As consumer's expectations for on-demand service continues to rise, banks continue to meet consumer needs by integrating instant issuance of debit cards into their branch locations. By doing so, branches are helping to drive incremental revenue for banks, increase top of wallet card placement and card activation, all while working to meet the increased demands of their customers.
A recent study by Javelin Strategy, sponsored by Entrust Datacard, shows that cardholders are 22 percent more likely to be very-to-extremely satisfied with their bank if they have received and instantly issued debit card instead of a card sent by mail.
Figure 1: Instant Issuance Cardholders Report More Positive Impressions of the Issuance Experience
In addition to increased consumer satisfaction, other key findings from the study include:
- Customers value the convenience of instant issuance and its halo effect extends to overall satisfaction with their bank. Instant-issuance customers are more likely to believe their bank is innovative (64 percent vs. 48 percent) and a great finance partner (57 percent vs. 45 percent).
- The satisfaction gap between banks with and without instant issuance is wider for customers replacing lost or stolen cards. Instant-issuance customers were 30 percent more likely to be very-to-extremely satisfied with their bank when replacing a lost or compromised card compared to those who received a centrally issued card by mail.
- Financial institutions can use the five to 15 minutes it takes to print a card in-branch to deepen customer relationships. Survey respondents reported that employees in their branches use this time to better understand customers’ individual needs and then cross-sell relevant products and services.
- Up to 40 percent of centrally issued debit cards are never activated, but activation may reach 100% for instantly issued cards. Executives at financial institutions placed activation rates at 60 percent to 70 percent for centrally issued cards while activation of instantly issued cards in-branch can reach up to 100 percent.
You can click here to download the full Javelin report.
To learn more about Entrust Datacard solutions for financial instant issuance, visit https://www.entrustdatacard.com/use-cases/consumer/instant-issuance/.