GoBank’s recent results suggest that the potential of the Debanked is real, and that there are consumers who are truly giving up checking accounts as their primary financial account. Not because they have to, not because they’re under-served, under-class consumers. But because they want to..
Making the payment is not the part of the customer experience that consumers want a digital wallet (whatever that might be) to improve. The mobile moments of opportunity–to improve the customer experience, to add new levels of convenience to the customer experience, to help consumers make better/smarter decisions about how they manage and spend their money–occur before and after the payment.
A recent survey conducted by idRADAR asked consumers: What concerns you more, data breaches or government listening to your private phone or email conversations? I can’t believe how consumers responded.
If you have an impulse purchase problem, the Amazon Fire Phone is not the phone for you. If you need help managing your financial life, don’t think that Amazon–through it’s amazing ability to gather, store, analyze, and deploy data–is going to help you anytime soon. The Fire Phone presents a threat and two opportunities to banks.
You know what we need? A common, agreed-upon definition of what disruption is. Discussions typically focus on individual firms that are talked about as potential disruptors. I hear little, however, of exactly what new technologies they’re bringing to the table that would cause disruption, or of technologies that existing banks aren’t already adopting and deploying en masse.
A common trait among emerging generations is a desire to break from the past, and overcome the sins of their fathers (not mothers, because women are perfect). What’s funny about the newest young generation is their interest in disruption within the payments industry. Unfortunately for disruptors, there are speed bumps on the path to payments disruption.
There are trends in place that will challenge the upward trend in debit card interchange for FIs with less than $10b in assets. FIs will need to take steps to protect their debit interchange revenue.
Sorry that this falls on you bankers and credit unionistas, but you guys will have to provide some consumer education here. Specifically, on the differences between credit monitoring and transaction monitoring. Credit monitoring is good, and it’s needed, but it isn’t anywhere near a complete solution to protecting consumers’ card-related information.
Device shouldn’t be the only factor determining what constitutes a mobile payment. Location matters. As long as the numbers being reported include home-based, web-based purchases, I remain skeptical that mobile payment statistics really capture the shift in behavior.
Coin’s initial “success” has little to do with rational, logical reasons like solving a “problem,” referral fees, or appealing to early adopters with a blend of “old” and “new.” Coin’s initial “success” is due to the TechCrunch Effect. That’s it, folks. The one — and only — reason for Coin’s “success” was coverage on TechCrunch.