Nielson Takes Consumer Break From TV Programming
NEW YORK (BankingMyWay) -- Where do global financial consumers stand right now? What financial products are they using most? Is online finance permanently replacing the bank branch?
If you're interested in answers to these questions, consider a study from Nielson's -- best known for ranking television programs -- that shows a huge rise in global credit and debit card usage, and a similar upward spike in online banking.
The Nielson Global Survey asked approximately 28,000 respondents in 56 countries about their financial preferences, offering a glimpse into the mindset of consumers.
Despite the fact that 73% of global consumers use online banking, that doesn't mean there is a mass exodus away from bank branch visits. Nielson reports that 69% of consumers still like having a bank branch to walk into and deposit a check or open a new account.It's pretty much the same story for mobile phones versus landlines. Nielson says that 31% of respondents will use their mobile phone for investment and financial transactions, while 30% will still use a landline to talk to their bank or investment firm. Demographically, older financial consumers are catching up to their younger counterparts with online finance. Nielson reports that 75% of consumers age 21-29 use online banking, but 60% of investors/consumers aged 50-59 do so, too. But older consumers are less likely to use a mobile phone to pay a bill or buy shares of a stock -- only 15% of 50-somethings would do so, compared to 41% of 20-somethings. Consumers are also getting more creative about how they're using online banking and financial services. "Online banking rivals physical branch banking around the globe, especially in Asia-Pacific and North America," says Oliver Rust, managing director of Nielson Hong Kong. "And although concerns exist around security, consumers are seeking information through their mobile phones for investment decisions. The adoption of this platform is greatest amongst younger age groups and as the level of smartphone penetration accelerates, mobile usage for investment decisions is expected to grow accordingly, becoming a vital tool for making swift investment transactions and capturing different investment opportunities on the go." No doubt, forward momentum is carrying the global financial consumer to online and mobile banking and financial services. But the pace is slow, and highly demographic. As Nielson shows, if the future of consumer finance is online, and through mobile channels, there is still plenty of time and room left for traditional financial tools like bank branches and paper currency. --By Brian O'Connell Follow TheStreet on Twitter and become a fan on Facebook.
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