Innovation, US

OCC Ombudsman Shares Insight on Leadership Opportunities in Financial Services

Colin Henderson

Interesting speech which provides a compelling argument that banks (in US) are missing an opportunity created by the massive influx of immigrants.  That group whose language and culture is not English, are distrustful, and perhaps afraid of Banks, and are seeking alternatives that US locals would not consider, such as cheque cashing outlets.  He uses the example of someone who earns US $12,000 per week doing just that. OCC Ombudsman Shares Insight on Leadership Opportunities in Financial Services My concern, rather, is the narrower one involving the future of the banking industry. I’m here to ask whether the industry to … Continue reading OCC Ombudsman Shares Insight on Leadership Opportunities in Financial Services

US

ING: cross-sell is not what we want to do, because we want to keep it simple

Colin Henderson

Michel Tilmant, Chairman since 2004, outlines the keep it simple approach, that results in lower costs, and competitive rates for customers. Like Its Logo, Dutch Bank Stays Simple – New York Times For us, cross-sell is not what we want to do, because we want to keep it simple. We know that out there, the largest pool of earnings in the retail banking world comes from savings and mortgage — those are the only two things that we want to do. If you try to cross-sell too many products, you confuse the clients about what you are and your costs … Continue reading ING: cross-sell is not what we want to do, because we want to keep it simple

AI

Shaping your Strategy in a Changing World

Colin Henderson

Courtesy of Deloitte: Global Financial Services Industry Outlook: Shaping Your Strategy in a Changing World, which was developed in conjunction with the Economist Intelligence Unit, is based on a survey of 175 global financial services executives and 21 in-depth interviews with senior management at global financial services institutions on the transformative issues shaping the executive agenda. It incorporates details about the strategies and practices these executives are pursuing to help them meet their financial goals. Global Financial Services Industry Outlook Survey – Deloitte Touche Tohmatsu Insights from the survey, executive interviews and our clients' experiences helped us to identify five … Continue reading Shaping your Strategy in a Changing World

Web/Tech

5 Technologies You Need to Know About

Colin Henderson

Courtesy of FinanceTech, here are five technologies that you must know about.  As Bankers, we cannot survive without understanding the technology that supports our strategies.  Summaries noted below from this excellent article.  The ones to pay attention to, in my humble opinion are Ajax and NAND drives.  The others are more enterprise benefit focussed, but these two exhibit customer benefits.

  1. Ajax:  consider online banking running on Ajax.  Instantaneous click response, no page wait times, smooth screen transitions (vs today’s old page goes, and new one loads)
  2. NAND: customers will be using very high performance computers, and technologies like NAND coupled with home wireless networks, and high speed network connections, mean they will not tolerate bank sites that do not provide immediate response (refer 1. – Ajax)

5 Technologies You Need to Know About

We’re (FinanceTech) taking our best guess as to which emerging technologies will have the most impact on computing in the very near future. Over the following pages, you’ll read about five specific advances in hardware, software and Internet tech that should be on every technophile’s, Web strategist’s and CTO’s radar.

Continue reading “5 Technologies You Need to Know About”

Security

Chip and pin ‘makes fraud even easier’

Colin Henderson

With this quote the security of chip cards debate is opened. CHIP-AND-PIN systems introduced to foil credit and debit-card fraudsters are making it easier to commit certain types of financial crime, a reformed con man warned last week. And the evidence is mounting to support his contention. Chip and pin ‘makes fraud even easier’ – Money – Times Online He does not believe that chip-and-pin technology, which requires transactions to be verified with a four-digit number rather than a signature, will prove much of a challenge for professional fraudsters. The information sent out by the hand-held card reading devices used … Continue reading Chip and pin ‘makes fraud even easier’

Payments

Claims that chip and pin system is flawed, and fallible

Colin Henderson

The claim here is that certain merchant terminals (not ATM’s as earlier claimed) are not capable of recognising cloned chip cards. Millions at risk from chip and Pin | This is Money Security experts say there is a one in five chance that a terminal in a shop or garage will not spot a ‘cloned’ card. It means criminals who copy people’s cards can go on shopping sprees and spend thousands of pounds. The alarming gap in security is being blamed on the issuing banks, for choosing the cheapest version of the new cards. Banks in France and some other … Continue reading Claims that chip and pin system is flawed, and fallible

Payments2 Comments

Consumer suspicions grow on Chip and Pin security – 06/06/2006

Colin Henderson

Real or not, there is an evolving thread questioning the infallibility of chip and pin.  We know that the card not present issue is a contributor, but this comment regarding ATM’s having difficulties is a new one to me, and will require further investigation. We have to understand this dynamic, and both individual banks, and industry groups need to get on top of it. MoneyExpert.com – Financial news article “Chip and pin security is fallible,” a spokesman for credit payments association Apacs, which conducted the survey, told the Times. Recent research has suggested that cash machines are not always able … Continue reading Consumer suspicions grow on Chip and Pin security – 06/06/2006

AI

Branches becoming window dressing for banks

Colin Henderson

Finally someone else makes the call on the demise of branch banking. Jim Bruene, the Seattle-based publisher of Online Banking Report has been a visionary, and a beliver in Online Banking since the beginning, or at least as long as I remember back in the mid 90's, when online banking began. Unfortunately, its became de rigeur today whenever anyone says branches will disappear, the answer is, didn't we try that with mbanx, wingspan, toysr'us" (pick your virtual failure). So lets look at this carefully. Branches becoming window dressing for banks Bruene does believe we are at the midpoint of a … Continue reading Branches becoming window dressing for banks

Business Models1 Comment

Its the equivalent of opening 23 new branches and took two months

Colin Henderson

Follow up to the US Banks reaction to ING shows it works.  Produce a better product and people will buy it.  This is not about brand awareness, or any other fuzzy logic – its about simple pure product design.  Incidentally, when I say product, I mean product in the holistic sense.  From a customers perspective, the design of the product, and the design of the channel, ie the delivery mechanism have little to differentiate them.  So this is the holistic offerring I am referring to here. Finextra: Citi’s Prince hails Web savings success Citigroup says its new Internet savings account … Continue reading Its the equivalent of opening 23 new branches and took two months