Forrester: Should Banks Deploy ATMs That Offer More Than Just Cash Withdrawal?

Europe

Forrester: Thirty-nine percent of all Europeans go to an automated teller machine (ATM) each week, making it the most frequently used banking channel. Many European banks are thinking about exploiting this traffic to increase customer self-service by offering additional functionality, such as account transfers and bill payments. European consumers have little interest in additional ATM functionality. Forrester warns that to reap the benefits of ATM replacement — like branch volume reductions, better customer experiences, and advertising revenues — banks must integrate the ATM network into their overall multichannel strategies. They must also understand customers’ current behavior, carefully plan new functionality deployments, and then give customers incentives to adopt.European consumers are skeptical about new ATM functionality and services. In fact, it shows that the customers that many banks would most like to migrate to ATMs — frequent branch users — are less interested in new ATM services than telephone and online banking users are. Less than 10% of consumers are interested in using ATMs to get information about products like loans or insurance. Only 18% of consumers would use the ATM to make payments to other people. What ATM Functionality Do Consumers Want?” Publ 20050519