Survey Finds Flaws in Banks' Handling of Customer Data

Print
Email
Reprints
Comment
Twitter
LinkedIn
Facebook
Google+

Financial services companies do not consolidate their customer data effectively, which leads to inaccuracies and waste, a new survey from Experian QAS found.

The survey, "Data Quality and the Customer Experience," found that 84% of financial institutions do not have a "single-customer view," or a single place where all their data about each customer can be viewed at once. Typically, financial services companies accumulate customer data through four separate channels, such as a website, call center, mobile banking app and branch.

The survey also registered concern over the accuracy of banks' customer data.  Of the 161 financial-services employees who responded to the survey, 91% suspect that some of their institution's customer data is wrong.

And this lax data management hurts the bottom line, with 86% of respondents saying that inaccurate customer data has caused some budget waste over the last year. On average, they estimated that 11% of their budget was wasted due to inaccurate data. 

Though nearly all the respondents said their company has a process in place for managing data accuracy, strategies differ. Dedicated back-office software and point-of-capture software are the two most common means of managing data, with over 40% of respondents saying they use these tools. A growing percentage of companies are using software-as-a-service products to manage data quality, Experian said. 

The survey was released by Experian QAS, a division of Experian that provides software to improve customer contact-data.

JOIN THE DISCUSSION

SEE MORE IN

'The Law Penalizes the Consumers It Set Out to Protect': Comments of the Week

American Banker readers share their views on the most pressing banking topics of the week. As excerpted from the Comments sections of AmericanBanker.com articles.

(Image: Fotolia)

Comments (0)

Be the first to comment on this post using the section below.

Add Your Comments:
Not Registered?
You must be registered to post a comment. Click here to register.
Already registered? Log in here
Please note you must now log in with your email address and password.

The Most Influential Women in Payments

What does it take to lead in the still-mostly-male world of payments? This year's 20 Most Influential Women in Payments share stories about how they got to the top, their vision for the future of payments (hint: it's mainly mobile), and advice to other women working their way up the ladder.
DAILY ENEWSLETTER UPDATE

A Newsletter featuring Bank Technology News' top stories plus special reports and data

TWITTER
FACEBOOK
LINKEDIN
Already a subscriber? Log in here
Please note you must now log in with your email address and password.