A March 2020 JD Power survey found similar results. More than one in three American adults said they would use mobile and online tools more to bank, 23% of respondents plan to deposit checks more often using a mobile phone, 20% visit a bank branch less often and 18% plan to learn more about mobile or online banking options.
US bank branches began closing in mid-March following the declaration of a national emergency due to the coronavirus outbreak, and many remain closed as of mid-May. According to an April 21 Reuters article, JPMorgan Chase is the first bank to bring employees back to work in phases.
There will be more than 166 million monthly online banking users in the United States this year, up 2.7% from last year, according to our pre-pandemic estimates. This figure already represents more than 72% of US Internet users, so the room for substantial growth could be limited.
Health issues can also lead to increased adoption of services like Apple Pay and Google Pay. Businesses around the world are now discouraging customers from using cash, and contactless payments have seen increased use in the United States. The apprehension of touching credit card terminals in physical stores could also boost the adoption of contactless payment.
Nearly one in five respondents to JD Power’s survey said they plan to use mobile payments to make in-store purchases more often due to COVID-19, while 28% said they would use less cash and 18% would use ATMs less often out of concern. to spread the virus.
Our September 2019 forecast predicted that 69.4 million people in the United States would make at least one proximity mobile payment in a six-month period in 2020, or 28.2% of internet users. Proximity mobile payments are not as popular in the United States as in other countries, which leaves more room for growth.
While it’s unclear whether consumers’ online banking habits will permanently change post-pandemic, the coronavirus could introduce digital financial service options for consumers who haven’t yet adopted them.