Open Finance, Open Source Banking

Open Finance v2.0

Colin Henderson

I think this is a key point that James makes here. BankerVision: The long tail of banking I can’t help wondering if the long tail opportunity for banks is rather more substantial than manufacturing product for niche customer segments. 8 +/- years ago someone at Forrester coined the phrase “Open Finance” to denote the idea of selling others’ products. The idea was that distribution through internet was so disruptive, that unless you could offer various alernatives to customers, your offer would be immediately discounted. This also intrduced the separation of distribution from product. The Net creates a new financial services … Continue reading Open Finance v2.0

AI

Are customers behaviours changing

Colin Henderson

Interesting and thought provoking meeting with a colleague today. Topic was customer behaviours, behavioural economics, and impacts on how we develop banking strategies. How we leap that chasm between strategies and results that can be directly attributable to those strategies? We all want to grow revenue, and let’s say there are 4 ideas on the table to generate revenue. All will require customers to buy into the idea and buy our products. At some point, it becomes a leap, and do we really know what constitutes success? Then layer in customers’ rapidly altering behaviours as a result of internet. Its … Continue reading Are customers behaviours changing

AI

Why Westpac won’t be spending more online (for marketing)

Colin Henderson

Westpac (Australian Bank) indicates that online marketing is not for it, because brand experience is not driven online.  When I started to read this article I misread it as a bank that doesn’t get it, but reading on, I feel quite the opposite.  Westpac understand the (Internet) medium well as it applies to big banks. The Better Banking Blog: Why Westpac won’t be spending more online Westpac says three things drive customer satisfaction – customer experience (around 50 per cent), products – their functionality and pricing (around 20 per cent), and brand perception (around 30 per cent). (Note:  this description … Continue reading Why Westpac won’t be spending more online (for marketing)

Security, Smart Cards

Did Barclays err in going with card readers for two-factor security?

Colin Henderson

In a follow up to the earlier announcement from Barclays, David on Zdnet questions if consumers will accept the solution.  I agree with that assessment. » Did Barclays err in going with card readers for two-factor security? | Between the Lines | ZDNet.com Are you supposed to bring a bulky card reader with you everywhere you go? In contrast, RSA makes versions of its securID solution that fit on your keychain. Think I’m crazy about the sort of mobility that people want out of their online banking? As I earlier noted: Relevance to Bankwatch:While this will buy some time, it … Continue reading Did Barclays err in going with card readers for two-factor security?

Security6 Comments

Banks introduce electronic password gadget to beat rise in internet fraud

Colin Henderson

Barclays and Lloyds are betting on security tokens to combat phishing, and online banking fraud. Scotsman.com News – Sci-Tech – Banks introduce electronic password gadget to beat rise in internet fraud Barclays plans to introduce hand-held devices to its 1.6 million online banking customers next year which will read the chip on the customer’s bank card and then provide a unique password needed to access the account on the bank’s website. Every time the customer logs on they will need to get a new password using the calculator-sized device.….Lloyds TSB is trialling key rings that generate random passwords for accounts. … Continue reading Banks introduce electronic password gadget to beat rise in internet fraud

Social networks

Brits ‘too embarrassed’ for face-to-face banking

Colin Henderson

An interesting piece of research from Lloyds indicating brits prefer online banking, for privacy reasons.  As a brit this makes sense to me actually.  It also fits with a different theory I have that introverts like internet. Brits ‘too embarrassed’ for face-to-face banking The bank’s research revealed that some 24 per cent of Britons are too embarrassed to discuss their finances face-to-face or over the phone and as a result are increasingly turning to the online channel. However convenience remains the prime driver. However, the ease and convenience of online banking is another factor behind the channel’s growth over recent … Continue reading Brits ‘too embarrassed’ for face-to-face banking

Social networks2 Comments

Broadband video-servicing is set to shake the foundations of retail banking

Colin Henderson

Chris Skinner of TowerGroup, and Balatro introduces a concept here, straight out of the Jetsons.  Video calls with your friendly banker – in fact he goes further suggesting the demise of the keyboard. Finextra: comment – video-servicing Why is this critical to banks? Because it brings back face-to-face communications. It finally gives bankers what they lost when the technology revolution moved us all out of branch and onto ATMs, phones and keyboards. Add onto this the fact that you can talk with someone, see them, touch the screen and be animated, and you might get the idea that this is … Continue reading Broadband video-servicing is set to shake the foundations of retail banking

AI

PetroCanada levers YouTube to get their message out

Colin Henderson

Petro isn’t a Bank, but this is impressive.  They have developed an infomesssage and put it on YouTube.  Its very friendly, informative, and low key.  Kudos to them.  YouTube – Why are gasoline prices higher than in the past? Why are gasoline prices higher than in the past? Relevance to Bankwatch:Which bank will go on YouTube and talk about service charges or mergers? Continue reading PetroCanada levers YouTube to get their message out

AI

Why CRM often (usually) fails

Colin Henderson

I read this post over at CRM Blog and I just have to give a bit of a rant.  First of all, here is the post: CRM Blog: Benefits of Customer Relationship Management Excellent customer service is about understanding the customer requirements and reacting to them efficiently. CRM helps companies understand, anticipate and respond to the customers’ needs in a consistent way. Implementation of CRM requires and efficient and integrated internal business system. Many businesses benefit from the organizational discipline offered by the CRM. Customer relationship management (CRM) has the following characteristics: It develops better communication channels It collects vital … Continue reading Why CRM often (usually) fails

AI

Browsers or no browsers; implications for online banking

Colin Henderson

That perennial topic is back, this time raised by Tara. It used to be the thick client/ thin client debate. In any event it its worth examining, because it has implications for how we design online banking over the next 5 years. It is a safe bet that it won’t remain the way we see it today. But first the browser debate. ::HorsePigCow:: life uncommon: R.I.P. Browsers But, after spending some intensive time with Chris, our clients and really starting to think about it, I feel more and more that someday – and it may be sooner than we think … Continue reading Browsers or no browsers; implications for online banking