How Bank of America has tackled financial wellness
With 44% of consumers who live paycheck-to-paycheck “extremely” interested in becoming financially literate, consumers are wanting more financial wellness tools. Bank of America’s (BofA) new Life Plan App takes an omnichannel approach to financial wellness, offering more than just a tool to consumers. Rather than just a simple app, Bank of America has created a platform that converses with the consumer, enabling them to provide content that’s timely and suited to each client’s situation. So, why has Bank of America’s app been such a success and what can it teach your finance brand about how you should tackle financial wellness?
The success of financial wellness
Financial stress is one of the number one concerns around the world. In Australia, 95% of Australians were stressed about money in 2021. In the UK, 39% of adults (20.3 million) don’t feel confident managing their money and 11.5 million have less than £100 in savings. And in the USA 72% of Americans reported feeling financial stress each month.
While most consumers are feeling financial stress they’re willing to improve their financial literacy – and finance brands are the best equipped to help. Financial wellness tools are in demand by consumers, presenting a prime opportunity for your finance brand to create authentic connections with clients helping to build confidence in your brands’ capabilities. In fact, 47% of consumers believe it’s their bank’s duty to help them make better financial decisions.
47% of consumers believe it’s their bank’s duty to help them make better financial decisions
Providing consumers with educational, interactive and easy-to-use tools that integrate seamlessly with their current financial accounts can equip them with better saving and investing habits. With 50% of customers more likely to consider staying with their bank if supplied helpful content, offering financial wellness tools can help your brand’s bottomline.
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What makes Life Plan App different
Bank of America’s Life Plan App has been hugely successful. Account balances of Life Plan users increased by $34 billion one year after the product’s launch and more than 5 million of their users use the app today. But what were the keys to its success?
- Easy to use – The app doesn’t require users to input vast amounts of information and the design of the app is user and mobile-friendly.
- Appeals to Gen Z and Millennials – Millennial and Gen Z clients account for 62% of the app’s user base. With 74% of Gen Z not feeling confident about their personal finances and 73% of them wanting to improve their financial literacy, appealing to this audience through their marketing and content strategy has seen widespread adoption.
- One-on-one personal guidance with financial specialists – The app promotes and makes it easy for clients to create appointments, in-person or virtually, with their financial specialists. Over 1 million appointments have been made as a result of the app, ensuring clients are not only getting the help they need, but they are also creating authentic customers relationships, trust and loyalty.
In early 2022, Bank of America plans to integrate their AI virtual assistant, Erica, into the app. This will further support clients by providing personalised insights and help, enabling them to reach their savings goals.
Financial wellness lessons for finance brands
At the end of the day, consumers want greater financial wellness tools that offer personalised help. With most consumers experiencing financial stress regularly, by providing them with the right tools to help them save you can build trust, loyalty and authentic customer relationships.