Survey Shows Mobile Apps: Mobile banking is no longer just a way to check your account balance. It’s the next battlefield for Hong Kong banks, according to a new survey from Sia Partners. “Mox Bank, DBS SGP, and Livi Bank stand out as regional leaders,” said the release, “though overall a gap between Asian and European players remains.”
Hong Kong’s banking industry is set to face a dramatic shift as the next battlefield for banks’ fight for customers moves from the desktop to the mobile.
That’s according to Sia Partners, who today announced that Hong Kong banks are lagging behind their European counterparts in terms of customer engagement thanks largely to an underdeveloped mobile app strategy.
The company surveyed 135 banks across 17 countries and concluded Mobile Apps represent the Next Battlefield for Hong Kong Banks – with Mox Bank, DBS SGP, and Livi Bank standing out as regional leaders.
Etienne Ranwez, a manager in the Hong Kong office of Sia Partners, said: “A crowded market and nascent digital developments are exposing opportunities amidst continued disruption to Hong Kong’s mobile banking sector.
But for Hong Kong’s banks to close the gap with their European peers, they need to offer services in their apps beyond basic banking and improve the user experience. The ability to offer a modern design with a broad suite of functions will be critical to winning the battle for market share.”
The survey’s benchmark methodology is based on a scoring system that includes 85+ criteria spread across 13 categories, including functionality, user experience, and app store ratings.
Key functionalities along the customer journey were assessed, from account opening and daily banking features to new product subscription (e.g., credit cards), investing (wealth management), and account closure.
It emphasized the need for Hong Kong’s banks to expand their app offerings beyond basic banking and improve the user experience. According to Sia Partners, being able to offer a modern design with a broad set of capabilities will be important to gaining market share.
Survey Shows Mobile Apps, The report also reveals how the introduction of virtual banking would accelerate transformation in the Asian retail financial services market.
Increased innovation is anticipated to continue as regional followers strive to improve their offerings in order to avoid being left behind by new entrants and incumbents who are more digitally focused.
“This competitive pressure will force banks in Asia to innovate faster, but also upgrade legacy systems that are slowing them down,” Ranwez said. “That’s why we’re seeing a wave of digital innovation in Asia, with new technologies such as open banking and APIs enabling banks to easily connect with start-ups.”