Back to top

Analyst Blog

This page is temporarily not available.  Please check later as it should be available shortly. If you have any questions, please email customer support at support@zacks.com or call 800-767-3771 ext.  9339.

A rapid change is being witnessed in the ways of transferring money among consumers throughout the globe. The findings of the survey undertaken by the world's leading money transfer company, Western Union Co. (WU - Analyst Report) suggests this is true. 
 
The survey named Western Union Payments Money Mindset Index, reveals that consumers are shifting to online as well as mobile mode of payments.  In the U.S. alone, 39% of consumers said they would pay more bills online in 2013, while 12% were willing to pay more bills by mobile phone.  
 
Western Union is intent to grow its mobile payment channel of business (SMS, and mobile web, as well as walk-in, phone and online payment services), since it foresees tremendous growth in this line of money transfer service.
 
In case of an emergency payment, 14% of the consumers are eager to choose payment via mobile. Moreover, 25% express their intention to use less of the traditional mail service to pay bills.
 
The bill payment landscape is witnessing sweeping changes regarding the pattern in which the consumers are willing to make payments. Some of the payment options are 46.5% of bills paid via a biller, bank or credit union website; 20.2% of bills paid via mail; 19.6 of bills paid through automatic deduction or recurring payment; 8.7% of bills paid in-person at a walk-in location; 3% of bills are paid via a landline phone; and 2% of bills are paid via mobile phone. 
 
In order to keep pace with the fast changing trends in the money transfer industry, Western Union is aggressively embracing the use of new age technology for flawless service to customers. Mobile payments are gaining momentum due to convenience and round-the-clock accessibility. This service is expected to witness faster adoption rate than any other electronic channel. The company already operates mobile money transfer service around the world in countries such as Afghanistan, Bangladesh, El Salvador, Guatemala, Indonesia, Kenya, Madagascar, Malaysia, Paraguay, the Philippines, Tanzania, Uganda, Vietnam, and the U.S.
 
Another player from the same industry Moneygram International Inc. (MGI - Analyst Report) also offers mobile payment service.
 
Western Union currently retains a Zacks Rank #3 (Hold).
 
Other players providing financial services – Visa Inc. (V - Analyst Report), Fiserv, Inc. (FISV - Analyst Report) both with Zacks Rank #2 (Buy) are worth considering.

Please login to Zacks.com or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research

Close

Are you a new Zacks Member or a visitor to Zacks.com?

Top Zacks Features

Learn more

Start for as little as $4.50 per trade.

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Zacks.com. Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
RAMBUS INC RMBS 12.49 +5.94%
DIXIE GROUP DXYN 15.43 +5.11%
BOFL HOLDING BOFI 84.90 +4.48%
DAIMLER AG DDAIF 93.05 +2.98%
CELL THERAPE CTIC 3.08 +2.90%