What will be the key characteristics of next generation mobile banking?
Mike Keyworth, Chief Information Officer, Monitise
Registration for any consumer (not restricted to pre-existing users of Internet banking)
- A cutting edge user experience (UX) which is simple, intuitive and encourages regular engagement
- Promotion of compelling offers via segmentation based on a wide range of different demographics and individual preferences
- Connectivity to an ecosystem of partners to enrich services and content
- Ongoing innovation – at the ‘speed of mobile’
Each aspect presents its own IT challenge. The predicament facing banks is how best to effectively deliver against these challenges.
The scale of infrastructure; people, knowledge, innovation, required to implement and maintain effective Mobile Money propositions will grow exponentially under the next generation. In-house IT teams will face a new dynamic as the demand for change accelerates – as soon as they implement the next wave of enhancements, another set will be along demanding priority.
It’s likely that even the bigger banks will be stretched beyond capacity, while smaller financial institutions will need to take a different approach. Read More »
According to recent data from Novarica published in The Financial Brand, consumer adoption of mobile banking has been much more rapid than uptake of online bill pay.
Novarica’s survey showed that at the end of 2013, 25% of bank customers indicated that they ”must have” mobile banking — a 34% increase from Q1 2013.
Additionally, in Q4 2013, nearly 13% of bank customers felt they “must have” mobile check deposit – a 52% rise from the beginning of the year.
To learn more about Monitise’s complete suite of Mobile Money Solutions, including Bank Anywhere and Mobile Remote Deposit Capture, click here.
Adam Levene, SVP of Strategy at Monitise Create, contributed an article in Mobile Marketing Magazine last week focusing on the importance of “human first’ when embarking on a mobile strategy, and how Monitise Create puts this into practice. Below is an excerpt:
The human-first mantra
Our successes at Monitise Create have come by applying, almost religiously, the mantra of ‘human-first’ to our clients’ work. We look obsessively at the needs of the customer, and rather than use the channel to sell or advertise, we use it to solve problems and add value. Simply put, we leverage the power of mobile to make life easier for consumers.
Central to human-first is the design experience which, given the tactile and incredibly personal nature of mobile, goes way beyond the color of pixels. Design experience is what makes creatively-led organizations like Nike or Apple, and digital startups like Netflix and Spotify, so successful. They understand that digital design is not simply about what it looks like or how it functions, but instead, the human impact it has in helping the customer to make their life that little less complex.
Putting it into practice
Banks, often cited for their poor customer service, are witnessing this shift first hand. Some of our major high-street banking clients are seeing an average 27 visits per month to their mobile app, compared to single digit visits per month to a website or branch. The simplicity of the mobile banking experience, with its easy login and stripped-back features such as balance and transfer requests, provides the seamless money management experience that consumers demand in the connected age. Mobile is fundamentally changing the relationship a bank has with its customers.
Click here to read the full article.
As reported this week in Finextra, Bank of America says that its number of branches could fall below 5,000 next year as mobile channels continue to grow market share.
Speaking at an earnings call on Wednesday, Bank of America CEO Brian Moynihan said that the bank has spent almost “half a billion dollars” on mobile products and services over the past 3-4 years. The investment has resulted in continued growth in the number of customers banking via mobile, rising to 14.4 million, from 12 million a year ago.
Moreover, mobile check deposit (a relatively new service introduced in 2012) now accounts for nine percent of all checks deposited at Bank of America.
With respect to mobile’s implications for branch banking, Bank of America CFO Bruce Thompson said that the number of physical brick-and-mortar branches will further decrease this year. The total number of branches – which fell to 5,151 in Q4 from 5,478 a year earlier – could drop to less than 5,000 by year’s end, Thomson said.
BofA’s announcement is consistent with a national trend previously reported in MobileFI, which showed that US banks are closing more branches than they open as a result of increased mobile banking usage. In addition to closing branches, some banks have been testing out new branch concepts with self-service technology and leaner staffs.
Adam Levene, Monitise Create’s SVP Strategy, discusses how to create lasting customer engagement via mobile:
Monitise announced that the mobile services it has developed and deployed for Clydesdale Bank and Yorkshire Bank have experienced significant and rapid user adoption since their launch in August. The capabilities were built as part of a three-year partnership between Monitise and the banking group.
Since launching mobile banking services, Clydesdale Bank and Yorkshire Bank are already seeing customers interact with their app two or more times a day. The banks have taken the innovative approach of enabling any customer with a current account to be able to register, they do not necessarily need to be registered for internet banking, so the banks are seeing quick take up across all sectors of their customer base.
Clydesdale Bank and Yorkshire Bank launched their mobile services with Monitise to enable their customers to manage their money when and where it suits them. They were developed with a specific focus on building an intuitive user experience for consumers. The apps are available across iPhone, Android and BlackBerry handsets and, for customers without smartphones, a series of text-based offerings including scheduled and on-demand balance alerts and mini statements are available. Read More »