Post on 19-Jan-2016
transcript
Hype or The Real Deal?
Eric Leiserson
Mobile Billing and Payment: Utility Benchmarking and Latest Consumer Trends
Utility Payment Conference
The Smartphone World We Live In
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“I’m still discovering cool stuff I can do with my smartphone. Today I sent a photo to my mom,
bought some music, trimmed my sideburns, blended a smoothie and received and paid my
bills!”
The Smartphone World We Live In
Key Question
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With all the coverage and activity on mobile payments where are consumers and billers (utilities) with respect to Mobile Bill Pay and
Presentment (MBPP)?
Overview
• The Ubiquitous, All Inclusive, Incredible Hyper Growing Smartphone
• New Consumer Mobile Bill Presentment and Payment (MBPP) Insights from the 2012 Billing Household Survey
• New Biller MBPP Insights from clients and Fiserv
Commissioned Mobile Biller Benchmark Study
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The Ubiquitous, All Inclusive, Incredible Hyper Growth Smartphone Marketplace
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• 56 minutes a day is the average amount of time Android Users spends interacting with mobile web and apps
• 84 percent of smartphone users have accessed the Internet on their phone in the past week
• 21 percent of mobile phone owners have used mobile banking in the past 12 months
Hyper Changing Mobile Habits
of Adults
Have a
Smartphone
50% 50%
of Adults
Have a
Smartphone
Sources: Nielsen, Mobile Insights, Q1 2012, Google,2012, Pew Research Center’s Internet & American Life Project 2011 and 2012, Consumers and Mobile Financial Services, Federal Reserve, 2012
Smartphone Ownership is Increasing Across all Demographics
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18-24
25-34
35-44
45-54
55-6475K+
50-74K
30-49K
Less <30K
High School Grad
< High school
College +
Some College
% of Adults who own a smartphone
By Age Group Income Level Education
Source: Pew Research Center’s Internet & American Life Project, 2012
2012
U.S. Smartphone Penetration by Ethnicity
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Source: Nielsen, Mobile Insights, Q1 2012
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Mobile Bill Payments
Under Banked Have Higher Levels of Mobile Payments and Mobile Bill Payments
Mobile Banking Adoption Will Also Fuel Bill Pay and E-bill
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Source: Consumers and Mobile Financial Services, Federal Reserve, 2012
The Potential: If the concerns of non-users of mobile payments were
addressed, 34% say they would pay bills online using their phone
20% of Americans with a both a bank account and a mobile phone has used mobile banking in the last 90 days.
25% of which paid a through their Bank’s Mobile Web or App
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Consumer Mobile Presentment and Payment Findings from 2012 Billing
Household Survey
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Mobile Bill Payment Adoption Among Online Consumers Increased 33% Between 2011 and 2012 from 6% to 8%
Why Almost 8 Million Consumers Paid Bills Over Their Mobile Phone
Source: Billing Household Survey, Fiserv, Inc., 2012
• Among Smartphone Owners: 12% Paid a Bill Through Their Smartphone, an Increase of 41%
• 3% of offline households paid a bill through their mobile phone
Type of Bills Paid Through Mobile Device 2011 vs. 2012
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2012 2011
Which bills did you pay through your mobile device?
Sources: Billing Household Survey, Fiserv, Inc., 2011 & 2012
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Almost One in Three Very Interested/Interested in Viewing and Paying Bills from Smartphone; Prefer Multiple Options
Through mobile browser
Base: Among smartphone owners who are very interested and interested in mobile billing and payments
Through a mobile app
What is your interest level in a biller providing multiple billing and payment options such as viewing bills, making payments and seeing
nearby walk-in payment locations?
Source: Billing Household Survey, Fiserv, Inc., 2012
Bill Payment Main Function Consumers Desire In A Biller App or Mobile Website
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What are the main functions you would like for a biller to provide via a mobile browser or app:
Source: Billing Household Survey, Fiserv, Inc., 2012
Using Mobile Browser to Reach Provider’s Website Most Common Method
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Bill Pay Access through Smart Phone
Sources: Billing Household Survey, Fiserv, Inc., 2012
Majority of Bills Funded with Cards Followed by ACH
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Of the bills paid using the texting, browser or app capabilities of your cell phone, how many were:
Sources: Billing Household Survey, Fiserv, Inc., 2011 &
2012
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Mobile Bill Pay Benchmark Study: Utility
Results
Main reasons for Billers’ mobile plans are customer service, billing and payment, and customer demand
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Source: Biller Mobile Bill Pay Benchmark Study, BlueFlame Consulting for Fiserv, Inc., 2012
Do you see the development of the Mobile device channel providing a means to:
Billing & payment along with service updates are top mobile priorities for billers
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What are your organization's priorities among these potential Mobile service options? ("1" is most important priority, "2" is second most important, etc.)
4%
Service updates 22% 4%
36% 13% 3%
33% 34%
Bill presentment 16% 22% 11% 7%
Recent acct activity/usage 18% 7% 13% 18%
Pmt alerts/notifications 21% 24% 11%
1 2 3 4 5 6
Customer communications 2% 9%
18% 29%
Mobile bill pay 26%
Source: Biller Mobile Bill Pay Benchmark Study, BlueFlame Consulting for Fiserv, Inc., 2012
Billers believe billing & payment is a main mobile activity for consumers at their site
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What do you customers typically do with your organization while they interact through their mobile device?
Source: Biller Mobile Bill Pay Benchmark Study, BlueFlame Consulting for Fiserv, Inc., 2012
Mobile is in the planning stages for most utilities and is handled by multiple groups in their organization
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Does your organization have an overall mobile strategy?
Who (or which area) has responsibility for Mobile Bill Pay and Presentment in your organization? Check all that apply
Source: Biller Mobile Bill Pay Benchmark Study, BlueFlame Consulting for Fiserv, Inc., 2012
Majority of billers plan to outsource billing and payment functionality
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Source: Biller Mobile Bill Pay Benchmark Study, BlueFlame Consulting for Fiserv, Inc., 2012
How do you envision using an outsourced provider for mobile functionality?
Mobile web and downloadable app are both preferred by billers
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What would be your preferred approach to providing Mobile Bill Pay and Presentment to your customers? Check all that apply
Dedicated bill pay app 15%
Downloadable full self-service app 64%
Mobile web version 68%
Source: Biller Mobile Bill Pay Benchmark Study, BlueFlame Consulting for Fiserv, Inc., 2012
Mobile web and iOS apps are top preferences for providing billing information to customers’ mobile devices
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1 2 3 4 5
If possible, what approaches have you followed,(or anticipate) using to provide billing information to customers’ mobile devices? ("1" is most preferred, "2" is second most preferred, etc.)
Source: Biller Mobile Bill Pay Benchmark Study, BlueFlame Consulting for Fiserv, Inc., 2012
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Questions and Answers