Mobile Banking Quantified: Comprehensive Benchmarks for US Vendors and Institutions

6 May 2016
Daniel Latimore, Stephen Greer, and Bob Meara

Abstract

Celent and FI Navigator have collaborated to leverage a proprietary data capture methodology that examines the state of US retail mobile banking by cataloging the offerings of more than 6,000 financial institutions (FIs). The benchmarking provides detailed analyses covering FI adoption of personal mobile banking and related features; customer utilization and satisfaction by FI and vendor; and vendor market share, market share accretion, and churn. The data and analysis are synthesized from publicly available sources as of March 31, 2016, and covers the entire banking industry as well as 48 different retail banking mobile app providers.

In the report Mobile Banking Quantified: Comprehensive Benchmarks for US Vendors and Institutions, Celent examines the mobile banking market using a comprehensive benchmark dataset from the FI Navigator platform. The report first explores the FI market by asset size and institution type for mobile adoption, feature adoption, feature lift, churn rates, utilization, and satisfaction. Then it compares US mobile banking vendors by installed base, growth rates, churn rates, market share accretion, end users, and utilization. Celent concludes by distilling the analysis down into nine relevant recommendations.

The rush to mobile banking has been difficult for FIs reliant on legacy technology, decades-old processes, and an imperative to safeguard customer assets. Institutions need to maximize mobile banking, but they often return to four fundamental questions:

  • What are my competitors doing?
  • What are the most significant developments in mobile offerings?
  • Is the pace of mobile adoption beginning to slow?
  • Where should I direct further mobile investments?

“Many institutions have to date relied on piecemeal and anecdotal approaches to optimizing mobile banking,” says Dan Latimore, senior vice president of Celent’s Banking practice and coauthor of the report. “Such analyses can be a useful first step, but they’re sorely lacking in comprehensiveness and in some instances can even be misleading.”

“Combining market data with internal analyses and strategic intent can yield a richer and more complex perspective on the increasingly important mobile banking market,” adds Bob Meara, a senior analyst with Celent’s Banking practice and coauthor of the report. “In this space as in many others, bankers and vendors who collaborate are likely to outperform those who go it alone.”

This 60-page report contains 3 figures and 54 tables.

Please note: The download link above is a brochure. This is a special report released through a partnership between Celent and FI Navigator, and it will not be released to current subscribers of Celent’s Retail and Business Banking. Instead, it is being sold as a stand-alone report that will be updated every six months. To find out more about how to obtain a copy, as well as access to the complete FI Navigator platform, please contact Ken Kilduff at kkilduff@celent.com.

Table of contents

Executive Summary

1

Key Research Questions

1

Report Highlights

1

Introduction: Financial institutions Must Get Mobile Right

3

Institution Analytics

5

FI Mobile Adoption

5

Customer Utilization

8

Mobile Features

12

Feature Lift

20

Customer Satisfaction

21

Churn Rates

25

Vendor Analytics

29

Market Share

29

Market Share Accretion

32

Churn Rates

37

Customer Utilization

41

Customer Satisfaction

44

Client (FI) Demographics

47

Implications

51

Appendix A: Methodology

53

Appendix B: Legacy Research

55

Leveraging the Expertise of Celent and FI Navigator

56

Additional Products

56

Number of pages

60

Report files

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