Post on 22-Aug-2020
© 2011 Treasury Strategies, Inc. All rights reserved.
Mobile Banking: Baby Steps to Get in the Game
May 19, 2011
PRESENTED BY: Phil Capodice, Consultant, Treasury Strategies
George Ravich, EVP & Chief Marketing Officer, Fundtech Ltd.
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A New Path to Growth . . . and Challenges
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Understanding the Underlying Forces
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The Social Backdrop
1G - 1978
2G - 1991
3G - 2001
4G - 2008
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Current Norms: • User comfort • Ubiquitous presence • Immediacy
The Social Backdrop
1G - 1978
2G - 1991
3G - 2001
4G - 2008
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Commercial Mobile Banking
1997: Merita Bank offers retail banking via text message: Coke anyone?
2006: Wells Fargo offers mobile alert services to small businesses
2007: Wells first to offer mobile banking app for corporates: CEOMobile
2010: Fundtech introduces Mobile ACCESSplus
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Current Use is Limited
Reasons for Not Using Mobile Applications
Current bank(s) do not offer a mobile application for treasury or payments
Other
Don't believe data is secure
Don't use mobile devices
Do you use mobile banking applications for Treasury?
No
Yes
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Comparison Between Norms
Personal Mobile Use
User comfort
Ubiquitous presence
Immediacy
1G - 1978
2G - 1991
3G - 2001
4G - 2008
1997: Merita Bank offers retail banking via text message: Coke anyone?
2006: Wells Fargo offers mobile alert services to small businesses
2007: Wells first to offer mobile banking app for corporates: CEOMobile
2010: Fundtech introduces Mobile ACCESSplus
Corporate Mobile Banking
Security concerns
< 4% of corporate users
Immediacy
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Typical Treasury Structure
Median Worldwide Treasury FTE
0
5
10
15
20
Asia-Pacific Europe North America
Middle Market Mid-Corporate Large Corporate
<$1 Billion $1-5 Billion >$5 Billion Revenue:
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Typical Treasury Structure
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Typical Treasury Structure
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User Base By Region
12%
13%
13%
25%
15%
15%
16%
12%
All other geographies (n=41)
Asia-‐Pacific (n=61)
North America (n=87)
Western Europe (n=121)
Q: If your bank were to offer mobile corporate banking services in the next 12 months, how likely would you be to use it to perform advanced
func@ons?
Very Likely Likely
Source: Aite Group, 2010
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What Do They Want?
Information
Execution
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What Do They Want?
31.0%
46.0%
56.0%
61.0%
70.0%
83.0%
99.0%
Reset user passwords
Other
Execute trades
Release payments
Approve payments for release
Confirm trades
View balances
Desired Uses of Commercial Mobile Banking
Source: 2010 TSI survey of 539 treasury practitioners globally
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Other Insights
Extension of TMS
Easy to learn
Increased convenience
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Mobile Corporate Banking Baby Steps to Get In The Game
Thank You for Attending Today !
© Copyright 2011, Fundtech Ltd. All Rights Reserved.
Very brief company background
Emergence of mobile corporate banking
Mobile ACCESSplus
Demo
Topics
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Fundtech’s Operations Geography – 16 locations, 4 continents
5 Development Centers 2 Managed Service Centers 3 ASP Data Centers 16 offices
Sales by Geography
Europe 40%
North America 40%
ROW 20%
San Francisco
Los Angeles
Boston
Atlanta New Jersey
Frankfurt
Australia
Singapore
Tokyo
London Zurich
Geneva Wales N’ham
Pune
Tel Aviv
Revenue $142
© Copyright 2011, Fundtech Ltd. All Rights Reserved.
Fundtech’s Product Domain
Bank Opera@ons Customer Facing
Payments (Domes@c, Cross-‐Border, SEPA, FX)
High Value Payments
ACH
Bank Liquidity Management
CLS
Mass Payments
Payments Services Hub
Financial Messaging
SWIFT
SWIFT Corporate Access
RTGS Connec@vity
Cash Management/ Electronic Banking
Cash Management
Domes@c & Mul@-‐Country Cash Management
Financial Supply Chain
Electronic Invoice Presentment and
Payment
Supply Chain Financing
Bacs Payments
Corp. Liquidity Management
Corporate Expense Report Mgt.
Cash Flow Opera@ons
Current Product Portfolio
Mobile Corporate Banking 2011 Presentation
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Usage of Mobile Banking Services
Fast growth in consumer use of mobile banking services.
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Growth in Tablet Computers
Tablets are a new business productivity tool.
A “game changer” for mobile corporate banking
“Many business have raced to snap up iPads” Aug.24, 2010
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Global Research of Treasury Execs.
Fielded with gtnews October 2010 Analysis done by AiteGroup 320 Total respondents
Respondent Demographics
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Interest / Likely to Use – 65% likely to use basic functions – 56% likely to use advanced functions
Key Benefits – 39% Anytime access to account info. – 38% take immediate action
Key Concerns – 65% say that security is a concern – Of those not interested – security is the reason
Key Findings
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Willingness to Pay for Service
49% willing to pay extra for mobile services Fixed annual or transaction fee
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Conclusions
“…first-mover advantage exists for any institution addressing the unmet market need for corporate mobile banking.” “Whether to offer corporate mobile banking services is something that all commercial banks around the globe should be considering.”
Christine Barry
© Copyright 2011, Fundtech Ltd. All Rights Reserved.
54% say mobile corporate banking top/very important priority
42% rated customer interest extremely or very high
31% believe its a competitive differentiator for their bank
77% think fraud/security is biggest barriers to growth
PaymentsLIVE! Reasearch
The survey of 267 bankers
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PaymentsLIVE! Research
Is mobile banking services an incentive for small businesses to move from the retail platform to the cash management platform?
168 banker responses
Mobile ACCESSplus The first mobile corporate banking platform
© Copyright 2011, Fundtech Ltd. All Rights Reserved.
Handle multiple operating systems Institute security Deal with mobile networks Connect into bank’s backend / become a channel
Mobile ACCESSplus Platform and Apps
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Which Platform and Devices ?
Platforms targeted by Mobile Applications in 2010
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Which Platform and Devices ?
Projected platforms targeted by Mobile Applications in 2011
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Mobile ACCESSplus Devices
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Apps. Customized for Each OS – Ease of Use
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Registration Daily Use Termination
Security Life Cycle
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Security – Registration
Password
Digital Certificate
Activation
Approved
Mandate
Corporate KYC
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Authorization Digital Signing Encryption
– Transmission – Storage
Location – GPS feature in smartphones
Security - Daily Use
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Natural / Voluntary Mandate revoked Lost / Stolen
– Remote Kill – Encrypted Store
Security - Termination
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Visibility Real-Time Information Approval & Release Payment Initiation Payment Capture Administration
Capabilities / Apps.
Treasurer +
Sales Person +
Managing Director
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Leveraging Existing Infrastructure
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CASHplus
CASHplus Desktop
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CASHplus
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Accountis EIPP
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Accountis EIPP
Demos
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A New Path to Growth . . . and Challenges
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Questions
Phil Capodice Consultant Treasury Strategies 312.628.69xx Phil_Capodice@TreasuryStrategies.com George Ravich EVP & Chief Marketing Officer FundTech 201.215.6530 george.ravich@fundtech.com
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About Treasury Strategies, Inc.
Who We Are Treasury Strategies, Inc. is the leading treasury consulting firm working with corporations and financial services providers. Our experience and thought leadership in treasury management, working capital management, liquidity and payments, combined with our comprehensive view of the market, rewards you with a unique perspective, unparalleled insights and actionable solutions.
@TreasuryStrat
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