What are the trends in online persuasion

Use of online and mobile banking is stagnating

So far, only half of all bank customers use online banking. Banks and savings banks therefore have a lot to do, especially if they want to advance mobile banking.

More and more bank customers are using internet banking. It is practical, time-saving and is considered safe. In the bank blog you will find current studies on the most important trends and developments in this exciting area.

We communicate online, we shop online - but our trust in digital technology ends when it comes to money. "
Joachim Spill, EY

Just under half of German bank customers use online banking. And only a fifth do their banking with the help of a smartphone. These are the central results of a current survey by EY, for which 1,400 consumers were interviewed by telephone.

Online banking usage according to age groups

A narrow majority of German bank customers do without the Internet for personal banking transactions. In other words: For several years now, banks have not been able to convince other customers of the benefits of online banking. And this despite the fact that the confidence of German citizens in the security of online banking has increased significantly over the past ten years.

Obviously, this is not a question of age, because the usage rates differ only slightly. 42 percent of people over the age of 60 also use online offers for their banking transactions. At 56 percent, the most active group online is that of 31 to 40 year olds. For 21 to 30 year olds, the figure is 54 percent.

Every second customer conducts his financial transactions online - men more often than women.

Not interested in increased mobile banking?

The reluctance to use mobile banking is even greater. Four out of five Germans use a smartphone, but only 20 percent of the online banking users surveyed state that they use their smartphone for banking. While a 2015 study by the Bank Blog showed strong growth, this now appears to be stagnating. Only 12 percent plan to want to use mobile financial offers more often in the future.

In addition to security concerns, it seems that customers simply have no interest in mobile finance apps.

There does not seem to be any willingness to make greater use of banking apps.

Paying on the internet is popular

Transfers are the banking transactions that are - by far - most frequently carried out online: three quarters of online banking users do their transfers online. The second most frequent check is the account balance, but only by 13 percent of those surveyed. Applying for and managing loans or stock deals is done online by only a minority of one percent.

When paying for purchases on the Internet, PayPal (43 percent) is the most popular instrument, followed by purchase on account (40 percent) and credit card (22 percent), closely followed by direct debit (19 percent).

The great reluctance to pay by smartphone shows that a lot of persuading customers are still required. Just under one in five would definitely pay with their smartphone, e.g. by scanning at the supermarket checkout. Perhaps about one in eight would do this. Seven out of ten respondents say that it is out of the question for them.

Financial institutions have to do a lot of persuasion

There is still a lot of room for improvement. It is up to the financial service providers to generate demand themselves. ā€¯Joachim Spill, EY

The services of traditional banks in this country are often still perceived as inadequate. Here, the institutes would have to quickly develop attractive solutions in order to meet the increasing competition, e.g. from new FinTechs entering the market. Banks and savings banks therefore still have to do a lot of persuading in order to convince their customers of the advantages of using online and mobile banking.

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