Research, conducted in partnership with Ten Bear Group covers the top 15 neo-banking leaders globally and includes detailed performance analysis, consumer trends, audience segmentation, and more. The data in the study reflects consumer behavior, usage, and consumption of neobanking apps between December 2019 and June 2020, covering trends before, during, and after COVID-19.
The study reveals that the Coronavirus pandemic has substantially increased neobanks’ penetration and consumption with YoY conversation growth of 7%. Consumers were highly critical of providers, citing security, convenience, fees transparency, and flexibility as of utmost importance to them. Customer service was a big detractor across all neo providers, leaving room for improvement. As many consumers used social media as the main method to reach Customer Support, long response times on Twitter and phone were also rated as the top barriers.
Kate Drew, Manager, Fintech Solutions, and Research at Grant Thornton added about this research study that “US banking giants are less hobbled digitally than their counterparts abroad, and consumers in the country tend to favor incentive-packed credit cards for spending, taking some of the punch out of the money management tools that have made many neobanks so popular. To win in this market, these upstarts are really going to have to think carefully about where they can play well and what features they need to get US consumers onboard, even if it means abandoning strategies that brought them great success at home”
The full report can be downloaded on RILA’s website using this link: