COVID-19 INSIGHTS: Finances and fears
The pandemic introduces uncertainty and volatility to most sectors, and due to the immediate and considerable impact on business operations, job security, and, hence, personal finances, the financial services sector finds itself in the eye of the storm.
Discover the full report and its insights.
Consumers are concerned for their livelihoods and 34% expect to face financial troubles due to the pandemic, while businesses are scrambling to maintain cash flows and rethink operations to be able to weather the storm. These mounting prospects of bankruptcy and unemployment have led consumers to reconsider their long-term risk appetites and look for a greater sense of security with 30% preferring instead to save more of their income than before, 23% seeking to invest less in risky assets, and 36% expecting to purchase more insurance.
Financial services are well-positioned to meet this need for security. Most consumers (90%) appreciate the efforts and contributions made by their primary bank during this period, and trust remains high among all segments that their bank will lend the necessary support if necessary. Coming from a period of generalized distrust of the financial sector, banks could seize this opportunity to reaffirm their rapport with key customer segments, as well as push the digital servicing agenda that has been emergent for most banks for several years now.
