Glacier Quarterly 3 - 2018

TRENDS
TRUST AND TECHNOLOGY:
Rebuilding client relationships in the age of
low-cost robo-advisers and always-on bank bots
This article focuses on understanding
millennials and how to interact with
them. In our second article on
millennials we show how their
behaviour is shaping the financial
services industry.
Across the globe, consumers are
losing trust in the traditional banking
industry, with a widespread belief
that the banks were responsible for
the 2008 financial crisis. Elderman’s
2017 Trust Index shows only 41% of
South Africa’s population trusts
financial institutions. What’s more,
consumers have more trust in
preferred brands than they do in banks.
A recent Wharton study had 4 000
millennials from around the world
rank how much they trusted banks
against a list of non-bank payment
providers, including social networks,
peer-to-peer transaction services,
retailers, and brands. Half of the
responders ranked traditional financial
industries at the bottom. Less than
4% of the responders believed banks
enable their lifestyles.
Similarly, Markinor’s Brand Trust Index
showed South Africans trust chocolate
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