World Retail Banking Report 2025

In the highly competitive banking landscape, neobanks and traditional banks are competing for customer attention, with emerging technologies accelerating this race. Despite substantial investments in new solutions, many banks are still falling short of meeting customer expectations. To address this, Capgemini's World Retail Banking Report 2025 suggests that banks need to take a step back and focus on two critical questions: What do customers really want from their banks, and how can banks meet those needs more effectively?

The report reveals troubling statistics: only 9% of targeted bank card prospects are successfully converted into customers, and nearly half of customers don't complete the card application process. Furthermore, just 26% of active cardholders are satisfied with their current banking experience. These gaps highlight the friction that exists in the card journey, particularly during onboarding. Banks face frustration on both sides, with customers encountering barriers and employees struggling with manual workflows. The solution, according to the report, lies in adopting a flywheel approach to customer experience (CX).

By implementing a flywheel approach, banks can create a seamless cycle of attraction, engagement, and delight. This strategy focuses on positioning card offerings as more than just payment tools, but as key elements of a broader, ongoing relationship with customers. Through personalized experiences, AI-driven insights, and partnerships with lifestyle and retail brands, banks can cater to customers' evolving needs, fostering long-term loyalty and satisfaction. In an era of shifting customer loyalty, this interconnected approach can turn disruption into sustained growth and help banks maintain a competitive edge.

For original research and retail banking insights, have a look at our Capgemini's World Retail Banking Report 2025.