Busy ASB customers armed with smartphones are pushing demand for mobile banking to new heights with financial transactions on ASB’s mobile app increasing by two thirds in the past year.
The rapid change to mobile banking has pushed internet banking firmly into second place and is being described as one of the banking sector’s biggest and fastest shifts in consumer behaviour. It’s a trend that’s set to continue.
ASB introduced its mobile banking app in 2012 and in little over a year more ASB customers were banking through a mobile device than through traditional internet banking.
“Today, that gap has widened further. The number of active customers using ASB’s mobile app has increased by more than 40% over the past year. Financial transactions on the mobile app increased by two thirds during the same period,” Fiona Colgan, General Manager, Digital at ASB said.
“The ASB mobile app has grown at four times the rate that FastNet Classic internet banking did at the early stages of its lifecycle. Customer uptake and usage of our app is growing weekly and with 90% of New Zealanders estimated to be on smartphones by 2018, growth in this area shows no signs of abating,” she said.
Since inception, the ASB mobile app has handled 25 million transactions.
As a nation of savvy early adopters, Kiwis were quick to embrace smartphones. Google research suggests New Zealand is ranked 17th in the world for smartphone penetration. It’s estimated that 65% of Kiwis now have a smartphone. This surge in smartphone uptake has had a big impact on many Kiwi industries - but especially banking.
“Our customers live life on-the-go and we know that mobile banking makes their life easier. They are using ASB Mobile to check their balances via our Quick Balance feature and keep up with their bill payments,” Fiona Colgan said.
Time has become a precious commodity in our modern day lives and it’s in this way that ASB’s mobile app is having its greatest impact. “Our research shows that our customers are prioritising quality time to be with their family and mobile banking gives them more time to do that,” she said.
When internet banking was first introduced, many customers were nervous about security and reluctant to share their credit card details online. The ASB mobile app uses Netcode as an extra level of security and ASB encourages customers to only register three devices at one time. Customers also have a daily limit of $500 per day should they pay via email, mobile, $5,000 per day via bill payments or Trade Me Seller.
There are 1.75 billion smartphones in use worldwide and Kiwis have become increasingly reliant on theirs, with 63% of us accessing the internet through our phone each day and most of us never leaving home without it. Smartphones and multi-tasking go hand-in-hand, with 84% of us using our phones while performing other activities, like watching TV. On average, we have 27 applications on our phones, while over 33% of Kiwis have used their smartphone for purchasing.
“Since the introduction of our mobile app we’ve made continuous improvements. Using ASB Mobile, customers can make payments using only a mobile phone number or email address rather than a traditional bank account number,” said Fiona Colgan.
Customers can also make payments directly to Trade Me sellers without exchanging bank account information. They can also check their KiwiSaver balance on the go and even make one-off payments into their Kiwisaver account using the mobile app.