A Spotlight on Mobile Banking
Mobile banking(M-banking) brings banking services closer to customers. In essence, it should allow a customer to accomplish virtually all the service they would walk to a bank building to do.
However, the efficiency M-banking apps bas been a concern, primarily because of the limited functionality.
A Need for Reinvention
Most m-banking sites are just miniaturized versions of the bank's online banking websites, meaning they do not offer a lot of choices and mobile user-friendliness.
For instance, a website form would look very different and difficult to fill in a smartphone interface and would automatically turn off a would-be client.
That, and many other reasons explains the need for change of mobile banking, to make it more appealing to customers while giving them an engaging platform to manage their money.
But, what is the current status of this new way to control your finances.
HowM-banking Has Improved
1.Change of User Interface
New ageapplications have emerged as a bank for the smartphone rather than the traditional means to access banking products through a mobile phone.
The unique design allows for a different digital infrastructure, an open architecture, a lean start-up mode, and the ability for the customer to view banking in their perspective rather than the bank.
Mobile banking apps also have a lower cost structure, which customers have embraced, saying that it is more efficient than physical banks.
2. Access to More Services and Products.
Reinvented M-banking provides a completely revised user experience in comparison to traditional mobile banking. The new systems incorporate a more straightforward design that eases interaction. Interaction in these apps is personalized.
These apps feature existing banking processes and give access to a bank's full range of products.
Opening a bank account with these apps does not necessitate filling in forms or visiting a bank physically. You can register a new account through the app.
All you need is to take a photograph and to fill in the necessary personal details online. You also have to send photos of essential documentation, like your Identification and proof of residence. A valid electronic signature is also required.
3. Additional features.
Once you have an account, you get access to other benefits. For instance, if you want to save for a future project or investment, the app uses a behavioral science approach that encourages the customer to behave responsibly with encouragement provided along the way
Thus, the application allows you to save and also considers your future planned expenses or investments to determine whether a current purchase is possible.
With these revised apps, a customer can keep track of every transaction or project by having a document or image attached to it for better record keeping and improved security.
Unlike previous mobile banking, new apps allow the customer to find past expenses using natural language searches.
These revised apps also give customers access to checkbooks and debit cards. They also feature peer to peer transfers, where transactions between individuals can be done automatically via PayPal within the application, which makes payments more manageable.
Customer behavior is changing as they become more comfortable with the internet and mobile devices. They want simplicity, real-time insight, contextual engagement, and transparency with the personalization of banking.
Smartphones have mushroomed everywhere, which provides the technology and contextualization that was not previously available. With smartphones, customers can easily manage their money on the go.
Smartphones have allowed banks to move beyond offering just access to branch-based banking services, but to services like financial advice and real-time financial insight.
The advent of M-banking has, in recent years, increased the efficiency of banks, helping them to acquire more customers.
Financial institutions should, therefore, do all that it takes to improve mobile banking as customers rely more on these services.
However, many banks are shying off from implementing this service with full access since they are afraid that the physical brick and mortar banks will become obsolete. It should not be the case.
Streamlining M-banking will increase the accessibility of banks to their customers, which will give banks more business as customers are more likely to make more transactions from the comfort of their smartphones rather than visiting their bank offices.