 |  |  |
Industry News Many banks currently staying away from social networking and mobile banking for business 2010-06-18 A new industry survey by Fundtech shows that while some banks are embracing social networking and mobile banking technologies for consumers, financial institutions are either hesitant about the ideas, or completely opposed to using the platforms in business transactions. The survey data was compiled by polling executives at the company's annual Insights Conference, and included more than 100 executives from 53 different U.S. banks. Just 36 percent of respondents said that implementing social networking programs had potential for business banking. Another 32 percent of those surveyed said that it was still unclear what kind of advantages the technology could bring, and 23 percent responded that using social networking applications in business banking was "ridiculous." The study also found that while interest in mobile banking for business was increasing, 51 percent of executives surveyed said that they don't have a business mobile banking application, and won't have one in the next year. To this point, only 10 percent of banks have developed a smartphone application for their business customers, and another 39 percent planned to release one in the coming months. Those figures are in sharp contrast to consumer mobile banking solutions, which remain in high demand. The survey found that 57 percent of banks are expected to offer a consumer mobile banking application by the end of 2010. The reduced urgency of financial institutions to develop social networking and mobile banking applications for their business customers may be a reflection of low demand, according to the study. Of those polled, only 26 percent said that their business customers had shown a demand for mobile banking, and that most interest was mainly curiosity. "Now more than ever, banks must selectively develop innovative new products and services to capitalize on these growth opportunities and maintain their competitiveness," said George Ravich, CMO of Fundtech. The reluctance to expedite the creation of the new products shows that institutions are focusing their development efforts on products that have the strongest impact on growth and customer loyalty in banking, such as fraud monitoring. While advanced analytics have played a big role in preventing bank fraud, major events like the Olympics and World Cup can wreak havoc on these systems. Bank Systems & Technology reports that large-scale events can throw off existing risk analyses because of the sudden increase of people traveling overseas. 
Make Every Staff Member a Marketing Ambassador Recent Customer Attrition Retention, and Loyalty News Two More Words on Client Retention
|
 |
 |
 |
 |
 |
 |
Contact Us | FAQ | Site Map | PNT Privacy Pledge | © 2008 PNT Marketing Services