A 2013 global survey of consumers by SSI reported a continuing trend for consumers with higher expectations (70%) for self-service options from their financial institution (FI). As this preference for self-service persists, accountholders are gradually relying on remote interactions for smaller transactional activity and money management - only visiting the branch for more in-depth needs such as opening accounts, financial advice, loans and other more intensive financial services.
Consumers Want More ATMs
A recent study from ATM Marketplace and Auriga reported on future trends which perfectly illustrated this change in behavior. The majority of surveyed U.S. consumers (63%) utilize ATMs once per month with over thirty percent visiting ATMs once a week or more. Over three-quarters of U.S. respondents (79%) consider fee-free ATMs “very important” or “essential “ and many consider a nearby ATM more important than a branch (43% versus 38%).* However, owning and operating a fleet of ATMs can be costly and time-consuming, especially for FIs who do not have a team dedicated specifically to ATM management. Here are three reasons FIs should consider ATM outsourcing to meet the needs of their accountholders.
1. Stop Worrying About Compliance – Government, manufacturers and networks have begun to demand more software and hardware updates to meet consumer demands for security, privacy and accessibility. These changes include ADA compliance, PCI and Triple DES upgrades, operating system migration (Windows 7) and EMV. Yet more changes seem to be on the horizon, as well including Windows 7 obsolescence in 2020, new raised tactile notes, continued software updates, QR codes, mobile integration and cardless technologies – to name a few.
Most ATM outsourcing/management contracts include compliance updates, taking the responsibility and the costs for maintaining ATM updates out of the hands of FIs and into the hands of a company specializing in ATM operations.
2. Increase Customer Satisfaction – With their larger networks and greater ATM management tools and experience, ATM operators have experts specialized in monitoring, maintaining and servicing their machines. Their 100% focus on ATM operations helps ensure they are keeping the entire fleet in peak condition and running at top-tier uptimes – increasing customer satisfaction through superior performance.
3. Manage Costs – ATM operators provide service to a wider network of machines, with a great deal of in-house maintenance and service as well as negotiating power with vendors providing services related to the ATM. Outsourcing FI ATM operations to a trusted partner consolidates vendor management and accountability while simplifying monthly expenditure to a standard fee – often reflecting the savings the operator is able to pass on to their FI partners.
Consumer demand for self-service and ATMs is growing – creating a push for FIs to increase their focus on online, mobile and ATM availability. However, changing compliance concerns and consumer expectations are driving up the time and costs involved in running a consistent and reliable ATM network. Partnering with a ATM provider can help FIs maintain consistency, manage costs and increase customer satisfaction – ensuring a positive impression for consumers pushing for self-service interactions.
*Published by Auriga and ATM Marketplace, surveyed over 1,000 consumers in the United States and the United Kingdom as well as information on ATM deployer trends – pulling information from over 300 ATM industry members.