Poles more eager for digitalization in financial services than European counterparts

According to new pan-European research published today commissioned by global multi-asset platform eToro, over 80 percent of Poles want increased digitalization in the financial sector, including internet banking, online payments, and online investing, compared to just 65 percent for the European average. While digital penetration is not as high in other sectors such as health and energy, compared to the European average, Poles are the most confident users of online banking (65 percent vs 52 percent average) and electronic payments (48 percent vs 32 percent average). However, the findings show there is still room for improvement when it comes to Poles’ use of online investment platforms.

The research, carried out in nine European countries by the Center for European Business Research (CEBR) on behalf of eToro looked at digital transformations taking place across different sectors, such as finance, health, retail, energy and utilities, and entertainment. Poles are the biggest believers in the benefits of digital technology with 87 percent saying technology makes their everyday lives easier, against an average of 72 percent for all of the nine European countries studied. The Covid-19 pandemic has boosted digital uptake and the results of the report indicate there is still huge potential for further digital transformation in Poland, particularly in the financial sector. 

Dr. Monika Czerwonka, an expert in behavioral finance from the Warsaw School of Economics, considers that the research suggests Poles are more open to adopting new technologies than many other European countries.

“When trying to explain why Poles are more open to new technologies, we may find some interesting answers in behavioral and cultural finance theories. According to Professor Geert Hofstede’s Uncertainty Avoidance Index cultural model. Poland scores higher in this index compared to the other countries in the CEBR report. Uncertainty can be defined as the degree of threat felt by members of a given culture in the face of new, unknown, or uncertain situations. This feeling can be expressed in stress and the need for predictability that can be relieved by all kinds of laws, rules, and systems. Cultures with a high UAI index do not like ambiguous situations and expect clear structures. It is precisely digital technologies that help to avoid this uncertainty and are, in this context, perceived as a specific risk which is precisely defined and ceases to be a source of concern,” she commented.

(WBJ)