The number of online discussions regarding UAE banks saw a notable increase of 10.7 percent, climbing from 98,045 in 2022 to 108,488 in 2023, according to a report released on Monday.
The latest UAE Banking Sentiment Index, compiled by PwC Middle East in partnership with DataEQ, indicates that this rise in online conversation is partly attributed to various promotional campaigns. This trend underscores the growing dependence on social media as a primary channel for customer interactions with banks across the UAE.
PwC Middle East’s report highlights that while banks maintain a solid reputational sentiment, certain operational challenges, particularly in customer service and product performance, require urgent attention. Key areas identified for improvement include response times, staff training, and communication channels, all of which contribute to customer dissatisfaction. Addressing these operational issues will be crucial in elevating service quality and enhancing the customer experience.
Topics such as credit cards and loans were frequently mentioned in discussions, revealing areas needing further enhancement due to problems like card malfunctions, disputed fees, and fraudulent transactions. Concerns regarding digital security were also prominent, with many complaints focused on fraudulent transactions and fears of compromised account security, signaling an urgent need for improved cybersecurity measures.
The study also indicated that banks responded to only 57.1 percent of priority conversations, a decrease from the previous year.
This decline points to challenges in managing the growing volume of social media interactions, which negatively affects consumer sentiment.
Mark Stanley, partner in financial service consulting at PwC Middle East, stated, “With the rise in digital engagement, banks have a valuable opportunity to leverage unstructured feedback for real-time insights. However, they must prioritize effective and fair customer service to meet consumer expectations and improve overall satisfaction.”
Melanie Malherbe, managing director at DataEQ, noted, “In addition to impacting consumer sentiment, lack of service improvements can have potential regulatory implications. Just over a quarter of all sentiment-bearing mentions encompassed one of the six Treating Customers Fairly (TCF) outcomes. Of these mentions, Outcome five (TCF 5), performance and service, was by far the most notable conduct theme across the industry.”
She further emphasized, “This year’s index highlights the need for UAE banks to adopt a data-driven approach to address customer feedback and grievances. Investing in digitalization alone is not enough; banks must enhance their responsiveness to social media interactions and integrate these efforts into their broader customer care strategies.” Stanley added, “PwC Middle East remains committed to helping organizations and industries reimagine doing business in the new normal, using technology that makes a difference, powered by the combination of digital strategy, data, automation, cybersecurity, a digitally upskilled workforce, and other connected areas of expertise.”
