Mobile banking via phone or tablet is set to overtake internet banking using a website in the next few years.
Roy Morgan Research found in the six months to June 2017, 8.3 million people used mobile banking in an average four-week period, up from 4.83 million in 2013, an increase of 3.47 million or 71.8 per cent in only four years.
Just over half the50,000 consumers surveyed over a year said internet banking using a website remained the main channel for dealing with a bank.
But this level had declined from 2013 and on current trends looked like being taken over by mobile banking in the next few years.
Nearly two thirds of Millennials (Gen Y) used mobile banking as their preferred banking method, compared with 25.4 per cent of Gen X.
Almost 50 per cent of pre-Baby Boomers, born before 1946 (also known as the Silent Generation), used a bank branch in a four-week period, compared to 32 per cent of Baby Boomers (born between 1946 and 1964.)
Only 21.5 per cent of Millennials used a branch in any given four-week period.
“The switch to mobile banking has been a result of rapid technological change, reinforced by high satisfaction levels with this relatively new way of dealing with banks,” Roy Morgan’sNorman Morris said.
“The strong preference for mobile banking by Millennials is a result of them having grown up with technology and so they have more easily moved to it, compared to the older generations who have been brought up using branches.
“As Millennials get older, however, their financial needs are likely to become more complex and so they may also require some type of personal contact, possibly involving a branch.”