Banks lose out as half of all online banking applications fail
High Street banks interviewed for new Retail Banker International report cite high-friction, traditional customer verification processes for high application fail rate.
10 June 2015, London, UK – Jumio, Inc., the fast growing online and mobile credentials management company, today announced the launch of a new research report with Retail Banker International that benchmarks high street banks in their approach to digital account opening.
The research report is based on interviews with eight leading high street banks which analyse and benchmark online account opening processes and technologies as banks and wider financial services attempt to reduce the volume of over-the-counter transactions.
The common theme to all the banks interviewed is that despite the shared desire of banks and customers to move to online banking and money management, old-fashioned customer verification procedures mean that almost half (48.75%) of those who attempt to open a bank account online do not complete the process.
The banks interviewed cited a high percentage of non-matches to credit reference agency verification databases and instances where customers are required to visit a branch to have their ID document verified, turning what could be an easy intuitive digital experience into a chore.
Douglas Blakey, Editor of Retail Banker International said, “Some banks are leaping ahead of their peers when it comes to embracing digital. However, the fact that in this day and age, potential customers may have to leave the comfort of their homes merely to show their ID in a bank branch is unthinkable. Yet, this remains the case in the ‘age of convenience’”.
David Pope, Director of Marketing EMEA at Jumio said, “What we are seeing can be put down to banks not being able to translate traditional in-branch verification practices such as seeing customer ID documents, to the digital banking environment. Jumio’s computer vision technology enables banks’ would-be customers to hold their ID document to their device camera so their data is instantly read and populated into the account creation process and their ID document is seamlessly authenticated against a range of security features.”
The report is available for download either via the Jumio or Retail Banker International home pages.
Jumio is a leading identity management and credentials company that helps businesses reduce fraud and increase revenue while providing a fast, seamless customer experience.
The company utilizes proprietary computer vision technology to reduce customer sign-up and checkout friction and verify credentials issued from over 120 countries in real-time web and mobile transactions.
Jumio’s products are leveraged by a wide range of companies, from the Fortune 500 & FTSE 350, to startups, in the financial services, sharing economy, retail, travel and online gaming sectors.
Jumio is backed by top tier investors including Andreessen Horowitz, Citi Ventures and Facebook Co-Founder Eduardo Saverin. Headquartered in Palo Alto, California, Jumio operates globally, with offices in the US and Europe, and has been the recipient of numerous awards for innovation from leading industry associations. For more information, visit www.jumio.com.