FICO’s study finds shift in consumers' financial behavior and priorities

The RFI Global’s 2022 Post-Pandemic Consumer Banking Expectations Report prepared for leading analytics software firm FICO confirmed that the pandemic has aggravated financial hardship for retail banking consumers in the Asia Pacific, with many of them experiencing a drop in income.

It has also revealed that many consumers are motivated to search for better banking offers, and that the inclination to switch lenders has increased year over year.

According to Aashish Sharma, Senior Director of Decision Management Solutions for FICO in Asia Pacific, the pandemic has clearly exacerbated financial hardship for customers regardless of income class. “As borrowing and spending habits contract, customers will be on the lookout for avenues to grow their wealth and boost their savings. Therefore, banks must be able to proactively identify customers’ needs, and pivot their approach to alleviate financial anxieties while ensuring their products suit customers’ affordability and funding requirements,” he adds.

In a conversation with Biztech Asia, Aashish Sharma shared further insights on the disruptive impacts from the pandemic across the Asia Pacific region and how this has resulted in changing financial behaviors among customers. He spoke about the opportunities and threats which this presents to banks, including what they can do to continuously place customers at the heart of their actions and decisions.

During the conversation, Aashish also shared:

How FICO’s products are used by its customers, and the outcomes they derive in terms of savings and profitability.
Changes within the banking sector that has been brought upon by the pandemic
Key insights from FICO’s RFI Global’s 2022 Post-Pandemic Consumer Banking Expectations Report
How Buy Now Pay Later has impacted the banking industry
The increase in customers’ intention to switch banking providers
What actions banks can take to maximize the value exchange with customers
How FICO’s insights present opportunities for banks to cater to the changing needs of their customers