It seems that mobile banking has arrived. This year 590 million mobile phone users across the globe will use their device for banking purposes; by the end of 2017 the number will exceed 1 billion.
According to Hampshire, U.K.-based Juniper Research, that 1 billion will represent more than 15 percent of the world's mobile subscriber base. And the numbers gain additional significance in light of the fact that half of mobile phone users are unbanked.
The study, "Mobile Banking: Handset & Tablet Market Strategies 2013-2017," found that mobile banking technology is already proven and available in most regions of the world, driven by high consumer demand, especially within the developed regions.
Research by Juniper also revealed that most banks offer at least one mobile banking method — text messaging, mobile browser or mobile app — and many of the larger banks are now providing two, or even all three, of these technologies.
"From the banks' perspective the triple play platform is advantageous as it avoids them having to switch suppliers for different approaches, as well as maximizing client reach," said report author Nitin Bhas. "While messaging remains highly popular and relevant in the financial sector, apps will be the dominant access mode in developed markets with banks reporting an increased number of visits per month on their mobile apps."
Juniper shared other key findings from the report, as well:
- The ability to access banking information and make transactions 'whenever you want' and 'wherever you are' is a compelling proposition to most banking customers.
- Transactional mBanking use will reflect similar growth rates to mobile banking information services.
- The developed markets of the Far East and China, North America and Western Europe will have the highest penetration of users in 2017.
Additionally, the report provides the relative proportion of mobile banking users who access information services ("push") and transact banking services ("pull").
The Juniper Research white paper "Mobile Banking — Smart & Secure" is available for download from the Juniper website along with further details of the full report, "Mobile Banking: Handset & Tablet Market Strategies 2013-2017."
For more on this topic, visit the mobile banking research center.