MAP Payments Updates

Mobile Banking Trends

Written by Cyndie Martini | August 23, 2022 at 3:15 PM

Depending on the survey, mobile banking has overtaken online banking. At the least, mobile banking is nipping at the heels of online banking. These surveys show that there is definitely a turn in customer behavior on the horizon.

A recent survey from Phoenix Synergistics found that 35% of customers bank from their mobile phone, while 24% use online banking (i.e., desktop or laptop). Mobile banking has increased from only 22% in 2021. The survey also found that just 13% of customers prefer to use a branch.

Age matters when it comes to a customer’s preferred banking channel. Mobile banking is most popular with younger customers and steadily declines with age. It is just the opposite for online banking:

Mobile banking total: 35%

18-34 44%

35-49 38%

50-64 29%

65+ 12%

Online banking via computer: 24%

18-34 13%

35-49 20%

50-64 31%

65+ 47%

BAI’s (Bank Administration Institute) 2022 outlook found that 37% of Gen Z prefers to open a deposit account via mobile. Only 12% of this group prefer to use a branch for the same task. On the flip side, 12% of baby boomers preferred to open deposit accounts via mobile, while 58% opted for a branch.

“The next step is to create almost a branch-at-home experience, where consumers can see their representative and talk to him or her,” said Bill McCracken, president of Phoenix Synergistics. “Why do people need to take that ten-minute drive to the branch to resolve a problem or to ask about a product?”

This shift to mobile doesn’t mean the branch or in-person experience is going anywhere. There is still a healthy demand for a human assistant when it comes to money management, such as budgets, investments, and savings. Complex financial decisions such as mortgages and starting a business often require in-person assistance as well.

But even many of those tasks can be accomplished with a video assistant, accessed through a customer’s mobile device.