Mobile banking continues to gather momentum, fuelled by rising smartphone use and the steadily improving supply of mobile-optimized banking worldwide.
In a new piece of research by Forrester, they surveyed US and Western European online adults in Q1 and Q2 2015 about their interest in and use of mobile phones for a range of banking tasks like checking a balance, transferring money, and paying a bill. The research found that:
Mobile banking use keeps growing. Among US online adults, 36% are active mobile banking users, up from 13% in 2011. Mobile banking use is lower in Western Europe, with 25% of online adults using mobile banking at least once every three months, up from 9% in 2011.
There are substantial national differences. There are big differences in adoption rates across countries: While overall mobile banking use in Australia, the Netherlands, Sweden, and the US is approaching half of all online adults, Canada (30%), the UK (25%), and Germany (19%) are lagging behind. There are also big differences in the proportion of individual banks’ customers who use mobile banking, with direct banks naturally having more mobile banking users than most multichannel banks.
Tablet banking use is decreasing in the US but still growing in Europe. Among US online adults, 17% are active tablet banking users, down from 19% in 2014. Tablet banking is higher in Western Europe, where 13% of online adults are active tablet banking users, up from 11% in 2014.
Mobile banking users are typically young and wealthy. In both the US and Europe, mobile banking users are typically younger than the average online adult (see Figure 1). They are more likely to be well educated and work full-time, as well as to have a slightly higher income than the average US or European online adult. In Europe, men are slightly more likely to use mobile banking than women.
Many factors influence mobile banking adoption. A wide variety of factors influence consumers’ likelihood to bank on their smartphone and help to explain the differences in adoption between countries and among individual banks. These factors include mobile Internet adoption, availability of affordable data plans, smartphone ownership, privacy and security concerns, the availability of traditional banking channels like branches and ATMs, and individual banks’ efforts to promote mobile banking use.
Privacy and security concerns still deter some consumers from using mobile banking. In Europe, for instance, three main reasons still keep online adults from using mobile banking: 33% of those who have mobile phones but don’t use mobile banking say they do not like banking on a mobile phone; 32% don’t believe it is safe or secure; and 30% don’t trust banking on a mobile phone.6 However, people had similar concerns about online banking 15 years ago.
Down load the Report HERE