A Brief Note On The Largest Us Bank

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BofA Overview:
BofA is the largest US bank founded in 1904, it has expanded through several acquisitions. By the end of 2009, BofA was the market leader serving 82% of the US population and over 53 million customers. They are positioned as number one in online and mobile banking. Their mobile banking services were launched in 2007 and have gained 4 million customers in less than three years.

In 2009, 10 million customers used mobile banking and this is expected to grow to 37 million by 2014. Customers that use mobile banking are not the same as online customers. Customers that use mobile banking represent a different segment of the market that other banking customers. Security issues, a perceived low value and expense, were the primary reasons that customers did not switch to mobile banking. Potential customers were reluctant to try a new banking service that are represented an extra cost and they were also afraid of losing control of their finances. Debit cardholders were the most active users. It was convenient for them because they could check their account at any time. Customers that used this service changed their usual banking channels and as a result -the bank had a higher retention for these users of online services.

BofA main competitors are: Bank of New York Mellon, JP Morgan Chase & Co., Wells Fargo & Co., Citigroup, and PNC Financial Services. These competitors also used mobile banking to ensure good service for their customers. They used SMS,
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