April 11, 2013
More than half of surveyed mobile users manage personal finances on their connected devices
NEW YORK — Dispite security concerns, a great number of American consumers are tapping into their mobile devices for money management, according to “Mobile and Money,” a new study conducted by Interactive Advertising Bureau (IAB) in partnership with InMobi and Viggle. The study looks at how mobile users are leveraging smartphones and tablets to manage their personal finances.
According to the report, nearly two out of three respondents (58 per cent) regularly use their bank’s mobile app, while another 25 per cent are aware of the app, but have yet to use it. In addition, 50 per cent use their bank’s mobile-optimized website, while another 26 per cent are aware of the feature, but have yet to test it.
These numbers indicate that the financial marketers’ messages about mobile offerings are resonating with consumers. However, at the same time more than half (52 per cent) of the survey’s respondents said that in order to shift more personal finance activities to their mobile device, they need a concrete “guarantee” that financial transactions are safe, even if they lose their phone. In addition, 46 per cent stated that they needed to see better security on their mobile network in order to inspire them to turn to their connected device for more financial activities.
“Clearly, mobile users are leaning into their devices for personal finance assistance wherever and whenever they happen to have a need,” said Anna Bager, Vice President and General Manager, Mobile Marketing Center of Excellence, IAB. “Most financial apps already contain rock-solid security, but consumers seem not to be as plugged into that fact, and that knowledge gap can make all the difference in driving further usage and adoption. This is an area that financial services marketers should pay attention to in their future campaigns.”
The report found that respondents are starting to treat their smartphones as virtual wallets, using the device for a variety of payment activities, such as:
Paying mobile phone bills (42 per cent) or other bills due for payment (46 per cent)
Paying a business for real-world goods/services, such as coffee via a pre-paid card on the phone (34 per cent)
Buying tickets for a movie or concert or travel, etc. (37 per cent)
Paying for digital products such as music, movies or a smartphone app (45 per cent)
Paying friends or family (19 per cent)
“Consumers show a definite willingness and interest in using their smartphones as a mechanism for making payments,” said Shrikant Latkar, Vice President, Global Marketing, InMobi. “The impediment is with retailers and individuals not currently being set up to accept those payments. It is fascinating, however, to see how far this has come so quickly. In some cases, like morning coffee, paying with your mobile phone has almost become routine.”
The “ Mobile and Money” survey was fielded in March 2013. To get the sample, Viggle emailed invites to a random sample of Viggle's nearly two million registered users. These users completed the survey online (on either desktop, smartphone, or tablet). One thousand, two hundred and forty-two respondents completed the questionnaire. Note that only Viggle users 18 years old or older participated in this survey. The Viggle audience is both technology- and media-savvy. Viggle currently attracts a user base centered around the 25 - 34 year-old demographic. In addition, Viggle’s audience is also more coastal and more urban than the average consumer.