Strategies for Internet Banking Portals in India - Scratching the surface of the potential changes that Banks could look at incorporating in their Internet Banking Applications

1. Strategies for Internet Banking
Portals in India

2. But are those changes enough?
Internet banking Portals have been around for more than a decade
Many banking
portals have since
undergone massive
revamp
Banking Applications
vying in terms of
looks, ease of use
and functionality

3. On Existing Portal Features
so far…
• Great User Interfaces – designed to reduce time spent by users navigating various links and pages on
the website
• Improved efficiency in performing most commonly carried out activities
• Personalization to be powered by analytics; however, inability to replicate Amazon’s famed up and
cross selling at this stage
• Personal Financial Management (PFM) to be an important offering - In the Indian context with
savings conscious individuals, marketing of PFM would be a huge differentiator
• Provision for Instant Messaging / web conferencing– unavailable to all customers – potential of such
tools to reduce contact center costs

4. Customer
satisfaction – a
resounding Yes!
Profitable Customer
Loyalty
- not so sure
Two sides of the same coin…

5. • Will users be enticed to spend more time on the
internet banking portal?
• How to ensure that customers feel more empowered to
take financial decisions related not just to present but
also to future?
• How will the portal enable customers to engage better
with the products and service offerings from banks?
• Can online portal be the primary bank, replacing
banks and branches?
• What will be our social media strategy ?
• Site speed and site outages – site session management,
continuity even after session dropout, cookie dropping ,
search on Non-logged in sections of the website and
serving contextual results - how effectively are these
managed and communicated to the users
Questions
Which is the discipline that a bank
wants to excel in?

6. Taking customer engagement
to a new level with
PFM
Customer expectations from
online banking

7. Target Audience of PFM: The Toughest segment - Customers
averse to financial planning
In a nutshell, PFM should be a:
•Financial Literacy Tool
•Account Aggregator
•Financial Performance Tool
•Identify aspects of financial management budgeting, spending
analysis, real time price comparisons
•Linking transaction based rewards from credit card/debit
card statements to PFM tool
•Integration of customer data across all channels, multiple
bank accounts; leverage big data to determine from planned
purchases to offer real time offers
•Personalization to come before customization - detect
automatically relevant content based on spending patterns
and give actionable recommendations, articles, tips to better
manage finances , info on daily deals and merchant deals
•Marry alerts and advisory services to deliver an engaging
experience without seeming invasive, pedagogical, or
irrelevant
The ideal PFM tool should include:
• Basic Visualizations (Entice): Real-time feedback of day-
to-day finances including visualization of balances,
transactions and so on
• Analysis (Educate): How does customer spend/save
relative to peers, categories, merchant, geo-location with
a holistic view of finances
• Engagement Tools (Activate): Engaging tools to help
customer improve financial situation through intelligent
budgeting, forward-looking assessments
Source: http://creditcardplans.blogspot.in/2013/08/lipstick-on-pfm-pig.html

8. Although a good PFM software has
the potential to be a
Gateway to
Long term profitable Customer behavior
But customer surveys
reveal a different story…
Lacking Fun – only 4 in 10 customers
manage budget or forecast expenses
Lacking Trust - only 13% customers
trust their FSPs to help manage
finance
Low Adoption of PFM because

9. Enhanced customer convenience by extending PFM offerings through (can be explored):
• Yseop, an artificial intelligence enterprise software:
 Yseop Text - Leveraging data to automate narrative - providing an analysis of a user’s
spending patterns [similar functionality offered by Narrative Science, Automated Insights]
 Yseop Dialog – collecting contextual data from users
• Personetics’ virtual assistant offers predictive data services – amalgamating digital convenience
with reliable support
• Nerture allows Personalization through Analytics – combining elements of online and mobile
search data with transaction data to the most granular – down to SKU level
Based on Social Media Banking strategy - Define roadmap for acquiring elements of customer
experience suite from IBM or integrate offerings from other vendors
• Disruptive technology in the Indian banking sector - Crowd sourcing innovation, gamification,
socialization - Around a particular product with a particular segment – acting like focus groups,
if you will
Customer 3.0 - How do I love thee

10. The depth and breadth and height
User adoption trends – user segmentation -
identifying and targeting innovators and early
adopters
Social media engagement using internet portal – the sandbox route
Primary focus areas: Customer engagement thorough PFM, social media, and security

11. Thank you