Norwegian consumers rejecting minibank and telephone for Internet channel
31 January 2006 | 3420 views | 0
Annual statistics from Norwegian bank processing firm EDB Business Partners indicate a first ever fall in national consumer use of minibank and telephone banking, and a corresponding surge in Internet banking and shopping.
The number of transactions processed by EDB's minibank systems fell by nine per cent in 2005, and telephone banking usage fell by 11%. The number of payments through Internet banking systems increased by 26% in the year.
EDB executive vice president Petter Idar Jenssen: comments: "The trends we are seeing now are only beginning. The way Norwegians manage their money in 10 years time will be entirely different to anything that most of us could have imagined just a few years ago."
The use of minibanks has been on an upward trend ever since the first system was installed in Norway in 1978. But in 2005, EDB recorded almost 76 billion transactions through the channel, nine per cent down on 2004 and the lowest level for several years. The use of another traditional method for carrying out transactions, telephone banking, is also falling. EDB's statistics show a decline of 11% in 2005 to just under 70 million transactions.
By contrast, EDB recorded almost 100 million Internet payments in 2005, an increase of 26% from 2004. At the same time, 2005 saw a 65% increase in the number of Internet shopping transactions. Virtually all Norwegian adults now use Internet banking, says EDB, whose systems hold details for 2.3 million Web banking accounts.
EDB's statistics relate to traffic in EDB's systems, and represent around 70% of the total number of transactions in Norway.