This is especially beneficial for the people living in the remote parts of certain developing countries. Apart from transactions other augmented services like balance enquiry, credit or debit alerts, payment alerts can be viewed through mobile banking. It also helps the customers to make money transfers instantly. A part from the customers, the banks also benefit from mobile banking as they can promote or sell products loans, credit cards for a specific target market segment (Unhelkar, p.471).
According to security experts mobile banking is safer as compared to internet banking. However there are various security threats. Users can be exposed to fake messages known as ‘smishing’. Each and every device may not have the facility to perform mobile banking. There are certain banks that do not even provide the facility of mobile banking.
The increase in the use of blackberry and smart phones is a key indicator that mobile banking is here stay. Besides, people never wanted to stay in long queues to make bill payments. As far as BOA is concerned customization can really help the bank to target different groups of customers. The company can launch different types of mobile application to target different market segments. However the key to the success would be to follow the KISS (keep it short and simple) approach as customers are likely to hate it if the applications are far too complicated. Another key area would be customer education. Many customers are still a bit hesitant to use mobile banking or internet baking so to speak due to security concerns. Raising awareness among people regarding the safe and sound use of mobile applications related to mobile banking can help the bank to attract new customers.
The increasing number of usage of smart phones or black berry is for once the key motivator for offering mobile banking. Add to that mobile banking get be a great platform for the competitors also to gain new market or to ...