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Gaps in online banking apps leave space for local Fintech entrepreneurs

Published on July 28, 2016 11:09 am, by

Australian banks are falling short when it comes to supporting customers with money management and service features according to the 2016 Global Mobile Banking Functionality Benchmarks recently released by Forrester Research.

In the Forrester report, 46 large retail banks across 14 countries were compared, with Westpac recognised as the global leader in mobile banking functionality with a score of 86 out of 100. The average score was 65, with CommBank and NAB both scoring above this. Only ANZ, from Australia’s Big Four, scored below average with a score of 44.

Poor performance in supporting better money management

A key observation from the report was the shortfall from all four of the featured Australian banks in supporting customers to better understand their finances and financial goals.

According to Forrester, digital customer experience is the key battleground. “To win and retain mind share and wallet share, digital banking teams need to focus on using mobile banking not only to meet customers’ banking needs but also to create new sources of value. This includes being helpful with digital money management tools and providing personalised and relevant offers” writes Aurélie L’Hostis, lead author of Forrester’s 2016 global mobile banking functionality benchmark report.

There are solutions to help consumers

The gaps in money management features have left space for local Fintech entrepreneurs such as MoneyBrilliant to build innovative solutions for customers.

The demand to support this area is clearly strong, with financial issues remain the leading cause of stress amongst Australians with more than half of Australians (52%) reporting it as a source of stress, according to the Australian Psychological Society – Stress and wellbeing in Australia survey 2013.

“At MoneyBrilliant we think there is a big need for bank customers to have access to money management tools,” says Peter Lalor, CEO of MoneyBrilliant. “It is pretty easy to get a bank account or to get a credit card or a loan, in fact, these days people try to give you a new credit card when you go to the supermarket. But no-one really wants to help people manage their money better, to spend less, to budget or to use credit wisely. As a consequence, we see incredibly high levels of household debt and financial stress affecting lots of people.”

“If the banks won’t help people manage their money better, we and other business like ours will,” says Lalor.

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Jen is an experienced banking professional who loves wine, coffee, finding a bargain and of course her three beautiful children. Since Jen's first budget led her to buy a home at 20, Jen has passionately helped others to make better decisions with their money.

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