Digital Banking 26

Millennials

Dear all,

I want to start with a chart of 102 start-ups attacking the retail banking value chain. I believe I have already published a previous version, but it is a good habit to revisit it from time to time.

www.cbinsights.com/blog/digital-banking-market-map

102 fintech startups. And none providing the complete banking experience. 102 points of reference for those wanting to improve their services, leveraging on their technical capabilities, customer base, footprint, reach, …. 102 ways to improve aspects of a complete banking experience (and some more, if synergies are discovered).

A friend of mine sent me the access to the following report - insights.fb.com/2016/01/25/millennials-money-the-unfiltered-journey/. This may be an example of what to do with big data, but what really caught my attention was the report content itself. In order to better understand Millennials financial behaviours and attitudes, Facebook analysed conversations about financial matters on their own network, listening to Millennials in their own words – again …be careful what you write down …there is always someone reading. And when we observe their financial behaviours and listen to Millennials describe their relationship with money in their own words, they happen to be cautious (some would say too much), diligent in paying down debt, careful with credit cards and dedicated to accumulating savings. But they have the feeling – some may say they have discovered the truth - there is more they should be doing with their money, and there is no clear offer or guidance out there. Enjoy the reading, really inspiring.

Talking about Millenials, check out these two ads that were broadcast in the Superbowl – and they are not about beer. Guess who the target was, guess what they were about.

Talking about millennials, again …talking about fintech, again …check this out, again … and ask yourselves if they deserve a try, if it is good to go through a Millennial experience this weekend …up to you. Thanks, Mariano!

https://www.cbinsights.com/blog/fin-tech-startups-millennials

And finally a couple things:

• For those “lazy-to-read” ….soundcloud.com/breakingbanks

• For those who believe the world is not global …. www.digitalattackmap.com

Have a great weekend

Cheers

Digital Banking 25

Omnimobilechannel

Dear all

If you watch Bloomberg, you will be aware that one of the week highlights has been Google (aka Alphabet) becoming the world's most valuable company.

http://www.statista.com/chart/4307/google-market-cap/

The reorganization of Google into Alphabet is paying off. A company with present, and a company building its future. And by the way, ours with theirs.

The modern consumer wants it all - mobile, online and branches - and expects all access points to work together in a single, harmonious, delightful user experience. But, what about simplifying life and making the access point to be unique? Fernando García Quismondo talks about what he has called "omnimobilechannel", referring to the fact that nowadays we have almost all channels in the mobile device: web, mail, chat, voice (of course), apps ... Companies are still thinking of "channels" when the reality is that they all are converging on a single device. And it will be customers choosing what "channel" to use in their mobile devices.

Talking of mobile banking, pay attention to thefinancialbrand.com/56959/mobile-banking-roi-benefits-research/. A very good article, ellaborating on why mobile banking is profitable. It seems to me as a catch 22 situation, where nobody knows if profitable customers become mobile customers or if mobile customers become profitable, but there are some data suggesting that former non-mobile customers increase the number of products consumed and the volume of transactions - to charge a fee will be up to each entity - when becoming mobile.

Let's do as Alphabet, let's dream the future (and with the future). Something I have really enjoyed, bankinnovation.net/2016/02/who-wants-to-chat-with-a-robot-turns-out-everybody/. I like the idea of robots not having the perfect knowledge, but interacting with people as humans, sometimes talking of things that have an indirect relationship with what has been asked ... and what really caught my interest was to think that when we say "talk", often we are meaning "chat". And it applies not only to millennials, but all agers. Delivering good financial advise through whatsapp ... with a robot ... would be simply "awesome".

And to finish …www.mckinsey.com/insights/business_technology/how_shared_services_organizations_can_prepare_for_a_digital_future. Only four reflections of my own:

• Digitalise Operations ... is the second 'frontier' - most people are still crossing the first. We are constantly focused on the interaction with the outside, that we forget to reflect on how to use all these ideas, capabilities, possibilities ... .in how we work internally

• Yes, we will also have a war for talent in this area ("Rather than hire low-cost, entry-level talent, shared-Services Organizations will need to look for expertise in areas: such as point robotics, data analytics, and agile software development")

• Considerations on analytics, robotics, DevOps, ... are pretty much exciting

• "The IT and operations groups in shared-Services Organizations have been traditionally siloed; in a digital world, the two entities will need to collaborate frequently more and more effectively "

Have a very nice week.