Reaching Underbanked and Unbanked Consumers In 2012: Strategies for Connecting with Mobile Financial Services

  • ID: 2196122
  • June 2012
  • 49 Pages
  • Javelin Strategy & Research


  • 7-Eleven
  • Ericsson
  • Maxis
  • Orascom
  • RIM
  • Wal-Mart
  • MORE

The underbanked population — those without a checking account and often without a primary financial institution relationship — relies upon the mobile phone to engage in robust mobile transacting. This propensity makes the “mobile underbanked” a prime target for mobile banking, mobile prepaid, and mobile money P2P transfer solutions. Emerging vendors are leveraging the underbanked's consumer profile to provide transfer solutions, while recent government regulations have made this segment both less profitable and more crucial to FIs. This report makes use of consumer data and qualitative analysis to create targeted strategies and best practices for developing mobile products and marketing initiatives to bring financial inclusion to underbanked and unbanked consumers in the context of this developing market.

Primary Questions

- Who are the unbanked and underbanked? How are they defined? How do they differ from other consumers?

- What is the transformative vs. additive approach to mobile banking?

- What is the annual dollar size of the global and U.S. remittance market? How is the remittance market being transformed?

- What are READ MORE >

Note: Product cover images may vary from those shown


  • 7-Eleven
  • Ericsson
  • Maxis
  • Orascom
  • RIM
  • Wal-Mart
  • MORE

Defining the Underbanked and Unbanked Consumer  
Definitions and Market Sizing  
Executive Summary and Recommendations  
Who Are the Underbanked and Unbanked?  
Products and Services Used by the Underbanked  
Online Banking vs Mobile Banking Rates 
Transformational vs Additive Approach to Mobile Banking  
The Underbanked and Global Remittance Flows  
Western Union  
The Transition to Mobile Money Transfers  
How Account Fees Affect the Underbanked  
Prepaid as a Logical First Step  
How to Structure Mobile
 Banking for the Underbanked  
Tech-Advanced vs Tech-Challenged  
Access for Mobile Banking Through SMS Text, Browsers, or Apps?  
Mobile Remote Deposit Capture  
The Use of Automated Systems  
Alerts as Safety Net  
Mobile Bill Pay  
Mobile Purchasing  
Related Research  
Companies Mentioned  

Table of Figures 

Figure 1: Who Are the Underbanked in the US?  
Figure 2: What Products Do the US Underbanked Own?  
Figure 3: Device Ownership by Mobile Underbanked vs All Mobile Consumers  
Figure 4: Landline and Mobile Phone Ownership by Unbanked, Underbanked, and All Consumers 
Figure 5: Last Used Online Banking by Underbanked vs All Consumers 
Figure 6: Last Used Mobile Banking by Underbanked vs All Consumers  
Figure 7: Transformational vs Additive Approach to Mobile Banking  
Figure 8: Global Remittance Flows in 2011  
Figure 9: Wire Transfers and Transfers Using a Service Such as Western Union by Underbanked and All Consumers  
Figure 10: Likelihood to Use Domestic and International Mobile P2P Transfers by Underbanked and All Mobile Consumers 
Figure 11: P2P and Other Bank Transfers Past 90 Days by Underbanked and All Consumers  
Figure 12: Average Monthly Fee for Basic Checking by Bank Asset Category, 2012  
Figure 13: Top-of-Wallet Payment Options for Underbanked vs All Consumers  
Figure 14: New Technology Attitudes of the Underbanked vs All Consumers  
Figure 15: Method Used to Conduct Mobile Banking by Underbanked and All Mobile Consumers 
Figure 16: Financial Activities (eg, Money Orders, Expedited Payments, Mobile Deposits, Stop Payments, and Overdrafts)   Over the Past Year by Underbanked and All Consumers  
Figure 17: Branch, ATM, Phone, Email Transactions Past 90 Days by Underbanked and All Consumers  
Figure 18: Mobile Alerts Past 90 Days by Underbanked and All Mobile Consumers  
Figure 19: Consumer Satisfaction With Primary Bank by Underbanked vs All Mobile Consumers  
Figure 20: Mobile Activities by Underbanked vs All Mobile Consumers  
Figure 21: Mobile Purchasing in Past 12 Months by Underbanked vs All Consumers  
Figure 22: Age of Unbanked vs Underbanked vs All Mobile Consumers  
Figure 23: Income of Unbanked vs Underbanked vs All Mobile Consumers  
Figure 24: Gender of Unbanked vs Underbanked vs All Mobile Consumers  
Figure 25: Ethnicity of Unbanked vs Underbanked vs All Mobile Consumers  
Figure 26: Employment Status of Mobile Underbanked vs All Mobile Consumers  
Figure 27: Financial Product Usage by Underbanked vs All Mobile Consumers  
Figure 28: Consumer Data Plan by Underbanked vs All Mobile Consumers  
Figure 29: Mobile RDC Desirability by Underbanked and All Mobile Consumers  
Figure 30: Average Monthly Banking Fees by Type for 2002, 2006, and 2012  
Figure 31: Phone Feature Usage by Underbanked vs All Mobile Consumers  
Figure 32: Reasons Not to Use Mobile Banking for Underbanked vs All Mobile Consumers  
Figure 33: Mobile Marketing and Mobile Advertising Use by Underbanked vs All Consumers

Note: Product cover images may vary from those shown

- 7-Eleven

- Orascom

- Apple

- Orlandi Valuta

- Boku

- PayPal

- Diebold

- Playmate

- EnStream

- Remit2India

- Ericsson


- Facebook

- Safaricom

- Globe Telecom

- Smart Communications

- Google

- State Bank of India

- MasterCard

- Vigo

- Maxis

- Wal-Mart

- Mitek

- Western Union

- MoneyGram

- Xoon

- m-Via

- Xpress Money

- NetSpend

- Zain

Note: Product cover images may vary from those shown
Note: Product cover images may vary from those shown


  • Quick Help: The report will be emailed to you. The report is sent in PDF format. This is a single user license, allowing one specific user access to the product.


If you have a more general question about our products please try our



Our Clients

  • Motorola Solutions, Inc.
  • Coca Cola Company
  • Apple, Inc.
  • MasterCard Incorporated
  • Google, Inc.
  • Vodafone Group PLC