Category: Innovation

Innovation

Innovative BRAC microcredit securitization honoured

Colin Henderson

 During 2006, BRAC secured $ 180 million in the capital markets to fund microcredit to the poor.  Financing was arranged by several with Citibank as lead. The connection of capital markets to microcredit is highly innovative, and time will tell if this trend continues. Some may view as junk bond type financing. The deal brought the global financial markets to the doorsteps of nearly 1.2 million households in Bangladesh. BRAC is the world’s largest national Non Government Organization (NGO) with over 5 million borrowers (mostly women) and 100,000 employees and BRAC focuses on poverty alleviation with funding given to village organizations … Continue reading Innovative BRAC microcredit securitization honoured

Business Models, Innovation

Challenging business models and getting beyond iterative thinking

Colin Henderson

 For me, understanding and predicting future business models is fascinating, and highly relevant to Banking, which has remained relatively unchanged, hence my conviction that it will disintegrate – the key being, how, when and what. So I enjoy this type of post from “A VC”, that challenges thinking in ways that brings almost uniform ridicule.  That suggests to me he is on to something.  Yes, this setup is still expensive. Yes, not everyone wants to “rent music”. But I agree with David that “music dialtone” is the future of music, not iTunes, iPod, or iPhone Source: A VC: David Kirkpatrick … Continue reading Challenging business models and getting beyond iterative thinking

Innovation5 Comments

Peter Drucker – what matters …

Colin Henderson

This quote from the guru of management nicely summarises the difference between Web 2.0 companies that have a point and those that don’t.  the business enterprise has two – and only two – basic functions: marketing and innovation. Marketing and innovation produce results; all the rest are costs Source: Profitable Marketing: Quote of the Month – Peter Drucker Hat tip Adelino   Technorati tags: business+model, innovation Continue reading Peter Drucker – what matters …

Business Models, Innovation, Open Finance, Open Source Banking, Pinkomarketing, Profitability12 Comments

How can a Bank go online, and set itself apart?

Colin Henderson

 The problem with working in a Bank is that everything looks like a Bank.  You can always tell a Banker because your hear a ton of acronyms, and words like channel, multi channel, integration, etc.  In fairness Bankers are not alone in their industry view of the world.  Anyhow, in preparation for LIFT07, I got to thinking about why Banks are having such trouble breaking out into the internet space, and with something that’s probably obvious to everyone else, I compared to others in different industries. The well known, and two not so well known, (but will be well known), online names that … Continue reading How can a Bank go online, and set itself apart?

Innovation, Open Finance, Open Source Banking

23C3 – Lawrence Lessig – On Free, and the Differences between Culture and Code

Colin Henderson

This speech by Lawrence Lessig is quite brilliant. He is speaking about the shifts and strains caused by democratisation of technologies that allow anyone with a $1,500 computer to take media, and create. He relates these tools to the pen and typewriter, and makes the argument that trying to remain with the status quo in terms or rules and regulation will fail. The Q&A is particularly insightful, talking about the diferences between US and Europe … how the US in promoting freedom does quite the opposite. Overall, the 1 hour 16 mins is well worthwhile. Grab coffee or New Year … Continue reading 23C3 – Lawrence Lessig – On Free, and the Differences between Culture and Code

Innovation

The most important thing for start ups – a great product

Colin Henderson

 While StumbleUpon is not my favourite application, this is a great interview with the founder, and this quote is right on the mark.  In fact the concept, as simple as it sounds applies to everything including anything new that banks kick off.  What’s the point unless it is something that matters, and is a great product. Allen: What are the most important things that a startup must have to be successful? Garrett: A great product is absolutely the most important thing–there’s just no getting around that. That may seem obvious, but I think there are a lot of startups out … Continue reading The most important thing for start ups – a great product

Innovation, Social networks3 Comments

Prosper – "Libertarian Paternalism" – eBay for loans

Colin Henderson

 This is easily the best article I have read about Prosper.  They have interviewed real borrowers and lenders in Prosper, and you can really get inside their model by reading it. Most loans are funded by dozens of lenders who bid $50 each, the minimum allowed. Prosper keeps a 1 percent loan-originating fee (a one-time $25 charge for a $1,000 loan), and bills the lender a 0.5 percent annual loan-servicing charge. Borrowers have three years to pay off the debt, with no penalty for pre-payment. Basically, Prosper is a peer-to-peer lending auction with a human element. Source: CSIndy: The loan … Continue reading Prosper – "Libertarian Paternalism" – eBay for loans

Innovation

Lloyds TSB – Save the Change, copy Bank of America

Colin Henderson

 Lloyds introduce a top up programme that copies the idea in the Bank of America programme, keep the change.  I have no idea about the patent issues here, but I always thought the BoA idea was brilliant, and if I was Barclays /RBOS/ HBOS Marketing, I would be kicking myself right now! Link to Lloyds TSB – Save the Change   Technorati tags: keep+the+change, save+the+change, lloydstsb, bank+of+america, uk, us Continue reading Lloyds TSB – Save the Change, copy Bank of America

Innovation, Profitability2 Comments

A future without revenue | less GDP is the norm

Colin Henderson

Just read this article at Fast Company, (Courtesy of David). Reading this at the same time as “The Spider and the Starfish” (which I am going to bore you all with over next few posts!!) lots of things come into focus. In essence the FC article talks about how newspapers are having problems, when someone like Rob Curley can come along and dominate the local markets with localised internet sites for everything between restaurants to sports. Which leaves them with one last problem: Once you’re online in a big way, what exactly do you do? Ten years in, most papers … Continue reading A future without revenue | less GDP is the norm

Business Models, Innovation

broadband help » News » Amazon downed for 10 minutes due to promotion – Too many requests take out entire web site

Colin Henderson

I love this story!  Just yesterday I posted about Amazon, and Bezos vision, and today a 1/2 price offer on Xbox takes the site down, (for 10 minutes).   First of all …. no-one died! – next lots of learning;  we can all imagine the guys in the server rooms are re-evaluating ALL their assumptions based on this experience.  I will also bet the next experience will be different, even if it is next week. Lets reflect on the Bank.  hmmm … a series of teleconferences with dozens of participants, and zero (maybe 2) developers.  How long for a Bank to reconfigure after a catastrophic … Continue reading broadband help » News » Amazon downed for 10 minutes due to promotion – Too many requests take out entire web site