Mobile Banking Moves Slowly

Despite the trend that more and more Aussies are going online, statistics show that Australians are slow in embracing mobile banking. According to Intelligent Business Research Services, Aussies are not quite ready to accept and pursue cashless payments.

Guy Cranswick said that while banks and credit card companies have been aggressive in encouraging clients to switch to mobile banking, this is not happening yet. Cranswick is an adviser of Intelligent Business Research Services.

Cranswick added that payment vendors are realizing that customers must be more attuned with mobile banking before they make any move towards going mobile. Change in behavior is essential to ensure that promotions succeed.

The biggest banks in the country have rolled out mobile banking apps that would allow consumers to purchase by using their phones. eBay Australia has also partnered with merchants to offer its card-reader hardware.

But according to the report of IBRS entitled “Mobile Payments: Market Readiness and User Acceptance,” a mature banking market means people are more entrenched in doing brick-and-mortar purchases. Their online habits are also fixed.  Australia is one such market.

The report also showed the older it gets, the more fixed the banking behavior is. And the latest statistics show that Australians aged 65 and above will increase 24 percent by the middle of the century. This means technology is facing a huge challenge to change mindset and behavior.

mHITs Limited chief executive officer Harold Dimpel said that mobile payments are easier to implement in developing countries because banking behaviors are not as set.