Goodbye Wallet, Hello Smartphone

by Banking.com Staff February 22, 2011   Insights

With the recent onslaught of mobile payment applications, choosing credit over cash is becoming an expected method of payment. Traditional cash transactions, which are often used at a farmers’ market or to pay a dog walker or babysitter, can now be handled via mobile devices. Even large chain stores like Starbucks have a mobile payment option allowing users with a Starbucks card to simply tap their phone onto a scanner, and the money for their coffee or beverage is automatically deducted from their Starbucks account.

For mobile banking, the move from wallets to smartphones presents a shift in banking industry. Lori Ann LaRocco at CNBC recently spoke with Omar Green, Director of Strategic Mobile Initiatives at Intuit, and Brett King, author of Bank 2.0, about what this move means for the banking industry.

When Green was asked by LaRocco how he has quantified mobile banking opportunities, Green noted, “From a revenue perspective, there’s an awful lot at stake in the payments and banking fields as this new expansion of mobile financial solutions comes.”

King echoed a similar sentiment stating, “Mobile banking is part of an individual’s basic expectation of a service proposition from a bank these days… St. George Bank in Australia reports that transactions through their Mobile App exceeds that of their Top 40 branches these days….by 2015 Mobile will be the most interacted channel, day-to-day, for retail banks in the USA.”

You can read the full interview here.

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