Mobile banking popularity surges
Young adults drive popularity up
The popularity of mobile banking has increased significantly since 2010, the American Bankers Association (ABA) said in a recent report.
According to a recent survey from the ABA – conducted by Ipsos Public Affairs in early August – mobile banking is now the preferred banking method of six percent of banking customers, which represents a 100 percent increase from 2010. In the age group of 18-34 year-olds, 15 percent of banking customers preferred mobile banking.
The Internet remains the most popular banking method, the ABA noted, as 39 percent of respondents (up from 36 percent in 2010) reported that it is the method they utilize most often for their banking accounts. This marks the fourth straight year in a row that the Internet was the most popular method.
Visiting a branch came in second place at 18 percent (down from 25 percent in 2010), but has been declining in popularity for years. The Internet took over as the top method in 2009, when 25 percent chose it as their favorite method.
“The survey results show consumers have a clear preference for the speed and convenience that come with Internet and mobile banking,” Nessa Feddis, ABA senior counsel and retail banking expert, said in a statement. “However, banks are committed to serving the needs of all customers regardless of which method they prefer.”
Along with the three methods already mentioned, 12 percent of respondents chose ATMs (down from 15 percent in 2010) as their banking method of choice, while 8 percent chose mail (same as 2010) and 9 percent chose telephone (up from 6 percent in 2010).
“These results show customers are embracing new technologies that make managing a bank account simpler, easier and more convenient but that doesn’t mean that the traditional bank branch is going anywhere,” Feddis said.
Feddis continued: “Branch design may evolve as a result of declining foot traffic. However, we know that nothing replaces human interaction and that’s why branches will never disappear.”