Financial customers will use mobile banking at levels of nearly half in the next 5 years. This trend will put pressure on banks, smartphone manufacturers and software developers.
Mobile banking is expected to approach mainstream levels with the spread of smartphone ownership and increasing mobile banking development. In Forrester Research’s report The State of Mobile Banking 2012, this trend asserts itself, as well as more banking relationships moving to mobile, the barriers to mobile adoption for digital banking leaders, and the convergence of mobile banking and mobile payments. The growing adoption of mobile banking is impacting not only banks and financial institutions, but also all retailers and e-commerce professionals. As a result, the need for developers is rising in all arrays of mobile payments.
North America indicates strong adoption of mobile banking...
North America shows a lead in adoption of mobile banking, according to TechCrunch’s report coverage - 13 percent of the US and Canada have used their phones for using financial tools, a number that is expected to rise to 46 percent of all US bank account holders in 2017, or 108 million people. Most users check their balances - 45 percent, transaction histories - 61 percent, or transfer money - 31 percent. Within mobile banking users in the US, 65 percent of mobile bankers use bank mobile sites and 45 percent use apps. Only 9 percent of Western Europe engage in these activities, and the most common type of mobile banking is with SMS alerts.
… And the need for more apps and developers
The spread of mobile banking is met with the expectation that mobile payments will become more popular. Forrester analysts predict that banks will be pressured to develop tools similar to PayPal and Square, and CreditUnionTimes forecasts wider implementation of mobile payment tech from smartphone leaders Apple and Google. In Fall, Apple will release its new OS 6 which includes wallet app Passbook, while Google Wallet has minimal rollout. In other words, as mobile banking tools become more mainstream and grow in popularity, the industry will soon need more mobile banking, mobile retail or mobile payments apps, and developers to answer customers’ expectations and standards.