Kiosk banking: A revolutionary new face of banking

Kiosk banking
INTRODUCTION
Traditionally, banking in India has been all about branches. Till a decade
back, it was hard to imagine that banking could be done from outside a
bank branch.
In the last decade, the Indian banking system has evolved to provide
several types of remote banking channels. The objective of all types of
remote banking is to provide extra convenience to customers and save
service cost to the bank.
The self-service culture is fast catching on in the banking space. The late
1980s saw the emergence of an ATM culture in India, which saw the
migration of 75-90% of banking transactions away from bank branches.
Over the past decade, customers have overcome their awe of entering a
closed-door, air-conditioned ATM outlet to perform personal banking
transactions such as cash withdrawals, balance enquiry.
With banks introducing newer services on ATMs like bill payments and
mobile top-ups, it is not surprising to see serpentine queues outside
ATMs. This has forced banks to devise methods of shifting non-cash
transactions out of ATMs into self-service kiosks, installed beside the
ATM machines.
The latest buzzword is that banks are contemplating introduction of
kiosks alongside ATMs that are tamper-proof and spill-proof, or are
enabled to perform activities like cheque truncation, internet banking and
printing of account balance statements.
T.Y.BCOM (banking & insurance)1

Kiosk banking
WHAT IS KIOSK?
The kiosk is a revolutionary new face of banking
A kiosk is a booth with an open window on one side. Some vendors
operate from kiosks, selling small, inexpensive consumables such as
newspapers, magazines, lighters, street maps, cigarettes, and confections.
An electronic kiosk (or computer kiosk) houses a computer terminal that
often employs custom kiosk software designed to function flawlessly
while preventing users from accessing system functions. Computerized
kiosks may store data locally, or retrieve it from a computer network .
Some computer kiosks provide a free, informational public service, while
others serve a commercial purpose. Touchscreens, trackballs, computer
keyboards, and pushbuttons are all typical input devices for interactive
computer kiosk.
A kiosk requires a simple user interface that can be used without training
or documentation, and the hardware must be capable of operating
unattended for long periods of time. Sources estimate that kiosks can help
achieve almost 90% transaction automation in retail banking. Kiosks can
perform all non-cash transactions like balance enquiry, internet banking,
printing of bank statements, demand drafts, fund transfers, utility bill
payments, cheque truncation and information display.
The company has developed educational content online for children in
local languages, which is available for a subscription of Rs 50 to Rs 100 a
month. A printer and software for desktop publishing ensures that you

Kiosk banking
can publish marriage or invitation cards or even a CV for a nominal Rs 10
to Rs 12 a piece.
And as PCs our loaded with Windows Media Player - many local kiosks
owners have converted themselves into mini movie halls - offering movie
shows at a nominal Rs 2-3 a show.
From railway reservation systems to insurance companies, from retail
outlets to e-governance, kiosks are now accepted as a medium of
information and have caught the fancy of users.
Kiosks can be used in the following areas
DIFFERENCE BETWEEN ATM AND KIOSK
T.Y.BCOM (banking & insurance)
Corporate / HR
Banking
Hospitality
Entertainment
Industrial
Education
Telecom
E government
Medicals
Retail
Hotels
Shopping malls
Museums
Town Halls
Cities and communities
Research facilities
Insurances
Public authorities
Commerce
Airports
Fueling stations
Media
Fairs
Estates
3

Kiosk banking
ATM :-
ATM's are unmanned banking
terminals where customers can
access their bank accounts. The
ATM/ debit cards are used at
ATM's. Customers need to slip in
their card & enter their unique
PIN number; post which they get
access to their account. They can
then withdraw or deposit money,
make bill payments, etc on their
account. After finishing the
transaction, a transaction slip is
generated confirming the
transaction done.
ATM banking has reduced the need
to carry regular cash as well as for emergency. It is an extremely safe
mode of remote banking as long as the PIN is unique & protected.

Kiosk banking
KIOSKS:-
This is the latest development on
the remote baking front, also
known as 'Touch-screen' banking.
A kiosk is a self- service banking
terminal that can be operated with
both credit & debit cards. The
Debit/credit card can be swiped at
against the card reader at the kiosk
and account accessed post entering
the ATM PIN. Currently, very few
banks like Citibank offer this
facility to their customers at select
ATM centers across the country.
Unlike an ATM, which is primarily used for cash transactions like
withdrawals, deposits, etc, a kiosk is primarily used for non-cash
transactions like cheque book request, printing bank account statements,
funds transfer etc.
The number of transactions a particular location is expected to be able to
support is key here along with the types of transactions required. An
ATM and a Kiosk can both easily perform the same non cash and non
deposit transactions however the real differentiators come down to how
much time/ input the transaction takes (Financial Kiosks have full
keyboards and document printers, ATMs generally don`t) and queuing
considerations (at an ATM, most people just want to get their cash and
go).

Kiosk banking
FUNCTIONS & FEATURES OF KIOSK
CHEQUE DEPOSIT
A unique feature of the banker is its cheque deposit capability. On
depositing a cheque at the kiosk, it issues an immediate receipt, with a
scanned image of the cheque, with every detail listed. The cheque is
endorsed at the back, while the transaction details are generated for the
bank’s MIS.
PERSONAL INQUIRIES
The bank allows you to check your account balance, print a mini
statement and make cheque book requests.
INTERNET BANKING
Connect to the internet and carry out transactions through E-banking,
with the help of bank. View details of your account and make
transactions online.
CUSTOMER TOOL SUPPORT
The provision of a web cam in the kiosk allows a personalized experience
where a help desk agent can be reached via video conferencing, to answer
any of your service related queries. Video hosts, financial calculators and
loyalty programs can also lead to improved customer utilization of your
services.

Kiosk banking
MARKETING TOOL
Bank can serve as your outdoor tool to gather first hand consumer info
through contests and surveys. The presence of such a kiosk at high traffic
areas increase visibility of your brand and services, leading to increased
exposure for your offerings.
MIS REPORTING
The data that is generated from the kiosk transaction are further used for
MIS reports and database creation. This leads to minimizing back-end
operations of the bank.
OPTIONAL FEATURES
A number of optional features can be enabled for the banks. These
options include bill payment. Advertisement streaming, customized
branding of the interface and vending of prepaid soft pins.
FEATURES OF KIOSK
MACHINE

Kiosk banking
There are many features in kiosk machine like:
• Touch and non-touch display
• Integrated full page thermal printer
• Barcode scanner
• Magnetic card reader
• Integrated speaker
• Video camera
• Key board with trackball
• Cash accepter
Hardware of kiosk machine
• Motherboard
• CPU
• RAM (128 MB to 512
MB)
• HDD 40 GB
• Sound card
• Operating system win XP,
win 2000, win 98
KIOSK AS A CRM TOOL AND BRAND PROMOTION
KIOSK AS CRM TOOL

Kiosk banking
With cutthroat competition in the banking sector, banks are increasingly
turning to technology in order to sustain their existing customer base. The
biggest advantage for banks is the burgeoning network of ATMs that has
already popularized the concept of using such devices. This has led to the
ready acceptance of the kiosk as an ideal information tool. Kiosks cannot
replace cash dispensers like ATMs, deploying a kiosk within or in the
vicinity of the branch can result in significant cost-savings for the bank.
“The cost of deploying a kiosk is almost one-fourth the cost of an ATM.
KIOSKS FOR BRAND PROMOTION
Though kiosks in the financial sector are largely used to cater to
information pertaining to customers, players have also paid special
consideration to the design and multimedia tools deployed in the kiosk.
For instance, the Birla Global Finance kiosk (designed to correspond with
the corporate’s colours and logo) serves as a means of brand
communication. As kiosks can be customised, a corporate can mould the
kiosk in the shape of its brand. One more reason why kiosks can be an
effective marketing tool for corporates.
Besides banking and finance companies, with an increasing emphasis on
providing top-class service to customers, even FMCG players are leaving
no stone unturned. For instance, Hindustan Lever is currently using an
eye-catching transportable kiosk in order to promote its dental care brand
‘Pepsodent.’ The concept involves two monitors. One monitor is used for
the touchscreen interface and the second monitor is used for larger
audience coverage, so at least ten children can witness the kiosk in action.

Kiosk banking
Multimedia kiosks generally cost around Rs 2-4 lakh and require about 3-
4 months for development (content and kiosk fabrication).
KIOSK ARE USED IN SOME OF THE BANKS.
ICICI BANK

Kiosk banking
ICICI Bank is teaming with Californian computer services firm Wyse
Technology and Bangalore IT consultancy Comat Technologies to
deliver electronic banking services to remote and isolated communities in
India.
The three firms will manage a project which is being introduced by an
international consortium of banks - including the World Bank -
technology firms, and local government departments.
They plan to establish Internet centers in around 5000 villages in
Karnataka that will provide the local population with electronic access to
financial services along with education, health care and legal services.
Each centre will house five to ten maintenance-free thin client terminals
and will be connected to the Internet by either land lines or satellite links.
The consortium plans to introduce Web centers to other rural areas across
the country following the pilot project in Karnataka.
Sriram Raghavan, president, Comat Technologies, says: "This is the first
time these communities will be able to access and interact with leading
private enterprises, such as ICICI Bank
Nachiket Mor, executive director, ICICI Bank, adds: "Internet based
channels are key to the delivery of financial services in rural India. ICICI
Bank has over 2000 rural Internet kiosks across India and we plan to
increase this number significantly to cater to people at all levels of
economic development."
ICICI Bank plans to cover over up to 200 districts in 2007. The bank has
decided to set up at least one touchpoint within every 3-5 kilometers of

Kiosk banking
rural and semi-urban areas. The touchpoint could be in the form of
branches at the district level, franchisees at the block level and kiosks at
the village level. The bank is planning to start at least 50 branches and
have at least 8-10 franchisees for every branch and an equal number of
kiosks against one franchisee. Apart from the vanilla liability and asset-
based products, ICICI Bank is now focussing on product areas such as
remittances, trade services and having a transaction support team in place
for its rural customers.
Going forward, The bank is also examining the possibility of putting in
place a helpline to address farming related queries, online agro-
commodity based information and live mandi prices through price tickers.
The channel is designed in a hub and spoke structure with full service
bank branches being the hubs and rural internet kiosks acting as the
spokes. Kiosks are owned and operated by rural entrepreneurs, thus
ensuring a high level of customer interaction. They also serve as a one-
stop shop for a wide range of services such as agricultural extension. The
bank has established over 3,000 kiosks across the country, including
Andhra Pradesh, Rajasthan, Tamil Nadu, Karnataka, Kerala,
Maharashtra, Gujarat and UP.
VISION FOR THE FUTURE OF THE ICICI WEB KIOSK
INITIATIVE.

Kiosk banking
Currently, five to seven middle managers, under the aegis of ICICI Bank
Executive Director Nachiket Mor, who also heads ICICI Bank's social
initiative group, are administering the ICICI web kiosk initiative.
Ultimately, these individuals hope that the web kiosk initiative will
become a separate business unit.
More broadly, these individuals believe that kiosks are harbingers of
social change. Their proliferation is about empowering the 742.4 million
Indian villagers by providing them with access to information and
markets, as well as the opportunity to reduce their dependence on
informal financial services like local moneylenders. Freeing poor
villagers in India from the shackles of dependence on outdated
information and costly intermediaries costly middlemen is the first step in
empowering them to ascend from below the poverty line to a better life.
GROWTH
To increase the number of customers in rural areas, ICICI increased the
number of kiosks through which villagers can access its financial
services. Thus, in conjunction with n-Logue and Drishtee, ICICI was
operating 500 kiosks by the end of 2005 and then 1500 by the end of
2006. It also plans to begin doubling the number of kiosks every year for
the next three to five years, beginning in three to six months.
STATE BANK OF INDIA

Kiosk banking
THE rural Internet kiosk concept appears to be picking up with bankers
moving forward by extending financial assistance for setting up such
kiosks.
Fifty rural Internet kiosks are to be opened at Paruvachi village in
Bhavani taluk on Tuesday. The entire proposal is being financially
assisted by state bank of India.
Speaking to Business Line, the bank's Deputy General Manager, Mr. W.
Chanti Babu, said that some of the interior villages had the facility of the
kiosk and the villagers were able to establish a link with the outside
world. "Some of our branches in the interior villages send the weekly
update via the Net, as these areas cannot be reached even on mobile
phones. The branch heads forward the details through the rural Internet
kiosk," he added.
The loan for establishing such kiosk is emerging as a focus area at
present.
Our Bureau
Banks like HDFC bank have developed self-service kiosks in their
premises to inform customers of their offerings.
Banks like Citibank and IDBI Bank have already installed kiosks within
their ATM outlets. Citibank kiosks offer customers the facilities of
balance enquiry, fund transfers and statement printing. IDBI Bank has
kiosks called ATM Next, where the ATMs are connected to the bank’s

Kiosk banking
website and customers can avail of information on interest rates and loan
products.
IDBI BANK
IDBI Bank is to increase its information technology expenditure to Rs.
40-45 crore from the Rs 25 crore outlay of the previous fiscal to facilitate
rolling out its new e-initiatives.
"The expenditure for IT will be increased by 60 to 80 per cent as part of
our plans to set up a centralised call centre, implement customer relation
management (CRM) solutions and provide a 'single sign-up password' to
customers.
The bank is also in talks with certain other banks and its technology
partner Euronet Worldwide for an ATM kiosk sharing deal, which is also
expected to be signed this year, the chief technology officer said.
This would help the bank, which has 260 ATMs with an average of 200
transactions per ATM everyday, to extend its presence in the country.

Kiosk banking
GROWTH OF KIOSK
SCENARIO IN INDIA:
Information technology has the potential to address the unmet needs of
Indian villagers, from education to market access, from telecom to
healthcare, from financial intermediation to entertainment. Nasscom, the
trade group for India’s software houses, estimates that there are hundreds
of programs across India that focus on creating low-cost digital solutions
to the problems of the poor. Many of such programs are private
initiatives. Nasscom President Kiran Karnik views IT as a “bridge
between rapidly growing new India and the lagging old India.” Computer
kiosks are the building blocks of this bridge. These kiosks represent a
paradigm shift in the delivery of services to rural India by serving
villagers directly instead of via intermediaries.
7,000 such kiosks, consisting of one or two personal computers linked to
the internet by satellite, phone, or wireless link; already exist. With a
weekly growth rate in excess of 100 new kiosks, by 2007, there could be
as many as 300,000.India’s robust fiber-optic network, sufficiently well-
developed to provide wireless coverage for up to 85% of the country, is
facilitating this rapid growth rate. Moreover, the increasing prevalence of
such kiosks is already helping to bridge the particularly wide digital
divide in India.
Apart from government sectors, the maximum potential for the usage of
kiosks lie in sectors like banking. “The market till now was biased
towards kiosks purely used for information purposes but now
transactional kiosks are slowly catching up. The total Indian market size
for kiosks is estimated at $13-14 million (Rs 62-67 crore) in 2002.”

Kiosk banking
Sources estimate that the kiosks market holds good potential with the
figure being reckoned as Rs 300 crore.
The kiosk market is currently growing at a rate of 18-20
percent, largely driven by the banking and financial sector Kiosk as a CRM
tool.
In Bangalore to collect monthly pension of Rs 125, people travel 13 km
from village Kadadakatte to taluk headquarters Bhadravathi, spending Rs
30 and using up the whole day.
Soon, they will have a kiosk which will allow them to withdraw the
amount under 10 minutes. Thanks to Nemmadi, a Karnataka government
egovernance initiative, this certainly would give peace of mind to
villagers.
Kiosks will offer 39 different citizen-centric services, ranging from
pension, caste certificate, death/birth certificate, land documents to utility
payments.
The state government has a mandate of setting up 800 e-kiosks in rural
areas by January 31, 2007. Each of these kiosks will cover a population
of a lakh.
The number of kiosks would later be increased to 5,000, so that there is
one for every 10,000 to 20,000 people. By October 1, 25 pilot kiosks will
be up and running.
The project has an outlay of Rs 30 crore and will be executed through a
public-private initiative. 3i Infotech, the IT arm of ICICI, is the key

Kiosk banking
technology and networking partner.
"The government will be the facilitator, while private players will bring
in infrastructure and investments,"said Rajeev Chawla, secretary, e-
governance
From the above chart we can understand that only 7.6% of kiosks are
installed for the banks and financial services. So we can say that kiosk is
more used in other sectors like in Retail, Food services, Hospitality etc.

Kiosk banking
FUTURE OF KIOSKS IN INDIA
Though rapid growth in the kiosk market will primarily be driven by the
banking sector, other sectors like retail and tourism are likely to adopt a
more gradual approach. But in any case, the concept of kiosks is all set to
go the ATM way—explosive growth in numbers and usage.
There are many banks who are going to introduce kiosk in there banks
premises very soon, as kiosk is becoming day to day need and very soon
Punjab national bank, Abgudaya bank and many other banks are going to
start kiosk service.
7,000 such kiosks, consisting of one or two personal computers linked to
the internet by satellite, phone, or wireless link; already exist. With a
weekly growth rate in excess of 100 new kiosks, by 2007, there could be
as many as 300,000.
In ruler area people will not face any problem in interacting with banks,
soon there will be kiosk machines of banks in each and every village and
they don’t have to travel long to get there pension or to with draw money
from banks or to pay there life insurance premium.

Kiosk banking
WORLD WIDE SCENARIO:
With over 1.2 million ATM's installed around the globe, the lowly non-
cash/ATM financial kiosk rests in shadows. Nevertheless, financial
institutions continue to look towards interactive kiosks to provide a
growing list of services, and why not? Many are finding the interactive
kiosk to be a powerful and low cost delivery tool in an increasingly
competitive landscape. Self-service kiosks provide the link between
meeting with your old banker friend, and an integrated retail delivery and
customer relationship management (CRM) strategy so important to the
progressive financier.
The industry association Kiosks.org has estimated that financial related
self-service kiosks comprise at least 10% of the self-service market, and
expected growth figures for the next few years are close to 40%. With a
buzz of uncertainty surrounding the future of financial kiosks, we set out
to look for "what's to come" in the world of financial kiosks.
Spearheading a new generation of financial service kiosks is Charlotte,
NC- based kiosk provider Source Technologies. Over the past several
years the company has risen through the ranks of the kiosk world with the
development of a proprietary line of kiosks offering everything from bill
payments services for the unbanked, to a kiosk system that has over
fifteen non-cash transaction capabilities. Nearly 50% of our business is
now dedicated to the financial kiosk area the market for conducting self-
service financial transactions is growing significantly
The new Financial Kiosk Terminal Source Technologies has developed is
the mother of the all-in-one kiosk. Their ST-3200 Walk-up unit features

Kiosk banking
the ability to do standard ATM transactions, plus: check cashing, money
transfers, cash deposits, check printing, money orders, statement printing,
couponing, and ticketing. The ST-3200, from a hardware standpoint,
features a 15" touch screen (optional 21") and many other options
such as MPEG full motion video, voice and audio capabilities, a
digital camera, and
even a phone center.
HIGH-TECH KIOSKS IN HIGH-TECH LANDS
Touch screen kiosks are a common sight abroad. In fact, the absence of a
kiosk in important public places is an inconvenience of sorts out there.
Retail chains and banks widely use kiosks not only for customer
convenience but also to conduct important market surveys. The world’s
leading financial centres like Wall Street and London Stock Exchange
also use touch screen systems.
Kodak has placed more than 35,000 Picture Maker kiosks worldwide,
with over 22,000 in the United States and Canada and 6,000 in Europe,
Africa and the Middle East region.

Kiosk banking
World wide kiosk is growing very fast with in a few years kiosk has
captured a market as showed in a chart the growth rate is very
high. Every day some or other company is introducing the
kiosk machine so it is increasing day by day.
Healthnotes Inc. (HNI) is the premier provider of credible, easy-to-use
health and lifestyle information for Web site and in-store touchscreen
kiosk initiatives. More than 6,500 supermarkets, pharmacies, and natural
product stores in the United States, Canada, and the United Kingdom use
Healthnotes Retail Solutions to improve customer service, build loyalty,
and increase sales. HNI also generates behind-the-counter applications
that are licensed to e-commerce and health-related Internet sites
worldwide.

Kiosk banking
Healthnotes branded the new kiosk the EasyAnswers Touch screen and
will sell it to retailers bundled with its kiosk software products,
Healthnotes Healthy Living and Healthnotes Pharmacy.
Pennsylvania-based Clemens Family Markets is the first store to make
the EasyAnswers Touch screen available for its shoppers, incorporating
the new kiosk in 20 of its 21 suburban Philadelphia locations.

Kiosk banking
CHEQUE TRANSACTION
With the RBI preparing to run the
pilot project on cheque truncation
in the National Capital Region,
banks are now gearing up to put up
kiosks that can conduct both front
and rear scanning of cheques and
also read the Magnetic Ink
Character Recognition (MICR)
number. Cheque truncation doesn’t
aim at eliminating the physical
cheque. Kiosks would only capture
the image of the dropped cheque
and send it for clearing to the nodal
office.
After verifying the position of funds in the account, the amount would
be credited to the depositor’s account. Such kiosks would cost banks
around Rs 5-6 lakh each. This could speed up the procedure of clearing
cheques. Currently, customers enjoy the facility of dropping the
physical cheques into drop-boxes at ATMs, which are then picked up by
the bank’s personnel and deposited at branch.

Kiosk banking
POSTAL KIOSKS
Banks and service providers are in talks with the department of posts &
telegraph and courier companies like DHL and Fedex to install kiosks
enabled to perform postal transactions. Currently, a PSU bank and a
couple of private banks are invading this space to launch either co-
branded (between the bank and post office) or bank-branded kiosks at
outlets like post offices and courier centres. As against the normal cost of
up to Rs 5 lakh, postal kiosks would cost banks a little above Rs 7 lakh.
The bank is keen to enter into the postal kiosk space primarily because
post offices are located in prime locations across the country, which
would boost the bank’s geographical presence.
“Primarily, such a kiosk would dispense stamp leaflets after weighing the
parcel and calculating the exact value of stamps that require to be
attached for mailing the specified parcel. It would then ask the customer
for his preferred mode of payment and he can then swipe his credit or
debit card on the attached EDC machine to render the charges,” said AGS
Infotech’s president and CEO, Sunil Udupa. Kiosks could also release
stamps on demand and provide franking facilities and will hit the market.

Kiosk banking
SIT-DOWN KIOSKS
Statistics prove that customers perform less than 1% of transactions
through internet banking as a large population of banking
customers doesn’t have access to internet facilities at home.
Hence, banks have rolled out sit-down kiosks that provide
customers the facility of internet banking and printing of
account statements covering transactions over past three
months within these outlets.
Normally, customers have to either call the customer care
representatives of banks or visit the branch for a copy of the
statements. Also, an additional fee is charged by banks for
issuing these statements, say Rs 100 per page at the branch,
and Rs 75, if requested through the call centre. Printing of
statements at kiosks would require customers to pay nominal
amounts, say about Rs.15-20.

Kiosk banking
LASER TOUCH
Banking today is more customers centric and is evolving to exploit all
customer interactive channels. ATM, Kiosk Banking and Internet
Banking are just the beginning of an era in interactive banking.
Customers are today more discerning than ever before. They want a wide
variety of services tailored to their needs, with flexibility in service and
24hours access.
Laser Touch - the kiosk banking software is an answer to customer
interactive banking.
Kiosks let you transact with your customers wherever they are, anytime,
at their convenience.
Laser Touch Kiosk Banking software operates through a touch screen
based kiosk placed in the lobby of the bank, shopping malls and off-site
market locations. Kiosks will be connected to the Kiosk Server located at
the Data Center. Kiosk Server will be interfaced to the Banks Core
System for providing online real time services to its customers such as
Balance Enquiry, Statement Printing, Stop Payments, Standing
Instructions etc. It is fully customizable to integrate with any core
automation software currently used by the bank. It can also facilitate
printing of statements, information and tokens. It can be connected to the
branch through leased telephone lines and provide online information and
services by accessing data from the branch's computer systems.

Kiosk banking
Laser Touch reduces transaction time and provides privacy to the
customer's operations. Customers desiring to use the kiosk have to
register with the bank for a PIN (Personal Identification Number), which
is a password for accessing account information and bank's services
thought he kiosk. Laser Touch has all the security features required to
prevent unauthorized access to the system's resources. The software can
provide valuable customer preferences data to upgrade products and
services in the future.

Kiosk banking
ADVANTAGES OF KIOSK
1. Migrated customers from teller-based transactions to on-line
banking to reduce costs.
2. Enhance customer satisfaction by providing needed Web-based
services in the branch office.
3. Increase revenue and "share of wallet" by offering additional
products and services via cross-sell and up-sell opportunities.
4. Acquire new customers via sign-up/opening an account.
5. Educate new and existing customers about service & product
offering.
6. Initiate and provide rewards in the form of loyalty.
7. Provide service 24 hours a day, 7 days a week, in centralized
locations.
8. Learn more about customer preferences by collecting vital data.
9. Provide additional training and educational services to employees.
10.Bridge language barriers with non-English speaking customers.
KIOSK- THE BUSINESS MODEL
Government schemes for unemployed youth, such as Pradhan Mantri
Rozjara Yojana, the Prime Minister’s Employment Scheme, help kiosk
operators obtain the subsidized, unsecured Rs. 53,000 loan required to
purchase an n-Logue kiosk. Kiosk operators must repay these loans with
Rs. 2,000 monthly installment payments. Meanwhile, internet access
costs Rs. 1200 per month; n-Logue forgoes revenues from internet
connections during the first six months of operations to allow kiosk
operators to keep costs low
TY.BCOM (banking & insurance)29

Kiosk banking
while they grow volumes. Therefore, kiosks are theoretically viable with
Rp. 3200 per month in revenue. However, the cost of electricity, paper,
inks, printing, and potentially furniture, such as tables and chairs, can
drive the monthly costs as high as Rp. 4000 per month.
Kiosks begin to break even, in terms of variable costs, at roughly fifteen
transactions per day. However, it typically takes six to nine months for
transaction volumes of new kiosks in rural areas to reach twenty to thirty
transactions per day, the volumes at which kiosks begin to break even in
terms of total costs.

Kiosk banking
KIOSKS - THE NEXT STEP IN SELF-SERVICE
BANKING
That is the buzz around many of the financial institutions in the
country. Not too many years ago, before the advent of the web and the
numerous other technologies that have spawned from it, touch screen
kiosks were typically confined to metropolitan areas. These wooden
boxes of yesteryear were cutting edge for their time and provided a
service that many museums, rest stops, and corporate receptions areas
found useful. The problem was, without an easy means of updating the
content or monitoring the kiosks to insure constant up-time and
reliability, that many people saw kiosks with blank screens or outdated
content that lacked the intuitive interactivity offered in kiosks today.
That was then, this is now. Kiosks have taken on an incredibly
different purpose and have the technology to back it up. Not too
different from the fledgling days of ATMs, kiosks got off to a slow
start. We all know the amount of control ATMs have over our
everyday life now, but did we know it 20 years ago? Better yet, have
we realized that kiosks are simply the next step in the same premise
that got ATMs started so many years ago.
The case for banking kiosks can be best summed up into one word…
MORE.
By utilizing kiosks in bank branches or even non-traditional locations
such as malls or grocery stores, banks can increase their customer base
as well as increase the level of service they offer existing clients. By

Kiosk banking
utilizing kiosks in branches, tedious tasks that eat away at a bank
teller's time can be farmed out to the touch screen kiosk. Now without
a wait or a fee, customers can print out statements, transfer funds, pay
bills, and more from the interactive banking applications running on
the kiosk.
As many banks have learned, generating non-interest revenue is not an
easy task. Banking software companies such as Goldleaf
Technologies, Inc. have proven the model and now offer kiosks as an
extension of their variety of services.
The pervasive myth was "build it and they will come", but after the
dust settled the larger picture was how to get customers to sign up for
the wiz-bang services that were now available. Kiosks are leveraging
the bank's investment in online services by utilizing the bank services
available online. Now instead of telling a customer it is out there and
they must find it and use it, banks are able to personally introduce
their customers to their online services. Bank tellers can now spend
ten minutes demonstrating the kiosk to a customer, and rest assured
that the bank will never have to print out another statement, again.
The trick is getting the customers signed up in the first place. One
prime example was Franklin National Bank in Tennessee. After the
first four months of their four kiosk pilot test, the number of eBanking
customers grew 72%. This is the type of thing that has created the
buzz in the eBanking world. Banks are now learning to enhance their
overall Internet investment with the single most important advertising
medium.

Kiosk banking
Banking convenience, non-interest generated revenue, increased
carrying capacity, customer retention, and the list goes on and on.
Whatever the reason, banking kiosks are here to stay.

Kiosk banking
WORKING OF KIOSK BANKING
Disclosed herein is a dedicated Internet banking kiosk system, in which a
plurality of group of kiosk devices are connected to an bank host
computer, which are installed in bank branches, respectively, using on-
line authentication key, thus being capable of performing bank tasks, and
a method of providing Internet banking service using the dedicated
Internet banking kiosk system. The dedicated Internet banking kiosk
system is configured in such a way that an authentication key issued by a
bank is stored on a portable recording medium, a customer, having visited
the bank, inserts the recording medium into a kiosk device so as to
conduct the procedure of authentication, and only an authentication
customer conducts all banking tasks. Furthermore, the dedicated Internet
banking kiosk system is used as a device for displaying a variety of
guidance information or advertisement information for bank when the
system is in a standby state in which no Internet banking users are
present, and is used as a dedicated Internet banking kiosk system in an
operating state.

Kiosk banking
Monitor and maintain qualities of services, multi-lingual content, and
both Drishtee and Microsoft software
TY.BCOM (banking & insurance)
BANK HOST
COMPUTER
KIOSK KIOSKKIOSK
BANK HOST
COMPUTER
BANK HOST
COMPUTER
35
MAIN BRANCH
KIOSK KIOSK
CUSTOMER’S ARE OPERATING THE INTERNET KIOSK MACHINE
KIOSK

Kiosk banking
Monitor and maintain qualities of services, multi-lingual content, and
both Drishtee and Microsoft software

Kiosk banking
Drishtee offers a combination of rural and semi-urban kiosks, which it
places in village council buildings, near major bus stops, and in bazaars
(marketplaces). Each kiosk serves about 25 to 50 villages, or 20,000 to
30,000 people. To break-even, kiosks need at least 2,500 customers, or
approximately 10% penetration of the populations of areas that it enters.
CASE STUDY :- SWEET GAINS FOR SUGARCANE FARMERS
Warana Nagar, situated about 35 kms from Kolhapur (Maharashtra), has
prospered by virtue of the co-operative sugarcane factory in the region.
The Warana Co-operative Society carried out a project of
deploying 54 village information kiosks that have successfully
streamlined the production process of sugarcane there. The project has
helped farmers save time and money spent on administrative transactions.
The co-operative society pays farmers for their crops in four installments,
which are credited directly to their bank accounts. The farmers visit the
kiosks to obtain the payment slips and determine the status of their bank
accounts. In addition, farmers can purchase fertilizer at depots located
next to the kiosks, paying cash or on credit. If they buy using credit, they
get a receipt for their purchase at the kiosk. Money spent on transport of
the crop to the sugar factory and the harvesters’ bill is also entered in the
system. This project is said to have brought savings of about $750,000
(Rs 3.6 crore) to the co-operative. The estimated cost of the project was
$600,000 (Rs 2.88 crore)

Kiosk banking
SURVEY REPORT ANALYSIS
The survey was done on 31st
august 2007 on awareness of kiosk banking
and it was a customer survey, I had done Analysis on that survey, it is as
follow:
1. Do you know what kiosk banking is?
There are 18% of people who are not at all aware of kiosk banking, they
want to know about kiosk banking and remaining 82% are aware of kiosk
banking, so we can say the kiosk banking is getting popular day by day.
2. Kiosk and ATM are same?
YES
8%
NO
92%
YES
NO
YES
82%
NO
18%
YES
NO
38

Kiosk banking
There are 8% of the people who think that kiosk and ATM are same as
they are not aware that ATM provide cash transaction, mini statement,
cash deposit but kiosk provide non-cash transaction like transfer money
to other account, cheque request, statement etc. but 92% of people think
that there is some difference between ATM & kiosk.
3. Do you know which bank provide kiosk service?
As kiosk banking is not more famous in India people are not more
aware of the banks those who provide kiosk banking there are 12%
who says the IDBI banks provide kiosk service, 26% of people says
that Citibank provides kiosk service, and there are 34% of people who
says that ICICI bank provide kiosk service, and 28% of people are
aware that all this banks provide kiosk service.
CITIBANK
26%
IDBI
BANK
12%ICICI
BANK
34%
ALL
28%
CITIBANK
IDBI BANK
ICICI BANK
ALL
39

Kiosk banking
4. Have you ever used kiosk machine?
There are 57% of the people who have not used kiosk machine and
there are 43% of people who has used kiosk machine, those who have
used kiosk machine say that every bank should provide kiosk service
because it is easy to use and people can get more facilities.
5. Which one is better?
ATM
50%
KIOSK
50%
KIOSK
ATM
NO
57%
YES
43%
YES
NO
40

Kiosk banking
Kiosk and ATM both are very use full to people, both are better as per
the requirement of the customer. ATM is use full for the person who
do not transact more with bank and who need cash money every time.
And kiosk machine are use full to the person who transact more with
bank because it does not provide cash transaction and does the
payment with card are by cheque. But people think that new
technologies should be welcome for the betterment of the banking
sector. Kiosk are easy to use and they are faster then ATM and
provide many services.
People also say that kiosk machine should be installed at every
railway station so that the customer can get full benefit of service.
In future kiosk banking should gain more importance.

Kiosk banking
CONCLUSION
Finally I would like to conclude that kiosk banking is a very new
invention in banking sector which use full every ware and in large
volume like in Corporate / HR, Banking, Hospitality, Entertainment,
Education, Telecom, E government, Medicals, Retail, Hotels, Shopping
malls, Museums, Town Halls, Cities and communities, Research
facilities, Insurances, Public authorities, Commerce, Airports, Fueling
stations, Media. As it is new technology in banking sector we should
welcome it for betterment of banking sector. In India kiosk banking is
developing in rural areas where people are very much satisfied with it. It
is up coming trend in India kiosk banking well gain more importance in
future.
In a global economy with distributed workforces, kiosks can also help
companies to better serve the needs of a different type of customer – their
valued employee. Where there are large numbers of employees at satellite
sites without access to PCs, kiosks can help to extend employee self-
service from the desktop to the factory floor. The result equal access to
HR information for all enhanced employee satisfaction and substantially
lowers HR costs.
Kiosks are proving their value by producing a powerful return on
investment for all variety of organizations.

Kiosk banking
BIBLIOGRAPHY
www.Netkey.com
www.qualitynet.net
www.touchscreen-kiosk.com
www.drishtee.com/nd/content/c2.asp
www.google.co
www.yahoo.com
www.rediff.com
www.timesofindia.com
www.economictimes.com

Kiosk banking: A revolutionary new face of banking

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