Javelin Strategy & Research issued a new report that reveals that banks' marketing efforts are not keeping pace with their actual mobile-banking services, and the imbalance is causing limited adoption of mobile-banking by consumers. Javelin's observations come from a study produced by the company's blend of quantitative consumer data, industry research data, experienced industry staff and rigorous process, which included 26 criteria for this particular study.
The study, 2009 U.S. Mobile Banking Benchmark Scorecard, found that 50 percent of financial institutions do not adequately address consumers' two primary mobile banking concerns. The report also rates the mobile-banking offerings of 18 top financial institutions based on features, access to mobile-banking services and marketing. Gold-category winners identified by Javelin include Bank of America, Chase, Citi, USAA and Wells Fargo.
"We also found that certain mobile-monitoring capabilities are finally exploding," said James Van Dyke, President and Founder. "For example, 72 percent of the banks we surveyed offer all seven of the account-monitoring features we recommend. But at the same time, mobile money-movement features are lagging: Only 33 percent of institutions allow transfers between customers at the same financial institution."
Key Findings of the Javelin 2009 U.S. Mobile Banking Benchmark Scorecard
- No banks currently allow unique mobile enrollment or opening of accounts via mobile channels.
positioning and placement need further work: 17 percent of financial
institutions have poor accessibility to mobile offerings.
of the banks analyzed provided sufficient security messaging on their
Web site but 17 percent included no mention of security despite this
being one of the strongest factors preventing consumers from adopting
- Within five years, 45 percent of adults
with mobile phones will use mobile banking (54 percent of iPhone users
already use mobile banking on a monthly basis.)
financial institutions looking to expand their mobile-banking
marketshare, one of our key recommendations is to provide access via
text messaging, Web browsers and applications," said Mark
Schwanhausser, Financial Services Analyst. "Mobile banking will be most
accessible and powerful when it is available to consumers regardless of
the type of phone they carry and the wireless carrier they subscribe
to. Triple-play accessibility will put customers in charge, enabling
them to decide which method to use at a given time for a given
transaction. It's not about telling customers which channel is best for
them. They will choose for themselves, and they will want flexibility."