M-banking taken up by 30% of mobile users - survey

Nearly a third of mobile phone owners now use their handsets to access banking services, according to a global survey from vendor Sybase 365.

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M-banking taken up by 30% of mobile users - survey

Editorial

This content has been selected, created and edited by the Finextra editorial team based upon its relevance and interest to our community.

The firm, which polled over 4100 mobile phone users, says 30% of respondents use m-banking, with 24% accessing services through their handsets on at least a weekly basis.

This level of adoption far exceeds industry expectations says Sybase, citing its own poll of financial services professionals in 2008 which predicted penetration of just 16% this year.

Of those using m-banking services, 88% check accounts through their phone, 54% receive transaction updates and 56% have paid a bill or card payment.

Over a third of respondents also say they would be prepared to pay for more sophisticated services and 44% would consider swapping their financial institution for free m-banking.

Asked what services they want, 75% opt for reports on potentially fraudulent behaviour, 69% are interested in balance enquiries, 65% want to be able to freeze a card and 59% are tempted by the ability to make transactions.

A third of respondents are interested in paying for goods and services using their mobile, and there is a willingness to pay for such convenience - with entertainment and utilities services scoring best. Around a quarter want to be able to send money overseas through their phone, with the median amount sent $18.

Matthew Talbot, VP, m-commerce, Sybase 365, says: "As mobile devices become more sophisticated and mobile banking gains traction, at a far higher rate than industry experts predicted, there is a clear opportunity for mobile to become a primary CRM channel for many services and industries; as the consumer desire highlighted in this report suggests."

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Comments: (2)

John Dring

John Dring Digital Services and mCommerce at Intel Network Services

Therein lies the danger of questionaires and surveys, combined with reporting of statistics.  Its like asking a music fan if they like 'rock music' - its a leading question and the answer is going to be yes, regardless of how often they listen to rock.

Look and ask around you - who is genuinely using their mobile for banking operations?  Weekly? 

Don't get me wrong - I support m-banking and m-commerce, but lets get real with the numbers.  A survey may be better than my gut feel, but I wouldn't model a service based on 30% adoption and 1 transaction a week.

Matt White

Matt White North America editor at Finextra

John, I agree 30% seems high but the methodology used is actually pretty good compared to most of the rubbish we get sent.

Here's the detail:

• The research was conducted in sixteen countries using an online methodology.
• The sample source in all cases was an online research panel, maintained by one of our trusted international suppliers. The panel chooses people to participate in the surveys to ensure a representative spread of respondents. The participants are not self-selecting, but selected by the panel to participate based on creating a representative sample. In this case, we screened on mobile phone usage, meaning that the sample was a "quota" sample - only mobile users could take part. Therefore the survey went out to a representative sample within that country, excluding non-mobile users. (And, by definition, non-internet users.)
• At least 250 mobile phone users participated in the survey in each country.
• Overall the survey was completed by just over 4,100 mobile users.
• The countries in the survey were United Kingdom, Spain, Germany, Italy, France, South Africa, Mexico, United States, Argentina, Canada, India, China, Singapore, Malaysia, Indonesia, and Australia

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