Key Highlights
- The global retail banking market size was valued at approximately $4.9 trillion in 2022
- Over 80% of retail banking transactions worldwide are now digital
- In the U.S., approximately 67% of consumers use online banking services regularly
- The number of mobile banking users is projected to reach 3.6 billion globally by 2024
- Retail banking revenue in Europe amounted to €300 billion in 2022
- Digital-only banks increased their customer base by over 50% from 2019 to 2022
- Customers aged 18-34 are 45% more likely to prefer mobile banking than older customers
- Card-based transactions constitute approximately 70% of retail banking payments globally
- Nearly 65% of retail bank customers prefer using their bank’s mobile app for transactions
- Banking fraud losses in the retail sector reached $16.9 billion globally in 2021
- The average checking account fee in the US is $5.47 per month
- The average savings account interest rate in the US was 0.42% APY in 2023
- Over 55% of retail banking consumers in Asia-Pacific prefer using digital channels for their banking needs
The retail banking industry is experiencing a seismic shift as digital transactions now account for over 80% of global activity, fueling rapid growth in mobile and digital-only banks, while traditional branches decline and technology like AI and biometrics reshape customer experiences worldwide.
Customer Behavior and Preferences
- Over 80% of retail banking transactions worldwide are now digital
- In the U.S., approximately 67% of consumers use online banking services regularly
- Customers aged 18-34 are 45% more likely to prefer mobile banking than older customers
- Nearly 65% of retail bank customers prefer using their bank’s mobile app for transactions
- The average checking account fee in the US is $5.47 per month
- The average savings account interest rate in the US was 0.42% APY in 2023
- Over 55% of retail banking consumers in Asia-Pacific prefer using digital channels for their banking needs
- Customer satisfaction scores for digital banking platforms are 10% higher than traditional banking channels
- The average retail bank customer uses 3.5 channels for banking transactions in 2023
- Around 75% of millennials use mobile banking apps regularly
- Nearly 45% of retail bank customers worldwide are open to switching banks if offered better digital services
- The global retail banking customer loyalty rate is roughly 70%, but this drops to 55% among digital-only banks
- The deployment of AI chatbots in retail banking increased customer engagement rates by 20% in 2023
- Over 30% of retail banking customers cite high fees as a primary reason for switching banks
- The average age of retail banking customers worldwide is 38 years old
- Approximately 40% of retail bank customers prefer to access their banking services via mobile applications over web portals
- The average age of retail banking account holders in Africa is 33 years old
- Customer complaints related to digital banking issues decreased by 15% in 2023
- Over 60% of retail banking customers have experienced a seamless onboarding process digitally
- The percent of retail bank customers using cryptocurrencies for transactions was 5% in 2023
- The adoption of voice banking commands increased by 60% from 2020 to 2023
- 55% of retail banking customers are willing to use biometric authentication for transactions
- The percentage of retail banking transactions conducted via mobile devices has increased to 65% in 2023
- Customer retention rates in retail banking are approximately 75%, but digital-only banks report retention rates of up to 85%
- Over 50% of retail banking customers prefer digital channels for loan applications
Customer Behavior and Preferences Interpretation
Digital Transformation and Technology Adoption
- Customer onboarding digitalization has decreased onboarding time by 50% over the past five years
- Over 80% of retail bankers believe that AI will revolutionize customer service by 2025
- Less than 10% of retail banks have fully implemented blockchain for payments and transactions as of 2023
- Retail banks in North America increased their digital delivery channels by 25% in 2022
- The average cost per retail banking customer to the bank has decreased by 15% over the last five years due to digital efficiencies
Digital Transformation and Technology Adoption Interpretation
Market Size and Growth Trends
- The global retail banking market size was valued at approximately $4.9 trillion in 2022
- The number of mobile banking users is projected to reach 3.6 billion globally by 2024
- Retail banking revenue in Europe amounted to €300 billion in 2022
- Digital-only banks increased their customer base by over 50% from 2019 to 2022
- Card-based transactions constitute approximately 70% of retail banking payments globally
- The number of branches in retail banking declined by 24% globally between 2010 and 2022
- In 2022, about 40% of retail banking firms increased their investments in AI and automation
- The number of retail banking customers using biometric authentication reached 2 billion in 2022
- Digital-only banks hold approximately 15% of the global retail banking market share in 2023
- Contactless payment transactions in retail banking surged by 50% globally in 2022
- Retail banking branch footprint per 100,000 adults decreased from 20 in 2010 to 15 in 2022
- The adoption rate of digital-only banking accounts in Europe grew by 35% in 2023
- The total value of digital payments globally reached $9.7 trillion in 2022
- Retail banking services in emerging markets account for approximately 60% of global growth in banking
- The use of AI for credit scoring in retail banking increased by 45% between 2020 and 2023
- Integration of ESG initiatives in retail banking increased by 50% worldwide in 2022
- Revenue from retail banking in Latin America increased by 12% in 2022
- The number of branches in retail banking globally decreased by 24% from 2010 to 2022
- The global retail banking deposit growth rate was approximately 3.2% annually from 2018-2022
- The global value of microfinance services reached $120 billion in 2022, contributing to retail banking expansion in underserved markets
- The number of retail banking ATMs worldwide surpassed 3 million in 2023
Market Size and Growth Trends Interpretation
Security, Fraud, and Risk Management
- Banking fraud losses in the retail sector reached $16.9 billion globally in 2021
- Retail banking fraud accounts for about 21% of overall banking fraud losses
- Retail banking digital fraud tactics increased by 25% globally in 2022
- Over 70% of retail banks are investing in cybersecurity measures to protect customer data
Security, Fraud, and Risk Management Interpretation
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