Report indicates growth hinges on effort and funding

The mobile banking behaviors of today’s consumers should influence financial institutions’ mobile marketing efforts, according to a report from Aite Group.

Statistics on mobile and online banking • Online, but not mobile—39% • Mobile and online—13% • Mobile, but not online—7% •  Neither mobile or online—41% —Source: Aite Group

Based on a December 2010 Aite Group survey of 1,011 U.S. consumers, the report explains why specific consumer behaviors are important to financial institutions’ mobile banking and mobile marketing strategies.

The analysis of mobile-banking-consumer behaviors indicates that banks will have to make significant investments to improve or develop their mobile marketing capabilities. The lack of a retention benefit from the mobile banking channel; potential loss of overdraft fees from balance monitoring; and a shift in consumer attention toward the mobile channel means that financial institutions’ rationale for investing in mobile-banking capabilities will come from successful mobile marketing.

“Financial institutions that currently provide mobile-banking services offer basic functionalities like balance-checking and funds transfers,” said Ron Shevlin, senior analyst with Aite Group and co-author of the report. “The internal struggle has been how to justify investments in this channel and what types of services to deploy next. Based on consumer behavior, mobile marketing functionality can provide the justification for and the answer behind what to deploy.”

Learn more about the Aite Report here.