Mobile Banking

Overview

This report provides the most up to date analysis of the mobile banking market including a six year forecasting suite projecting vital data on mobile banking subscriber take up, mobile banking user-level messaging traffic, user-level transaction volumes and gross transaction values for "Push" Mobile Banking Information Services, and Pull" Services – MBPP (Mobile Bill Payment and Presentment) transactional banking.

As well as comparing and contrasting the various mobile banking applications and software vendors this detailed study also includes over 12 detailed case studies and 15 vendor profiles and a number of in depth interviews with leading mobile commerce application and financial system vendors, banks and consultancies.

Table of Contents

Executive Summary

1. Mobile Commerce and Banking Overview

1.1 Mobile Banking Definition
Table 1.1: Additive and Transformational Banking
1.2 Mobile Commerce Market Structure
Figure 1.1: Mobile Commerce Market Segmentation
1.3 Mobile Commerce Market Trends
1.3.1 Tellabs
Figure 1.2: Tellabs Mobile Backhaul Solution
1.3.2 Bango
Figure 1.3: Bango Analytics User Data Snapshot
1.3.3 Mobile Web
1.4 Mobile Banking Drivers & Constraints
Figure 1.4: Mobile Banking Drivers and Constraints
1.4.1 Drivers
i. User Demand and Requirements
ii. Cost Savings
iii. Increase in ARPU
iv. One-to-One Marketing Opportunity
v. Enhanced Security
vi. Customer Retention and Acquisition for banks
vii. Lower Churn for MNOs
viii. New Revenue Channel for Banks
ix. New Revenue Channel for MNOs: as MFS Provider
x. Revenue Sharing and Co-operation in the Ecosystem
1.4.2 Constraints
i. Resistance from MNOs
ii. Technology Issues and Standards
iii. Business Model Issues
iv. Financial Regulations & Legislation
v. Support Issues – Who Owns the Customer?
vi. Data Charges: User Bill Shock
vii. 3G/Broadband & Device Availability
viii. User Security Concerns
x. Application Slickness
1.5 Market Segmentation
1.6 How is Mobile Banking Delivered?
1.6.1 Messaging-based Mobile Banking
1.6.2 Mobile Internet Browser
1.6.3 Downloadable Application

2. Vendor Strategies

2.1 Introduction
2.2 Diebold
2.3 Fidelity NIS, ClairMail & mFoundry
2.4 Sybase 365
Figure 2.1: Mobile Banking Adoption Steps – Sybase
Figure 2.2: Sybase Global Mobile Banking Survey 2008 Summary Results
2.5 Monitise
Figure 2.3: Lloyds TSB MONILINK service
2.6 Postilion
2.7 Logica
2.8 Voice Commerce Group
2.9 mBlox
Figure 2.4: mBlox Mobile Transaction Platform
2.10 Fundamo
2.11 Firethorn
2.12 VeriSign
Figure 2.5: VeriSign Mobile Banking Platform
2.13 Kabira
Figure 2.6: Kabira Mobile Transaction Hub
2.14 CPNI
Figure 2.7: PAT Solution
Figure 2.8: Patbank Call Flow
2.15 ACI

3. Applications and Services Strategies

3.1 Introduction
3.2 Applications & Services Examples
3.2.1 North America
i. Bank of America
Figure 3.1: Bank of America Mobile Screens
ii. Wells Fargo Corporate
Figure 3.2: Wells Fargo CEO Mobile Service
iii. Wells Fargo Retail
Figure 3.3: Wells Fargo Retail Mobile Banking
3.2.2 Western Europe
i. Monitise/MONILINK
Figure 3.4: MONILINK: Enabling the Mass Market in Banking and Payments
Figure 3.5: MONILINK User Base by Age
Figure 3.6: MONILINK Weekly and Monthly Usage Profiles
Figure 3.7: MONILINK Time of Day Usage Profiles
Figure 3.8: Monitise MONILINK Revenue Model
ii. Lloyds TSB Commercial
Figure 3.9: Lloyds TSB Commercial Telephone Service Centre Calls
Figure 3.10: Lloyds TSB Commercial SMS Text Alert Service Take Up (users)
Figure 3.11: Lloyds TSB Commercial SMS Text Alert Service Customer Satisfaction 2005 to 2008
Figure 3.12: Lloyds TSB Retail Mobile Banking Pack Screenshot
iii. Barclays
iv. Postbank
3.2.3. Eastern Europe
i. Garanti Bank
Figure 3.13: Garanti Alternative Distribution Channel Strategy Rationale
Figure 3.14: Garanti Mobile Banking Service
3.2.4 Far East & China
i.  China Merchants Bank
ii. SK Telecom
iii. NTT DoCoMo
Figure 3.15: NTT DoCoMo Osaifu-Keitai e-wallet Handset Services
iv. Mobile Money Ventures Hong Kong
Figure 3.16: MMV Mobile Banking Screenshot
3.2.5 Indian Sub Continent
i. Union Bank of India
3.2.6 Rest of Asia Pacific
i. National Australia Bank
3.2.7 Africa & Middle East
i. Standard Chartered Bank UAE

4. Market Forecast Approach

  4.1 Introduction
4.2 Methodology
4.2.1 Geographical Splits
4.2.2 Approach and Assumptions
Figure 4.1: Mobile Banking Market Forecast Methodology
4.3 Growth of the Cellular Market
4.3.1 Global Cellular Subscriber Market
Figure 4.2: Cellular Subscriber Growth (m) by Region, 2006-2013
Table 4.1: Cellular Subscriber Growth (m) by Region, 2006-2013
Figure 4.3: Cellular Subscriber Base, Market Share (%) by Region 2006-2013
Figure 4.4: Cellular Subscribers Penetration (%) by Region 2006-2013
4.3.2 Leading Mobile Operator Groups by Subscriber Base
Table 4.2: Leading Mobile Operator Groups by Subscriber Base (m) Q3 2008
4.3.3 Growth of 3G
Table 4.3: Global Cellular Subscriber Forecasts (m) by Technology (2G, 2.5G, 3G, 3.5G/3.9G) 2008-2013
Figure 4.5: Global Cellular Subscriber Forecasts (m) by Technology (2G, 2.5G, 3G, 3.5G/3.9G) 2008-2013
4.4 Regional Cellular Market Growth
4.4.1 North America
i. Mobile Subscriber Penetration
ii. US Market Structure
iii. 3G Adoption
Figure 4.6: North American Cellular Subscriber Forecasts (m) by Technology (2G, 2.5G, 3G, 3.5G/3.9G) 2008-2013
Table 4.4: North American Cellular Subscriber Forecasts (m) by Technology (2G, 2.5G, 3G, 3.5G/3.9G) 2008-2013
4.4.2 South America
i. Diverse Region
ii. Mobile Subscriber Penetration Rates
iii. Dominant Technology
iv. Players in Region
Figure 4.7: South American Cellular Subscriber Forecasts (m) by Technology (2G, 2.5G, 3G, 3.5G/3.9G) 2008-2013
v. 3G Deployments
Table 4.5: South American Cellular Subscriber Forecasts (m) by Technology (2G, 2.5G, 3G, 3.5G/3.9G) 2008-2013
4.4.3 Western Europe
i. Mobile Subscriber Penetration
Figure 4.8: Western Europe Cellular Subscriber Forecasts (m) by Technology (2G, 2.5G, 3G, 3.5G/3.9G) 2008-2013
ii. Market Structure
iii. 3G Penetration
Table 4.6: Western Europe Cellular Subscriber Forecasts (m) by Technology (2G, 2.5G, 3G, 3.5G/3.9G) 2008-2013
4.4.4 Eastern Europe
i. Mobile Subscriber Penetration
Figure 4.9: Eastern Europe Cellular Subscriber Forecasts (m) by Technology (2G, 2.5G, 3G, 3.5G/3.9G) 2008-2013
Table 4.7: Eastern Europe Cellular Subscriber Forecasts (m) by Technology (2G, 2.5G, 3G, 3.5G/3.9G) 2008-2013
ii. 3G Penetration
4.4.5 Far East & China
i. Mobile Subscriber Penetration
ii. 3G Services
Figure 4.10: Far East & China Cellular Subscriber Forecasts (m) by Technology (2G, 2.5G, 3G, 3.5G/3.9G) 2008-2013
Table 4.8: Far East & China Cellular Subscriber Forecasts (m) by Technology (2G, 2.5G, 3G, 3.5G/3.9G) 2008-2013
4.4.6 Indian Sub Continent
i. Mobile Subscriber Penetration
Figure 4.11: Indian Sub Continent Cellular Subscriber Forecasts (m) by Technology (2G, 2.5G, 3G, 3.5G/3.9G) 2008-2013
ii. 3G Services
Table 4.9: Indian Sub Continent Cellular Subscriber Forecasts (m) by Technology (2G, 2.5G, 3G, 3.5G/3.9G) 2008-2013
4.4.7 Rest of Asia Pacific
i. Mobile Subscriber Penetration
Figure 4.12: Rest of Asia Pacific Cellular Subscriber Forecasts (m) by Technology (2G, 2.5G, 3G, 3.5G/3.9G) 2008-2013
ii. 3G Adoption
Table 4.10: Rest of Asia Pacific Cellular Subscriber Forecasts (m) by Technology (2G, 2.5G, 3G, 3.5G/3.9G) 2008-2013
4.4.8 Africa & Middle East
i. Market Background
ii. Mobile Subscriber Penetration
Figure 4.13: Africa & Middle East Cellular Subscriber Forecasts (m) by Technology (2G, 2.5G, 3G, 3.5G/3.9G) 2008-2013
iii. Players
iv. ARPU
Table 4.11: Africa & Middle East Cellular Subscriber Forecasts (m) by Technology (2G, 2.5G, 3G, 3.5G/3.9G) 2008-2013
v. 3G Adoption

5. Market Forecast

5.1 Introduction
5.2 Mobile Banking “Push” Information Services
5.2.1 Users
Table 5.1: Mobile Phone Users (%) Who use Mobile Banking Information Services - Regional Forecast 2008-2013
Figure 5.1: Total Mobile Phone Users (m) Who use Mobile Banking Information Services - Regional Forecast 2008-2013
Table 5.2: Mobile Phone Users (m) Who use Mobile Banking Information Services - Regional Forecast 2008-2013
5.2.2 Messaging Traffic
Figure 5.2: Average Number of Mobile Banking Information “Push” Messages Sent to Mobile Banking Users - Regional Forecast 2008-2013
Table 5.3: Average Number of Mobile Banking Information “Push” Messages Sent to Mobile Banking Users - Regional Forecast 2008-2013
Figure 5.3: Total Number of Mobile Banking Information “Push” Messages (m) Sent to Mobile Banking Users - Regional Forecast 2008-2013
Table 5.4: Total Number of Mobile Banking Information “Push” Messages (m) Sent to Mobile Banking Users - Regional Forecast 2008-2013
5.2.4 “Push” Messaging Market
Table 5.5: “Push” SMS Messaging Market Value ($m) - Regional Forecast 2008-2013
5.3 Mobile Bill Presentment & Payment (MBPP)
5.3.1 Users
Table 5.6: Mobile Phone Users (%) who make MBPP Transactions - Regional Forecast 2008-2013
Figure 5.4: Total Mobile Phone Users (m) who make MBPP Transactions - Regional Forecast 2008-2013
Table 5.7: Total Mobile Phone Users (m) Who Make MBPP Transactions - Regional Forecast 2008-2013
5.3.2 MBPP Transactional Traffic
Figure 5.5: Average Number of MBPP Transactions Made per Mobile Banking User - Regional Forecast 2008-2013
Table 5.8: Average Number of MBPP Transactions Made per Mobile Banking User - Regional Forecast 2008-2013
Figure 5.6: Total Number of MBPP Transactions (m) - Regional Forecast 2008-2013
Table 5.9: Total Number of MBPP Transactions (m) - Regional Forecast 2008-2013
5.3.3 Transaction Value
Table 5.10: Average MBPP Transaction Value ($) - Regional Forecast 2008-2013
Figure 5.7: Total MBPP Transaction Value ($m) - Regional Forecast 2008-2013
Table 5.11: Total MBPP Transaction Value ($m) - Regional Forecast 2008-2013
Figure 5.8: Average MBPP Transaction Value per User ($) - Regional Forecast 2008-2013
Table 5.12: Average MBPP Transaction Value per User ($) - Regional Forecast 2008-2013

6. Standards & Forums

6.1 Introduction
6.2 Who is Doing What?
Table 6.1: Overview of Forum Activity
6.2.1 dotMobi
6.2.2 ETSI
i. Members
6.2.3 The GSM Association
i. Members
6.2.4 International Organisation for Standards (ISO)
i. Members
6.2.5 Mobey Forum
i. Members
6.2.6 Mobile Payment Forum
i. Members
6.2.7 Open Mobile Alliance (OMA)
i. Member

Companies Referenced

ACI, Bango, Bank of America, Barclays, China Merchants Bank, CPNI, Diebold, Firethorn, Fundamo, Garanti Bank, Kabira, Lloyds TSB Commercial, Logica, mBlox, Mobile Money Ventures Hong Kong, Monitise/MONILINK, National Australia Bank, NTT DoCoMo, Postbank, Postilion, SK Telecom, Standard Chartered Bank UAE, Sybase 365, Union Bank of India, VeriSign, Voice Commerce Group, Wells Fargo Corporate, Wells Fargo Retail.