Trust an issue for banks, credit cards and online payments brands

The latest Landor Pulse analysis suggests all sectors in the payments space have trustworthiness issues, with some areas struggling more than others.

The Landor Pulse of trusted financial services brands is based on data from the first half of 2017 from the United States BrandAsset® Valuator (BAV). BAV is the world’s largest database of consumer brand perception, comparing statistics for more than 55 financial services brands.

Approximately 30 per cent of consumers rank PayPal as trustworthy, compared with 25 per cent for Visa, 23 per cent for Mastercard, and 17 per cent for American Express, which has fallen from a 2006 trust rating of 24.

Other e-payment solutions do not fare as well. Apple Pay and Google Wallet are trusted by only 13 per cent of consumers, while Venmo, the digital wallet that lets you make and share payments with friends, is at the low end of the scale with just 10 per cent of consumers finding it trustworthy.

Maarten Lagae

Retail banks do not rank highly with consumers. Just 17 per cent think Capital One and Chase are trustworthy, with Bank of America one point below at 16 per cent. Wells Fargo fell from a 23 per cent rating in 2006 to 19 per cent in 2016 to its current ranking of just 14.5 per cent.

Bitcoin has the lowest rating of all, with only 6 per cent of consumers believing it to be trustworthy.

“Comparing BAV data over the past 10 years shows that perceptions of trust have eroded in all industry categories, but especially in the financial sector,” Landor senior manager of insight and analytics Maarten Lagae said.

“In addition to secure assets, the “must-have” for financial services brands is trust. Consumers are increasingly wary of institutions serving motives other than customers’ best interests. This is even more true with millennials, who are the first to engage with businesses that provide transparency and disrupt unequal power relationships.”