What We’re Reading: App Privacy, Mobile Banking and Data
Below are interesting stories the Banking.com staff has been reading over the past week. What have you been reading? Let us know in the comments section below or Tweet @bankingdotcom.
- Consumers Say No to Apps Sharing Personal Info: Pew Survey
Smartphone app software developers beware — more than half of those that have downloaded your apps have uninstalled or outright avoided your wares due to privacy concerns, according to a recent survey conducted by the Pew Research Center’s Internet & American Life Project. Of the roughly 88% of American adults who own cell phones, 43% say they have downloaded an app. 54% of app users did not even consider installing an app when they discovered how much personal information they were sharing. And 30% of those app users said ‘fuggedaboutit’ and uninstalled an app when they found out how much personal information they were handing over.
- Online accounts can cut fees, improve rates
According to an annual survey released earlier this year by J.D. Power and Associates, consumers are increasingly dissatisfied with fees, which have been on the rise at many banks. And a study by the Consumers Union found that even if you want to switch to another financial institution, the process of closing one account and opening another is cumbersome and costly. But what about online savings accounts? Introduced within the last decade or so, these accounts were supposed to be a no-frills option that paid high yields and charged minimal fees — a seemingly good match for young, tech-savvy consumers at the beginning stages of building their savings.
- Study: Use of Mobile Banking Channel Exploding
New numbers released by Providence, R.I.-based Andera highlight dramatic increases in use of mobile banking channels over the past 30 months. Andera, a financial software company that provides many credit unions with online account opening technologies, noted that while mobile has primarily been used for simple tasks such as balance checking, “that is changing,” per Andera founder Charles Kroll. The implication is that as comfort levels have grown, consumers have increasingly shown a willingness to perform tasks such as bill pay on mobile devices. Perhaps the more compelling takeaway however is the explosion in usage documented by Andera.
- If You Want Customers To Fork Over Private Data, Give Them Something Irresistible In Return
For brands and for customers, online interactions constantly churn out data–a daily deluge which, in its best cases, benefits both parties. If, that is, they can make a deal. As more of their interactions move to digital platforms, consumers will also leave behind much more data about what they are interested in, since they will be visiting sites and consuming media that captures everything they do. This will give advertisers the opportunity to get to know them much better so we can tailor our offers and products accordingly. Increased visibility into how consumers interact with your brand will also increase opportunities for interacting with them.
- Mobile wallet awareness on the rise in Canada – study
Awareness of being able to use smartphones to pay for products and services at point of purchase has reached critical mass in Canada. Users of m-banking apps currently account for 36 percent (4 million users) of Canada’s overall smartphone user base, according to a report from consumer research and insight consultancy company SRG. The study also shows that 56 percent of those users are aware of an upcoming service that would allow them to swipe their phones to pay for goods and services at check out. The study has also found that consumers with mobile banking applications are satisfied with the application they use most (67 percent, up from 63 percent in 2011), which shows their interest in knowing more about other ways their mobile devices can help improve their financial lives.
- Intuit Opens Up APIs To Financial Data Service That Powers Quicken, QuickBooks And Mint
Intuit is allowing developers to tap into transaction information from 19,000 financial institutions, autocategorize this data, and embed it into applications. While the Intuit Partner Platform already offers third-party developers access to QuickBooks data, this new financial data service will allow third-party technology providers to offer their customers access to their own financial data from thousands of sources of personal and business banking, brokerage, and investment accounts in the U.S and Canada. Intuit says that developers can use this data to track customer insights and support automated delivery of targeted guidance and offers based on the customer’s unique financial situation.