The banking industry is a huge industry participating in the digital world; it “continued to grow steadily for the top 10 global banks in 2011. The rise in digital banking has been driven by the change in consumer behaviour: they want simplicity, responsiveness and personalized services” (On Windows, 2012). They have evolved to online and mobile banking, benefiting both the consumers and the company. Online and mobile banking make it easier and more convenient for customers; they have access to online help or telephone assistance in case they run into problems or require help. Online banking websites are very user-friendly and easy to navigate around. “Consumer adoption of mobile banking grew by almost 60% in 2010 – 2011 and by 2015, more people will interact with their banks digitally than through branches” (On Windows, 2012).
The “busy and tech-savvy consumers want to interact with banks without [the need to] visit a branch to meet their needs” (On Windows, 2012). Having mobile banking available to consumers with a busy life and who also own a smartphone is definitely a big advantage. They do not need to rush to banks during their lunch hours at work, rush to make it just in time before the bank closes after a long day at work and they will be able to pay and receive bills at their own convenience. In addition, this method of banking is so convenient that it allows consumers to be able to travel and still have access to online banking to pay bills, receive bills, transfer funds and more banking activities. The digital web has definitely changed the banking lifestyle! “More and more consumers are using digital channels to interact with banks for convenience and ease of use, as well as rapid access to information” (On Windows, 2012).
Digital banking is not just beneficial for the consumer, but for banks/companies as well. “Adoption to these channels present an opportunity to new revenue streams, reaching different segments of consumers and converting previously untapped potential. This allows companies to reach new demographics, test business cases and introduce new products and services” (On Windows, 2012). This also allows companies to be more socially responsible by sending out bills through the web as opposed to the traditional paper way; doing so also minimizes costs of resources, supplies and postage to send out to the customers in a more efficient and timely manner.
Here is an interesting article that talks about 6 ways to blend both online and mobile banking platforms. Also here are 4 ways that will help the banking industry improve this year. These are the four ways:
- Internet banking: focus on experience
- Mobile banking and mobile payments
- Personal finance management: an opportunity now, a must for tomorrow
- Online sales
Bankfutura. (n.d.). Online Banking Trends in 2012. Retrieved December 10, 2012 from, http://www.bankfutura.com/2011/12/online-banking-trends-in-2012/
Bunch, Tim. (2012). The future of online banking: when worlds collide. Retrieved December 10, 2012 from, http://thefinancialbrand.com/26511/future-of-online-banking-desktop-mobile-tbunch/
On Windows. (2012). Online and mobile banking trends. Retrieved December 10, 2012 from, http://www.onwindows.com/Articles/Online-and-mobile-banking-trends/6896/Default.aspx