Axway’s survey of 1,000 US consumers reveals shifting perceptions and concerns about personal data sharing in the digital age.
According to research, US consumers are becoming more aware of and interested in open banking. This change in attitude is indicative of changing beliefs, tastes, and worries about security and data sharing in the digital age.
In a consumer survey, Axway, a provider of API management and integration software, polled 1,000 US consumers to learn more about their expectations about the sharing and protection of their personal data.
32% of respondents said they had a thorough comprehension of the concept of open banking, whilst 55% of respondents said they were familiar with it. This represents a considerable improvement from 2021, when only 48% of people knew what the phrase meant.
The survey also shows that consumer support for the open banking movement is expanding, with 60% of respondents now seeing it as a positive development, up from 51% the year before.
“It’s encouraging that consumer trust seems to be growing when it comes to open banking and the API technologies that underpin it,” said Laurent Van Huffel, SVP of financial services and open banking North America at Axway. “Trust is critical to banking.”
“This year’s adoption of open banking has been a little disappointing, but financial services industry experts concur that the question now isn’t if we will move toward open banking, but when.”
Remaining worries
Open banking is becoming more popular, but consumers’ top fear is still data security. The majority of Americans admitted to having been a victim of fraud or scams. Although two-thirds of respondents believe their banks have provided them with sufficient information regarding various forms of financial fraud and how to prevent it, one-third are not pleased.
The complexity of cybercriminals is another major worry, with 62% of respondents expressing worry about their ability to plan complex plots and create compelling tales using social media accounts.
More than 60% of respondents said they would like to safely share their personal information with third-party financial service companies and healthcare providers. They do not, however, know where their data is being stored.
According to Brian Otten, VP of digital transformation catalysts, “companies are trying to provide a digital experience that is both easy and connected with vendors or partners, as well as secure and private in their data management.” This is true regardless of the industry, including energy, banking, healthcare, retail, and so on. “In order for users to be satisfied with their digital experience and to have confidence that their data is being used responsibly and with their consent, companies must close the gap between effective API consumption and opening data.”
