In the era of the smartphone, digital banking has become the most preferred way of banking. Account holders who once depended on bank branches have started to use mobile phones and laptops for a variety of transactions. But, despite the growing preference for digital account interaction, the convenience of ATMs continues to drive consumers to use them as a main source of cash and account access.
Also, there is one thing mobile apps and online account access cannot provide — hard cash. For fast and easy access to real funds, even the most digitally-savvy rely on the most convenient, quick and easy solution — the ATM.
ATM Technology has Evolved
Consumers’ primary purpose for an ATM is to get access to their hard-money from their account. But this is starting to change. Many newer ATMs offer a wider range of convenient services — including cash withdrawal through ATMs issued by all banks, mini statements, and balance check.
In fact, cardholders in one survey said they would like to see greater functionality at the ATM: 19 percent wanted bill pay and more than 70 percent would like to be able to get cash in denominations of their choice.
As these new capabilities are implemented, ATMs are becoming more user-friendly than ever before.
ATMs act as an Excellent Marketing Avenue
Lower branch engagement among mobile users means fewer opportunities for the financial institutions to engage face-to-face with these customers. This makes the alignment of digital, omnichannel messaging essential.
Today, with the White Label ATM service providers playing a crucial role in helping banks widen their reach, especially in the rural areas, they act as an excellent marketing avenue too. The new age banks have been and can benefit from collaboration with WLA services as their plug-and-play operational model lets them to operate an ATM almost instantly across locations of their choice. Thus, widening their reach and establishing a strong foothold in the media dark regions where ATMs penetration are low.
These systems provide an additional way for banks to display special offers/schemes etc, — and target the message directly to an individual cardholder.
Financial Institutions love ATMs, too
Supporting an ATM network is less expensive than maintaining a robust branch presence. And, as branch use trends downward, ATMs simply make sense as a reliable avenue for maintaining physical brand presence and cash availability.
The growing availability of outsourcing opportunities at convenient locations through WLA services is also a benefit for banks focused on reaching cardholders on the go.
Digital Banking is here to stay, but Cash is Irreplaceable
As smartphones continue to grow in popularity and prevalence, consumers increasingly trust and rely upon the technology for their banking needs. But, even the most advanced technology cannot replace the hard cash. The convenience and the preference of cash-based transactions, especially among small-time traders cannot be understated.