Let Me Tell You Why I’m Leaving - prodevmedia.comm-Leav… · A little history 4 Milo Daniel...
Transcript of Let Me Tell You Why I’m Leaving - prodevmedia.comm-Leav… · A little history 4 Milo Daniel...
Let Me Tell You Why I’m Leaving: How Mobile Services are Driving Customer/Member Retention and AcquisitionKevin Moland, AAPDirector, Enterprise Payment Solutions Product StrategyJack Henry & Associates
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© 2016 Jack Henry & Associates, Inc.
Agenda
• A little history• Trending digital, going mobile• The power of digital convenience• Mobile features that delight• Experience matters• Summary
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© 2016 Jack Henry & Associates, Inc.
A little history
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Milo DanielMoland
1858
Origin of the Species
1859
Radio1895Telephones
1876
Television1923
Computers1937
PCs1976
World WideWeb1989
MobilePhones
1973
E-mail1993
iPhone2007
Facebook2004
iPod2001
Siri2011
© 2016 Jack Henry & Associates, Inc.
A little history
7 An Increasingly Mobile World Part 1: The Mobile-only User,Stormhold Digital, November 2015
7 billion people
4.8 billion mobile phones
4.2 billion tooth brushes
© 2016 Jack Henry & Associates, Inc.
A little history
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Every minute, there are three times as many smartphones being
activated as there are babies being born.
An Increasingly Mobile World Part 1: The Mobile-only User,Stormhold Digital, November 2015
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A little history
Technology is changing(and will continue to change)
the way we live.
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Trending digital
10Bank branch transformation begins with culture,
CBInsight, February 2016
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Trending digital
ABA Survey: Online, Mobile Banking Most Popular With Consumers, August 201611
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Going mobile
12Javelin Strategy & Research: 2015 Mobile Banking, Smartphone, And Tablet
Forecast, December 2015
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Trending digital
ABA Survey: More Consumers Turning To Mobile Banking, July 2015 13
MonthlyInteractionsWith Main FI
Web (7)
Mobile (3)
Other (7)
~60%
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14 The Financial Brand: 8 Trends to Improved Digital Customer Retention,July 2015
Trending digital
“Virtually every customeris now a digital customer.”How?
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Trending digital
The Financial Brand: Digital Banking Customer Retention Trends
Customers/Members
PartiallyDigital(80%)
TotallyDigital(20%)
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Going mobile
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Digital Users
Use VariousDevices
(69%)
StrictlyMobile(31%)
Mobile Payments Today: Banks Seek To Capitalize On Mobile Customers, August 2015
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Going mobile
17Number of Mobile-Only Internet Users Now Exceeds Desktop-Only in the U.S.,
comScore, April 2015
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Going mobile
http://www.emarketer.com/Chart/US-Internet-Users-by-Device-2014-2020-millions/18581118
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Going mobile
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Who?Over half of Facebook users access the service only on mobile,
Venture Beat, January 2016
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• Millennials• Prefer mobile banking: 61%• Used it this week: 69%• Used it this month: 83%
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Going mobile
Sixty Percent of Millennials Prefer Mobile Banking: Survey,Credit Union Times, September 2016
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• The underbanked: • 70% of underbanked consumers have mobile phones and
55% of those use mobile banking.
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Going mobile
Consumers and Mobile Financial Services 2016,Federal Reserve Bank, March 2016
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• People like me!• 55+ small town white collar professional with great credit rating• Three personal checking accounts, one business checking
account, and five savings accounts• Three debit cards, four credit cards• A mortgage, a car loan, and an upcoming student loan• Two retirement/investment relationships
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Going mobile
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Going mobile
23 Consumers and Mobile Financial Services 2016, March 2016
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Going mobile
http://wearesocial.com/sg/special-reports/digital-2016Mobile Payments Today/KPMG24
Why?
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The power of digital convenience
RetailWire, Study: Self-Service Trumps 'Live' Service, November 2010http://www.retailwire.com/discussion/14870/study-self-service-trumps-live-service
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The power of digital convenience
27Bain & Company: The Channels that Delight or Annoy,
November 2015
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The power of digital convenience
28 Mobile Banking Satisfaction Drops As Digital Expectations Rise,The Financial Brand, June 2015
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• 70% of those 30 and under consider mobile banking a “must have”
• More than half (58%) of those prospecting for a new FI do at least some of their research on a mobile device
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The power of digital convenience
The Financial Brand: 8 Trends to Improved Digital Customer Retention, July 2015The Financial Brand: Millennials Seduced By Big Banks, February 2015
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The power of digital convenience
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5%
13%
14%
25%
26%
27%
28%
34%
0% 5% 10% 15% 20% 25% 30% 35% 40%
OTHER
NO LOCAL BRANCHES FOR OLD FI
HIGHER APR
INCENTIVE OFFER
BETTER MOBILE EXPERIENCE
I MOVED
POOR CUSTOMER SERVICE AT OLD FI
LOWER FEES AT NEW FI
Why Switchers Switched
Bank Innovation: Price Still Trumps Mobile Apps When Customers WeighSwitching Banks, March 2016
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The power of digital convenience
31The Financial Brand: http://thefinancialbrand.com/58261/new-checking-digital-
acquisition-strategies/, April 2016
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• “Today, local banks and credit unions tout their superior customer service and attention to community causes, and consumers may say, ‘That’s nice, but I’d rather just do all my banking with whatever institution provides the best digital experience.’”
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The power of digital convenience
The Financial Brand: Responding to the New Definition of ‘Convenience’ in Banking, November 2015
What?
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Mobile features that delight
Mobile Banking Satisfaction Drops As Digital Expectations Rise,The Financial Brand, June 2015
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Mobile features that delight: Bill pay
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Actual Forecast© 2014 Javelin Strategy & Research
Bank online
Actual Forecast
Pay bills at FI websites
Pay bills at biller websites
(Mobile Payments Today: Banks seek to capitalize on mobile customers, August 2015)The Financial Brand: 8 Trends to Improved Digital Customer Retention, July 2015
© 2016 Jack Henry & Associates, Inc.
Mobile features that delight: Bill pay
35 Consumers Love Paying Bills With Their Smartphones, The Financial Brand, March 2015
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Mobile features that delight: Bill pay
JAVELIN Examines Features to Cement Gen Y's Lead in Bill Pay,February 2016
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• By the way, your business customers could use a hand getting set up to take mobile payments from their own website.
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Mobile features that delight: Bill pay
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Mobile features that delight: Remote deposit
39 ABA Survey: 1 in 3 Americans Use Mobile Deposit, October 2016
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Mobile features that delight: Proximity payments
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“Customers are shocked when they realize how fast mobile payments are. One tap and
they’re on their way,” said Morgan Gary, Owner and Founder of Spin Laundry Lounge. “I definitely see mobile payments taking off. It’s inevitable our society will start to move
away from cash.”
http://thenextweb.com/apple/2016/07/07/square-nfc-payments-apple-pay-tipping/
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Mobile features that delight: P2P payments
www.mastercard.com/send
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“Customer expectations are not being shaped by peer-competitor banks. They are being shaped by Apple. They are being shaped by Google. They are being shaped by Amazon.”
- Jim Smith, EVP of Virtual Channels, Wells Fargo
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Experience matters
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Experience matters
1. Open Safari, navigate to
login
2. Type user ID,
hit ‘Go’
3. Accept option to get SMS code
4. Open textto view code
5. Write down or memorize
code
6. Return to bank site in
browser
8. Choose ‘Remember
this device,’ hit ‘Go’
7. Enter code, hit ‘Go’
9. Enter password, hit
‘Go’
10. Choose ‘Account
Summary’
10-step program for quitting mobile banking
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Experience matters
50 Is Internet Time All About Apps? eMarketer, September 2016
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Experience matters
Can you repeat that please?
“That may be more secure, but it doesn’t give my user the
great customer experiencethey expect from us.”
© 2016 Jack Henry & Associates, Inc.
• Limited mobile banking options• No integration with financial apps• No mobile bill pay• No mobile remote deposit• No mobile P2P payments• No Apple Pay/Samsung Pay• No cool conversation-based tools
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Let me tell you why I’m leaving…
© 2016 Jack Henry & Associates, Inc.
• Optimized mobile banking site• Apple Pay • P2P payments with Square Cash• Mobile deposit with Ingo Money• Mobile bill pay?
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Let me tell you why I’m leaving…Let me tell you why I’m staying!
© 2016 Jack Henry & Associates, Inc.
• Technology will continue to change the way we bank.• Virtually every customer is now a digital customer.• Increasingly “digital” means “mobile.”• Mobile features that delight will drive consumer
willingness to stay (or switch!)• Especially in mobile, customer experience matters.• It’s not too late—yet!
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Summary
Questions?
Kevin Moland, AAPDirector of Product Strategy forEnterprise Payment Solutions