The proportion of bank customers using the internet ( both via website or mobile) to deal with their bank in an average four week period has now grown to 62.2%, well ahead of the more traditional branch, now only used by 32.3%. The satisfaction level of internet banking is 90.2%, compared to branches with 88.4%.
These are the latest findings from Roy Morgan’s Single Source survey of over 50,000 people pa.
Growth in internet banking
Over the last two years, the proportion of bank customers using branches in an average four week period has declined from 35.5% to 32.3%, while total internet banking has increased from 58.6% to 62.2%.
Channel used* to deal with banks:
Although internet banking via the website remains the major channel used, it declined marginally from 53.1% in 2013 to 52.5% currently. The only area of growth over the last two years was with mobile banking which has increased from 26.2% in 2013 to 33.6% of the population in 2015. Over this period, phone banking declined (18.9% to 15.0%) and the use of a personal advisor/banker also declined (8.4% down to 6.6%).
Internet banking leads in satisfaction
It is not surprising that the rapid growth of internet banking is associated with higher satisfaction levels than for traditional channels.
Internet banking using a website has the highest satisfaction level of all channels with 90.4%, followed by mobile banking with 89.9%.
Satisfaction with channel used* dealing with banks:
Satisfaction with branch banking is lower than for the internet with 88.4%, followed by personal advisor/banker (81.8%) and phone banking (79.9%).
Satisfaction with internet banking varies between banks
The satisfaction level with internet banking is over 90% in total and for each of the major banks it is higher than their overall customer satisfaction levels. There are differences however between banks in internet customer satisfaction, with Suncorp having the highest (93.3%), followed by the CBA (92.7%).
Satisfaction with internet banking:
The only banks to score less than 90% satisfaction were the ANZ (89.9%), St George (88.0%) and Westpac (87.9%)
Norman Morris, Industry Communications Director, Roy Morgan Research says:
“With the rapid growth in internet banking, it will become more important that satisfaction with this channel will need to be monitored against competitors and with other methods for dealing with banks if this lead is to be sustained.
“A great deal of attention is currently being paid to overall satisfaction and advocacy across the banking industry but this needs to be expanded to looking at satisfaction at the channel level as this is likely to impact overall satisfaction.
“It is worth noting that clearly the highest users of website internet banking are the high value customer, ie. the top 20% (top quintile) that controls 63% of the total market value of financial services. Nearly three quarters of this high potential group conduct internet banking using the website, making it imperative to understand functionality needs, reliability and satisfaction with this critical segment.”
Roy Morgan Research
Roy Morgan Research is Australia’s best known and longest established market research and public opinion survey company. Roy Morgan Single Source is thorough, accurate, and provides comprehensive, directly applicable information about current and future customers. It is unique in that it directs all the questions to each individual from a base survey sample of around 55,000 interviews in Australia and 15,000 interviews in New Zealand annually - the largest Single Source databases in the world. The questions asked relate to lifestyle and attitudes, media consumption habits (including TV, radio, newspapers, magazines, cinema, catalogues, pay TV and the Internet), brand and product usage, purchase intentions, retail visitations, service provider preferences, financial information and recreation and leisure activities. This lead product is supported by a nationally networked, consultancy-orientated market research capability.
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