Serving Small Businesses in a Digital World
Top Trends in Small Business Online Banking
Small businesses continue to fall through the cracks at financial institutions. A fresh suite of digital banking tools is required to provide a customized and relevant banking experience.
The small business online banking space has stagnated for far too long. The evolution of the Internet has provided users with rich and interactive experiences. Unfortunately, the banking industry has not kept pace, and customers have started to demand that their banks keep up with the times. In the report Serving Small Businesses in a Digital World, Celent examines and analyzes the top trends in small business online banking. Some of these are in full swing; some are nascent; and others are expected to impact the space within the next three to five years.
Next-generation small business online banking solutions are trickling out, but are nowhere near mainstream. Bits and pieces have already landed and will evolve, as banks segment their customers and embrace a multidevice environment. For the most part, financial institutions recognize their online shortcomings. The question is: Why haven’t they acted on them, what can they do about it, and how can they keep up with ever-increasing customer demands? These questions become even more difficult to answer as small businesses continue to fall through the cracks at banks, cost estimates for large consumer and business banking projects balloon, and nonbanks release innovative tools and solutions that attempt to solve business challenges.
“The small business digital banking space is fraught with confusion,” says Jacob Jegher, Senior Analyst with Celent’s Banking Group and author of the report. “Banks are still struggling to understand if their customers should be placed onto consumer online solutions, dedicated small business solutions, or even corporate cash management offerings. Small businesses require tailored service and an experience that takes into account their banking needs and comfort levels.”
The 27-page report contains 10 figures and three tables.