Online, mobile payments to top $20bn this year
New findings from Juniper Research show that the number of household bill payments made via PCs, tablets and mobiles will exceed $20 billion this year, representing approximately 16% of all global consumer household bills. This trend is being driven by a growing consumer acceptance of transactional digital banking, and the sharp rise in mobile banking adoption overall.
The report finds that usage will continue to increase over the next five years as consumers, especially Generation Y users, opt for a multiple and immediate channel approach and use the mobile channel increasingly to manage their accounts.
The new report, Mobile & Online Banking: Developed & Developing Market Strategies 2014-2019, found that despite the higher numbers of mobile users making use of bill payment and presentment services, it was still the PC and tablet users that produced the higher transaction values.
This highlights the importance of larger screen platforms for purpose of banking and bill payments. Digital banking users prefer the convenience and perceived security of the tablet or PC over the mobile handset.
Additionally, the report found that over the past 12 months, vendors have been working towards integrating a new channel into the mix – that of smart wearable devices.
“Customers, particularly those of Gen Y, are attracted to banks that offer innovative and exciting new services. Banks are eager to capture these customers early and achieve ‘lock-in’. The ability to offer cutting edge banking applications and services is also a way for banks to secure customer loyalty and increase customer satisfaction,” noted report author Nitin Bhas.
Wearables have the capability of bringing contextual information together in a highly convenient and personal manner. They also provide the potential for new ‘push’ opportunities for Financial Institutions.