MacroMonitor Market Trends May 2013

MacroMonitor Market Trends is a newsletter from Consumer Financial Decisions (CFD) that highlights topical news and trends of interest to you and your colleagues. If you would like more information about the topic in the newsletter or would like to discuss other ways that we can assist you in your research or marketing efforts, please contact us.

Hispanic Internet-Banking Users Surge

For the majority of financial-services internet users, banking online has become ubiquitous; use varies by ethnic population. Acculturated Hispanics—those with English-language skills that enable them to participate comfortably in US surveys—use the internet for many of their banking needs. The 2012–13 MacroMonitor reports that Hispanics are significantly more likely than all US households—and more likely than other ethnic groups—to have engaged in some internet banking activities in the past two years: 85% of Hispanics, in comparison with 74% of all households.

Online Banking: Hispanic and All US Households

Hispanic households are more likely than all other households to engage in such online activities as making account inquiries (71%, in comparison with 64%), paying bills (65%, in comparison with 59%), receiving bills (62%, in comparison with 49%), and making routine transactions (60%, in comparison with 49%). With the introduction of mobile applications for financial activities, Hispanic households are not only using their smartphones for checking balances and paying bills more than are all other households (40%, in comparison with 26%) but also expressing a stronger interest in doing peer-to-peer transactions.

Unlike that of other ethnic groups, Hispanics' increase in online financial activity does not extend beyond basic bank functions. Hispanic households are no more likely than others to engage in credit (38%), insurance (29%), or other financial services online. They are significantly less likely to engage in online investing (19%, in comparison with 28%). The growing number of acculturated-Hispanic households displays unique preferences for online financial activity and other means of access. A similar, distinctive pattern is in their use of other financial services, their financial attitudes, and their basic financial needs.

For more insights about mainstream Hispanic households, MacroMonitor sponsors may access the Mainstream Hispanic Households Segment Summary, available through your company's SBI/CFD landing page. Sponsors may request a full presentation about mainstream Hispanic households, including a customized and proprietary Q&A session. Sponsors may always request Segment Summaries about other populations—for example, retirees with excess income, Asian-Americans, mutual-fund investors, debit-card users, and the Emerging Affluent. To learn more about mainstream Hispanic households, or for answers to questions, please contact CFD.