The Impact of Mobile Adoption on Customer Omni-Channel Banking Behavior

As smartphones and tablets have been widely adopted and mobile banking apps have come into ubiquitous use, mobile devices have increasingly become new tools that customers use for banking, payments, budgeting, and shopping. This paper examines the impact of the mobile channel on customer services demand across banking digital channels, and investigates how the use of the mobile channel influences customer financial decision-making. We acquired access to a large-scale dataset of customer-level transactions from a financial institution in the United States. Our findings suggest that the use of the mobile channel increases customer demand for digital services. The mobile phone channel serves as a complement to the PC channel, and the tablet channel substitutes for the PC channel, and the mobile phone channel and the tablet channel complement one another. In addition, our analysis indicates that customers acquire more information for financial decision-making following the use of the mobile channel. Compared to the PC-only users, mobile users are less likely to incur overdraft and credit card penalty fees. This study has implications for banks’ managers related to the design and management of service channels.

About the Speaker

LIU Jun is a fifth-year doctoral student in Information Systems and Management, School of Information Systems, Singapore Management University. He holds degrees from Tianjin University of Finance and Economics, including a B. Mgmt. in Information Management and Information Systems, and a B. Econ. in Finance. He was a visiting doctoral student at Heinz College, Carnegie Mellon University. His research interests include financial IS and technology, financial services, mobile payments, mobile banking and high-frequency trading. His research articles have appeared in the Electronic Commerce Research and Applications, Technological Forecasting and Social Change, and Information Technology and Management. He is working on a doctoral dissertation that blends economic analysis of technological innovations in financial services, adoption of mobile financial services, and data analytics in retail banking.