Just a day after Australia’s Westpac reported one million users for its mobile banking apps, US behemoth Bank of America wades in with news that it has passed the 10 million milestone. The bank says the new subscriber data point represents growth of nearly three million active users over the last 12 months.
The bank is using the momentum to reshape its business as customers increasingly embrace the digital lifestyle. The bank closed 154 branches and eliminated 631 ATMs in Q1, citing the move to online and mobile channels as a contributory factor.
BofA CEO Brian Moynihan has said the bank plans to close 750 branches over the coming years as more customers handle their banking through digital channels.
Aditya Bhasin, consumer marketing and online and mobile executive, says the bank is seeing an average of over $1 billion in transactions weekly through mobile banking.
This news highlights the fact enhancements in channel management, particularly in mobile banking, offers benefits for both customers and financial institutions. It provides greater access and control for customers and increased efficiencies for financial institutions.
These channel efficiencies can provide FIs like Bank of America the ability to reduce their branch footprint with little impact to overall customer access, as customers can use the mobile, online, and ATM channels to conduct much of their day-to-day transactions.
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