Models of Mobile Banking Services
Sat, Jan 10, 2009
Multichannel delivery is a difficult service to deploy since it requires the coordination of disparate back end systems, the collection and analysis of customer information as well as device/security issues.
- Partnerships with operators that allow early visibility in a hitherto `closed’ market model that is expected to give way to the current fixed internet paradigm of open access. Other mobile content providers offer partnership potential through large fixed internet customer bases. Models include:
- Closed: all banking services are under the control of the service provider, currently the operator. Users are unable to access the service outside the `walled garden’ of the operator. This is a difficult model for operators because it involves content management as well as network operation. For example, to cope with such service provision Orange has created separate business units as part of the OrangeWorld concept. The closed model has the effect of stifling competitive services because it is much more difficult to integrate it with a portal. Traffic revenue may or may not be shared with content providers (eg banks)
- Open: this involves the operator merely providing the `pipe’ to the bank and offers the best time-to-market. The portal offering will consist of links to bank content and will pass little or no information about the user to the bank. This model allows users to browse any mobile website since increased traffic means increased operator revenue. Competition means this is a user-centric model where customers will have a choice of personalised services. Alliances will be struck between many banks, portals and operators
- Enabled-platform model: operators, banks and other content providers cooperate within the mobile portal and are able to access network information. Enabling access to this information would result in:
1. better application development
2. another revenue source for operators
3. transactions available through provision of authentication, security and billing mechanisms to banks.
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