[1mm Financial Talk] NewJeans, aespa, IU Battle Among Bank Idols... Fierce Competition in Banking Apps

[Asia Economy Reporter Buaeri] Banks are fiercely competing in banking apps by 'hosting idols.' Banks, which previously hired middle-aged men with a cautious image such as Yoo Jae-suk as models, are now experiencing a wave of change. Major banks selecting girl groups and others adored by the MZ generation (Millennials + Generation Z) as advertising models is a strategic move to gain a youthful image while also aiming to expand the monthly active users (MAU) of their mobile apps.

Shinhan Bank recently chose the trending group NewJeans as the model for its mobile banking app 'New SOL.' NewJeans is garnering intense attention both domestically and internationally, topping various music charts and appearing on the global charts of the US Billboard. They especially receive strong support from women in their 20s and 30s who proudly identify as 'unnie fans' and 'auntie fans.' Shinhan Bank explained the reason for selecting them: "NewJeans' image as a timeless icon like jeans loved by all ages aligns with SOL's rebirth as a financial icon that is faster, easier, and more convenient to use." Shinhan Bank also plans to hold an unpacking event for the new app 'New SOL' on the 20th.

KB Kookmin Bank has also selected the metaverse (extended virtual world) girl group aespa as its advertising model since last year. Aespa is an idol group with a metaverse worldview that includes virtual members in addition to real-world members. Kookmin Bank is putting full effort into capturing Generation Z by unveiling various digital content linked to aespa. Recently, they released a web drama titled 'Walking into the Wilderness,' borrowing aespa's worldview, and also held live broadcasts on the Gen Z financial platform 'Liiv Next.'

Woori Bank is seeing significant image improvement effects by selecting singer IU as a model, who appeals to both the MZ generation and older generations. The advertisement conceptualizing 'I (me)' and 'You' with IU being identified with Woori Bank received high praise in the industry when first released. The group campaign video featuring IU has surpassed 20 million cumulative views. Hana Bank, although not a girl group, has chosen actress Kim Yoo-jung, born in 1999, as a model to enhance its brand image.

As banks intensify their efforts, the growth trend of banking app MAUs continues. With branch offices shrinking and non-face-to-face services expanding, the number of app subscribers and app usage time are long-term issues connected to customer acquisition. According to the big data analysis solution Mobile Index, KakaoBank and KB Kookmin Bank's Star Banking are leading the banking app market. As of the end of September, KakaoBank's MAU stood at 12,922,361, maintaining its position as the leader among banking apps. KB Star Banking follows with 11,257,621 users. Toss also has an MAU of 13.49 million, but Toss's app integrates stock trading, simple payments, and Toss Bank services.

Shinhan Bank's app 'Shinhan SOL' recorded an MAU of 9,364,432 in September, an increase of 380,000 from the beginning of the year (8,984,061). Particularly, Woori Bank's Woori WON Banking is benefiting greatly from the IU effect. Woori WON Banking's MAU at the end of September was 6,661,159, up about 138,574 from the previous month (6,522,585). Woori Bank appointed singer IU as a model in April, and the number of users surged by over 1.48 million compared to the end of March (5,177,987). Hana Bank's 'Hana One Q' also saw an increase of 110,000 users from the previous month, reaching an MAU of 5,269,926.