Banking in the Mobile Age: MicroStrategy s Mobile Solutions. Stephen Bruggers VP Financial Services Solutions

Transcription

1 Banking in the Mobile Age: MicroStrategy s Mobile Solutions Stephen Bruggers VP Financial Services Solutions

2 Agenda Banking in the Mobile Age Transformation of Banking! Four Pillars of Mobile-Age Banking Analytics Mobile Identity Loyalty! ROI of Banking in the Mobile Age! Q&A!2

3 Mobile Wave Mobile Internet is the 5th Wave of Computing and a New Age of the Customer Mainframe Computing" ( )! Mini Computing" ( )! Personal Computing" ( )! Internet" PC" ( )! Mobile Internet" (2010- )! 1M Users" 10M Users" 100M Users" 1,400M Users" 5,000M Users" Age of Manufacturing Age of Distribution Age of Information Age of the Customer Sources: Morgan Stanley and Forrester Research!3

4 Connected Consumers Mobile Devices are Becoming the Universal Computing Platform Source: Kleiner Perkins Caufield Byers, Internet Trends, Oct. 2011!!4

5 Mobile Consumers Mobile Software is Replacing Most Things People Write Carry Touch Today Everything People Write, Carry and Touch Today Cash Credit Cards Key Cards Keys Camera Photo Album Radio Receipts Notes Tickets Loyalty Cards Insurance Cards Maps Contact Book Diary MP3 Player Drivers License Data Storage Watch/Alarm Calculator Letters Memos Newspapers Magazines Business Cards Bills Invoices Sales Reports Financial Reports Expense Reports Replaced by Mobile Software"!5

6 Omni-Channel Consumers Mobile Technology is Driving the Transformation of Banking Single Channel Multi Channel Cross Channel Omni Channel Single Point of Contact Multiple Points of Contact Multiple Points of Contact Multiple Channels, Single Point of Contact Silos of operations Silos of operations Silos of operations; consolidated view of customer Consolidating operations; consolidated view of customer Pre-Computing Mainframe / Mini PC / Internet Mobile !6

7 Omni-Channel, Location-Free Banking Banking is no longer somewhere you go, it s something you do. Brett King, Banking % 53% 35% 18% 64% Channel Preference % 40% 27% Channel! Chan ge LOCATION-BASED Branch ATM Mail LOCATION-FREE TOTAL Internet Mobile % Location-Based Location-Free Phone TOTAL % for demographic Average interactions across all demographics is 26x per month Unkown ABA 2012 National Survey TOTAL !7

8 Four Pillars of Mobile-Age Banking Core Components of Location-Free, Omni-Channel Banking 1. Analytics Foundation of all banking - risk, fraud, ALM, structured finance, etc. Business insights - segmentation, customers, products, data monetization 2. Mobile Anytime, anywhere banking Primary customer experience Efficiency and effectiveness 3. Identity Protecting customers at every touchpoint Delivering security and convenience 4. Loyalty Customer engagement: the new branch of location-free banking Connected customers Intersection of retail and banking!8

9 Pillar 1: Analytics Foundation of Mobile-Age Banking Meeting the new demands of the mobile age - instant results - self-service - ease of use - visualizations Self Service Instant Results Visual Analysis Ease of Use Comprehensive, low latency analytics - risk modeling - benchmarking - segmentation - projections - optimization Integrating the multiple data sources from the legacy silos customer view - consistent customer view across each silo - consolidated and consistent customer, product and organization insights Comprehensive Analytics Finance Transaction Banking Call Centers Risk Data Blending Mobile Banking Branch Banking Online Banking Wealth Mortgage Lending Payments!9

10 Four Pillars of Mobile-Age Banking MicroStrategy Enterprise Software Platforms!10

11 Pillar 2: Mobile Mobile has Revolutionized Banking Consumer Banking Finance Branch Banking Correspondent Banking Investments!11 Wealth Management

12 Pillar 2: Mobile Mobile is a Game Changer for Client Relationships Dynamics of client meetings change dramatically: meetings become more immediate, vivid, with accessible, live data - in short more memorable Efficient on-boarding: converting a prospect to client becomes efficient without disrupting paperwork Structured planning: recording personal details, analyzing risk and other variables goes smoother with a clear, device-supported process Wealth Management Seamless reporting: portfolio performance can be related seamlessly to current decision Drill-down details of the individual client s portfolio can more easily be related to trends More time to discuss wider investment issues and share insights Future-orientation: A meeting becomes more oriented to the future.!12

13 Pillar 2: Mobile Mobile is the New Branch Mobile Interactions: per month always with the customer frequent interactions primary point of contact all contact modalities Interactions: 3-5 per month ATM Internet Interactions: 7-10 per month Interactions: 1-2 per year Branch Phone Payments Interactions: 5-10 per month Interactions: per month!13

14 Pillar 2: Mobile Mobile-Age Customers Expect a Brand Experience Across all Channels Online Mobile Browsers Portals Smartphones Tablets 2! Branch PDF PPT Word Excel Deploy across all channels 1"!14 Build once One-Click Sharing Annotation

15 Four Pillars of Mobile-Age Banking MicroStrategy Enterprise Software Platforms!15

16 Pillar 3: Identity Bank s are required to verify identity at every touch point and for every transaction. Traditional Forms of Identity are Failing Physical Badges and Cards Lost Stolen Counterfeited Falsified Misused Usernames and Passwords Cracked Intercepted Phished Guessed Keylogged Over 100M accounts breached at Target, Nieman Marcus and other retailers. 76% of data breaches are caused by exploited passwords!16

17 Pillar 3: Identity Usher Mobile Identity s Groundbreaking Idea Dematerialize physical forms of identity into mobile software. Link mobile ID to its owner. Biometric PIN Cards Cryptographic!17 Negotiate identity transactions Authorize transactions Validate personal identity Login to applications Unlock entryways

18 Pillar 3: Identity Out-of-Band Identity Authentication Usher Mobile Client 2 Scan QR Code Other Usher Clients Submit scanned QR code Request QR code Receive identity information Usher Vault!18

19 Pillar 3: Identity Out-of-Band Identity Authentication Usher Mobile Client 2 Offer Personal Code Other Usher Clients Usher Code Usher Stamp Generate time-limited personal code Usher Signal Submit personal code Receive identity information 3 4 Usher Vault !19

20 Pillar 3: Identity Biometric, Cryptographic, Certificate-Based Security Biometric Link Only the owner can use the mobile identity Cryptographic Link Only designated phone(s) can use the mobile identity Dynamic Link The mobile identity is always up-todate and valid!20

21 Pillar 3: Identity Biometrically Protect Mobile Apps Biometric Authentication Lisa Merrifield Credit Card Offers Manage Account Contact!21

22 Pillar 3: Identity Single Point of Authentication for Every Banking Channel Omni-Channel Banking Delivered Today Online Banking Phone Banking Mobile Banking Branch Banking ATM Access Payments!22

23 Pillar 3: Identity Single Authentication for Every Point of Employee Access Single Sign On for Every Activity Security ID System Access Employee ID Door Entry Gabriel Smith VP Digital Strategy Gate Entry Business Card!23

24 Pillar 3: Identity - Payments Replace Plastic Cards with Mobile Identity More secure method of payment More convenient for customer to use Next generation payment solution Easy for to implement Launching pad for loyalty and commerce!24

25 Pillar 3: Identity - Secure Closed Loop Payments Plastic Payment account information Issuer Anyone Stolen Copied Lost Skimmed Mobile Biometric PIN Payment account information Issuer Owner Only Cryptographic Confirmation ID!25 Secure Encrypted Out-of-band

26 Pillar 3: Identity - Secure Open Loop Payments Payment network Plastic Payment account information Anyone Stolen Copied Lost Skimmed Payment account information Payment network Mobile Biometric PIN Owner Only Cryptographic ID + Confirmation!26 Secure Encrypted Out-of-band

27 Pillar 3: Identity - Private Label Payments Next Generation Payment Solution! Better than EMV EMV is a single channel solution; it does not protect ecommerce, the fastest growing retail segment EMV has been breached: - Cards and account numbers stolen - PINs hacked - EMV readers compromised and data skimmed - PIN security disabled on stolen cards EMV requires a massive, expensive infrastructure overhaul Private-label mobile payments are successful Consumers like them - Starbucks is processing 5 million mobile payment per week; 30% of their US payment volume Reduce retailer s payment processing fees Digitally link retailers to their customers!27

28 Four Pillars of Mobile-Age Banking MicroStrategy Enterprise Software Platforms!28

29 Pillar 4: Loyalty Digitally Connected to Your Customers Mobile Loyalty Platform High Bandwidth Interactive Channel Mobile Identity Platform Highly Secure Credentials and Authorizations The Mobile Badge Branch Mobile Financial Institution Interactive Channel Interactive Channel Inbox Promotions Targeted Marketing Mobile Storefront Geo-Fencing Loyalty Cards Gift Cards Social Media Present ID to: Identify Oneself Authorize Transactions Withdraw cash Access mobile app Online Phone ATM Payment!29

30 Pillar 4: Loyalty Bringing all customer touch points together Manage Account! $$ Cross Sell! CONNECTED Offers and Deals! Support!30 Contact

31 Pillar 4: Loyalty Delight customers with a new level of engagement. Inbox Loyalty Shop Targeted Offers Reward Points Mobile Catalog Location-based Offers Targeted Offers Apple!31 Android Redeem Reward Points Locate Offers Push Notifications

32 Pillar 4: Loyalty Use geo-fencing and push notifications to engage with customers whenever they enter or leave a defined area around a branch, merchant or other venue.!32

33 Pillar 4: Loyalty - Campaign Management Launch Promotional Campaigns and Customer Engagement Programs Financial Institution connected to... Retail Banking Customers Alert CMS Create Segments Design Promotions Launch Campaigns Monitor Campaigns Publish Content Campaigns Content Contact!33

34 Four Pillars of Mobile-Age Banking MicroStrategy Enterprise Software Platforms!34

35 ROI of Banking in the Mobile Age New Markets, New Opportunities, Lower Risk, Greater Efficiency New Markets - Growing demand for private-label, closed loop mobile payments - Identity verification and authentication services! New opportunities to engage customers and influence behavior - Attract new customers with the best customer experience - Drive more business by incenting shopping and payment decision - Increase cross sell opportunities - Reduce risk by supporting customer's financial decisioning! Reduce fraud - Increase security without burdensome protocols and procedures - Reduce losses from fraud and identity theft - Reduce cost of supporting fraud prevention! Lower cost per transaction with self-service, automated product delivery! Grow profit margins - Increase efficiency and effectiveness of front, middle and back offices - Improve speed and quality of decisioning across the enterprise! Transform your bank today, without massive infrastructure overhaul by building on MicroStrategy's Enterprise Platforms!35

36 Q & A