A look at trends in mobile banking and whether a mobile app or mobile website makes more sense. Lots of data from the Federal Reserve's March 2012 study.

1. Copyright 2012 McLellan Marketing Group • All Rights Reserved

2. Ready or not… here it comes!
Drew McLellan

3. In 1983, the first commercial wireless call was
placed with a Motorola DynaTac.
It cost $3,995, weighed over 2.5 pounds, and was
10 inches tall (before the antenna).
http://en.wikipedia.org/wiki/Motorola_DynaTAC

4. We’ve come a long way!

5. Are we typical?

6. Mobile phone?
87% of Americans do.
Federal Reserve study 2012

7. Smart phone?
44% of Americans do.
Federal Reserve study 2012

8. Accessed the web with your
smart phone this week?
84% of smart phone owners did.
Federal Reserve study 2012

9. In 2011, more smart phones
and tablets were sold than PCs
http://www.scribd.com/fullscreen/48586092

10. Faster growth than any
other computing platform
http://mashable.com/2010/04/13/mobile-web-stats/

11. Consumers are
being taught that
their phone is $.

12. Your customers’ reality
I am offered choices.
I am able to access information 24/7.
Convenience and time are my currencies of choice.
My loyalty is slow to take seed, easy to uproot.
I am in control.

13. What does that mean for banks
and credit unions?

14. I can do anything I need
to do from my phone
…including my banking

15. What is mobile banking?
1. Text
messages
2. Mobile
optimized site
3. Mobile app

16. What does that mean for us?
21% of mobile
users have used
mobile banking
in the past 12
months.
Federal Reserve study 2012

17. What does that mean for us?
11% of those
who haven’t
used mobile
banking yet, will
do so in next 12
months.
Federal Reserve study 2012

18. Who is using it?
Federal Reserve study 2012

19. Who is using it?
Federal Reserve study 2012

20. Most common uses?
Federal Reserve study 2012

21. Adoption rates
It took 10
years to get
40% of
customers to
use online
banking
http://www.netbanker.com/online_banking_report/

22. Adoption rates
In first 90 days
of launching
an
app, reports of
10-13%
adoption.

23. Surprising possibilities
Capturing the
underbanked
and
unbanked.
Federal Reserve study 2012

24. Surprising possibilities
Minorities
Lower income
Younger
CRA?
Federal Reserve study 2012

25. New revenue?
Federal Reserve study 2012

26. Today’s customer
20% of FI
customers have
used mobile
banking.
Another 20% say
they will be the end
of 2012.

27. Today’s customer
Almost 60% of large-
bank customers in a
recent survey said
the availability of
mobile services was
a reason they had
switched financial
institutions.
Federal Reserve study 2012

28. Around the corner
By 2015, 50% of all
financial institution
customers will be
mobile banking
customers.
Yours?

29. Native App or Mobile Website?

30. Native App or Mobile Website?
Native App Mobile Web
Download to your phone Access via browser
Interactive interface Static, navigational
interface
Touch optimized
Click and keypad
Available offline*
Must be online

31. Text Messages

32. Mobile Web

33. Mobile App

34. Advantages/Disadvantages
Compatibility/Cost
• Mobile websites work across platforms and devices
• Mobile apps only work for their specific operating system

35. Advantages/Disadvantages
http://mashable.com/2011/02/24/mobile-app-dev-cost/

36. Advantages/Disadvantages
Availability
• Mobile websites are instantly available
• Mobile apps must be downloaded and installed
Upgrade
• Mobile websites can be upgraded quickly & easily, it’s active instantly
• Mobile app upgrades have to be coded into the app and then they
have to be downloaded and installed by the user

37. Advantages/Disadvantages
Sustainability
• Mobile websites are easy to support & add new content
• Mobile apps can be costly to fix bugs and to enhance features

38. Advantages/Disadvantages
Life Cycle
• Mobile websites are accessible to all users for as long as the Web is
up
• Mobile apps are accessible for as long as the user keeps the same
phone or re-downloads app to new phone

39. Eventually, you’ll need both
http://www.emarketer.com/blog/index.php/quick-stat-
smartphone-users-account-38-mobile-phone-users/

40. What should you do today?

41. What should you do today?
(internally & externally)

42. What should you do today?

43. What should you do today?

44. What should you do today?

45. There’s no going back

46. But this
customer
sticks!

48. Meet Drew McLellan
• 25 year agency veteran
• Top Dog at McLellan Marketing Group since
1995
• One of AdAge’s top Marketing & Branding
Blogger (www.DrewsMarketingMinute.com)
• Author 99.3 Random Acts of Marketing
• Co-editor of the Age of Communication book
series with Gavin Heaton
• Speaks 50+ times a year at
conferences/workshops etc.
• The Wall Street Journal calls him “one of the
10 bloggers that every entrepreneur should
read.”

49. www.DrewsMarketingMinute.com
drew@mclellanmarketing.com
Copyright 2012 McLellan Marketing Group • All Rights Reserved