AI

Canadian Banks & Insurance | RBC, Scotiabank to Add Branches

Colin Henderson

In a reversal of recent trends, building branches is becoming popular, in order to attract market share and deposits.  Royal Bank, the country’s largest bank by assets, may build as many as 112 branches in the next four years, Chief Operating Officer Barbara Stymiest said today at a CIBC World Markets investor conference in Montreal. Scotiabank, the third-biggest bank, plans to open 30 branches next year, Chief Executive Officer Richard Waugh said at the same conference. Canadian Imperial Bank of Commerce, the fifth-largest bank, said last month that it plans to open or expand 70 branches in the next five … Continue reading Canadian Banks & Insurance | RBC, Scotiabank to Add Branches

Security, Telephone Banking

BankNet 360 – Japanese Bank Rings in Mobile Banking

Colin Henderson

 What struck me here as interesting is that the Yahoo username and password provides access to account information.  I cannot imagine our information security people permitting that, and for good reason.  I can see enormous phishing potential ramping up against Net Bank. Tokyo-based Japan Net Bank is offering its customers cell phone banking services through a partnership with new investor Yahoo! Japan. The announcement follows news earlier this week that Yahoo! had acquired a 40% stake in the bank for $218 million. Accountholders can use their Yahoo usernames and passwords to access their accounts. Source: BankNet 360 – Japanese Bank … Continue reading BankNet 360 – Japanese Bank Rings in Mobile Banking

AI

New Vision Online : Firms to provide total e-banking services

Colin Henderson

 I’d say its pretty darned exciting for a country to be entering the world of online banking from scratch, as in this example in Uganda.  I think too there will be lessons we can learn, from watching such implementations because they will likely avoid the mistakes we al made when we started this gig 10 years ago.  Key lesson for me, is walk, don’t run.  Pace yourself, and do it right remembering the customers who use the online banking service. Total online banking solutions will be provided in the country. This follows a partnership between Solutions for Business, a local company, … Continue reading New Vision Online : Firms to provide total e-banking services

Social networks1 Comment

BankerVision: Pyramid products in financial services

Colin Henderson

James does a good job at identifying how a social network could positively support financial services and our ‘bland” products.  In other words, the bank that gets the most customers, would keep the most customers, through the power of the network externality. Source: BankerVision: Pyramid products in financial services Note:  network externality being defined as the increasing value of a network as more users come on board.  An example being Metcalfes Law. In my comment to the post, I would go further than referral of friends, and enter the realm of peer opinion and community advocacy.  These are well documented in theory here … Continue reading BankerVision: Pyramid products in financial services

Telephone Banking1 Comment

HSBC and first direct launch next generation mobile phone banking

Colin Henderson

Described as “next generation” this new service provides statement and balance information. What surprises me is that it requires a software download, but this appears to provide additional security. The banks are now inviting customers to sign up for ‘on demand’, 24 hour access to banking services including mini-statements and balance enquiries through their mobile handset. Consumers can also top up their own or someone else’s prepay mobile. To use the service, they need only download a piece of software onto their phone. As with online banking, once registered and authenticated people will have secure access to their accounts – wherever … Continue reading HSBC and first direct launch next generation mobile phone banking

Pinkomarketing, Social networks

Micro Persuasion: Verizon Plans 24/7 Customer Service Blog

Colin Henderson

Steve at MicroPersuasion picks up on an innovation at Verizon that is highly significant.  Generally firms view customer service as proprietary and something to control.  This despite the reality that call centre service feels generally commiditised in terms of the standard questions, and statements. “is there anything more I can do for you today” “have I satisfied your reason for calling today” “is your service operating satisfactorily now, sir” Anyhow, Verizon plans to launch a blog for consumers. If Verizon pulls this off, it could usher in a customer service sea change. Right now – with the exception of tech knowledge … Continue reading Micro Persuasion: Verizon Plans 24/7 Customer Service Blog

AI

Big banks compete to court immigrant clientele; market, in Canada alone, worth about $3B a year

Colin Henderson

There is a real thread developing amongst banks and their strategies, as they realise their marketing to home nationals misses immigrants.  And immigrants form a large part of every country’s make up now.  Here is a further update on the Canadian Banks efforts to develop market share amongst “new Canadians”. In order to reach them, RBC too has set up a multilingual website and can facilitate non-resident account openings online. The site averages about 5,000 hits a month. “The Chinese version is already about 35 per cent of the traffic,” Whitmell said. “We’ve launched that so that anybody, anywhere around … Continue reading Big banks compete to court immigrant clientele; market, in Canada alone, worth about $3B a year

Innovation4 Comments

The concept of Islamic Banking: one that should not be ignored

Colin Henderson

 All the big banks in the Middle East have a head of Islamic Banking.  The have officers and front line staff handling this now.

Islamic Banking is not a Utopia anymore as was thought to be. When scholars first talked about this idea in the 1940’s, people in the West laughed at the idea of Banking without Interest.

It was inconceivable at that time since most of the Muslim countries were reeling under colonial rule; as such there were no takers for this idea. It was only in the later part of the 20th century that scholars attempted at giving a practical shape to the idea of interest-free financial mechanism.

Source: The concept of Islamic Banking (GreaterKashmir.com)

When will we see a British, North American, or European Bank offer such services?  There are significant numbers of Muslims in all the Northern Hemisphere countries now, and its an interesting call as to whether we should embrace this style of banking in an effort to provide differentiation.

Inconceivable you might say!  Well consider the significant populations of muslims within those areas.  Is there an offer that might differentiate a bank amongst the muslim populations in non middle east countries? I wonder if any will have the nerve to try that.

History, including some basics on Islamic Banking

Continue reading “The concept of Islamic Banking: one that should not be ignored”

Web/Tech

Bank Systems & Technology : CIO’s Need to Understand Their Roles to be Successful

Colin Henderson

 An interview with Laurie Orlov, a research director at Forrester Research (Cambridge, Mass.) goes over the three models for a CIO. The first one is the solid utility. The IT organization must provide cost-effective, dial-tone reliability. That is, the network is always there, the PCs function, the help desk responds and the back-office applications are up and working. The CIO typically reports to the CFO, and costs are expected to be transparent and reduced over time. The second is the trusted supplier, in which you add project delivery to the solid-utility model. Some firms need centrally managed application projects to … Continue reading Bank Systems & Technology : CIO’s Need to Understand Their Roles to be Successful