Online and Mobile Banking are Gaining Adoption

ComScore, Inc, a company that measures the digital world, recently released its annual State of Online and Mobile Banking report for 2011.  This report provides key online and mobile banking trends in the U.S. in 2011. More than 2,000 U.S. Internet users were surveyed and the research was supplemented by other data from a behavioral panel of over one million U.S. Internet users. There was an upward trend in customer satisfaction with financial institutions and their banking websites early in 2011, compared to a decline in previous years. Online banking increased and mobile banking gained adoption, especially in app usage.

Key Findings

Online banking continues to gain adoption. The number of online customers has more than doubled since 2004.

Customer satisfaction with financial institutions and bank websites increased in 2011.  According to a customer satisfaction survey, almost 70 percent were satisfied with their financial institution’s website.

Approximately 66 percent of online financial customers used online bill pay at their bank.  While 29 percent of online bill payers also used websites of their bank, credit card provider and third-parties for online bill pay.  The main reason for not using online bill pay is security.

Financial institutions are beginning to use social media, but their customers aren’t aware of this. Only 18 percent of financial customers using social media are aware of their bank’s presence on social media sites.  In early 2011 compared to one year ago, financial customers visiting social media sties increased by 31 percent compared to 8 percent for the total online population.

Mobile banking has gained adoption and is projected to grow in 2012. In second quarter 2011, 16 percent of mobile users used their mobile devices to access financial information.  Of this group, almost 75 percent used their device to interact with their bank at least one a week.  This result is similar to those that use their desk top or lap top computer to conduct online banking.

More internet financial consumers are moving to online bill pay and to using mobile devices, but security is a top issue.  Financial institutions haven’t been active in social media and their customers aren’t aware of their presence. Banks will need to learn how to serve their customer needs through the internet, make it user friendly and secure.

Credit Expert Witness, John Ulzheimer, is the President of Consumer Education at SmartCredit.com, the credit blogger for Mint.com, and a Contributor for the National Foundation for Credit Counseling.  He is an expert on credit reporting, credit scoring and identity theft. Formerly of FICO, Equifax and Credit.com, John is the only recognized credit expert who actually comes from the credit industry.  Follow him on Twitter here.

Categorised in: Credit Cards, Credit Report, Financial, Money & Identity

This post was written by John Ulzheimer