Three key strategies in which to optimize mobile banking investments are product investment, marketing, and frontline staff engagement, says Fiserv in a recent report.
The ability to add and retain mobile banking users is vital to bank growth and profitability as research has shown mobile bankers to be valuable customers. Research has also shown that mobile banking capabilities, or a lack thereof, can play an important role in a consumer's decision about where they bank.
Fiserv analysis shows that successful financial institutions have mobile adoption rates of at least 40% of their online banking base, and this can be considered a benchmark figure by which banks can measure their own mobile banking adoption rates.
In the report, Fiserv outlines three main priorities for financial institutions looking to boost mobile banking adoption and usage:
1. Product investment—Consumers are no longer content with simple functionality, such as the ability to check balances.
Instead, consumers increasingly expect a wider range of mobile banking features such as mobile deposit, tablet-friendly user interfaces, P2P payments, and alerts they can instantly act on.
Fiserv research has shown that financial institutions that offer mobile deposit average 60% more logins and transactions per month compared to their counterparts that do not offer the feature. Investing in next-generation capabilities is vital to mobile banking success.
2. Targeted marketing—Achieving high levels of adoption for mobile banking requires a comprehensive, integrated marketing program.
Banks can leverage smart app banners, cross-selling techniques, and pop-up pages within online banking to raise awareness of mobile banking and drive enrollments.
Communication through social media channels should also be considered as it can be extremely useful for driving engagement, particularly among younger consumers.
3. Staff engagement—A financial institution's frontline staff plays a key role in encouraging mobile banking enrollment.
Both branch employees and call center staff can be turned into evangelists for mobile banking, capable of driving new registrations at a significant rate. Training staff on how the mobile banking service works, how to enroll new users, and how and when to promote it can lead to significant adoption dividends.
"While many financial institutions are eager to go beyond initial levels of mobile banking adoption, product deficiencies, ineffective marketing, and lack of knowledge among frontline staff can hinder their efforts," says John Moon, senior manager of adoption marketing, Digital Channels, Fiserv.
Moon says that the combination of next-generation mobile banking features, targeted promotion and staff training can help banks “reach higher levels of adoption and usage for mobile services, and achieve a higher return on their investment."