Financial institutions are investing in digital and mobile banking offerings, closing out 2023 with an uptick in digital adoption. 

This trend was prevalent in the fourth quarter of 2023 for large and small financial institutions alike. 

At Puerto Rico-based, $18.6 billion First BanCorp, digital banking users increased 14% year over year to 443,000, according to the bank’s Q4 earnings presentation, released today.  

To keep up with digital adoption, the bank relaunched its corporate portal and business digital lending applications in 2023, according to the presentation. 

The bank also focused on its migration to the cloud and efforts in implementing process automation, Investor Relations Officer Ramon Rodriguez said during the bank’s second-quarter earnings call in July. 

Similarly, Springfield, Mo.-based Great Southern Bank launched a digital mobile banking app in Q4, according to the bank’s Jan. 23 Q4 earnings release. 

The $5.8 billion bank has more than 54,000 active mobile bank users and expects the new app to provide a better customer experience, according to the release. 

During the quarter, the bank’s legal and professional fees increased $14,000 sequentially to $918,000 as the bank invested in training and implementation for a core systems conversion, the release stated. 

Digital usership trend

The following banks also saw an uptick in mobile usership in Q4 2023: 

• Huntington active mobile usership reached 2.75 million, up from 2.56 million in Q4 2022; 
• JPMorgan Chase active mobile customers increased 8% year over year to 53.9 million users; and 
• Wells Fargo active mobile usership grew 6% YoY to 29.9 million. 

Wells Fargo, for one, focused on driving digital adoption through technology and automation, Chief Financial Officer Mike Santomassimo said during the bank’s Q4 earnings call on Jan. 19. 

Mobile usership in Q4

Seventy-one percent of consumers prefer to manage bank accounts through their mobile app or computer, according to the American Bankers Association’s October 2023 national consumer report, which surveyed 2,211 adults. 

According to the report: 

• 48% of consumers prefer mobile apps for banking; 
• 23% prefer online channels; and 
• 9% prefer bank branches. 

Mobile and digital adoption continues to push banks to invest in digital banking platforms, according to Research and Markets’ November “Digital Banking Platform Market” report. 

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