A recent report from Bain & Company reveals banking customers across the world love updating their checking account information and performing other tasks from their phones more than any other banking channel.
The survey questioned 80,000 consumers across 22 countries. In 13 of those nations, Mobile Banking usage increased. In fact, mobile apps have become so popular that Internet banking has been on the decline. This is an interesting transition, as only a few years ago, online banking was becoming more popular than ATM, branch and phone services.
"We've seen greater changes in customers' banking behaviors in the past year than we have at any time during the five years that we've been publishing our research," lead research author and Bain partner Gerard du Toit said in a statement. "This change is, of course, led by mobile, which is now the dominant banking channel in most of the 22 markets we surveyed."
A mix of the old and the new
Despite the rise of mobile, the survey noted many consumers still value their branches - a phenomenon Bain coined as "digical behavior." According to The Wall Street Journal, Ethel Bueno, a 23-year-old waitress from Queens, New York, is one of these consumers. While she frequently checks her account balance and pending transactions each day and cites the convenience of Mobile Banking, she likes to chat with a teller for more complex transactions.
This trend refutes the growing assumption that branch banking is becoming less useful for consumers. In fact, a forthcoming report from the Federal Deposit Insurance Corporation will show branch banking is not going anywhere anytime soon, according to the Washington Business Journal. Richard Brown, an FDIC economist, previewed the report findings for the corporation's Advisory Committee on Community Banking, noting the assertions that branch banking is out the window are "somewhat exaggerated."
Catering to today's banking customers
Regardless what channels consumers prefer, the Bain study explained they are loyal to banks that have a full range of services and interaction they need. Furthermore, these services allow customers to bank on their terms.
Manuel Rodriguez, a 43-year-old maintenance worker from New Jersey, for example, told The Wall Street Journal he likes the ease of Mobile Banking because he can view his accounts and pay his bills while he's on the move. Plus, he can streamline his transactions by getting right to the services he needs.
For more tips and updates on the latest in banking technology, contact Landmark Bank.
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