The youth market in South Africa (under 21s) are choosing bank by cellphone.
This according to research on South Africa`s largest retail bank, Absa.
"These findings are not surprising, given the techno savvy attitude of young people in our country," says Venete Klein, Absa executive director.
"During the last year, there has been a 11,1% increase in the youth market registering for cellphone banking as opposed to internet-banking, which experienced a 50% drop in registrations for the youth market.
Other age-groups experienced an increase in internet-banking registrations during the same period," says Klein.
One reason for this could be Absa`s offer of free Cellphone Banking. In effect, this means that the 35 000 young people registered for Absa`s services can bank free of charge.
Even those under 21s who don`t have access to electricity or to the internet, can use their cellphones for banking. The research shows that the youth in Gauteng and Pretoria are the most active mobile banking users in the country.
Balance enquiries and pre-paid cellphone top-ups are the most popular services requested.
Another reason for the increase in young people using cellphone banking over the past year, could be that Absa launched internet-based cellphone banking to the market in March 2005, which makes cellphone banking even more user friendly.
"With internet-based cellphone banking, there are no delays. You don`t need to send sms`s or to punch in codes to get balances, make payments & transfers or buy prepaid airtime. You can scroll easily to your account information which appears on one screen. You can select beneficiaries, transaction histories, request proof of payments - just as you would on the internet, " says Klein.
"What this is, is internet banking on the cellphone," says Klein.
Share
Editorial contacts