Experian Research Finds Consumers Embracing Digital Transactions
Experian’s 2021 Global Insight Report revealed that 60 percent of consumers currently use a mobile wallet to make digital payments, and 38 percent of consumers anticipate increasing their online activity in the next year. Presently, the top two online activities among consumers are personal banking and ordering groceries and takeout food.
“Both consumers and businesses have embraced the digital channel,” said Steve Wagner, Experian’s global managing director of Decisional Analysis. “What started as necessity has turned into a preference and a digital channel strategy simply isn’t enough. There needs to be a re-imagined customer journey that puts the consumer at the center.”
The study found that 9 in 10 businesses have a strategy in place concerning customers’ digital journey, and 47 percent of those businesses have put their strategies into action since COVID-19. Also, more than 30 percent of businesses are adding staff for digital operations, as research has shown a need to improve online customer service.
Additional findings include that 55 percent of consumers say security is the most important factor to consider in their digital experience, but also that fraud is the biggest challenge among businesses. 55 percent of businesses plan on increasing their fraud management budgets.
As Congress debates an additional round of economic recovery payments and payment deferment mandates, businesses are anticipating a rise in personal and small business loan applications, HELOCs, and credit cards. The study also found that 41 percent of businesses plan to use Artificial Intelligence (AI) to gain new customers.
The 2021 Global Insight Report included interviews from 3,000 consumers and 900 businesses across 10 countries: Australia, Brazil, France, Germany, India, Japan, Singapore, Spain, the United Kingdom, and the United States. It is Experian’s final report in a study on the major shifts in business strategy and consumer behavior throughout the pandemic.