How Enterprise Mobility is Transforming Finance and Banking Industry Worldwide?
Finance and banking are the two mainstay pillars of the global economy that act as catalyst in reforming the existing wealth of nations, big corporates and small and medium sized enterprises (SMEs). Since ages, the traditional methods have formed the base of this sector where customers had to visit the offices in person. However with consumers switching over to sophisticated mobile devices for all their personal and professional engagements in the contemporary times, transformation has become an inevitable need for this domain, which is suitably answered by enterprise mobility. Let us check out all those advancements in detail.
Enterprise mobility transformations
Several transformations have resulted out of the advanced mobile banking facilities that herald a blooming future for enterprise mobility in finance and banking sectors. Some important changes in this regard are as below:
- Employees in banks have upgraded their working processes, with smartphone and tablets replacing personal computers.
- Banks and financial institutions have now advanced websites and mobile apps to help customers carry out their financial transactions and other important processes right through their mobile devices.
- Banks get in sync with the mobile app development companies to come up with apps that could enable customers to manage their bank accounts globally, irrespective of the current geographic location.
- Mbanking allow tech savvy customers to know about the bank’s financial services in detail.
- Customers can now perform more secure transactions owing to multiple security checks they undergo through mobile and web apps before being allowed the final transaction.
Facts and stats
The facts henceforth justify the transformations introduced in this widely proliferating sector to a great extent:
Bain & Company’s annual survey of consumer loyalty in retail banking is worth discussing to cite the penetration of mobile banking the world over. The survey covered 150,100 account holders spread across 14 markets worldwide including US, UK, Australia, Spain and so on. The findings:
- Mobile banking customers alone in the United States increased significantly from 21%in 2011 to 32% in 2012.
- Asia entertained the highest penetration in the mobile banking sector during the 2011-2012.
- Young and rich US customers have embraced mobile banking by open arms, however, the 36-45 years age group noticed greater shift in the number of users shifting to mobile banking.
Moving ahead, report from Aite Group also as a befitting guide for professionals as well as customers associated with banking and finance domain as it brings into limelight some essential features of mobile banking. The Q2 2012 based survey included 1,115 US consumers and highlighted following important observations:
- Near about 7,000 financial institutions offer mobile banking to their customers in the US.
- 36% of the clients of Aite Group use smartphone to check current status of their bank account.
- The number of mobile banking users is expected to go three-fold from 2012 to 2016.
- Tablets will be preferred for financial management and Smartphone for financial transactions.
In another report named, ‘Segment-Based Strategies for Mobile Banking’, and released jointly by Cognizant and Monitise, much emphasis is laid on understanding the behavior of mobile banking customer in the wake of growing essence of enterprise mobility. It also suggests financial establishments to categorize their customers based on:
- Use of mobile device, such as smartphone, tablets, etc. by customers.
- Banking services that customers wish to avail the most.
- Benefits and features customers expect from mobile banking service providers.
- Monetization potential.
The survey comprised responses from 2,100 U.S citizens, including 700 mobile banking users and revealed the following facts:
- Among the main banking features offered by banks and preferred by consumers:
- 32% use mobile banking to check account balances/loan balances.
- 16% use it to know transaction history.
- 13% use the mobile service to get information about funds transfer between existing accounts.
- Concerns regarding mobile banking security also remained a major aspect to watch for in the survey as 71% respondents felt Security to be the most important feature.
- Smartphone remained a widely accepted mode for mobile banking among users spanning all the interviewed age-groups.
- Mobile banking websites were the next most popular mode, with SMS/Text banking accommodating the third spot.
- Demand for alerts on suspicious transactions remained the topmost priority of mobile banking users in all the included income segments.
Considering all these important facts generated from the responses from genuine participants and sources, it can be instantly inferred that finance and banking institutions need to pull up their socks to meet the demands of rapidly growing mobile banking customers. It is imperative for mobile banking service providers to consider a flurry of consumer aspects before they move on to take mobile initiatives.
To conclude, the penetration of enterprise mobility has been rampant in the banking and finance sector, as is obvious by the surveys and research works carried out globally. In all these findings, the message is loud and clear for the finance and banking institutions to upgrade (if they haven’t yet). In addition, those already offering mobile banking and finance services persistently need to grasp the minds of ardent customers so as to mold their business strategies accordingly. Approaching mobile application developers that hold decent experience in delivering quality mobile banking applications could be a thinkable option in this regard.
Finoit offers noteworthy mobile application development solutions in a range of business verticals. We can also design, development and execute interactive applications for finance and banking domain that could work actively in multiple mobile devices and OS platforms including Windows Phone, iOS and Android.