ADI: U.S. Banks Shortchange Users In Mobile Experience

Smaller banks, in particular, are failing to take advantage of the shift to mobile, according to Adobe Digital Index’s “State Of Banking” report.

ADI: U.S. Banks Shortchange Users In Mobile Experience

Adobe Digital Index’s (ADI) “State Of Banking” report finds that banks in the United States are behind other countries in the adoption of mobile technology to enhance the customer experience.

In fact, when comparing the U.S., Canada, Australia, and the United Kingdom, Australia leads the pack. Consumers visited retail banks via their mobile devices just 27 times, on average, in the U.S. in 2015. That number is more than double for Canada, the U.K., and Australia.

“The retail banking landscape is fragmented in the United States,” said Matt Roberts, an analyst for ADI. “The top 10 largest banks in the United States only hold 59% of market share, and two of them aren’t even U.S. banks. That number is 80% in Australia, 90% in Canada, and 81% in the U.K. This fragmentation, and the fact that there are so many smaller, regional banks in the U.S., is inhibiting the growth and scalability of mobile banking.”

ADI has found that, whether for budgetary or other reasons, smaller banks are failing to take advantage of the shift to mobile. For those that are, the experience they’re providing is subpar.

This is cause for concern, according to ADI, which found that Millennials, in particular, do more than half of their financial planning online.

What’s more, of those Millennials who’ve changed banks in the past year, more are likely to be focused on the quality of a financial institution’s mobile apps (39% said it was important, versus 32% for all respondents).

ADI also found that online and mobile banking are weekday activities, with large drops in visits to retail banking sites on both Saturdays and Sundays in the U.S., Canada, U.K., and Australia.

The results in this report are based on 600 billion-plus visits to banking websites and apps between January 2015 and March 2016. In addition to the analysis, ADI also surveyed 1,000 consumers in the United States about their online financial planning and online banking behavior.

“This report should be a wake-up call for marketers who are seeing less-than-average mobile share of traffic,” said Tamara Gaffney, principal analyst at ADI. “They need to be looking at similar industries in different countries because, across the pond, they are truly experiencing the mobile shift.”

Click here to view the full report (below) on SlideShare: