Nearly Half of All Mobile Phone Users Will Do Mobile Banking in 2014

­Mobile banking in the USA is quickly moving from a "techie" to mainstream capability that is changing how consumers manage their finances today, reports a new study from Javelin Strategy & Research. The increase in usage is expected in turn to change how consumers pay for goods in the future.

"Mobile banking is quickly moving from infancy to commonplace, which will help separate the winners from losers in banks' ability to attract and keep technology-loving consumers," said Mary Monahan, Research Director and Managing Partner. "Consumers are hungry for the 'always-on' and 'real time' ability to monitor and manage their money, and mobile banking serves that need better than any other."

The Javelin report also covers general smartphone adoption, which is a secondary factor driving mobile banking, and the race to develop the basic thin-client capabilities that Javelin calls "wrapper applications" to integrate financial services into mobile online sites.

Key Findings of the report:

• Nearly half of mobile-phone owners currently have access to mobile banking today.
• By 2014, 45% of mobile-phone users will actually use mobile banking.
• 99 million U.S. adults will conduct mobile banking transactions at least once per year by 2014 - with 52% of mobile-phone users relying on smartphones.
• Mobile banking will rival online banking, with the former used as a "remote control" and the latter as a detailed form of control panel for more complex transactions.
• AT&T has the highest number of mobile bankers due to the iPhone's influence, while Verizon Wireless has the lowest penetration for mobile bankers among the top tier U.S. wireless carriers.

"Mobile banking is quickly becoming an essential consumer capability," said Mark Schwanhausser, Financial Services Channels Analyst. "Just as the iPod changed the music industry and their business models, our data shows that iPhone users are changing the banking industry by leading the way in monitoring and managing finances through mobile devices."

Posted to the site on 10th September 2009