Abstract
Overview
Mobile person-to-person payments and transfers (mobile P2P) offer the first income-generating step for financial institutions on the pathway to full mobile banking and payments. While still a niche product, demand is growing and one out of ten consumers currently states that he or she would likely use mobile P2P if the service were available. This report is based on an online survey of 2192 consumers, a survey of 26 executives from the financial industry, and ten interviews of executives in the payments industry.
Primary Questions
- What are the main barriers preventing mobile P2P transfers services from being adopted?
- How can those barriers be addressed so that mobile P2P transfer services contribute significantly to revenue?
- What are the key marketing strategies of mobile P2P and which consumer segments are the most profitable targets?
- Which aspects of mobile P2P appeal to each segment?
- Which features attract the unbanked and underbanked and how are these groups responding to mobile P2P money transfers?
- What mobile P2P transfe
Audience:
Financial institutions: Online banking, mobile banking, marketing, mobile banking platform providers, credit card networks, mobile payment vendors, mobile network operators, and new entrants.
Companies/Organizations Mentioned in Report
- Amazon Payments (TextPayMe)
- Bank of America
- Citigroup
- ClairMail
- Corporation Bank
- Diner' s Club International
- eBay
- Firethorn
- First Premier Bank
- HDFC Bank
- ICIC Bank
- Idology
- ING Direct
- MasterCard
- mChek
- mFoundry
- Mpayy
- m-Via
- Obopay
- PayPal
- Secure Wireless Transfers Corp. (KushCash)
- STAR Networks
- Visa
Table of Contents
- Primary Questions
- Findings and Analysis
- Executive Summary
- Adoption Will Occur in Two Phases
- Tiered Marketing Strategy for Roll-out
- General Usage of Person-to-Person Payments and Transfers
- Younger Consumers More Willing Audience for Mobile P2P Services
- Anytime, Anywhere Access and the Need for Speed
- Income Level Indicative of Active Interest in Mobile P2P
- Online Bankers Mirror Average Consumer Behavior
- Mobile P2P and the Appeal to Niche Segments Only
- Mobile Bankers Best Target for P2P Mobile Payments and Transfers
- Tech Savvy Consumers Willing to do Mobile Banking but Concerned About Security
- Mobile P2P for Remittances and Money Transfer Among the Unbanked
- Barriers to Adoption - The Security Aspect
- Provide Zero Cost Guarantees for Fraudulent Mobile Transactions to Stimulate Growth
- Consumer Concerns Point the Way to New Product Offering
- Vendor Analysis
- Mobile P2P Provides Analysis
- Case Study: PayPal' s Alternative Model
- Case Study: Obopay' s Updated Universal Model
- Case Study: mChek' s PCI Compliant, Card Present Model
- Mobile P2P Product Offerings
- Mobile P2P: Friend or Foe to Financial Institutions?
- Mobile P2P Provides Analysis
- Appendices- Additional Data for Mobile P2P Payments
- Methodology
- Related Research
Table of Figures
- Figure 1: Assessment of Mobile P2P Transfers through 2013
- Figure 2: Likelihood to Use Mobile P2P Payments
- Figure 3: Likelihood to Use Mobile P2P Transfers by Age
- Figure 4: Features Essential for Beginning Use of Mobile P2P by Income
- Figure 5: Likelihood to Use Mobile P2P transfers by Mobile Bankers and Tech Savvy
- Figure 6: Features Essential to Begin Using Mobile P2P by Mobile Bankers
- Figure 7: Main Areas of Concern with Mobile P2P by Tech Savvy and Mobile Bankers
- Figure 8: Consumer Willingness to Switch Institutions for Mobile P2P Transfers by Unbanked
- Figure 9: Essential Features for Mobile P2P Money Transfers by Unbanked
- Figure 10: Likely Mobile P2P Payments Users List of Essential Features
- Figure 11: Consumers' Main Areas of Concern with Mobile P2P Money Transfers
- Figure 12: PayPal Mobile P2P Money Transfers
- Figure 13: Obopay Mobile P2P Money Transfers
- Figure 14: mChek Mobile P2P Money Transfers
- Figure 15: Mobile P2P Product Offerings
- Figure 16: Forecast of Availability, Likelihood to Use and Adoption of Mobile Channel
- Figure 17: Likely, Neutral and Unlikely Mobile P2P Users by Income Level
- Figure 18: Expected Mobile P2P Payments Users Likelihood to Switch Banks for Service
- Figure 19: Necessary Features to Begin Using Mobile P2P by Mobile Bankers and Tech Savvy
- Figure 20: Likelihood to Use Mobile P2P Transfers by Unbanked, All Consumers
- Figure 21: Primary Reasons to Use Mobile P2P Payments by Unbanked
- Figure 22: Unbanked Consumers: Main Concerns with Mobile P2P Payments
