Mobile Channel Usage Forecast: Setting the Stage for Revenue Opportunities

OVERVIEW

PRIMARY QUESTIONS

FINDINGS AND ANALYSIS

THE MOBILE CHANNEL BUILDS RELATIONSHIPS NOW, REVENUE IN THE FUTURE

• ADOPTION FORECAST IS PROMISING FOR BANKS AND CREDIT UNIONS
• DELAYING MOBILE CHANNEL RELEASES RESULTS IN A MISSED OPPORTUNITY TO CAPTURE EARLY ADOPTERS
• WHERE DOES THE STRATEGIC VALUE OF THE MOBILE CHANNEL LIE?

MOBILE AS A RELATIONSHIP BUILDING CHANNEL

• INCREASED CUSTOMER SATISFACTION AND LOYALTY TIED TO EXPANDED USAGE OF SERVICES
• MOBILE BANKING CAN DIVERT CUSTOMERS FROM COSTLY CALL CENTERS
• INDIVIDUALIZED, BEHAVIORAL-BASED CROSS-SELLING POSSIBLE THROUGH MOBILE

LIMITING MOBILE ACCESS TO ONLINE BANKERS HINDERS OVERALL ADOPTION

• REMOTE CHANNEL USAGE AND THE LINK TO MORE PROFITABLE CUSTOMERS

DIRECT REVENUE FROM MOBILE PAYMENTS REQUIRES CHANNEL ADOPTION FIRST

• CHALLENGES TO THE DEVELOPMENT OF MOBILE CONTACTLESS PAYMENTS

APPENDICES- ADDITIONAL DATA ABOUT MOBILE BANKING

METHODOLOGY

RELATED RESEARCH

• Figure 1: Forecast of Availability, Likelihood to Use and Adoption of Mobile Channel for Banking, 2007-2012
• Figure 2: Likelihood to Recommend Online Banking to Friends and Family
• Figure 3: Screenshot from Kiwibank' s Mobile Banking Demo
• Figure 4: Screenshot of NetSpend' s Alerts Setup Page
• Figure 5: Likelihood to Conduct Mobile Banking by Online Bankers
• Figure 6: Attitudes toward Contactless Payments by Likely Mobile Bankers
• Figure 7: Usage of Mobile Channel for Banking Transactions by Age
• Figure 8: Likelihood to Conduct Mobile Banking by Age
• Figure 9: Usage of Mobile Channel for Banking Transactions by Income
• Figure 10: Usage of Mobile Channel for Banking Transactions by Tech Savvy Consumers
• Figure 11: Likelihood to Use Mobile Banking by Tech Savvy Consumers
• Figure 12: Possession of a Variety of Consumer Technology Products