More Australians turning to mobile banking, Westpac leading the way

Forrester reports that 52% of Australian online adults claim they want to conduct all their banking through a mobile application, an increase from 42% in 2020.

Moreover, in 2023, 76% of Australian Millennials and 69% of Generation Z anticipate being able to perform any financial task via a mobile application.

To assess how effectively banks are fulfilling customer expectations, Forrester analysed the functionality and user experience of mobile applications provided by five significant Australian banks: ANZ, Commonwealth Bank of Australia (CommBank), Macquarie Bank, National Australia Bank (NAB), and Westpac.

The findings from Forrester's review demonstrate that Westpac leads the pack with best-in-class money movement, search functions, and error prevention. Westpac, for the first time, has taken the top spot overall in the review of Australian banks. After a complete redesign of its application in 2021, the bank adopted a rigorous approach to digital experiences.

This has resulted in a stellar user experience (UX), particularly in the search and navigation and error avoidance and recovery categories. Westpac also offers several unique in-app features, such as the ability to request payments from peers, split group payments, and add billers by scanning a bill.

CommBank closely follows Westpac, offering industry-leading money management features. According to Iris Leong: "CommBank's mobile app balances strong functionality with excellent UX." The application stands out in the realm of financial management due to its top-tier budgeting, savings, and economic well-being tools.

At the same time, there's room for improvement across the industry. Australian banks are adding valuable features to their mobile applications, but most need to better assist customers in managing finances, one of the three most cited financial challenges by Australians.

Some banks, such as CommBank, equip their applications with advanced budgeting and innovative savings tools. However, many either lack these features or fail to incorporate them as an integral part of the mobile banking experience.

Forrester's research demonstrates a clear trend towards mobile banking amongst Australians, with specific apps leading the way in terms of user experience and functionality. As this pattern progresses, it will be interesting to observe how banks modify and enhance their digital offerings to meet their customers' growing expectations.

Forrester Research is a global market research and advisory firm specialising in providing analysis, insights, and advice to businesses and technology leaders. They offer a wide range of services and reports, covering topics such as customer experience, digital marketing, cybersecurity, artificial intelligence, and more.

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