BMO tops J.D. Power retail survey as customers seek digital advice

Canadian retail bank customers are increasingly turning to their bank’s digital channels when seeking advice, says a new study by J.D. Power and Associates.

Customer satisfaction with digitally delivered advice, such as websites, mobile apps and email, has increased by 10 points to 783 (on a 1,000-point scale) from 2019. In contrast, satisfaction with advice received in person has remained flat over the past three years.

The sharpest growth is seen in mobile apps and email-based advice, with the portion of retail bank customers who receive banking advice digitally increasing to 25% (up from 21% in 2019).

The number of new digital account openings has increased as well, up three percentage points to 21% of all new account openings. The volume of branch-based account openings declined by 7%.

Younger generations are most likely to utilize the digital advice channels, with 35% of Gen Z customers saying they receive advice digitally.

Of the Canadian banks, Bank of Montreal ranked highest in customer satisfaction, receiving a score of 806, followed by Royal Bank of Canada and CIBC, with scores of 796 and 795, respectively. TD Canada Trust scored 787 and Bank of Nova Scotia 786.

The average satisfaction score of 793 was up from 789 last year, when Scotiabank ranked highest.

The 2020 Canada Retail Banking Advice Satisfaction Study was conducted in October and November 2019 and includes responses from 1,685 retail bank customers in Canada who received advice from their bank in the past 12 months.

Maddie Johnson

Maddie is a freelance writer and editor who has been reporting for Advisor.ca since 2019.