About 1 in 5 US consumers are willing to pay as much as $11 monthly for mobile banking. That’s according to a study of more than 1,800 mobile banking users by ath Power Consulting.
“The revenue potential for banks that add compelling features to their mobile offerings could be significant,” says Frank Aloi, president and CEO, ath Power. “However, it is alarming that only 10% of users were prompted to first use their bank’s mobile channel by their actual bank. This indicates a clear lack of customer education, yet an obvious opportunity for banks to take initiative to promote their offerings.”
Mobile remote deposit capture (RDC) is the offering that customers would most like to see added to their mobile banking service. Customers did not choose from a pre-determined list of choices but instead provided “free form” responses to the question – with mobile RDC as the missing capability most often cited.
Other key findings include:
- More than half of customers require mobile banking to be offered to consider a financial services provider as their primary banking institution.
- The quality of a mobile offering is a major factor in choice of bank among the mass affluent and small business owner segments.
- Mobile customers are more loyal. About 1 in 8 mobile banking customers say they’ll change banks within two years compared to 1 in 5 among the general customer base.
- The mobile channel is set to play a big role in fraud prevention, as mobile adoption improves and consumers become more familiar with alerts.