.
Minimize interface and design distractions
Any overly busy or distracting designs and interfaces are a sure-fire way to confuse and turn away users. Your webpages should use clean, simple, and appealing layouts that keep attention on the task at hand, rather than overwhelming them into disinterest.
Financial services’ user journey trends
The most common user journeys on your website or app are generally the ones where optimizations will make the biggest difference to business results. In fact, tracking customer journeys in real time is key to delivering on customer expectations, yet 2/3 of organizations lack this capability.
With an average Navigation Score of 9.3/10, financial services performs in line with the 9.3 average of other industries. Per page view, the on-page refresh rate is just 6.2%, and the revisit rate of pages is 30.6% against the 32.7% average of other industries – suggesting financial services users are generally finding what they need on each page, but occasionally having to revisit old ground.
EXPERIENCE & CONVERSION
Financial services’ correlation between digital experience and conversion
User experience may just be the secret to conversion optimization. In fact, visit-to-lead conversions can be 400% higher on sites with superior user experience.
Generally, the goal conversion rate in financial services is lower than in other industries, as is its correlation to DXS®, which could mean tolerance for mediocre experiences is higher in financial services than elsewhere – though the quality of the overall experience remains vitally important.
3 financial services’ digital experience trends and tips to look out for in 2021
Big opportunity for experience leaders
With above average frustration and below average engagement across the industry, there’s a big opportunity for experience-minded financial services companies to make their mark.
Competition will increase
With financial services brands old and new investing in digital experiences across the board, expect a big rise in competition for customer eyeballs and loyalty.
Optimization will be crucial
With customer expectations irrevocably shifted, investing in digital experience optimization has never been more crucial for financial services companies looking to stay relevant.