A recent study from Raddon, a provider of research, analysis and strategic guidance to financial institutions, reports a significant correlation between an increase in mobile banking and ATM use. The study, “Raddon Research Insights: Grappling with Mobile Banking Engagement Issues” has found that mobile banking has seen a steady increase in adoption – from 7% in 2011 to 41% penetration today for all consumers. The Millennial market stands out as more regular mobile banking uses at 69% for 2017.
This change in banking behavior is having an effect across banking channels as those utilizing mobile banking platforms, while continuing to value the branch, report a drop in actual branch utilization (33%). Similarly, these mobile banking users are turning to other banking outlets such as online resources and ATMs. All surveyed mobile users together reported a 38% increase in online channel use and a 23% increase in use of the ATM. The more consistent mobile banking use becomes, however, the more consumers rely on ATMs (54%) and online (58%) resources.
These trends indicate banks and credit unions looking to create broader appeal – especially among the younger generations – should consider placing greater investment in ensuring they have a broader and reliable ATM network in place for their accountholders. Fortunately, there are several ways to generate this availability including an increase in ATM investment via in-house or outsourced management, surcharge-free networks and ATM branding opportunities.
Find out more about some of the ATM opportunities available for your financial institution. Contact BFC Enterprises today!