Increasing use of mobile banking in India and China
Posted on: 11/Aug/2015 3:30:45 PM
In emerging economies like India and China, there is a significant rise in use of mobile banking. As per the reports of KMPG and USB researches, the usage of mobile banking is likely to get doubled globally in another four years. The research adds that the use of mobile phones for banking is in a `rapid phase` of adaptation by new customers. The count of mobile banking users will reach 1.8 billion in next four years which will be nearly 25 percent of entire population in the world.
The report also added that the rate of adaptation is higher with developing nations such as India and China which is about 60 to 70 percent as compared to other developed nations such as the USA, Canada and the UK.
Considering users in India, the maximum numbers are of the age range of 30 which is 32 or 39 in the US or Europe. Banks that do not have clear and friendly mobile banking services are likely to lose their customers, stated the report.
The report also stressed that users in India are likely to switch over from one bank to the other in case of any dissatisfaction or unavailability of mobile banking service.
The `mobile first` strategy is increasingly being adopted by banks. Large players in banking sector are acquiring technically sound companies to stay in-line with the fast changing growth of challenger banks. The challenges with mobile banking are the cyber security and lack of needed collaborations with developers.
Adopting mobile banking service has two main keys such as the customer experience and friction less engagement. Banks should also focus on providing a secure way of mobile banking security by implementing necessary security measures, said Akhilesh Tuteja, the partner and head of IT advisory services at KPMG India.
