A recent Fintech study reveals that digital banking apps are now beginning to lag behind online trading apps (in Germany) which grew by 140%.
Despite the COVID-19 outbreak, German consumers have not been using mobile banking apps as much as expected, according to a study by Adtech startup Adjust. The company found that Germany’s residents appear to be more interested in using online trading apps than digital banking solutions.
The Coronavirus pandemic has accelerated the shift towards digital platforms and services. People in Germany (and in other parts of the world) are using digital commerce platforms a lot more than they were before. They’re buying clothing items online instead of visiting physical stores and they’re also using online investing platforms more frequently now.
Berlin-based Adtech firm Adjust and Apptopia’s research study reveals that German consumers, in general, are not downloading banking apps as often as we might expect in a post COVID world. In fact, the number of banking app downloads actually declined during H1 2020.
German banking apps are also not being used as much in other areas. App installations declined by 15% during H1 2020, according to data provided by Adjust. Interestingly, banking apps in the US and the UK are being used more than they are in Germany.
Meanwhile, in Japan, the nation’s government had offered a tax break to consumers using smartphones to make payments. Japanese users were eligible for a 5% discount when they made digital payments with their mobile phones at local restaurants.
Fabian Schaeffer, Fintech analyst at Adjust, said that many German residents have already installed an app on their smartphones.
He added that it’s “why there is currently no reason for [making additional] downloads” or using even more banks apps, which can make it difficult to manage day-to-day activities instead of making them more convenient or easier.
As first reported by Finance Fwd, the number of sessions logged by users of German payment and banking apps did actually increase by 40% during H1 2020 (when compared to the same period last year).