PC Banking Usage Continues to Increase;
Lobby, Drive-up Decrease  

November 15, 2000, Oakbrook Terrace, IL.  
The latest study by Raddon Financial Group (RFG) shows exponential growth for PC Banking usage in the last three years, while Lobby and Drive-up penetration has decreased.  RFG’s semi-annual national consumer research study is syndicated by over 200 financial institutions and reports on consumer product pricing and delivery channel behavior.

Survey respondents were asked to cite which delivery channels they typically use in an ordinary month.  Eight percent (8%) of all consumers said they now use PC Banking.  This is up significantly from 1997, when penetration was just 2%.  Drive-up and Lobby usage has decreased, but they are still the dominant channels.  During a typical month, two-thirds (66%) of consumers use the Lobby and 58% use the Drive-up.  This has decreased considerably from three years ago, when three-quarters (75%) used the Lobby and 63% used the Drive-up. 

Survey respondents were also asked to indicate the average number of times they use each channel in a typical month.  The same trends hold true.  Average monthly PC Banking transactions have more than doubled over the past three years.  

The Fall 2000 study states that PC Bankers on the average make five transactions per month.  This number is up since the Fall of 1997, when PC bankers made an average of 1.9 transactions monthly.  The study also shows that the average number of Lobby and Drive-up transactions has decreased in the same period.  During a typical month, consumers made an average of 4.1 transactions in the Lobby and 4.2 transactions through the Drive-up window.  Today these numbers have decreased considerably, with an average of 2.8 transactions made in the Lobby and 3.4 transactions made through the Drive-up window.  VP of Research, Robert O’Meara adds, “It’s encouraging to see this migration from employee assisted transactions to lower cost electronic channels.  The fact that two-thirds still use the lobby monthly reinforces the conclusion that the business model will remain of bricks and clicks”.

For over twenty years RFG has provided custom and syndicated national consumer research to the financial services industry.   This recent study was conducted for over 200 financial institutions.  To receive this complete research study or to subscribe to RFG’s syndicated research, call 800.827.3500 ext. 383.