Study Ranks Nation’s Top Banks by Online Adoption, Engagement and Loyalty
RESTON, Va., June 17, 2004 – Comscore Networks, industry leader in the measurement and analysis of consumer behavior and attitudes, today released an analysis of the state of online banking in the U.S. Comscore found that more than 22 million users logged into accounts at the nation’s top ten banks in the first quarter of 2004, representing growth of 29 percent versus Q1 2003. During this same period, usage of online bank bill payment services has grown by 37 percent.
“Online banking and bill payment continue to be among the fastest growing applications on the Internet,” said Jim Larrison, vice president of Comscore Financial Services Solutions. “The continued proliferation of broadband access, coupled with heavy online and offline promotion, have helped the nation’s largest banks bring more than 5 million customers online in the past year.”
More than 4.6 million consumers, or about 20 percent of the online banking population, actively used online bill payment services offered by the top ten banks. These consumers paid an average of 14 bills online during the quarter, with an average value of approximately $250. The total value of bills paid by consumers though the top ten banks in Q1 alone was nearly $17 billion.
“Previous Comscore research has shown that consumer use of online bill payment is correlated with greater loyalty to a bank and higher account balances,” continued Mr. Larrison. “These benefits, along with the significant cost savings that come with processing transactions online instead of on paper, have led top banks to offer their customers compelling incentives to use such services.”
“Offering our customers free and innovative online bill payment services continues to be an important area of focus for Bank of America," said Sanjay Gupta, e-Commerce executive for Bank of America. "The adoption rate among our customer base is a clear indication that consumers value the convenience and security of online bill payment."
In addition to its assessment of online banking, bill payment and customer acquisition growth in the past year, Comscore’s Q1 2004 Online Banking Report also includes an analysis of the competitive landscape. With the Q1 report, Comscore launched the Online Banking Development IndexTM (BDI) to serve as a composite benchmark of a bank’s performance in engaging its customers online. The Index is comprised of ten components across three major categories: Adoption, Engagement and Loyalty.
In Q1 2004, Bank of America led the top ten banks with a BDI of 118, followed by Citibank (115) and Fleet (114). While Bank of America is strong across the board, its greatest strengths were in the Adoption and Engagement categories. Bank of America continues to grow its online customer base at impressive rates, despite an already large foundation of users. Moreover, Bank of America is second only to Citibank in the percentage of its online customers who use bill pay services.
Comscore Online Banking Development Index (BDI)Source: Comscore NetworksQ1 2004
BDI
Bank of America**
118
Citibank*
115
Fleet
114
Washington Mutual
97
Bank One
Wachovia***
96
Wells Fargo
93
Chase
92
Sun Trust
91
USBank
89
*Leader in Adoption category**Leader in Engagement category***Leader in Loyalty category
Comscore’s Q1 2004 Online Banking Report includes:
Banking industry professionals and members of the media may request the Comscore Networks Online Banking Report by sending an e-mail to banking@comscore.com.
About Comscore NetworksComscore Networks provides unparalleled insight into consumer behavior and attitudes. This capability is based on a massive, global cross-section of more than 1.5 million consumers who have given Comscore explicit permission to confidentially capture their browsing and transaction behavior, including online and offline purchasing. Comscore panelists also participate in survey research that captures and integrates their attitudes and intentions. Through its patent-pending technology Comscore measures what matters across a broad spectrum of behavior and attitudes. Comscore consultants apply this deep knowledge of customers and competitors to help clients design powerful marketing strategies and tactics that deliver superior ROI. Comscore services are used by global leaders such as Microsoft, Verizon, Best Buy, The Newspaper Association of America, Knight Ridder Digital, Nestlé, Wells Fargo & Company, GlaxoSmithKline, and Orbitz. For more information, please visit www.comscore.com.
PressBill DaddiDaddi Brand Communications646-370-1341press@comscore.com