SAN FRANCISCO–There’s a bit of a disconnect in the way digital services are being used, according to a new analysis.
While 72% of bills are now being paid through online or mobile channels, just 39% of statements are being delivered digitally, according to new analysis by Javelin Strategy and Research. According to JAVELIN, the potential payoff to financial institutions and billers of closing this “digital commitment gap” is enormous, with $2.2 billion savings in next five years.
The findings are part of Javelin’s new report, “Paperless Banking and Billing 2015: Closing the Digital Commitment Gap,” which examines the state of paperless adoption today, explores strategies to target remaining holdouts, and delves into the ROI opportunities for financial institutions and billers.
According to Javelin, the number of consumers who receive both a paper and a digital statement remains steady. Nearly one-in-four checking account owners and bill payers still receive both online and paper statements each month, a figure that has remained constant since 2010. Converting double-dippers and paper-only holdouts will not be easy, as FIs and billers have already capitalized on consumers’ desire to eliminate clutter in their financial record-keeping and help the environment, JAVELIN said in its analysis.
“FIs and billers must upgrade the digital experience to satisfy customers who seek a paperless lifestyle – or even just a less-paper lifestyle,” said Ian Benton, research specialist with Javelin. “To achieve greater paper turnoff, FIs and billers must think bigger about the overall digital experience, break down organizational silos, and deliver a digital lifestyle that is integrated, complete, and reliable.”
This report is based on a consumer survey of 8,525 consumers and interviews with industry strategists responsible for paperless initiatives at banks, billers, and third-party players.