This document discusses options for Nedbank to increase electronic statement delivery to clients. Currently 75,000 clients opt into e-statements per year, but 180,000 client accounts should receive e-statements according to regulations. Becoming a full internet service provider would allow Nedbank to deliver e-statements via email directly, but would require significant investment. Alternatively, Nedbank could leverage existing digital channels like secure inbox and internet banking to enable clients to access statements electronically in a more cost-effective manner. The recommendation is for Nedbank to use existing digital channels rather than becoming an internet service provider.

1. Client
How do clients currently get
them
Current market dynamics How would we enable this?
PAPER
ELECTRONIC
Other banking alternatives
Personal financial
management tool
Secure Inbox facilities
Delivered A4
statement
Print statements from existing digital
channels
MMS
E-mailed e-statements to
existing e-mail which can be
either work or personal e-mail
Better financially fit clients
decreases bad debts.
Cost effective compliance in giving
NCA clients statements.
I can better manage my finances
better
Benefits
Nedbank e-statement delivery
There are over 8 million people online in South Africa, and
more than 99% of them use email.
Of these people:
98% check their email at least once a day
93% use email to share content online
86% subscribe to at least one permission-based email
newsletter.
75000 on average opt in to e-statements per year.
There are 180 000 accounts year to date who
should have e-statements as per NCA.
EXTERNAL E-MAIL MARKET
NEDBANK MARKET
EXTERNAL E-MAIL MARKET SUPPLIERS
& VALUE PROPOSITIONS
• iburst
• Webmail
• Afrihost
• Hotmail
• Web Africa
• Ananzi
• Axxess
• Cybersmart
• iCloud
• Gmail
• Facebook messenger
• Internet solutions
• Vox
• Outlook
They also provide a whole host of VAS such as i) Cloud
storage ii) Email to fax iii) Instant messaging iv) VOIP v)
Antivirus vi) Website hosting
vii) Internet access
Implications
Become a full blown Internet Service Provider and also provide the VAS
prevalent in the market.
This requires
- Successful lodging a licence with ICASA
- Building and hosting a data center
- Having power back up and coolers for the data center
- Peer agreements with upstream ISP and fiber network to connect to them
- Installing enterprise level IT infrastructure
- Have customer installation and relationship management software and
front end
- Hire a back office, sales and support staff to run the new business unit
- Develop similar VAS to other ISP to compete
-Outsource the service to a reputable ISP like Standard Bank
-Hire minimal staff for customer support and
Servicing
- Build a front end for applications
a
b
There are a number of competitors and the additional VAS needed to
supplement the personalised service.
We can:
Leverage secure inbox and develop it for Internet Banking and WAP to cater
for most segments to receive e-statements/
Enable e-statement retrieval requests on Internet Banking, WAP and the
Nedbank App.
Leverage e-statements via MMMS to cater for all segments
FINAL RECOMMENDATION
a
b
c
Should you as a bank have a dedicated banking e-mail to service