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Western Union Survey Reveals: Mobile is Influencing Consumer Bill Payment Behaviors and Choice and Convenience are Critical

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Money Mindset Index helps companies understand how mobile is shaping the bill payments landscape and underscores why choices, like in-person bill payment options, are critical to meeting consumer needs

The Western Union Company (NYSE:WU), a leader in global payment services, released the latest findings from the Western Union® Bill Payments Money Mindset Index. The survey of U.S. consumers reveals mobile device ownership and usage are changing consumers’ bill payment behaviors, even as people continue to use different payment channels like in-person or mail to meet their budget and lifestyle needs.

For example, 15 percent of people surveyed indicate they plan on paying more bills via a mobile phone or tablet and 13 percent via a mobile app or text message over the next six months. Also, among people who paid a bill using a mobile device, 65 percent did so using smartphones and 25 percent using tablets.

But U.S. consumers aren’t just using online and mobile options to pay bills. The survey underscores why choice and convenience are critical to meeting consumer needs:

  • 36 percent of consumers use three or more channels, such as online, in-person, and others, to pay their monthly bills
  • 38 percent use three or more payment methods, such as credit card, debit card, ACH, or cash, to pay their monthly bills
  • 18 percent of multi-method bill payers and 27 percent of multi-channel bill payers used a mobile phone to pay at least one bill per month

“The Western Union Bill Payments Money Mindset Index points to increasingly tech-savvy consumers choosing to add mobile options to their bill payment tool kit,” said David Shapiro, senior vice president, Payments, Western Union. “Another key take-away for the business community is the importance of meeting consumer demand for convenience, flexibility, and choice; our customizable bill payment solutions can help companies deliver on these needs.”

An infographic featuring expanded survey statistics is available for download: http://payments.westernunion.com/mobilemindsetindex

Additional survey statistics include:

Gen Y Leads in Mobile Bill Payment Usage

Nearly one in three Gen Y respondents (31 percent), age 18-34, have paid a bill using a mobile device compared to 25 percent of Gen X respondents, age 32-52, and 11 percent of Baby Boomer respondents, age 48-68.

However, Gen Y May Surprise You:

  • 41 percent of Gen Y respondents, age 18-34, use three or more channels to pay their bills
  • 39 percent use three or more payment methods to pay their bills
  • 34 percent pay at least one monthly bill through the mail
  • 51 percent pay at least one monthly bill directly through the biller website
  • 39 percent pay at least one monthly bill through their bank or credit union website
  • 11 percent pay at least one monthly bill through a third party bill payment provider’s website

Western Union offers a comprehensive suite of customizable bill payment solutions for billers and their customers, including an electronic Speedpay® service and a walk-in offering available at nearly 47,000 Agent locations in the U.S. These solutions provide businesses with innovative payment channels like mobile and online, as well as electronic bill presentment and payment services. These comprehensive options provide businesses and their customers with choice and convenience, helping to streamline the bill payment process, and improve customer satisfaction. For more information, visit http://www.payments.westernunion.com.

About Western Union

The Western Union Company (NYSE: WU) is a leader in global payment services. Together with its Vigo, Orlandi Valuta, Pago Facil and Western Union Business Solutions branded payment services, Western Union provides consumers and businesses with fast, reliable and convenient ways to send and receive money around the world, to send payments and to purchase money orders. As of June 30, 2013, the Western Union, Vigo and Orlandi Valuta branded services were offered through a combined network of approximately 520,000 agent locations in 200 countries and territories and approximately 115,000 ATMs. In 2012, The Western Union Company completed 231 million consumer-to-consumer transactions worldwide, moving $79 billion of principal between consumers, and 432 million business payments. For more information, visit www.westernunion.com.

Survey Methodology: The Western Union® Bill Payments Money Mindset Index, conducted by Javelin Strategy & Research, has a margin of error of 1.76 percentage points and was conducted in March 2013 with 3,087 respondents. The random sample survey targeted online respondents based on representative proportions of geography, gender, age, income, and ethnicity as compared to the overall U.S. adult population.

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