Financial institutions are falling short of demonstrating value to and understanding the needs of small businesses, missing opportunities to deepen relationships with this critical customer segment. Maintaining the status quo will no longer keep an institution competitive: Over 65% of small businesses go beyond their financial institutions to meet at least one financial need. Nineteen percent state they are likely to switch primary financial institutions over the next two years.
This report highlights the steps financial institutions should take to better deliver and demonstrate value to small businesses. It is based primarily on a Q1 2023 Datos Insights online survey of 1,006 U.S.-based small businesses. It also leverages Datos Insights’ research of banks’ and credit unions’ small-business offerings and strategies and the author’s extensive market knowledge.
Clients of Datos Insights’ Commercial Banking & Payments service can download this report.