South African Internet banking customers think all the major banks communicate poorly with them, which includes system failures and scheduled downtimes, says Columinate CE Dr Henk Pretorius.

The fourth annual Columinate Internet banking satisfaction survey found that customers are generally dissatisfied with the way in which banks communicate routine matters, such as changes to websites or Internet banking application (app) layouts, and unforeseen matters such as server downtime and service interruptions.

South African banks are perceived as reactive in their communication strategies, and customers are rarely provided with an explanation for the problem or an estimate of how long it will take to solve it, he adds.

“Often, communication is too late and customers have already been angered by a lack of information on the websites and from the call centres.”

Pretorius adds that the survey indicated that Standard Bank is the most effective at communicating with its customers, though only marginally better than the other banks.

“Communications is a problem for the bank- ing industry and, as a whole, it struggles to commu- nicate information effectively to customers.”

Pretorius adds that, for example, improvements in services or functions are not communicated clearly, with users either not being aware of them or struggling to adjust to them. Similarly, most banks provide the same services that other banks do on their Internet banking sites and mobile apps, but these are often underused, he says.

“There was a noticeable slump in FNB users’ experiences after it had changed some aspects of its banking website because users suddenly had to search for features they used frequently. This adjustment period seems to have passed after more than a year.

“Standard Bank’s revamp of its site happened more recently, and its focus on ease of use and retaining a similar site layout has meant that its users had to make less of an adjustment.”

However, FNB has consistently been rated as providing the best Internet banking services among the banks, with 75% of participants in the survey satisfied with its services, highlights Pretorius.

Meanwhile, consistent growth in the use of nonbanking functions by users to 79% highlights the need to offer and promote multiple services to compete effectively against other banks. Most banks have also added more banking and nonbanking functions, with 28% of banks offering 15 or more functions.

The expansion in using Internet banking services is also matched by a continued increase in using multiple devices, with 38% of users surveyed using a computer and cellphone to access the services, and 30% using a tablet as well to access their accounts, he notes.

Satisfaction with mobile and tablet apps is higher than with Internet banking sites, while users trust apps more, despite encryption being similar between sites and apps.

“Mobile phones and tablets are the next phase of digital banking, and the challenge is to get customers to use them and deliver good experience regardless of the device used,” says Pretorius.