The hidden costs of friction in the digital economy

From household contents insurance to home loans: customers are now concluding transactions digitally. The decisive factor here is not so much the product itself, but the consistency of the process.

If the customer has already selected and agreed to the contract online, and is suddenly asked to print, sign, and scan a document shortly before the end, this is precisely the point at which the customer cancels. Or look for alternative providers.

This break from digital to analog is more than just a UX problem. It is a strategic problem. Friction not only leads to a direct loss of sales but also drives up process, governance and operational costs and complexity.

Friction in digital onboarding is measurable

A third of Swiss banks do not yet offer a fully digital account opening process (moneyland.ch 2024). There, analog steps in digital processes are normal, such as sending documents by post. Media disruptions and friction are a reality for many institutions.

The duration of a process can also indicate friction. For example, a benchmark study (Inacta AG 2020) showed that opening a digital account at Swiss banks can take up to 45 minutes, whereas at best it takes 5 minutes. A broad corridor and, therefore, considerable potential for friction. An evaluation of the status of digitalization in Swiss banks (Deloitte 2025) showed that all but one of the banks examined now offer digital account opening, although the time to complete it can vary considerably, up to several days.

Swisscom Sign Whitepaper: Reducing Friction in Digital Onboarding

The three hidden costs of media disruption

Friction not only causes potential conversion losses. It has an impact on three levels:

1. Sales and completion rate

If time elapses between commitment and contract signing or additional hurdles arise, the risk of abandonment increases - especially in highly competitive markets.

2. Process and support costs

Hybrid processes with digital and analog elements increase complexity. Manual post-processing, queries, archiving, and internal coordination cause costs that are not reflected in any marketing KPIs.

3 Risk and governance

The less clear the evidence is when concluding contracts, the greater the effort required for background checks and documentation. This means additional security mechanisms for compliance and auditing departments.

Why hybrid signature processes will become complex in the long term

Many institutions today use pragmatic hybrid models: simple or advanced electronic signatures for standard cases, and paper or specialized processes for more complex contracts. This works - as long as volume, internationality, and regulatory pressure remain manageable.

However, as digital business models become more prevalent, a consistent, legally compliant standard becomes increasingly important. The qualified electronic signature (QES) in accordance with ZertES, as offered by Swisscom Sign, is equivalent to a handwritten signature in Switzerland. It provides clarity of evidence and enables fully digital contract processes without media discontinuity.

This is less about marketing promises and more about structural simplification: standardized processes, clearly defined responsibilities and reduced post-processing.

End-to-end digital customer processes as a strategic building block

Friction does not disappear through better UX design alone; solutions are available where regulatory hurdles have previously forced analog detours. Companies that consistently design customer identification and completion digitally and in a legally compliant manner gain twice over: they optimize the customer experience, eliminate costly complexity in back-office processes, and improve data quality. This makes online identification procedures and electronic signatures a decisive building block for speed and legal certainty in the digital economy.

Customer success stories

Customer success stories

The hidden costs of friction in the digital economy

Friction in digital onboarding is measurable

The three hidden costs of media disruption

1. Sales and completion rate

2. Process and support costs

3 Risk and governance

Why hybrid signature processes will become complex in the long term

End-to-end digital customer processes as a strategic building block

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