Australian banks shift channel focus showing slower growth in traditional channels usage
With the positive take-up rate amongst Australian retail customers, mobile banking will be instrumental in altering the way bank branches are used going forward. April 25, 2013 | Durva LakhlaniThe major banks in Australia have strong distribution networks and substantial market share in the retail business. Banks are going slow on increasing the branch network in Australia; 2012 saw an increase in growth of branch network only as a result of building societies converting to banks. Expansion of Australian banks’ branch network slowing down Figure 1. Total bank branches in Australia (and growth from 2009 – 2014e) Banks’ focus shifting to digital channels Figure 2. Major banks’ share of branches in Australia (2012) Customers go virtual In Australia, the number of ATMs is growing much faster than branches. However, with the increasing focus on internet and mobile banking and payment transactions, we can expect the growth in ATMs to slow going forward. Instead, focus in Australian banks has turned to the use of digital channels and video conferencing to reach customers as a more convenient means with smarter touch points. Bank ATMs experience explosive growth in Australia Figure 3. Total number of ATMs in Australia and growth (2010 – 2014e) Australia’s four major banks dominate domestic ATM market share Figure 4. Major banks’ share in ATMs in Australia (2012) We note that Australian banks are ahead of their counterparts in other countries in introducing and popularising of mobile banking applications. Commonwealth Bank of Australia (CBA) led with the Kaching app while othe... Please login to read the complete article. If you already have an account, you can login now or subscribe/register.
Categories: Asian Banker 500, ATMs & Kiosks, Australia, Cards, Channels, Databook, Mobile Banking, Retail Banking, Technology & OperationsAsian Banker 500,ATMsKiosks,Australia,Cards,Channels,Databook,Mobile banking,retail,technology, Asian Banker 500,ATMs & Kiosks,Australia,Cards,Channels,Databook,Mobile Banking,Retail Banking,Technology & Operations, Keywords:CBA, Kaching, ANZ, NAB, Citibank, Westpac, HSBC CBA, Kaching, ANZ, NAB, Citibank, Westpac, HSBC
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