Canadians favour mobile apps and digital services while cryptocurrency interest wanes

Canadians are increasingly embracing mobile banking apps, marking a notable shift from traditional online banking. The latest How Canadians Bank study by the Canadian Bankers Association (CBA) highlights this trend, showing that while online banking remains prevalent, the convenience and enhanced security features of apps are winning over Canadians, particularly among younger demographics.

The study, conducted by Spark Insights, surveyed 4,000 Canadians in January 2024 and revealed a continuation of positive sentiment about banking services. Remarkably, three out of four people expressed satisfaction with their bank, a trend that has remained stable despite economic fluctuations and the impact of the pandemic.

Canadians love their apps (and their banks)

One of the most significant changes in Canadian banking habits is the surge in digital banking adoption. In 2024, 77 per cent of Canadians report that they use digital channels to conduct most of their transactions, 47 per cent online (down from 52 per cent in 2018) and 30 per cent through an app (up from 23 per cent in 2018). This migration from online platforms to app-based banking is likely driven by the convenience and user-friendliness offered by mobile apps. Although younger generations are leading this shift, digital banking solutions are being embraced across all age groups.

Not only are Canadians adopting mobile apps, but they are also expressing high satisfaction with them. The study found exceptionally high satisfaction rates with online banking (97 per cent), app banking (96 per cent), and even phone banking (87 per cent). Everyday banking transactions, such as e-transfers, credit/debit card use, and tap-and-pay options, also enjoy satisfaction levels exceeding 90 per cent. These findings suggest that banks are providing secure and user-friendly digital experiences that meet Canadians' needs.

Branch banking remains important

In-person banking at the branch continues to be an important banking channel for Canadians, with visits increasing since the pandemic. In 2024, 61 per cent of Canadians reported stopping into the branch, up from 57 per cent in 2021. However, this level has not returned to the pre-pandemic rate of 67 per cent in 2018 and is unlikely to do so. Only 12 per cent of customers do most of their banking at the branch, and 27 per cent plan to decrease their bank branch visits over the next five years. This indicates that while branch banking retains its significance, its role is evolving as digital banking continues to grow.

Canadians' thoughts on cryptocurrency

While Canadians enjoy the convenience of digital banking, their interest in digital currencies appears to be declining. The use of digital currencies has not advanced much in the last few years. Currently, nine per cent of Canadians say they use cryptocurrency, compared to 13 per cent in 2021. Additionally, 32 per cent surveyed say that they will use alternative currency five years from now, down from 36 per cent in 2021. Furthermore, only 10 per cent of Canadians say they will use cryptocurrency in the future, compared to 14 per cent in 2021, while half of the respondents say they will never use cryptocurrency, up from 43 per cent in 2021.

The most common reasons for using cryptocurrency among those who do are as an investment (41 per cent), followed by keeping transactions private (38 per cent), and convenience (21 per cent). Interest in cryptocurrencies is heavily influenced by age, with only two per cent of those over 70 saying they will use it.

Looking forward to the future of Canadian banking

The study paints a picture of a Canadian banking landscape transformed by technology. Canadians are highly satisfied with current services and appreciate the convenience and value offered by digital solutions. Additional findings from the survey can be found at: /How-Canadians-Bank-2024