The Open Banking landscape is changing at pace. Digital banking adoption rates fluctuate across generations, trust in digital banking is polarised, and challenger banks continue to disrupt traditional consumer behaviours. On top of that, the COVID-19 pandemic changed consumer digital banking behaviour forever.
The PRCA interviewed Missive’s Erin Lovett to discuss the changing landscape and the steps open banking communicators can take to supercharge growth. Erin specialises in financial technology PR, working with a range of fast-growing start ups and high profile global companies to develop and deliver strategic communications programmes with measurable business impact.
What’s the biggest challenge in open banking communications right now?
Erin: The need to improve consumer awareness of open banking and its benefits. Consumer awareness of what open banking, and, in the future, truly open finance can enable is still woefully low. Yet, there is growing consumer demand for a payment solution with all of open banking’s features - such as instant refunds, increased security, and authentication via mobile banking apps. If consumer awareness can increase, it will be like pushing on an open door.
Is a consumer lack of understanding of the technology hindering adoption?
Erin: I don’t think so. Communicators need to remember that we, as consumers, don’t care how something works, as long as it’s convenient, safe, and makes our life better in some way. Think about the rise of ApplePay, and before that, innovations that we now cannot comprehend living without, like the internet. Few of us could explain the behind-the-scenes technologies that enable any kind of electronic transaction or connectivity, yet we’re more than happy to use them every day.
Where do you think the biggest opportunities for communicators are in this space?
Erin: There are so many….it’s hard to choose! One of the big ones is definitely the rise of ‘finfluencers’ - fintech influencers - particularly as many of the use cases of open banking, such as multi-account money management tools, are already used more by younger generations. I also think there’s an opportunity to look ten, fifteen, twenty years into the future when developing creative campaigns around what open banking can power. Missive recently published a paper called The Great Age of Influencers. It looks at how brands across industries can harness the power of influencer marketing. It’s time for the industry to think big!
What common mistakes are you seeing open banking brands make in their communications programmes?
Erin: There’s a lack of audience segmentation in many open banking marcomms programmes. Different parts of the open banking proposition appeal more to different sections of the population. And therefore the same sales and marketing messages will not resonate with all target audiences.
Communicators must invest time in messaging workshops, audience segmentation, influencer identification, and the constant data analysis that can support messaging agility.
Want to learn more about the opportunities and pitfalls of open banking communications? Connect with me on LinkedIn.