Canadians Trust Banks, Not Payment Companies, with Private Data

Canadian bank customers continue to overwhelmingly trust their primary financial services provider to securely manage their personal data above other institutions, including non-traditional banks that have entered, or are looking to enter, the banking industry as digital disruptors.

According to an Accenture report, “Banking Shaped by the Customer,” 91 percent of Canadian consumers trust banks more than other types of companies with securely managing their data. This includes payment companies (selected by only 4 percent of Canadian respondents), mobile phone providers (2 percent) and consumer technology companies (1 percent). None of the Canadian consumers surveyed said they trust social media providers the most to manage their data.

Comforting, but banks today can’t rely on this edge alone. 75 percent of Canadian consumers define their banking relationship as being transactional or commoditized, rather than being based on value from advice-based products and services. And millenials are twice a likely to switch banks as older consumers.

“Not only are they more likely to switch banks, but they are also dissatisfied with the experience they’re getting at their existing banks.  This poses a significant risk for banks in the coming years,” Robert Mulhall, Managing Director and North America Lead for Accenture Distribution and Marketing Services, Banking, says of millennials.