No matter the industry, one idea seems to drive today’s consumers more than any other – convenience. The digital age has conditioned consumers to seek out quality products and services that can be delivered faster than the competition. To help satisfy such demands within the banking industry, a growing number of branches are turning their attention toward instant issuance.
Instant issuance gives customers who need to replace a lost, stolen or compromised card the opportunity to pick up a new payment card at their local branch. Instead of waiting days or sometimes weeks for their new card to arrive, customers can leave a branch with a fully personalized and activated card in just a few minutes.
In addition to satisfying consumers’ thirst for convenience, instant issuance also stands to leave a positive impact on the financial institutions that adopt it. Here’s a look at the four biggest benefits instant issuance brings to banks.
Few alternatives can match the speed and convenience of instant issuance. Credit and debit cardholders often have to wait up to 10 business days for a replacement. To help move their way to the top of consumers’ wallets, banks should consider offering instant issuance. Not only will it help improve the customer experience, but it also promises to provide greater visibility whenever a consumer goes to make a purchase.
Offering instant issuance can help attract customers – especially if other banks in the area aren’t doing the same. In 2016, Entrust Datacard found that 77 percent of bank branches not offering instant issuances have at least one competitive branch in their zip code offering it. By incorporating instant issuance into their offerings, banks can quickly gain a leg up on the competition.
Greater purchase volume
A growing number of consumers are ditching cash in favor of credit or debit cards – even when it comes to small purchases. According to a survey from CreditCards.com, 17 percent of people have used their cards to buy something that costs less than $5, up from 11 percent last year. The sooner such consumers get their cards, the more time they have to make purchases. Entrust Datacard analysis finds financial institutions that offer instant issuance experience a 50 percent growth in purchase volume along with a 34 percent increase in purchase transactions compared to those that don’t offer instant issuance.
It’s easy to see how instant issuance might improve customer satisfaction. Few banks, however, also consider the fact that instant issuance could ramp up branch efficiency. Positive in-branch interactions resulting from instant issuance often open the door for opportunities to educate customers on self-service options. By increasing consumer confidence in self-service channels and subsequently moving low-value transactions away from in-branch employees, banks can free up time to focus on more profitable services such as loans.
In today’s digital world, convenience is king. With instant issuance, financial institutions can help provide consumers with the quick and seamless user experience they’ve come to expect while also positioning themselves for big benefits later down the road.