Indonesia is a leader in the use of mobile banking applications among more than 20 countries surveyed by global consulting firm Bain & Company.
According to a report by the Boston-based company, titled “Customer Loyalty In Retail Banking: Global Edition 2014″, 77 percent of respondents from Indonesia use mobile banking applications, beating not only Asian rivals like China, Thailand, India, Singapore, Malaysia and Hong Kong, but also developed countries like the US, the UK, Germany and Japan.
“Mobile applications have arrived at the stage of mass appeal. Almost every country showed a huge increase in the share of respondents using mobil apps …Indonesia and China led in usage,” the report said.
The survey, which was conducted between July and November 2014, involved a total of 82,914 consumers from national branch network banks, private banks, regional banks, direct banks, community banks as well as credit unions in 22 countries around the world. Indonesia was represented by 1,100 respondents.
Bain & Company partnered with an online global market research organization Research Now to conduct the survey, which aimed primarily to gauge customers’ loyalty to their banks and the reasons customers hold the views they do.
Although Indonesians are making lesser calls and visits to banks, at least 80 percent of the respondents said they will still combine the use of mobile applications with the traditional channels, according to the report.
With a population of 270 million, Indonesia has become one of the most thriving markets for smart phones thanks to its youthful and expanding middle class.
Moreover, the majority of Indonesian users — who typically own more than one handset device — access the Internet through their mobile applications.
Smartphone shipments in Indonesia reached 24.8 million units last year, up 80 percent from 2013, according to the International Data Corporation (IDC). This year, the figure is slated to grow by 20 percent to nearly 30 million units, the IDC forecast.
This article first appeared at The Jakarta Globe