In the early 1990s, banks introduced online banking to make banking easier for the consumer and businesses. Software was made available so consumers and businesses could easily access their bank accounts for verifying balances, writing checks, and balance their checking or savings accounts on a monthly basis. Times are changing, and today’s digital world is having widespread effects on handling our finances. Computers and mobile devices are key trends for banking customers, but many consumers still visit their local bank branches for certain banking operations. Got a problem? That’s what the call centers are for, which is how most consumers resolve any questions or issues with their accounts versus contacting their local branch.
According to a recent Nielsen research survey conducted in November 2013, 82% of U.S. consumers banked online at least once in the last 30 days. The high percentage indicates the changing consumer demographics, compared against the 68% of consumers, who visited a local branch in the same period. Also 68% of these same consumers use the ATM services on a monthly basis to deposit or withdraw money.
Mobile banking, either via tablet or smartphone, is a lower preference of 36% compared with the other more traditional banking methods, but is gaining momentum over the last several years. Mobile banking is expected to double within five years.
Thus 77% of consumers say they prefer to pay their bills online. Mobile consumers prefer checking their account balances, and most consumers prefer to seek investment advice at the local branch. So the bottom line for financial institutions is adopting more technology for banking, which will help maintain loyalty, engage new customers, and serve online consumers easily and faster.
Bob Larson is a technologist, writer, and Marketing Director for 50 Plus. For more information contact Bob at Email Bob.