According to a survey of 1,000 UK adults by OnePoll, one-third of Brits experienced a technology glitch or failure within the banking sector over the past year. This issue was underscored recently when four major banks issued apologies following disruptions to digital banking services on a critical payday.
The survey also highlighted that 30% of respondents are inclined to consider switching banks due to such technical failures. There were notable generational differences, with younger age groups more affected by recent technical failures compared to older demographics, potentially due to their higher reliance on digital-first banking services. Regional disparities were evident as well, with London residents reporting the highest incidence of technical failures and expressing a higher likelihood of switching banks as a result.
Representatives from Roq emphasised the critical role of Quality Engineering in mitigating such risks within the financial services industry. They also noted that while digital innovation is reshaping the sector to meet consumer demands, it also introduces technical challenges that can undermine industry-wide transformation efforts. According to them, ensuring robust systems and risk mitigation procedures are in place becomes important to retain customer loyalty and mitigate potential financial impacts.
Other developments from Roq
In May 2024, in response to recent instances of technical failures affecting major B2C websites, Roq emphasised the critical need for heightened investment in technology upkeep. Notable brands such as Sainsbury’s, Deliveroo, and the UK Border Force have experienced significant technology disruptions, impacting customer service and operational efficiency.
According to itbrief.co.nz, businesses typically incur substantial losses during IT system downtime, ranging from GBP 65,000 to GBP 83,000 per hour, alongside decreased staff productivity amounting to 545 hours annually due to such outages. In the context of a push for rapid digital transformation in challenging market conditions, budget constraints often lead to compromises in technology quality thus increasing the frequency of technical failures.
Officials from Roq highlighted the evolving landscape, noting the increasing difficulty in maintaining technology as systems become more intricate. They also talked about the critical role of robust and reliable technology in today’s business environment, underscoring the immediate impact of technology failures on brand reputation, customer satisfaction, and revenue.