This is a guest post from Myriam Da Costa, a researcher serving eBusiness & Channel Strategy professionals.
France has been quick to embrace mobile banking. Banks like BNP Paribas and Société Générale were among the pioneers of mobile banking in Europe and since 2009, all of the big French banks have launched iPhone mobile banking apps, so most French banks now offer several forms of mobile banking. The first wave of mobile banking was about getting the basics down and offering customers functionality like balances, transaction histories and SMS alerts. The second wave now focuses on money transfers and payments.
As we wrote in our report on The State Of Mobile Banking In Europe 2012, mobile banking is the foundation for mobile payments. France's banks and mobile operators are moving fast to seize the opportunity. In the past two years there has been a wave of new mobile payment initiatives in France: Buyster, Cityzi, Kwixo, Kix and S-money.
In our research on eBusiness and channel strategy, we often come across clusters of innovation where innovation by one company in a sector causes its competitors not only to match it, but to try to leapfrog it -- resulting in a rapid cycles of innovation. Among the examples of these clusters are insurance companies in the US (Progressive, Geico and a growing number of others) and banks in Spain (Bankinter, La Caixa, BBVA and Banco Sabadell).
Another of those clusters is the retail banking market in Turkey. Last week I was in Istanbul and was able to see some of the innovations in person and meet a number of heads of eBusiness at Turkey's big banks. Turkey's banks have been quick to adopt digital technologies and achieved some world firsts for the banking industry. Here are a few examples you might like:
Ziraat Bank has deployed a network of unstaffed video kiosks (see picture, right), which it calls video teller machines, that use video-conferencing to connect customers with agents in the bank’s contact centre. Customers can use the kiosks to deposit and withdraw money, buy and sell foreign exchange, pay bills, transfer money and buy bonds. The kiosks let the bank expand its network much more quickly than building conventional branches would do.
Everyone is talking about it, everyone is doing it, and everyone wants one. Social, mobile, and tablets are creating digital banking disruption and fundamentally shaking up how banks interact with and serve their customers. The rise of the digital channels has given banks a unique opportunity to drive lower-complexity, everyday tasks to digital channels while beginning to refocus live channels to provide guidance and support for more complex, relationship-building activities. Disruption brings opportunity both for you and for the disruptors, who are faster, stronger, and sometimes even better at giving customers what they really want, more conveniently than before. Disruptors are setting the pace for customer adoption of more complex digital financial services. So the question is, how do you turn digital disruption into opportunity and fundamentally rethink how social, mobile, and tablets can transform your consumer banking experience?
On October 25, at the Forrester eBusiness & Channel Strategy Forum in Chicago, I will be exploring how social, mobile, and tablets are empowering eBusiness professionals to revolutionize the retail banking environment. In this session, I will discuss how:
Few financial services companies have fully explored social media. A comparative scan of social media marketing efforts shows that few financial services firms are using social media marketing effectively compared with other industries. Financial services firms haven't been blind to their customers' adoption of social tools, but it's clear that the industry hasn't fully embraced social technologies either.
Back in November 2006, a startup called Wesabe first showed the potential of online money management. Packaged personal financial management (PFM) software for PCs like Intuit's Quicken had existed for years, but Wesabe, Mint.com and a handful of other startups showed the value of using customer data, and community, to help people understand their finances better.
Since then, hundreds of banks, credit unions, wealth management firms, and other companies have launched a range of spending categorization, budgeting, peer group comparisons, and other money management features for their customers.* The leaders are increasingly making money management available in mobile and tablet apps, as well as on their websites. Fuelled by the poor state of many of the world's developed economies and growing use of digital channels, customer interest in online money management is substantial, as my colleague Reineke Reitsma wrote on her blog a few months ago.
Yet despite the growing number of firms that already offer money management, and the evident interest of some customers, many financial services eBusiness executives still question whether the business case adds up. Our new report on The Business Case For Personal Financial Management addresses that question. Here's what we found: