AI3 Comments

The early demise of tagging

Colin Henderson

This post if slightly off topic, and more on a general blogging and internet issue – tagging.

Over the last three months, I thought I would listen to the top bloggers, and get right into tagging, just to see what all the fuss is about. I have been diligently tagging my posts in Technorati since then. One of the most popular tags in my posts, given the subject matter, is online banking. The results in Technorati, are nothing short of useless; in fact worse than useless.

Perhaps because I have picked a popular topic, but the degree of spam blogging that Technorati seem to be incapable of eliminating, makes the "online+banking" tag worthless. I have posted the first page from Technorati below. The first post is from the excellent Payment News. Every other link on that page is spam. These are blogs set up by SEO types to get their brand to the top. Well good for Bank of America today, but the credibility of what Technorati is intended to provide is so shot, that no consumers will come to this tag to find you anyway.

This is the email equivalent of spam, and could kill tags unless someone figures it out. Technorati ned to find a way to incorporate intelligence and personal sorting so that I can locate what I want, and my neighbour can find what they want, and so on.

For now, Technorati is the worst of old style marketing.

 Update (22.jun.2006):

Over at Seth's Blog he points out the same issue at FURL.
Continue reading “The early demise of tagging”

AI

43% of internet users, or about 63 million American adults, bank online

Colin Henderson

While the growth has been rapid, it is still catching many traditional bankers flat-footed, when this statistic is announced. There is something insidious about watching these stats; I recall when we sat at single digit internet use, and banking online wasn't even a statistic. Then it moved into double digits, and late in the 90's decent stats began to appear about the percentage that were banking online. But even then, the typical comments, were "passing fad", or they are "early adopters". Both comments were intended to clarify that the mainstream would never forsake the branch. Pew Internet: Online Banking 2006 … Continue reading 43% of internet users, or about 63 million American adults, bank online

Payments

Quick debit card ‘could replace cash’

Colin Henderson

While the talk of cashless society from 10 – 20 years ago never materialised, it does seem to be on the horizon realistically now.

Quick debit card 'could replace cash' | 24dash.com – Bill Payments

A new payment system being trialled in the UK could remove the need for people to carry cash, according to a report out today.people simply pass their debit card across a sensor, in a similar way to how Oyster cards work on the London Underground, for the payment to be verified and the completed in about half a second.

Key components of the evolution, seem to be:

  1. focus on small amounts (micropayments)
  2. contactless
  3. no PIN

These attrubutes are all interconnected, and its the combination thats driving success.

The first attribute makes the business model focussed on being cheap to implement, therefore cheap to offer. Thus it provides mass market appeal, which is the only way elimination of cash makes sense. The second is all about convenience. When you want to buy a cup of coffee its got to be as simple as sticking your hand into your pocket/ purse and grabbing some coins. Lastly, its critical there is no pin to complete the convenience cycle. Contactless becomes inconvenient if you have to wait for he POS response, then type in your PIN.

Thus the combination of these three attributes will drive cashless / micropayments success.
Continue reading “Quick debit card ‘could replace cash’”

AI

Banks need to refocus energy on customers best interest

Colin Henderson

An interesting piece on tactics used by some banks to combat price tables.  This is a temporary solution at best.  What forward looking Bank would rely on technology service denial in order to protect itself.  This is reactionary marketing at its absolute worst. Relevance to Bankwatch:Why not to use less effort to block tables, and refocus that effort on creating tools on your own site to assist customers to compare, contrast, and choose. Banks fight back against price comparison websites – Financial Services – Breaking Business and Technology News at silicon.com Financial services companies are blocking price comparison websites from … Continue reading Banks need to refocus energy on customers best interest

Open Source Banking

Open Source Banking

Colin Henderson

Thanks to Nishad Ramachandran for coining this phrase in what the Economist has been calling Branchless banking. This is the notion of depositors and lenders finding each other through internet, and eliminating the need for traditional banks. I read a preview of Nishads paper that is being developed for a client, and it frames the concept beautifully. The reference I especially liked is to Payattu, and its beautifully written to capture the essence of the concept. "As a child, I would trail my uncle to many of the Payattu invitations he received. In a Payattu, one member of a community … Continue reading Open Source Banking

Payments

Intel teams with Microsoft, BitWallet to promote FeliCa contactless technology on PC’s

Colin Henderson

The concept of providing portable card readers feels temporary to me. This move by three industry players in Japan, spells the future for the rest of us. Finextra: Intel teams with Microsoft, BitWallet to promote FeliCa contactless technology Intel is teaming with both Microsoft and Bitwallet – which provides the EDY contactless payment system – to triple the number of personal computers equipped with FeliCa-reading functions and double the number of Internet services compatible with the technology. This will put not just a card reader on your home PC, but a contactless one. This truly makes ecommerce and online banking … Continue reading Intel teams with Microsoft, BitWallet to promote FeliCa contactless technology on PC’s

AI

iRise: Build the Right SoftwareTM

Colin Henderson

This is an interesting tool, thats been a long time coming.  I read over at Finextra that Wachovia “has leveraged iRise to enhance usability with its latest suite of online banking products”. iRise – The Leader in Application Definition Is It Live Or Is It iRise? iRise simulations are so close to the final applications that people  can’t tell the difference between the two. SunTrust recently unveiled their new banking  application—a critical element in retaining acquired customers through a merger with NCF  Bank—that was simulated first. In addition to look & feel, the user experience between the  simulation and the … Continue reading iRise: Build the Right SoftwareTM

Payments

Gbuy: “The precision of this targeting could be revolutionary”

Colin Henderson

Strong statements from RBC on the power embedded in Gbuy and how it will revolutionise online payments.  Paypal, by virtue of its parent, eBay, has been primarily for auction payments, but Gbuy will be for ecommerce. Google’s GBuy Could Be ‘Revolutionary’ – Forbes.com “If harnessed, the precision of this targeting could be revolutionary,” wrote RBC analyst Jordan Rohan in a report Friday. Googles new product is designed as being pro-merchant.  This differentiates it from all the bank based services, that are loaded with interchange.  On its core search results pages, Google will designate each merchant accepting GBuy as a “trusted … Continue reading Gbuy: “The precision of this targeting could be revolutionary”

AI

Wells Fargo Introduces Program to Help Borrowers Build Credit, Reach Financial Security

Colin Henderson

This programme at Wells Fargo, is a great example of customer advocacy. Wells Fargo :: Wells Fargo Introduces Program to Help Borrowers Build Credit, Reach Financial Security WASHINGTON, June 8 /PRNewswire/ — Wells Fargo announced today it will roll out by year-end a three-part program to help improve the financial well-being of its customers who close on a new nonprime home mortgage loan. The program, “Steps to Success,” will include education, tools and banking products designed to put customers on the path to financial stability. “We believe helping borrowers get on a path to financial success is the heart of … Continue reading Wells Fargo Introduces Program to Help Borrowers Build Credit, Reach Financial Security

Innovation, US

Blog summary – June 2006

Colin Henderson

Its been six months since I transitioned my blogs to Bankwatch, so thought I would take a look at my posting profile.  I felt I was getting shoe-horned into too many security and chip card posts, but turns out thats not the case at all.  Online Banking is dominating, and makes me thing that category might be too broad to be useful. Generally innovation, future concepts/ innovation, isn’t too bad, but could be higher.  But customer communications, marketing, and consumer trends should definitely be higher, because that drives everything, so expect more in those areas. Online Banking           … Continue reading Blog summary – June 2006