Mobile Banking in U.S. Grows 129% in Last Two Years

Mobile Banking in U.S. Grows 129% in Last Two Years

According to the Nielsen Company, mobile web banking in the U.S. has grown to more than 13 million mobile subscribers – up 129 percent in just two years – and is now poised to level the playing field for the banked, unbanked, young, old, rich, poor, downtown, uptown or out-of-town.

According to a June 2010 survey, people who use their mobile phone for web-based banking tend to be younger, male and more ethnically diverse than their online banking counterparts.

  • 36 percent are between the ages of 25-34, while only 18 percent represent that same age group online
  • Males represent 53 percent of this population versus 43 percent online
  • 30 percent are Hispanic while this same user group represents only 11 percent of the online banking population

Those who use SMS texting for mobile banking – either from a smart phone or a standard feature phone – represent the largest group of mobile bankers. This is not surprising given the growing popularity of texting in general: As of July 2010, two out of three U.S. mobile subscribers used text messaging.

Mobile banking SMS users vary demographically from mobile web users. This group is slightly older than their mobile web banking counterparts, as 48 percent of these users are over the age of 35. With this simple easy-to-use feature, banks can provide customers the ability to track balances, set up alerts, and have much greater and immediate control of their finances.

According to David Gill, Senior Director of Mobile Marketing at The Nielsen Company, “People who are comfortable using their mobile phones for mobile banking tend to check their mobile bank site twice a week. These customers are already highly engaged and eager for real-time solutions based on their specific needs.”

Mobile banking offers something for every degree of technology adoption and comfort level, from sophisticated, mobile web-based banking services to the quick and simple, SMS texting based offerings that are driving mobile banking growth.