68% Respondents Not Using Mobile Financial Services: Amdocs Survey

68%-Respondents-Not-Using-Mobile-Financial-Services:-Amdocs-SurveyAmdocs today released the results from a new global survey around mobile financial services (MFS) which revealed that more than 68 percent of the respondents are yet to use mobile financial services.

In future, new innovative solutions for savings, loans, and insurance will drive the next phase of mobile financial services growth across emerging and mature markets.

“Consumers who have adopted MFS appreciate the benefits these services can bring. The ubiquity and convenience – the ability to use mobile financial services anytime, anywhere – was the overwhelming benefit cited by survey respondents in both emerging and mature markets. These are immediate, tangible benefits and a powerful riposte to those who say there is no value in MFS,” said Eden Zoller, principal analyst with Ovum.

“This represents positive progress but mobile financial services providers can’t afford to be complacent as the research clearly shows that there are fundamental issues and challenges that still need to be addressed, ranging from security concerns and ease of use, to lack of awareness,” commented Zoller.

The majority of the survey respondents either do not use mobile payments or financial services applications, or are unaware of them – this is more pronounced in emerging markets (73 percent) compared to mature markets (62 percent). While 31 percent of respondents in emerging markets said that they were unaware of mobile payments or financial services, this figure was lower in mature markets (23 percent).

34 percent of respondents in emerging markets said that they were aware but had no plans to use the services, compared to 30 percent of respondents in mature markets. Respondents who have downloaded the application or subscribed the service but still don’t use it showed similar trends in mature (9 percent) and emerging (8 percent) markets.

Savings, loans, insurance & payment solutions for medical treatment and education services will drive the next level of growth in mobile financial services – 25 percent of respondents in emerging markets said they’re likely to adopt advanced mobile financial services products – savings, loans, and insurance – in the next year, compared to 16 percent in mature markets.

In some mature markets such as the UK and Sweden, the likelihood was much higher, ranging from 17 to 30 percent. Emerging markets (22 percent) are more likely to adopt mobile financial services for making payments for medical treatment and education services than the mature markets (15 percent).

Increased security, low transaction charges, ease of use, rewards for using the service, and service ubiquity are key adoption drivers – increased security was identified as the most important factor for driving adoption in both mature (40 percent) and emerging (39 percent) markets.

Patrick McGrory, division president for Amdocs’ emerging offerings said, “While the mature markets such as the US, Norway, and the UK need compelling value propositions, emerging markets such as Ghana, South Africa, Brazil, India, Philippines, and Mexico need innovative solutions that can deliver a range of affordable mobile financial services that are a viable alternative to traditional banking services.”

Conducted by analyst and consultancy firm Ovum, the survey focused on 8,500 consumers in 17 countries across emerging and mature markets including UK, Denmark, Finland, Norway, Sweden, US, Canada, India, Philippines, Malaysia, Indonesia, Mexico, Brazil, Colombia, Guatemala, South Africa and Ghana.

Also Read

Leave a Reply

%d bloggers like this: