The Digital delivery of banking products and services is already a reality.
Like it or not, your customers will compare their digital banking experience to shopping on Amazon, iTunes, eBay, Southwest Air, etc., and to their digital experiences with large banks that already have robust digital banking offerings.
Traditional banks can’t just push out mobile apps and capabilities to customers and call it a digital banking strategy. Customers expect a seamless integration of the entire online banking experience from initiation to fulfillment. If they are forced to drop off somewhere along the digital experience to print documents, call a representative, and/or visit a branch, you have lost the customer.
"Digital Banking" by Nikolay Spasov
The presentation was part of the 2016 Digital Marketing Masterclass organized by Interactive Advertising Bureau (IAB) Bulgaria and New Bulgarian University (NBU). The scope of the lecture is to present the current trends in banking and the available technologies that are supporting the industry.
Building the 10x better bank, by @joukpleiter & @jelmerdejong
Slides of the November 11, 2015 webinar 'Omni-channel banking & the digital transformation roadmap'.
In this webinar, Jouk Pleiter and Jelmer de Jong of Backbase will talk about building the 10-times-better bank.
The financial services market is going through many changes. New challengers have appeared and are looking for a slice of the market. In addition, customers are more demanding and more informed, expecting convenience and simplicity when it comes to financial services, particularly online and via mobile devices. People love digital services such as Netflix, Amazon, and Uber because they’re easy to use and deliver great customer experiences. They deliver 10 times more convenience and better customer experiences than the status quo, and are therefore winning the market. It’s only a matter of time before the 10-times-better bank is founded, a thought that's on the radar of every banker.
In this webinar, we outline the journey of creating the 10-times-better bank, providing a detailed analysis of how banks can begin their digital journey, with a strong focus on five main points:
1) new competitors in banking: the disrupters
2) customer experience: the key ingredients
3) omni-channel and the changing channel mix
4) mobile's impact on online sales and share of wallet
5) regaining control in the era of digitization
This analysis provides an overview of the top trends in the retail banking sector driven by the competition, digital transformation, and innovation led by retail banks exploring novel ways to create and retain value in evolving landscape.
COVID-19 caught banks off guard and shook legacy mindsets to the core. With 20/20 (2020) hindsight, firms are more aware, digitally resilient, and financially stable as they head into 2022. The trials of the past 18 months forced firms to shore up existing business and consider new models and revenue streams.
Customer-centricity remains at the top of most FS agendas and is a 2022 focal point. Banks will focus on achieving operational excellence as diligently as delivering superior CX. In 2022 and beyond, it will be paramount for FIs to explore and invest in new technologies to remain relevant and resilient.
Banking 4.X will arrive in full force in 2022 with platform-supported firms monetizing diverse ecosystem capabilities and aggressively harvesting data to create experiential customer journeys through intelligent and personalized engagements. The new era will compel future-focused banks to finally abandon legacy infrastructure and collaborate with third-party specialists to solidify their best-fit, long-term roles. Increasingly, open platforms will make banks invisible as banking becomes embedded into customer lifestyles. At the same time, banks will shed asset-heavy models and shift to the cloud for greater agility, speed to market, and faster innovation. The shift will act as a precursor to adopting new technologies on the horizon – 5G and Decentralized Finance.
The recent past was filled will extraordinary lessons for financial institutions. Now is the time to act on those learnings and move forward profitably.
"Digital Banking" by Nikolay Spasov
The presentation was part of the 2016 Digital Marketing Masterclass organized by Interactive Advertising Bureau (IAB) Bulgaria and New Bulgarian University (NBU). The scope of the lecture is to present the current trends in banking and the available technologies that are supporting the industry.
Building the 10x better bank, by @joukpleiter & @jelmerdejong
Slides of the November 11, 2015 webinar 'Omni-channel banking & the digital transformation roadmap'.
In this webinar, Jouk Pleiter and Jelmer de Jong of Backbase will talk about building the 10-times-better bank.
The financial services market is going through many changes. New challengers have appeared and are looking for a slice of the market. In addition, customers are more demanding and more informed, expecting convenience and simplicity when it comes to financial services, particularly online and via mobile devices. People love digital services such as Netflix, Amazon, and Uber because they’re easy to use and deliver great customer experiences. They deliver 10 times more convenience and better customer experiences than the status quo, and are therefore winning the market. It’s only a matter of time before the 10-times-better bank is founded, a thought that's on the radar of every banker.
In this webinar, we outline the journey of creating the 10-times-better bank, providing a detailed analysis of how banks can begin their digital journey, with a strong focus on five main points:
1) new competitors in banking: the disrupters
2) customer experience: the key ingredients
3) omni-channel and the changing channel mix
4) mobile's impact on online sales and share of wallet
5) regaining control in the era of digitization
This analysis provides an overview of the top trends in the retail banking sector driven by the competition, digital transformation, and innovation led by retail banks exploring novel ways to create and retain value in evolving landscape.
COVID-19 caught banks off guard and shook legacy mindsets to the core. With 20/20 (2020) hindsight, firms are more aware, digitally resilient, and financially stable as they head into 2022. The trials of the past 18 months forced firms to shore up existing business and consider new models and revenue streams.
Customer-centricity remains at the top of most FS agendas and is a 2022 focal point. Banks will focus on achieving operational excellence as diligently as delivering superior CX. In 2022 and beyond, it will be paramount for FIs to explore and invest in new technologies to remain relevant and resilient.
Banking 4.X will arrive in full force in 2022 with platform-supported firms monetizing diverse ecosystem capabilities and aggressively harvesting data to create experiential customer journeys through intelligent and personalized engagements. The new era will compel future-focused banks to finally abandon legacy infrastructure and collaborate with third-party specialists to solidify their best-fit, long-term roles. Increasingly, open platforms will make banks invisible as banking becomes embedded into customer lifestyles. At the same time, banks will shed asset-heavy models and shift to the cloud for greater agility, speed to market, and faster innovation. The shift will act as a precursor to adopting new technologies on the horizon – 5G and Decentralized Finance.
The recent past was filled will extraordinary lessons for financial institutions. Now is the time to act on those learnings and move forward profitably.
The Journey to Digital Transformation with Touch BankBackbase
The presentation of Andrei Kozliar, CEO of Touch Bank. In this webinar, Jouk Pleiter, CEO of Backbase, talks to two of the most innovative banks in Europe – Touch Bank and CheBanca!
Digital transformation is about fundamentally changing how banks attract, interact with and satisfy consumers, and it affects all levels of your organisation. Antonio and Andrei will share real-life examples of digital transformation in our new webinar, which will look at:
what was needed to start their digital transformation journeys
the key elements for success.
Antonio Fratta Pasini is Head of CRM and Omni-channel for CheBanca!, the retail bank of Mediobanca Group, the third largest financial services group in Italy. CheBanca! has always been at the forefront of innovation, from flagship futuristic branches to award-winning banking apps such as WOW!
Andrei Kozliar is CEO of Touch Bank, a neobank created by OTP Bank. Founded in 1949, OTP Bank is one of the largest independent financial service providers in Central and Eastern Europe, serving nine countries. Recognizing that today’s digital-savvy customers and emerging digital natives are going to be the fastest growing customer segment, OTP Bank decided to launch a new, digital- and mobile-only bank under the label Touch Bank.
This presentation covers my marketing experience in FinTech, including the challenges of FinTech, growth hacking, product marketing and messaging, acquisition and retention.
I have showcased the growth hacks using the following FinTech companies:
Intuit QuickBooks
GoCardless
Revolut
TransferWise
Azimo
Atom
N26
Etoro
MarketInvoice
How Banking as a Service Will Keep Banks Digitally Relevant and GrowingCognizant
To contend with insurgent competitors, regulatory mandates and demanding consumer requirements, banks must embrace open APIs that enable them to plug-and-play in the digital business ecosystem and reinforce their value proposition amid escalating share-of-wallet challenges.
Role of Financial Technology in Banking. This ppt describes the impact of Fintech in Banking and the new technologies that are disrupting the banking and financial services. This also includes the need for innovation in the banking sector. Fintech i.e. Financial technology plays an important role in the banking sector. Retail banking, financial technology, Fintech, innovations, Technologies, Imoact of Fintech in banking.
Wallet Factory platform is a constructor for a wide range of use cases:
- Launching digital banking for traditional banks and credit unions (white-label mobile and web apps and integration with banking core system);
- Enabling extra revenue sources for telecom operators, e.g. P2P, service catalogues, money transfers etc. (e-wallet processing and a mobile app);
- Setting up loyalty\payments system for retailers etc. (e-wallet processing and mobile app, alongside with the loyalty platform).
Today's customers are fundamentally different from customers of past years as they are harder to acquire, retain, and delight because of the explosion in digital technologies consumers use day to day. New digital experiences are forcing banks to play catch-up and match the innovative and engaging interactions and products — such as mobile payments — that non-banks are offering to those same customers. This IDC research, sponsored by TCS Digital Software & Solutions Group, revealed three key themes for digital transformation in the banking industry.
Diving deep into literally millions of interactions and conversations with different networks such as Facebook, Twitter and Instagram, blogs, forums and news sites in order to bring you analytical info about how social media affects different sectors like:Sharing Economy, Banking and Finance, Ecommerce, Telecom and Fintech.
The demand for embedded finance is rising and Banking as a Service (BaaS) with APIs and strong risk and compliance capability is offering bundled service, generally white-labeled or cobranded services for non banks to serve their customers.
Small Business Banking Segment StrategyCalvin Turner
Most banks believe they are committed to servicing Small Business customers. They develop products and services for this segment; they invest considerable amounts of time and money trying to improve their Small Business Bankers’ business development (i.e., sales) skills; and some may even create a line of business within the bank entitled “Business Banking” or “Small Business Banking.” But most of these efforts fail to produce the desired growth objectives because banks don’t really understand the needs of the small business customer
The Journey to Digital Transformation with Touch BankBackbase
The presentation of Andrei Kozliar, CEO of Touch Bank. In this webinar, Jouk Pleiter, CEO of Backbase, talks to two of the most innovative banks in Europe – Touch Bank and CheBanca!
Digital transformation is about fundamentally changing how banks attract, interact with and satisfy consumers, and it affects all levels of your organisation. Antonio and Andrei will share real-life examples of digital transformation in our new webinar, which will look at:
what was needed to start their digital transformation journeys
the key elements for success.
Antonio Fratta Pasini is Head of CRM and Omni-channel for CheBanca!, the retail bank of Mediobanca Group, the third largest financial services group in Italy. CheBanca! has always been at the forefront of innovation, from flagship futuristic branches to award-winning banking apps such as WOW!
Andrei Kozliar is CEO of Touch Bank, a neobank created by OTP Bank. Founded in 1949, OTP Bank is one of the largest independent financial service providers in Central and Eastern Europe, serving nine countries. Recognizing that today’s digital-savvy customers and emerging digital natives are going to be the fastest growing customer segment, OTP Bank decided to launch a new, digital- and mobile-only bank under the label Touch Bank.
This presentation covers my marketing experience in FinTech, including the challenges of FinTech, growth hacking, product marketing and messaging, acquisition and retention.
I have showcased the growth hacks using the following FinTech companies:
Intuit QuickBooks
GoCardless
Revolut
TransferWise
Azimo
Atom
N26
Etoro
MarketInvoice
How Banking as a Service Will Keep Banks Digitally Relevant and GrowingCognizant
To contend with insurgent competitors, regulatory mandates and demanding consumer requirements, banks must embrace open APIs that enable them to plug-and-play in the digital business ecosystem and reinforce their value proposition amid escalating share-of-wallet challenges.
Role of Financial Technology in Banking. This ppt describes the impact of Fintech in Banking and the new technologies that are disrupting the banking and financial services. This also includes the need for innovation in the banking sector. Fintech i.e. Financial technology plays an important role in the banking sector. Retail banking, financial technology, Fintech, innovations, Technologies, Imoact of Fintech in banking.
Wallet Factory platform is a constructor for a wide range of use cases:
- Launching digital banking for traditional banks and credit unions (white-label mobile and web apps and integration with banking core system);
- Enabling extra revenue sources for telecom operators, e.g. P2P, service catalogues, money transfers etc. (e-wallet processing and a mobile app);
- Setting up loyalty\payments system for retailers etc. (e-wallet processing and mobile app, alongside with the loyalty platform).
Today's customers are fundamentally different from customers of past years as they are harder to acquire, retain, and delight because of the explosion in digital technologies consumers use day to day. New digital experiences are forcing banks to play catch-up and match the innovative and engaging interactions and products — such as mobile payments — that non-banks are offering to those same customers. This IDC research, sponsored by TCS Digital Software & Solutions Group, revealed three key themes for digital transformation in the banking industry.
Diving deep into literally millions of interactions and conversations with different networks such as Facebook, Twitter and Instagram, blogs, forums and news sites in order to bring you analytical info about how social media affects different sectors like:Sharing Economy, Banking and Finance, Ecommerce, Telecom and Fintech.
The demand for embedded finance is rising and Banking as a Service (BaaS) with APIs and strong risk and compliance capability is offering bundled service, generally white-labeled or cobranded services for non banks to serve their customers.
Small Business Banking Segment StrategyCalvin Turner
Most banks believe they are committed to servicing Small Business customers. They develop products and services for this segment; they invest considerable amounts of time and money trying to improve their Small Business Bankers’ business development (i.e., sales) skills; and some may even create a line of business within the bank entitled “Business Banking” or “Small Business Banking.” But most of these efforts fail to produce the desired growth objectives because banks don’t really understand the needs of the small business customer
Sameer is a digital strategist focusing on removing friction across Banks, NBFCs, Fintechs and Software providers. He is working with Financial Institutions for establishing their digital strategy in alignment with business strategy. The digital strategy would generate value through increase in digital footprint / revenues / cross-sell. This would also reduce costs through productivity gains, automation and process realignment. Digital initiatives as part of strategy would include loan origination, Cross sell platform, Omnichannel platform, Analytics & AI, Mobility and Fintech tie-ups.
This deck is part of his open innovation approach. This can be used by anyone.
Customers Think About Money Differently today. Banks Must, Too.accenture
By acknowledging different “money mindsets” of today’s customers, banks can begin to revitalize their relationships and build the capabilities needed to thrive in the years ahead.
Backbase Webinar: The Adjacent Possible for Banks Backbase
Slides of the November 1, 2016 webinar 'The Adjacent Possible for Banks'.
Digitally platformed customer experiences are rewiring consumer expectations. To resist competition, banks need new perspectives and fresh thought processes.
Now, in 2016, we see every bank engaging with a series of fundamental challenges.
· How should they take best advantage of the digital revolution?
· How can they harness its power to improve their customer experience?
· What strategic directions should they choose?
We believe the best answers are contained in an approach called the Adjacent Possible. The Adjacent Possible provides a powerful conceptual framework for a bank’s digital strategy. So what is this framework? And how can it be applied? See the webinar or check out the slides for more info.
Our guest speaker on this topic is Nic Parmaksizian, an award-winning FS specialist with a record for delivering innovative digital experiences and customer journeys. Nic leads Capco Digital business across EMEA. Nic has spent more than 15 years in the Financial Services industry and has worked with the world’s most important banks. Nic is a founder at East London Ventures. Nic is also a founding member of the FinTech working group at Tech London Advocates. Nic is a mentor and advisor to various startups in Europe and the Americas, where he focuses on building lasting businesses fast, making the right connections, and facilitating investment opportunities.
mBank - the most design-driven digital bank in the world - NetFinance, Miami ...Nordea
Most recent update on mBank - the most design-driven digital bank in the world.
Deck presented at NetFinance in Miami in April 2014.
6 global innovation awards (Finovate, Efma, Bank Innovation 2014, Celent's Model Bank 2014). Coverage by Forrester Research, TechCrunch, Harvard Business Review, WSJ, American Banker and more...
Everyday Bank: A Journey to Digital TransformationBackbase
Accenture’s Senior Managing Director, Juan Pedro Moreno, shares the firm’s vision for banks in the digital age. During this free, one hour long webinar, Juan Pedro will highlight:
- How customer behavior has shaped a digital revolution for banks,
- How technology is blurring the boundaries that define customer service, and
- What threats and opportunities this emerging digital landscape presents for banks.
- Last but not least, he will go into the specific steps banks must take in order to become a successful Everyday Bank.
"Banks face a growing challenge from non-bank entities that are aggressively using digital innovations to take on functions traditionally part of banking. Think Amazon, which now offers loans to its merchants. Or the giant Alibaba, now the world’s largest payment provider. But banks have a huge competitive advantage in this digital world. With their vast digital data, payment know-how and deep understanding of compliance, security and financing, they are positioned to become an Everyday Bank, providing an unparalleled personalized customer experience that cannot be replicated by non-banks."
-- The Everyday Bank, Accenture.
Banking on Digital: Generating Value from Digital Investmentsaccenture
Customers now inhabit an “always-on,” connected world, and they demand seamless, digitally enabled experiences from all their providers. If banks fail to deliver, customers will go elsewhere.
Telecom Companies: Building Blocks for the Digital Revolutionaccenture
The telecom industry provides the building blocks – access, interconnectivity, and applications – to create the foundation for global digitization, a potential multi-trillion dollar upswing for the industry.
Find out if your company is prepared to embrace the digital revolution.
Digital Disconnect in Customer Engagementaccenture
The eleventh annual Accenture Global Consumer Pulse Survey measured the experiences of 24,489 customers in 33 countries and across 11 industries to assess consumer attitudes toward marketing, sales and customer service practices.
Our results show that even in the “digital age,” human interaction remains a vital component of customer satisfaction.
We surveyed 200+ employees in financial services. This is what we found... See results and suggestions that can help you improve your job at your bank or credit union.
Growing momentum for Disruption in FinTech:
Looking back and looking forward.
Recording of the Backbase webinar of December 18th, 2014.
In our 2014 closing webinar we will look back at the disruptive highlights of this year and we start looking forward to 2015.
From BBVA acquiring Simple, to more and more neo-banks popping up, fintech startups going IPO and omni-channel moving from marketing buzz to the real thing. In this 60 minute webinar, Backbase's Jouk Pleiter and Jelmer de Jong discuss the main trends and best practices for banks and credit unions to keep on disrupting in the digital banking space.
Overview of industry trends and insights of Fortune 500 companies and startups' activities in the FinTech space. We cover banking tech (security, crm, analytics), payments (pos, money transfer, commerce), cyber currency (blockchain, bitcoin, wallets, cryptocurrency exchanges), business finance (lending, crowdfunding), personal finance (lending, wealth management, mortgage, credit), and alternative cores (banking, insurance).
How to Become a Thought Leader in Your NicheLeslie Samuel
Are bloggers thought leaders? Here are some tips on how you can become one. Provide great value, put awesome content out there on a regular basis, and help others.
Cashing in on Mobile Payments with a Winning StrategyPerficient, Inc.
Is your organization ready to execute on new thinking in payments? Does your infrastructure accelerate time-to-market for new services? The boom in smart phone sales and mobile usage is changing the way consumers pay for products and gain access to new banking services.
Perficient will help you navigate these paradigm shifts and address the technologies reshaping the payments ecosystem that will drive your digital strategies. You'll learn about:
A holistic view of the payments value chain - banking and retail
A technical review of evolving payment architectures
How you can provide innovative service utilities for greater consumer adoption
Framework enablers to support rapidly growing transaction volumes
Adapting your existing payment models to support the omni-channel experience
Enhancing Customer Experience through Loan Origination System (1).pdfHabile Technologies
Guaranteeing a spectacular customer experience, CloudBankIN allows lenders to i) Automatically disburse loans within 2 minutes, ii) Disburse low ticket loans without any human intervention, iii) Capture the right user data and manage heavy-duty documentation with ease.
Market Gravity's top trends for Financial Services in 2015. We've worked on a range of FS propositions in the last few months and during this time we've uncovered some interesting trends and precedents featuring some of the world's biggest companies, as well as a range of disruptive starts ups.
We'd like to share some of our favorites to serve as some 'Finspiration' for 2015.
- Neobanks
- Digital Investment Platforms
- Enhanced Customer Experiences
- Security & Authentication Alternatives
- Youthful Banking
- Alternative Scoring Mechanisms
- Improving the Back End
- Banking with Wearables
For more information, please get in touch.
Digital Banking: Enhancing Customer Experience; Generating Long-Term Loyalty ...Cognizant
To stay profitable and grow in the new digital economy, banks need to adopt a customer-centric business model, diversify online delivery of products and services channels and begin making meaning from valuable trails of digital information.
Digital Banking: Enhancing Customer Experience; Generating Long-Term LoyaltyCognizant
To stay profitable and grow in the new digital economy, banks need to adopt a customer-centric business model, diversify online delivery of products and services channels, and begin making meaning from valuable trails of digital information.
2. Our Digital World
In today’s Digital World,
consumers expect to have an
interconnected experience
that allows them to use any
digital means to seamlessly
communicate, transact
business, connect with
friends, order products and
services, refill prescriptions,
order pizza and track the
status of the delivery online,
make investment decisions,
track package shipments, etc.
2Digital Banking Strategy Roadmap StrategicBanking Insights
3. Our Digital World
Not to be left behind,
even Children’s Board
Games are shifting
their business
strategies to conform
to the reality of a
rapidly changing Digital
world.
As a matter of fact, the
average 2-4 year old
child can use a
computer tablet
before they can tie
their shoes.
3Digital Banking Strategy Roadmap StrategicBanking Insights
4. Current State of Digital Banking
The Banking industry has
evolved to incorporate
Digital technology into its
business products, services,
processes, and operations.
A few, well-financed major
players, have led the way
with innovative Digital
banking options for
customers.
4Digital Banking Strategy Roadmap StrategicBanking Insights
5. What are the Digital Banking Leaders Offering?
5
Mobile Banking Description of Services Citibank
Bank of
America
Wells
Fargo
Capital
One
Chase
Deposit checks from anywhere √ √ √ √ √
View recent activity for your credit card accounts, including pending
transactions
√ √ √ √
Pay credit card bills and view payments √ √ √ √
Schedule and cancel future credit card payments √ √ √ √
View your available credit line √ √ √ √
Find ATMs & branches nearby √ √ √ √ √
Contact Customer Service 24/7 √ √ √ √ √
Check the balances in your linked accounts—checking, savings, credit card,
home equity or personal lines and loans, and mortgages
√ √ √ √ √
Pay virtually any person or business in the U.S and track payments √ √ √ √
See recent activity √ √ √ √ √
Transfer money between accounts √ √ √ √ √
Transfer money to friends with accounts at other banks √ √ √
Learn the minimum credit card payment due (and due date) √ √ √ √
Track rewards Points √ √ √ √
Schedule appointments with banking specialists √
Report lost or stolen cards √
Receive Cash Back deals on purchases √
Ability to make purchases with ApplePay √ √ √
View Credit Score Online √
Receive alerts of factors affecting credit score √
Digital Banking Strategy Roadmap StrategicBanking Insights
6. What are the Digital Banking Leaders Offering?
6
Mobile Text Banking Description of Services Citibank
Bank of
America
Wells
Fargo
Capital
One
Chase
View account balances √ √ √ √ √
Credit card payment details √ √
Recent transactions √ √ √ √ √
Additional transactions (up to 15) √ √ √ √
Nicknames for bank and credit card accounts √ √
Support—online or by phone √ √ √ √
View Reward Balances √
Find Branch and ATM Locations √
View Rewards Balances √
Overdraft Protection has been utilized √
Account balance is below/above targeted amount √ √
NSF fee has been charged to the account √ √
A Direct Deposit has been posted to the account √
Transfer money between accounts √
Changes to your personal information √
Digital Banking Strategy Roadmap StrategicBanking Insights
7. What are the Digital Banking Leaders Offering?
7
Tablet Banking Description of Services Citibank
Bank of
America
Wells
Fargo
Capital
One
Chase
Manage your accounts in a whole new way that's optimized for your
iPad® or Android tablet
√ √ √ √ √
Finances truly come to life with rich displays, charts, data and more. √
View account balances, check recent activity, make bill payments,
transfer funds or simply read up on personal finance and money
management.
√ √ √ √ √
Access to linked accounts and credit card accounts—check balances,
view recent activity, pay bills and more
√ √ √ √ √
A streamlined flow to quickly set up payments and transfers from
checking/savings, including payments to your credit card account
√ √ √
Interactive, graphic displays to help you visualize your current spending
and plan for your future
√
Easy tools and useful information to help you manage your personal
finances
√
Digital Banking Strategy Roadmap StrategicBanking Insights
8. What are the Digital Banking Leaders Offering?
8
Online Banking Description of Services Citibank
Bank of
America
Wells
Fargo
Capital
One
Chase
Live Online Chat Services √ √ √
Online Customer Survey √ √ √ √ √
Online Business Credit Card Application √ √ √ √
Online Consumer Credit Card Application √ √ √ √ √
Open checking and savings account online √ √ √ √ √
Apply for Personal Line of Credit Online √ √ √
Apply for Home Mortgage or HELOC online √ √ √ √ √
Person-to-person ability to send and receive money to individuals with
accounts at other banks
√ √ √ √
Small Business ability to make payments to vendors, employees, or anyone
else, and also send invoices to customers for payment
√ √
Transfer money between checking, savings, credit card, home equity line of
credit, installment loan, mortgage, or investment accounts. √ √ √
Transfer money to my accounts at other banks √ √ √ √
From a single site, you can set up budgets, get organized for tax season and
track spending in all your accounts, even at other financial institutions. Sign
into your all accounts dashboard for easy accounts access and comparison so
you never have to hop from site to site again.
√ √
Year-end credit card spending report summary √ √
Financial Management Software √ √
Enroll in Business Online Banking online √ √
Free Credit Score √
Digital Banking Strategy Roadmap StrategicBanking Insights
9. Traditional Banking Model for Delivery of
Products, Services, Marketing, Channels
Underlying Digital Technology
9
Commercial /
Treasury
Management
Retail / Small
Business
Trust / Wealth
Management
Mortgage Insurance
Digital Banking Strategy Roadmap StrategicBanking Insights
10. Convergence of Digital Products, Services,
Marketing, Channels, and Delivery
Digital
Banking
Delivery
Cards
ATMs
Internet
Payments
Mobile
Biometrics
Branch
Call
Center
Marketing
As Digital technology continues to
evolve, and as increasing numbers of
consumers embrace the digital
delivery of products and services as
the norm, we will continue to see
the convergence of the various
banking customer touchpoints.
Customers expect a seamless
integration of the Digital experience
from initiation to fulfillment.
As such, banks will need to re-think
their traditional stove-piped and
duplicative Digital delivery
strategies.
10Digital Banking Strategy Roadmap StrategicBanking Insights
11. Digital Banking Model for Delivery of
Products, Services, Marketing, Channels
Underlying Digital Technology
11
Commercial /
Treasury
Management
Retail / Small
Business
Trust / Wealth
Management
Mortgage Insurance
Digital Banking Strategy Roadmap StrategicBanking Insights
12. Traditional Banking Model Versus Digital Banking
Model for Digital Delivery of Banking Services
Traditional Banking Model
• The Bank Branch is the center
of the banking experience
• All interactions with customers
originate with a branch
experience
• Customer definition is confined
to branch footprint
• Digital delivery is layered on
top of branch system
• Duplicative products and
services offered through
various channels
• Inconsistent customer
experience across channels
Digital Banking Model
• The Customer is the center of the
banking experience
• Customers choose how they interact
with the bank. Some may never
enter a branch.
• Customer definition is not confined
to branch footprint
• Digital delivery is the centerpiece of
product & service offerings.
• Product and Service offerings are
tailored to the customer’s delivery
preferences
• Channels are non-existent, which
provides a consistent customer
experience
12Digital Banking Strategy Roadmap StrategicBanking Insights
13. Implications for Traditional Banks
• Most banks erroneously believe that implementing a Digital
strategy is simply continuing their traditional branch-based banking
strategy, but with a new focus on mobile enablement of some
banking functions.
• However, it is important to point out that a “mobile banking
strategy” is simply a component of an Enterprise Digital Banking
Strategy.
• This distinction is important, because banks that simply layer
mobile delivery on top of a traditional branch-focused delivery
strategy will not achieve the business results they expect.
• Further, whatever limitations the bank has in its current traditional
delivery of banking services will be replicated in its mobile banking
experience, and will not be tolerated by customers.
• And since customers’ digital delivery expectations have been
shaped by their experiences with Amazon, iTunes, eBay, etc., banks
that pursue such a mobile enablement approach will fail.
13Digital Banking Strategy Roadmap StrategicBanking Insights
14. Implications for Traditional Banks
• Traditional branch-based banks’ competitors are already providing
integrated Digital delivery of banking products and services.
• Banks that are just now focusing on enterprise digital banking
strategies are playing catch-up.
• Therefore, in order to achieve maximum competitive advantage,
The Traditional Bank’s Digital Banking Strategy will need to be a part
of its overall Business Strategy.
• This approach will require a complete re-thinking of the bank’s
business delivery model.
• Banks must also realize that non-banks have entered the digital
banking arena and are offering financial services to customers who
previously depended on banks for these offerings (digital payments,
financial management software, credit cards, loans, account
aggregation, ability to view accounts online, P2P payments, etc.).
14Digital Banking Strategy Roadmap StrategicBanking Insights
15. Implications for Traditional Banks
• In order to be successful, a bank’s Digital Banking Strategy will
need to be a direct outcome of the organization’s overall
corporate strategy.
• There will also need to be a recognition that the traditional
branch-based banking delivery model needs to be replaced by a
digital banking delivery model.
15
Corporate
Strategy
Business
Strategy
Enterprise
Digital
Strategy
Digital
Delivery of
Products
and
Services
Digital Banking Strategy Roadmap StrategicBanking Insights
16. The Bank Business Strategy will Drive the
Digital Banking Strategy
• Consumers expect end-to-end digital delivery of products and
services, from initiation to fulfillment.
• The Digital Banking Strategy will need to focus on enhancing the
customer experience to provide multiple options to interact and
transact business with the bank.
• Traditional branch-based banks will need to re-define who is a
“customer” because this will shape how the bank applies its
Digital Banking Strategy.
– In the new Digital age where, through the use of social media, banks
can “touch” individuals far outside of their branch footprint, a
“customer” should be considered as anyone who comes to your
website to “shop,” or who uses your ATM, or who cashes a check at
your bank, etc.
16Digital Banking Strategy Roadmap StrategicBanking Insights
17. Redefining the Customer
• If we re-define the customer as anyone who comes to your
website to “shop,” or who uses your ATM, or who cashes a check
at your bank, etc., rather than as defined in a traditional branch-
based banking model as someone who has an account with the
bank, then the digital banking customer experience will be
different than what it is today. Some points to consider:
– Can your bank’s “customers” – with no existing account – apply for a
credit card or open a new checking account online and receive immediate
notice of approval?
– Can your bank’s “customers” – with no existing account – apply for a
personal line of credit or auto loan online and receive immediate notice of
approval?
– Can your bank’s business customers – who have established checking
accounts with the bank – complete the enrollment for BOLB online?
17Digital Banking Strategy Roadmap StrategicBanking Insights
18. Digital Banking Strategy and Social Media
• 74% of online adults use social media, which has the potential to
provide up-to-date and inexpensive access to customers’
opinions about your bank, your competitors, the banking
industry, which products and services customers want, what
customers don’t like about their banking experiences, etc.
• But on a cautionary note, banks must be careful, because social
media today is still largely unregulated.
• Nevertheless, there are two main types of Social “media”, and
each presents different opportunities for banks in this space:
– Social Media – forums for advertising and pushing the organization’s
brand, products, services, reputation, etc.
– Social Networking – forums for connecting with consumers through a
digital format
18Digital Banking Strategy Roadmap StrategicBanking Insights
19. Social Networking and Social Media
• Social Networking – forums for connecting with individuals
through a digital format.
– In the digital age, many individuals spend more time connecting and
communicating with others via Social Networks (e.g., Facebook, Twitter,
Instagram, LinkedIn, etc.,) than they do in person.
– These social networks are primarily designed to make “connections” and
build relationships with other individuals, and to share ideas, opinions,
perspectives, etc.
– Banks should NOT try to use social networks as sales tools, because this is
not how customers view this medium. Rather, banks must view social
networks as a global “community relations” venue to foster and enhance
trust, visibility, and value in the organization to the digital community.
19Digital Banking Strategy Roadmap StrategicBanking Insights
20. Social Networking and Social Media
• Social Media – on the other hand, are forums to share
information with a broad audience as a media relations tool (e.g.,
YouTube). However, unlike traditional media relations formats,
the communications are two-way – individuals have the
opportunity to give their opinions about your brand, customer
service, policies, pricing, etc.
– Social media is a communication channel similar to newspaper,
magazines, radio, etc., and should be used to push the organization’s
brand, products, services, reputation, etc.
– Social media functions as a “truth in advertising” forum similar to an
online Better Business Bureau, because customers have the ability to
comment on the validity of whatever claims banks may make in this
space.
20Digital Banking Strategy Roadmap StrategicBanking Insights
21. Digital Messaging and Marketing
• In addition to Social Networks
and Social Media, Traditional
banks’ competitors are
gathering and analyzing
customers’ online search data to
understand their buying habits
and preferences.
21
• And through the use of Big Data gathered from partnerships
with Google, Bing, Bankrate.com, Lendingtree.com,
TrueCar.com, etc., these competitors are able to tailor
targeted offerings to customers – far outside of their branch
footprint – each time they engage the digital web whether
via mobile or computer.
Digital Banking Strategy Roadmap StrategicBanking Insights
22. Implications for Traditional Branch-Based Banks
• Since Traditional branch-based banks’ Competitors are
already providing integrated Digital delivery of banking
products and services, traditional banks will have to adopt a
digital banking strategy in order to survive.
• The challenge, then, for a traditional bank will be to
realistically evaluate its strategic options for going digital.
• There are basically three options:
– Pioneer/Innovator Approach
– Early Adopter Approach
– Late Adopter Approach
22Digital Banking Strategy Roadmap StrategicBanking Insights
23. • Pioneer/Innovator Approach
– Benefits:
• Set the standard by which others are compared
• Later entrants are compared – usually unfavorably – to the
pioneers
• Pioneers become the generic “brand” for the industry
– Downside:
• Extremely expensive strategy. Requires large infusions of
funding for R & D, customer focus groups, beta testing, etc.
• There will be some R & D efforts that will be discarded
because they are not accepted by the marketplace.
23Digital Banking Strategy Roadmap StrategicBanking Insights
Implications for Traditional Branch-Based Banks
24. • Early Adopter Approach
– Benefits:
• Close behind the Pioneers, they benefit from the research
and customers’ reactions to the early prototypes.
• Better able to utilize lessons learned to tweak products and
services for the next phase of delivery.
• Still able to get in on the early market acceptance of the new
technology (e.g., UPS began electronic tracking of packages
after Federal Express).
– Downside:
• Still a costly proposition, but not nearly as expensive as the
Pioneer approach.
24Digital Banking Strategy Roadmap StrategicBanking Insights
Implications for Traditional Branch-Based Banks
25. • Late Adopter Approach
– Benefits:
• Least costly strategy with minimal risk because the technology
already exists, and customers’ expectations are already
established.
• Not a bad strategy if you have a loyal customer base that will wait
around for you to offer what is already available from the pioneers
and early adopters.
• Can tweak the product based on historical data and experiences of
Pioneers, and create a successful niche that customers want.
– Downside:
• Always in “catch-up” mode.
• Customers who demand the latest technology will likely move on
to banks – and non-banks – with more progressive offerings.
25Digital Banking Strategy Roadmap StrategicBanking Insights
Implications for Traditional Branch-Based Banks
26. Future Trends in Digital Banking
26
• Chase Bank has already unveiled the next generation of ATMs which use a
mobile phone to authenticate the user.
• Banks are experimenting with allowing users to use their mobile devices
to send withdrawal messages to ATMs, and then dispense the money
when the customer drives through the ATM (like ordering movie tickets
online and then pick up at the theater).
• Expect to see more banks partner with new digital payments vendors such
as Apple, Samsung, and Google to offer these payment options to
merchants and customers.
• Facebook is poised to launch its new P2P payment feature that allows
individuals to send money to any friends on Facebook.
• Mobile banking applications for Small Businesses are already in various
stages of development and deployment.
• Virtual branches are being deployed with no live agents, and where
customers can access interactive video terminals and ATMs to speak to
live agents to withdraw money and handle various banking needs.
Digital Banking Strategy Roadmap StrategicBanking Insights
27. Choices for Traditional Branch-Based Banks
• The Digital delivery of banking products and services is already a
reality.
• Like it or not, your customers will compare their digital banking
experience to shopping on Amazon, iTunes, eBay, Southwest Air,
etc., and to their digital experiences with large banks that already
have robust digital banking offerings.
• Traditional banks can’t just push out mobile apps and capabilities to
customers and call it a digital banking strategy. Customers expect a
seamless integration of the entire online banking experience from
initiation to fulfillment. If they are forced to drop off somewhere
along the digital experience to print documents, call a
representative, and/or visit a branch, you have lost the customer.
• In the new digital world, banks will have to understand that
customers do business online 24/7, 365 days a year. As such, banks
will need to have 24/7 online chat capabilities and call centers
available to assist customers who encounter problems online.
27Digital Banking Strategy Roadmap StrategicBanking Insights
28. Choices for Traditional Branch-Based Banks
• Most traditional banks have some digital banking capabilities, but
they are not equal to what the major competitors offer, and they
are not effectively connected to an enterprise digital strategy that
offers a seamless customer experience consistent with the digital
marketplace.
• Traditional banks will need to re-think their current business models
and realign their traditional branch delivery systems around the
customer, rather than the branch, to realize the benefits of a true
enterprise digital banking strategy. This will be no small task,
because there will be stakeholders throughout the organization
who will resist such an effort.
• There is continued digital convergence across all banking customer
touchpoints and segments that must be considered in any digital
strategy. The implications are much broader than mobile
capabilities.
28Digital Banking Strategy Roadmap StrategicBanking Insights
29. Choices for Traditional Branch-Based Banks
• In order to transition to a successful digital banking strategy, top
leadership will have to embrace the organizational and cultural
changes that such an undertaking will require.
• There will need to be tight coordination, collaboration, and
engagement among stakeholders in all areas of the bank to guard
against a “stove piped” and “piecemeal” digital strategy
implementation.
• The traditional bank must decide whether it wants to be a Pioneer,
an Early Adopter, or a Late Adopter in the digital banking strategy
space.
• Traditional banks will need to partner with data accumulators and
aggregators to gain deep insights into customers’ needs, wants,
browsing histories, purchase patterns, etc., in order to tailor targeted
product and service offerings to satisfy these needs.
• Traditional banks will need to re-define “customers” in the new
digital age of social networking, social media, and digital advertising.
29Digital Banking Strategy Roadmap StrategicBanking Insights
30. Next Steps for The Traditional Branch-Based Bank
30
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Digital Banking Strategy Roadmap StrategicBanking Insights