Personalization comes to digital banking

A personalized customer experience has been a de-facto feature of online services and particularly e-commerce for years. Pioneered by the likes of Amazon and their mining of data to create a truly curated experience, consumers have grown to expect tailor-made services from all their online providers.

However, when it comes to banking, little personalization has been rolled out so far behind the firewall of online & mobile banking services, despite the huge amount of highly relevant data begging to be exploited. Things are changing though, as it appears to be the next key development for digital banking. Continue reading

Social media in banking: fad or trend?

In the banks’ quest to increase customer satisfaction and revenues, having a social media strategy has become a prominent aspiration. The past few years have witnessed a number of social media activities and programmes operated by banks with a mixed bag of failure (remember Barclays and the debacle with its fictional character Dan on Facebook?) and success (like Chase Bank blending social media channels with charity and community giving). In the current ever-changing landscape in which financial institutions operate, where does social media in banking stand? Is it a revolutionary and lasting ground for banks to design and roll-out their products and services? Fad or trend?  Continue reading

Mobile vs. desktop-based online banking

In an era of mobile first, when any software product manager is chastised for not putting mobile front and center in any roadmap, and when online giants like Facebook pivot to mobile in a big way (or at least try to), it is worth wondering if the desktop and laptop are still important or even relevant in consuming online banking services.

By the look of it, we are past the point of considering that mobile banking would face a risk of not gaining traction because of security issues. These were the original concerns raised in the early days of internet banking adoption and those were alleviated. So mobile is here and mobile is big but will mobile kill the desktop in the delivery of financial services?  Continue reading

Retail banking customers’ satisfaction does not mean loyalty

The relationship between retail banking customers and their financial institutions can often be described as strained and tumultuous. The role played by banks in the global financial crisis and its sequels of massive trading losses, Libor fixing scandals and active tax evasion scheming as documented by Offshore Leaks are certainly not doing anything to improve the confidence customers get in the entities they are entrusting with their deposits.
But that relationship is also laden with paradox. Despite the apparent breakdown of trust in financial services brands, report after report from around the world show good satisfactions of customers in their banks. Continue reading

Cracking the PFM adoption code

The adoption of Personal Finance Management (PFM) tools is widely reported as being subpar.

Most of the data on the subject is US-based so far. Analysts from Celent said some time ago that only 3.8% of all online banking users are active users of PFM solutions, the Federal Reserve said in a 2012 report that 21% of consumers currently use a PFM tool while Aite Group believed it’s a tad higher at 27% and Javelin concurred with 21% using a mix and match of PFM tools, from traditional money management software or spreadsheets to online banking and third-party services. Continue reading