In the second phase, announced at a press conference yesterday, it was revealed that, while 16% of banking customers in South Africa use the internet for banking, 28% use their cellphones. Thirty-four percent of banking customers use one or both of these channels. Outside of the branch and ATMs, only 6% relying exclusively on the internet, while 18% rely only on cellphone banking.
More than 25% of bank customers turn to their cellphones for services ranging from informational transaction types such as balance enquiries to financial transaction types, which include account payments.
The study revealed that the main services driving cellphone banking were balance enquiries and notifications of transactions, with 75% of cellphone bankers using these features. Just under half view statements on their cellphones, 35% transfer between accounts, and 28% pay accounts on their cellphones. In contrast, only 8% add beneficiaries via the cellphone, indicating both security concerns and set-up issues.
"Our research shows that South Africans are becoming comfortable with cellphone banking, but 50% of general banking customers are still nervous of it, citing trust as their major concern," says Arthur Goldstuck, MD of World Wide Worx. "However, this concern must be seen in the light of 34% also saying the issue is not knowing how to use the service."
At the same time, two thirds of cellphone banking users were satisfied with the security of the channel. This suggests that, once customers start using cellphone banking, they grow increasingly confident in both security and usability aspects.
The study also shows purchasing via the cellphone beginning to take off, with 24% of cellphone banking customers purchasing prepaid electricity and 21% making general purchases like movie tickets and flowers. Purchase of airtime still leads the way here, accounting for 61% of cellphone banking users.
Mobility 2009 included research among 1,000 consumers in metropolitan areas, 1000 SMEs and 240 large enterprises in South Africa. First National Bank (FNB) and Research In Motion (RIM), the company behind the BlackBerry solution, backed the study.
