Australia leading the pack in mobile banking
Adobe Digital Index’s (ADI) “State Of Banking” report has found Australia leading the pack in the adoption of mobile technology to enhance the customer experience. Adobe compared retail banks in the US, Canada, Australia and United Kingdom. American customers were found to visit their banks via their mobile devices only 27 times, on average, in 2015. This was less than half the rate of the other countries.
The high penetration of mobile banking in Australia was directly attributable to the dominance of the big four retail banks. Retail banking in the US is highly fragmented. The Australian, British and Canadian markets, however, are concentrated in the hands of just a few players. They have the scale and cost incentives to drive mobile adaptation.
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Australian banks are well ahead of the curve with new customers, according to the authors. Millennials were found to do more than half of their financial planning online. Furthermore, reports Adobe, “of those Millennials who have changed banks in the past year, more are likely to be focused on the quality of a financial institution’s mobile apps (39% said it was important, versus 32% for all respondents).”
Not surprisingly, online and mobile banking activities were heavily concentrated in the working week. Mobile app use and Internet banking declined in all of the markets survey on both Saturdays and Sundays.
“This report should be a wake-up call for marketers who are seeing less-than-average mobile share of traffic,” said Tamara Gaffney, principal analyst at ADI. “They need to be looking at similar industries in different countries because, across the pond, they are truly experiencing the mobile shift.”
Locally, ANZ has reported rapid uptake of its new Apple Pay option. The bank was the first of the Big Four to break ranks and cut a deal with the tech giant, which had been having difficulties negotiating the division of the income from processing payments. An instant surge in applications for credit cards and deposit accounts has reportedly led the bank’s rivals back to Cupertino for further talks.
Not to be outdone, Google is in the final stages of planning to launch Android Pay in Australia with ANZ and Westpac.