Mobile banking has cemented its position as the primary banking channel for Australians, with 75% of Australian online adults having conducted their banking via mobile banking apps on their smartphones in the past month. This is a significant increase from 59% in 2022, according to data from Forrester's latest Digital Experience Review.
Despite this high adoption rate, customer satisfaction with mobile banking experiences remains moderate. Forrester's report notes that most users rated their mobile banking app experiences as just sufficient, with only 63% of users agreeing that their bank's mobile capabilities adequately meet their needs.
Forrester evaluated the mobile apps of Australia's "big four" banks: ANZ, Commonwealth Bank of Australia (CommBank), National Australia Bank (NAB), and Westpac, to assess the ease and effectiveness of their mobile banking experiences. Westpac emerged as the leader for the second consecutive year, followed closely by CommBank.
The report highlights that Westpac's app excels in areas such as money movement and account management. The app has introduced personalised features that keep customers informed about their budget usage and spending limits. "Westpac's innovative personalised features set it apart in the market," Forrester's principal analyst Zhi-Ying Barry commented.
CommBank's mobile app was noted for its automated savings capabilities, which help alleviate the cognitive load on users. The bank's approach of integrating automation into its app contributed significantly to its strong performance in the review.
However, Forrester's findings also point out that while there have been significant strides by some banks, the overall progress in mobile banking has stalled. The report indicates that only Westpac and CommBank have introduced new features over the past year that proactively address customer needs. A notable area for improvement is the use of customer data to provide actionable financial insights.
Customer expectations are continually rising. While Australian banks generally perform well in basic mobile banking functionalities, the disparity between the top performers and the laggards is widening. The report urges banks to adopt industry best practices that have become essential. This includes empowering customers to manage their accounts digitally, enhancing search functionalities to help users comprehend their transactions, offering real-time contextual assistance, and leveraging new technologies to enhance user experiences.
Barry noted, "Given the widespread use of mobile banking apps in Australia, banks should consider investing in features valued by their customers. There is a significant opportunity for Australian banks to invest more in emerging technologies such as generative AI and conversational AI. These technologies can anticipate customer needs and offer more personalised financial advice and solutions."
Forrester's Digital Experience Review, along with results from its Banking Customer Experience Index Rankings, aims to help business, marketing, and technology leaders understand the best practices and optimal digital experiences that drive growth and customer loyalty.
