Many speculate that the future of banking is going mobile, especially with the rise of the smartphones and tablets. Why you might ask? Today, it seems like everyone uses their phone for everything from checking email to shopping online and, oh yeah, making phone calls. So, more banks are capitalizing on this “mobile device reliance” and rolling out more and more mobile banking solutions. More and more cell phone and tablet based services are allowing customers to pay bills, check their account balances and transfer funds.
This rise in mobile banking isn’t surprising, but the audience that will propel it is. A recent study of over 1,400 U.S. consumers, conducted by Chadwick Martin Bailey and iModerate, showed that the real growth in mobile banking will come from those who don’t yet own a smartphone or tablet. According to the research, 39% of consumers who are planning to buy a smartphone or tablet in the next six months say they are likely to participate in mobile banking. Conversely, only 6% who already own a smartphone or tablet but don’t currently mobile bank say they are likely to start in the next six months.
So why are some people attracted to mobile banking while others are still hesitant? Our qualitative research found that for many the convenience of being able to have access to account information and transfer funds from anywhere is appealing.
“I always have my phone with me and prefer to take care of things when I think about them…I can check on things more frequently and move money around…” -Female, age 18-24
Yet for others, security raises a high concern that makes mobile banking less attractive.
“I do not want to do any banking on my phone, at all. Too many security risks…Lose my phone and all my info is cached…phones are easy to access and mine data out of.” Female, 30-34
And still others simply prefer other alternatives to banking on their phone.
“I am comfortable with my desktop, my firewall and security system, etc. Plus, in general, I am more productive and faster on the desktop.” Female 55-59
For more information on how consumers are utilizing mobile banking and a look at what’s on the horizon, check out the executive summary report.