Competition Remains White Hot In The Canadian Mobile Banking Market

Peter Wannemacher

[this blog post was co-authored by Rachel Roizen]

Forrester has just published its 2015 Canadian Mobile Banking Functionality Benchmark. The report reveals important insights about the mobile offerings from the five largest retail banks in Canada: BMO, CIBC, RBC Royal Bank, Scotiabank, and TD Canada Trust. Forrester clients can find the full benchmark report here:

The Canadian mobile banking market has been highly competitive for years, ever since CIBC became the first Canadian bank to roll out robust mobile banking services more than five years ago. Our benchmark research shows that this remains true today: All of the banks have solid mobile banking functionality that meets customers’ most common needs and expectations.

But different banks excel in different areas of mobile banking. CIBC and Scotiabank received the highest overall scores, each earning an impressive 75 out of a possible 100 in our benchmark. The two banks achieve mobile banking success with strong core banking features plus enhancements in key areas: For example, CIBC offers excellent product research tools, while Scotiabank recently launched a best-in-class help service within its mobile apps (see image below).

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From Shanghai To São Paulo: A Comparative Look At eCommerce In China And Brazil

Zia Daniell Wigder

Over the past few weeks, I spent several days in both China and Brazil speaking with eCommerce executives about the opportunities and challenges in their respective markets. Despite the vastly different market sizes – China’s retail eCommerce market reached $440B in 2014 while Brazil’s came in at $18B – these two countries are similar in that they both dwarf other markets in their regions in terms of online sales.

There are many different ways to look at eCommerce in China vs. Brazil; below are just a few areas in which these markets differ and where they show similarities:

Mobile evolution is at different stages. In China, Alibaba's Q1 2015 results showed mobile to be 51% of GMV across its marketplaces, up from 27% a year ago. In Brazil, by contrast, eCommerce players of all types tend to see lower figures in terms of both GMV and total transactions via mobile. B2W, for example, one of the top players in online retail in Brazil, reported that 16% of orders placed in Q1 2015 were via mobile. As the percentage of mobile revenues grows in both markets, so will expectations of companies’ mobile experiences.    

At Alibaba, overall sales are shifting heavily toward mobile 

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Fitbit IPO: The Road Ahead

Julie Ask

Fitbit made its S1 filing coming off a quarter of astounding growth: $336.8M in revenue – up from $108.8M in Q1 2014. The enterprise generated $48M in net income. Last week we learned it hopes to raise $100M through an IPO. Why would Fitbit IPO now?

There are any number of traditional reasons - raise capital, return money to investors, etc. But what is interesting to debate, however, is the timing of Fitbit’s IPO. Fitbit may have chosen to IPO now so it can:

  • Draft off Apple’s wave. Fitness bands and smart watches have been on the market for years, but sales have been limited – especially for smart watches. Apple’s entry and marketing spend will drive awareness of the category from early adopters on the west coast to mainstream consumers. The tide will lift all boats, as the saying goes.
  • Raise capital at a possible peak. The smart watch may kill off or stymy the growth of lower end fitness bands. The cameras on early mobile phones were not as good as the digital point and shoot cameras or SLR’s owned by consumers, but a camera on hand is better than the one at home in a drawer or closet. The pedometer and sensors on a smart watch may not measure activity with the same precision as a dedicated device, but it may be good enough for many consumers.
  • Take advantage of a market with few IPO candidates. Few small companies will mature enough – let alone show the financial strength – to take their companies public. Many entrepreneurs are building services that make great features rather than great businesses. Their exit strategy is to sell to a Google, Facebook,, IBM, Oracle, Microsoft, or SAP.
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Associate Enablement Is The Unsung Hero Of mPOS

Adam Silverman

As far as digital store initiatives go, iron-clad success stories are notoriously hard to come by. Mobile point-of-service (mPOS) is one of the few digital store technologies that has garnered the attention and investment dollars of retail executives—but the return on investment has been nonetheless elusive. Adam Silverman - Forrester - Principal Analyst - mPOSDespite large-scale deployments by a number of leading players (including Nordstrom, Urban Outfitters, and Bloomingdales, among others), key questions such as “will this drive incremental revenue?” and “which use cases deliver the most customer and retailer value?” remain. Our newly published report “The Business Case For mPOS Is Associate Enablement” answers these questions and addresses common opportunities and challenges for eBusiness leaders rolling out an mPOS program. In the report, we find that:

  • Consumers expect digitally-enabled associates to facilitate in-store engagement. Retailers must change their thinking and start to view mPOS as more than just a “mobile cash register.” When shoppers see a store associate armed with a mobile device, they expect to receive contextualized assistance when and where they want it. In addition to ringing up sales in aisle, your associates should be prepared to use their devices to access enterprise inventory, provide product information, and give personalized product recommendations.
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Small Business Insurers: Are Your Digital Sites Open For Business?

Ellen Carney

Small business is booming in the US.  The US Small Business Administration declared this week as “National Small Business Week” to promote the role that small business plays in the US economy.  Why should insurance companies pay close attention to the needs of small business? For starters, small businesses mean:

  • Big economic impact. Small business spells substantial opportunity. These small businesses comprise about 49% of private sector employment, and about 43% of private sector payrolls.[i] And as small business grow, that growth translates into the need for more insurance to cover employees, vehicles, and other liabilities.
  • New revenue streams.  With self-driving vehicles tests planned in 30 cities by 2017, there’s trouble ahead for the industry’s cash cow, private passenger auto insurance.[ii] Small business insurance is one revenue stream that insurers can increase to counterbalance premium declines.
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Six Takeaways From Global eCommerce Events In New York

Zia Daniell Wigder

Last week there were a couple of great events related to global eCommerce here in New York — Borderfree had its annual Global eCommerce Forum and Adyen held a local merchant event. A few themes emerged:

Omnichannel is now a must-have. At both events, omnichannel retail was front and center. Adyen underscored the opportunities inherent in integrating online and offline payments. At the Borderfree event, Stephen Sadove, the former chairman and CEO of Saks, kicked off the event with 10 disruptive trends. He declared that #1 and #10 were most important: #1 was the shift to omnichannel.  Sadove cited the substantial gross margin implications of being able to move inventory between channels; he also emphasized it’s “not a sustainable point of view ” to believe that getting one view of the customer is just too expensive.

The demands of retail leaders have shifted. Other issues that came up regularly with attendees at both events were the changing needs of retail and the challenge of hiring qualified talent (“talent requirements” was the #10 big trend on Sadove’s list above). Today’s business leaders must be able to deal with a laundry list of new topics — e.g.  mobile payments, cross-border eCommerce — many of which wouldn’t have registered on their agenda just a decade ago.

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Millennial Shopping Experience Series: Old School Satisfaction in New School Brooklyn

Patti Freeman Evans

This blog is the first in a series I've devised where I've asked a few millennials (some on my team, some in my family, and others) to look at their shopping experiences across the multichannel field and report back.  Those reports will be featured here, in my blog over the next few months.  

Why am I doing this?  Well as Sucharita Mulpuru writes in her terrific report, The Future of Shopping, 0% 100% repeat-x rgb(255, 255, 255);">Digital natives are now sought-after shoppers with disposable income and retailers are nervous that these consumers are capricious and demanding, with unique expectations for products, customer service, and payments.  Most large firms are looking for data and insights on millenials, even if they are not in their core customer segement.  So here is the first in my series by Luke Evans:

Old School Satisfaction in New School Brooklyn

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Andy Hoar gets bold

Patti Freeman Evans

Andy recently published the first B2B ecom forecast .  He and the forecast team have tackled a complex market and come up with bold numbers-- and the numbers are huge.  Here's a link to his blog.  And here is a link to the doc.

Then, Andy followed it up with a big idea report: Dealth of a (B2B) Salesman.  It's bold work that maps out the future of the ebiz B2B salesman - who survives, who evolves and who doesn't.  Here's a link to his blog.  And here is a link to the doc.

For any eBusiness pro working in B2B these two docs are worth the read.  Even if you don't agree with the conclusion in the Death of a Salesman doc initially, you will see a very strong, well laid out argument that is pretty hard to ignore.  Happy reading!

Digital Executives At Banks: Steal Ideas From Retailers To Win More Customers

Peter Wannemacher

Over the past decade, digital executives and teams at banks have made strides in digital selling by upgrading and improving their public websites — and more recently their mobile apps and sites. But conversion rates on many banks’ websites remain low — in some areas, well below 10% — even as consumers’ expectations for digital experiences rise.

To take their digital selling to the next level, digital marketing and sales teams at banks should look outside the banking industry for fresh thinking. One area to look for inspiration is retail: By adapting digital tactics that best-in-class retailers use, banking digital teams can make adjustments to their websites and mobile apps that boost conversion rates and sales overall. Forrester has just published a new report that outlines “What Banks Can Learn From Retailers' Websites.” Here are just three of the ideas we discuss in the report:

  1. Merchandise around customers’ needs and journeys rather than product silos. Retailers have found success by merchandising entire site sections, and even microsites, around customer journeys and events. Yet our research finds that virtually all banks still use products as the organizing principle on their websites. In 2013, Wal-Mart created a complete "back to college" microsite with digital marketing on key landing pages. As a result of this and other digital merchandising efforts, Wal-Mart increased the number of back-to-school products sold on its website by 30% year-over-year.
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Great Digital Customer Experience Must Be More Than Skin Deep

Ken Calhoon

It’s impossible to have great customer experiencewithout digital transformation in the age of the customer. Most of us think first about the front-end experience when challenged with improving digital customer experience. We naturally gravitate toward the direct human interface: web features and functionality, design, native mobile apps vs mobile web and more. This is the glitz of digital customer experience and there is no relaxing here—your competitors and peers continue to raise the bar.

Look at online retailers for example. Companies like Amazon and Etsy scored high on our Customer Experience Index, and both have done so being customer obsessed--not only in their behaviors but in the digital experience they deliver.

But that’s Amazon and Etsy, both digital-only brands you’d expect are creating great digital customer experiences. How about a company you wouldn’t necessarily expect? Take Grainger, a B2B seller of construction and maintenance products, that is driving significant company growth through digital success.In 2014, ecommerce made up 36% of the its revenue and accounted for nearly all of its sales growth.Over the past couple of years, it has invested in the front- and back-end: it launched a new website and mobile app while expanding its products online over 1.2 million and constructing a one-million square foot distribution center in Illinois. Grainger’s revenue and profit growth are the direct result of new, preferable digitally-based customer experiences rooted in operational excellence.

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