ARC REPORT FROM APPLAUSE • OCTOBER 2016 HOW NORTH AMERICAN CONSUMERS RATE THEIR BANKING & PAYMENT APPS

13 million app store ratings & reviews reveal the mobile leaders in banking & payments.

By Ben Gray, Digital Experience Analyst, Applause

44/100 The weighted mobile sentiment average of the flagship Android and iOS apps from the 61 largest North American banks and credit unions, as rated and reviewed by their own customers.

Mobile Apps Should Enhance The Banking Experience

he top 61 banks and credit unions in the U.S. and Canada collectively hold more than $20 trillion (USD) in total assets, according to annual reports T compiled by relbanks and USA Credit Unions. All of these financial service institutions have native Android and iOS apps to better serve their customers.

The perfect attendance rating is an important milestone. Mobile is changing the way consumers bank. Fiserv’s recent survey of more than 3,000 U.S. adults ages 18 and older reveal that 40% use mobile banking today, and among millennials that number increases to more than 75%. In other words, mobile is the future of banking.

1 But how satisfied are North American customers with their preferred banking apps? As it turns out, not very. Mobile payments, on the other hand, show promise.

Analyzing User Sentiment Among 90 Financial Service Apps

ARC—the research arm of digital experience testing company Applause—analyzes the user sentiment of Android and iOS apps to produce periodic reports. For banking and payments, we analyzed the flagship apps of the 61 largest North American financial service institutions, plus another 29 leading apps. That’s 90 different banking and payment apps in total.

Star ratings and text reviews were crawled by Applause Mobile Sentiment Analysis. The 90 apps received 10 million star ratings and three million text reviews. The apps are measured on a 100-point experience scale. ARC stack ranked the 53 U.S. bank and credit union apps (see Figure 1), eight Canadian bank apps (see Figure 2) and 36 payment apps (see Figure 3)—including seven carry-over banking apps that have payments as a core function of the apps—based on a weighted average of their Android and iOS user sentiment scores, as influenced by volume of app store reviews.

Inclusion required more than 100 combined text reviews for banking apps. Goldman Sachs, BNY Mellon, State Street and seven other U.S. banks and two Canadian banks— Laurentian Bank and CWB—did not qualify due to lacking a statistically significant volume of text reviews.

Inclusion for mobile payments was tougher, requiring more than 1,000 combined reviews. This disqualified many, including PayPal Prepaid, Chase Mobile Checkout and Masterpass by MasterCard. doesn’t allow for users to rate it or leave feedback, and thus wasn’t included. 2 FIGURE 1: HOW U.S. CONSUMERS RATE THEIR BANKING APPS

ASSETS RANK AVG REVIEWS RATINGS

Chase Mobile 1 81.8 26.6 317,959 1,022,225 East West Bank Mobile Banking 47 73.0 17.5 177 513 Capital One Mobile 10 70.3 24.1 117,972 299,709 Frost Bank 53 70.2 4.0 761 1,703 Morgan Stanley Wealth Management 6 66.0 1.0 193 322 First Republic Mobile Banking 37 65.1 3.1 1,039 1,704 Discover Mobile 31 64.4 0.8 17,346 42,373 Amex Mobile 17 64.3 12.0 10,896 31,375 Citizens Bank Mobile Banking 20 64.0 2.5 12,141 21,408 Barclaycard 50 60.3 0.8 2,288 6,767 Navy Federal Credit Union 33 60.2 5.3 16,044 38,939 SunTrust Mobile App 15 59.5 10.4 20,728 40,528 USAA Mobile 21 57.5 1.0 24,643 110,406 Bank of Oklahoma Mobile Banking 49 57.0 4.4 506 1,147 Citi Mobile 4 55.1 25.7 27,491 80,616 Fifth Third Mobile Banking 22 52.7 12.9 6,508 14,270 Huntington Mobile 34 50.2 0.4 4,076 10,831 PNC Mobile Banking 9 49.7 23.7 21,473 55,223 BBVA Compass Banking 30 47.0 10.8 1,132 2,936 Wells Fargo Mobile 3 46.0 5.0 45,083 205,122 Synovus Mobile Banking 51 44.6 3.3 536 828 Bank of America 2 44.2 5.4 54,458 402,210 First Citizens Mobile Banking 48 43.5 0.2 636 1,235 E*TRADE Mobile 40 42.7 3.0 5,009 28,838 People's United Bank Mobile 43 42.6 0.1 818 1,435 Union Bank Mobile Banking 28 42.2 0.4 1,574 5,255 TD Bank (US) 12 41.5 0.6 6,466 19,834 U.S. Bank 7 40.5 7.4 26,108 52,580

Personal Banking BY SANTANDER BANK US 24 40.3 2.0 1,659 3,640 BMO Mobile Banking 23 40.0 0.0 2,075 7,200 FirstMerit Mobile Banking 58 39.5 2.0 977 1,704 SECU Mobile 54 37.9 1.5 656 900 Associated Mobile Banking 52 37.8 2.4 1,022 1,815 Regions Mobile Mobile Banking 25 37.4 0.4 7,164 17,423 Schwab Mobile 16 37.3 1.3 3,828 6,582 RBC Mobile 19 36.0 6.0 7,687 19,210 Rabobank Mobile Banking 60 36.0 8.4 218 466 Ally Mobile Banking 18 34.6 2.0 5,783 7,895 First Niagara Mobile Banking 44 34.4 1.0 1,152 2,039 Commerce Bank 62 34.2 1.0 780 1,410 Webster Bank Mobile 61 34.2 2.8 465 909 EverBank Mobile 57 34.0 10.8 269 277 Comerica Mobile Banking 35 34.0 2.9 1,041 1,627 First Tennessee Mobile Banking 56 33.6 0.8 961 1,841 Zions Bank Mobile Banking 38 33.3 0.2 781 1,234

Meine Bank BY DEUTSCHE BANK 39 32.0 9.5 354 11,995

CareCredit Mobile App BY SYNCHRONY FINANCIAL 32 31.5 N/A 547 837 HSBC Mobile Banking 11 30.0 7.5 10,258 58,610 Popular Community Bank Mobile 45 29.0 2.8 518 943 M&T Mobile Banking 26 27.6 2.3 1,248 2,826 KeyBank Mobile 29 27.1 6.5 2,630 4,769 U by BB&T 14 25.7 N/A 2,067 3,823 Umpqua Bank Mobile Banking 63 17.0 5.3 473 683

SOURCE: ARC FROM APPLAUSE, OCTOBER 2016 3 FIGURE 2: HOW CANADIAN CONSUMERS RATE THEIR BANKING APPS

ASSETS RANK AVG REVIEWS RATINGS

CIBC Mobile Banking 5 52.3 7.7 2,214 15,492 Scotiabank 3 43.7 3.1 2,035 18,497 RBC Mobile 1 42.7 9.2 4,221 24,256 National Bank Mobile Banking Solutions 7 34.7 4.6 1,019 3,653 Desjardins mobile services 6 34.0 0.4 1,710 9,096 TD Canada 2 31.6 5.4 5,688 31,851 BMO Mobile Banking 4 29.0 0.3 3,016 5,559 HSBC Mobile Banking 8 20.6 5.7 404 57,832

SOURCE: ARC FROM APPLAUSE, OCTOBER 2016

FIGURE 3: HOW U.S. CONSUMERS RATE THEIR PAYMENT APPS

AVG REVIEWS RATINGS

Chase Mobile 81.8 26.6 317,959 1,022,225 LevelUp 81.5 0.5 3,441 4,443 TransferWise Money Transfer 81.0 0.9 4,138 13,383 Capital One Wallet 79.2 2.0 17,801 40,067 WorldRemit Money Transfer 76.2 4.0 4,420 11,397 74.0 N/A 53,489 192,402

Mint Bills BY INTUIT 73.0 1.0 67,072 182,382 Square Cash 72.7 6.5 15,756 29,799 Capital One Mobile 70.3 24.1 117,972 299,709 CoinBase - Bitcoin Wallet 70.1 0.9 8,542 31,554

Venmo BY PAYPAL 67.5 1.6 19,881 55,030 PayPal 65.7 7.3 117,898 556,473 Square Register 65.6 0.2 27,168 95,480 Discover Mobile 64.4 0.8 17,405 42,454 Amex Mobile 64.3 12.0 10,896 31,375 Wallet 64.0 30.9 12,655 44,977

Xoom BY PAYPAL 63.1 2.0 3,350 21,884

Paytm BY ONE97 COMMUNICATIONS 63.0 1.0 438,008 1,587,757 Western Union Money Transfer 63.0 3.2 17,028 47,044

PayAnywhere BY NORTH AMERICAN BANCARD 59.7 3.7 4,301 6,463 Starbucks 58.0 6.0 234,404 577,663 FreeCharge 58.0 1.0 227,656 756,417 MobiKwik 57.0 3.0 158,712 491,205 Fidelity Investments 56.7 11.0 10,653 28,182 PayPal Here 55.2 4.0 14,499 28,149 Citi Mobile 55.1 25.7 27,491 80,616 Blockchain - Bitcoin Wallet 55.0 4.8 1,903 8,609

Quickbooks GoPayment BY INTUIT 53.9 1.6 4,882 10,565 Android Pay 51.0 8.0 46,973 133,358 Bluebird by 50.4 1.5 4,966 14,285 Wells Fargo Mobile 46.0 5.0 45,083 205,122 NetSpend Mobile Banking 45.6 1.1 3,092 11,364 Bank of America 44.2 5.4 54,458 402,210 MoneyGram 39.0 5.5 1,414 3,986 Chase Freedom Mobile 37.0 10.5 1,214 2,681 Virtual Wallet by PNC BANK 36.2 0.8 6,525 14,225

SOURCE: ARC FROM APPLAUSE, OCTOBER 2016 4 Banking And Payment User Sentiment Takeaways:

•• Banking experiences span physical and digital worlds. 2017 is shaping up to be a year that financial service institutions reset the expectations of their customers by delivering consistently high-quality digital experiences across Web, mobile and on-location (i.e., bank, credit union, retail store).

•• Consumers easily separate the excellent apps from the poor. Across the more than 30 million apps Applause Mobile Sentiment Analysis crawls, the average is a 67.3. U.S. banks and credit unions lag with a 45.1 weighted average, comparing favorably to their Canadian counterparts with a 36.1

average. Mobile payment brands bested both with a 61.1 average.

•• Nine banking apps and seven payment apps earn top marks. Nine U.S. banking apps earned weighted averages of 55 or greater based on more than 10,000 reviews. Standing out within the mobile payments industry required an even higher quality bar with a 65 or greater average (see Figure 4).

FIGURE 4: THE HIGHEST-RATED BANKING AND PAYMENT APPS

RANK BANKING APPS REVIEWS RATINGS AVG PAYMENT APPS REVIEWSRATINGS AVG

1 Chase Mobile 317,959 1,022,225 81.8 Capital One Wallet 17,801 40,067 79.2

2 Capital One Mobile 117,972 299,709 70.3 Samsung Pay 53,489 192,402 74.0

3 Discover Mobile 17,346 42,373 64.4 Bills By Intuit 67,072 182,382 73.0

4 Amex Mobile 10,896 31,375 64.3 Square Cash 15,756 29,799 72.7

5 Citizens Bank Mobile Banking 12,141 21,408 64.0 By PayPal 19,881 55,030 67.5

6 Navy Federal Credit Union 16,044 38,939 60.2 PayPal 117,898 556,473 65.7

7 SunTrust Mobile App 20,728 40,528 59.5 Square Register 27,168 95,480 65.6

8 USAA Mobile 24,643 110,406 57.5

9 Citi Mobile 27,491 80,616 55.1

SOURCE: ARC FROM APPLAUSE, OCTOBER 2016

•• Top apps have common features consumers desire. Based on the highest-

rated apps, consumers value: viewing all aspects of their account balances 5 (personal, small business, corporate, home loan, auto loan, etc.), transaction histories, rewards status and available credit through a single sign-on (SSO) function; the ability to pay bills, transfer money, deposit checks, login

via Touch ID/SureSwipe/four-digit passcodes, MOVERS & SHAKERS search transactions, redeem rewards, set up bill Google Wallet +30.9 payment reminders, view credit scores, freeze/ Chase Mobile +26.6 Citi Mobile +25.7 unfreeze accounts, use travel notifications, Capital One Mobile +24.1 and find/contact their nearest branches/ATMs; PNC Mobile Banking +23.7 Fifth Third Mobile Banking +12.9 receiving activity, payment and rewards alerts; Amex Mobile +12.0 and complete transparency when banking apps Fidelity Investments +11.0 request permissions (i.e., location for nearest BBVA Compass Banking +10.8 Chase Freedom Mobile +10.5 branches/ATMs, contacts to send money, camera SunTrust Mobile App +10.4 to deposit checks, storage to view attachments). Rabobank Mobile Banking +8.4 Android Pay +8.0 •• Chase leads the mobile banking industry. PayPal +7.3 Chase Mobile took both top spots across Starbucks +6.0 banking and payment apps with an MoneyGram +5.5 Bank of America +5.4 impressive 81.8 weighted average. Its year- Umpqua Bank Mobile Banking +5.3 over-year sentiment score improved 26.6 Wells Fargo Mobile +5.0 points, thanks to a new user interface, Chase Navy Federal Credit Union -5.3 TD Canada -5.4 QuickPay improvements, simplified login, HSBC Mobile Banking -5.7 enhanced transaction filtering and more. RBC Mobile -6.0 KeyBank Mobile -6.5 Citi and Capital One improved dramatically. •• Square Cash -6.5 Citi Mobile and both Capital One Mobile and U.S. Bank -7.4 HSBC Mobile Banking -7.5 Capital One Wallet are among the highest- CIBC Mobile Banking -7.7 rated banking and payment apps. Citi Mobile RBC Mobile -9.2

and Capital One Mobile improved year- Meine Bank By Deutsche Bank -9.5 EverBank Mobile -10.8 over-year 25.7 and 24.1 points, respectively. East West Bank Mobile Banking -17.5

Citi innovated with automated payments, SOURCE: ARC FROM APPLAUSE, OCTOBER 2016 6 blocking purchases on lost cards and Citi Price Rewind. Capital One improved with credit increase requests, rewards purchases, real-time updates and helpful alerts.

•• Low-rated apps suffer from multiple symptoms. Poorly reviewed apps are peppered with complaints of battery drainage, freezes, slow performance, blank screens, error messages, login issues, too frequent TOS agreements, broken check deposit experiences, updates that seemingly weren’t tested prior to release and overreaching permission requests.

•• Canadian banks have room to improve in the eyes of customers. Canadian consumers are underwhelmed with the quality of their banking apps. The eight Canadian banks averaged just a 36.1 out of 100. Even more telling was their year-over-year decline of 3.3 points. Canadian consumers should be singing the praises of their banks. Instead they’re lamenting why they aren’t delivering high-quality mobile experiences like those of their American counterparts, such as Chase, Capital One, Citizens Bank and Citi.

•• Mobile payments have emerged as the new way to pay. An ever-increasing number of mobile payment apps and digital wallets have emerged over the past few years from the likes of PayPal/Venmo/Xoom, Apple, Samsung, Google, Intuit/Mint, Capital One, Square, Western Union, Starbucks and more. Early indication is promising as consumers favorably rated and reviewed the majority of profiled mobile payment apps.

•• Expectations of digital banking and payment experiences are rising. The apps economy is almost 10 years old and apps become more sophisticated and refined every year. It’s imperative for the industry to embrace digital-first strategies that raise the bar for quality to ultimately deliver rich customer experiences that accelerate growth. We hope this report serves as a shortcut to understanding what the leading institutions

are doing to earn and sustain their mobile leadership positions. 7 Complementary Calls And Onsite Workshops

Applause is making this report’s author available for calls and onsite workshops that will enhance understanding of touchpoints across your customer journey, share insight into the best practices that industry- leading brands have embraced and determine how your company can get to market faster with a rich digital presence.

Interested? Contact [email protected].

About ARC

ARC from Applause is a research group dedicated to providing insights on the apps economy. ARC leverages data from a variety of sources, including proprietary Applause data, to provide a comprehensive view of app quality. ARC combines this with analysis into reports to help brands understand what’s happening in the apps economy.

Learn more at http://arc.applause.com.

About Applause

Applause is a digital experience testing company, empowering companies to deliver great digital experiences - from web to mobile to wearables to IoT and beyond. By combining in-the-wild testing services, a robust platform and an extensive global community, Applause helps companies achieve the quality they need to thrive in the digital economy. Thousands of companies—including Google, Fox, Amazon, Concur and Runkeeper—rely on Applause.

Learn more at www.applause.com and follow @applause on Twitter.

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