MOBILE BANKING SOLUTIONS Technology Abstract* December 2013 CEB TOWERGROUP RETAIL BANKING Jason Malo Research Director, Retail Banking Vendor Assessment and Quantitative Teams *For full copies please contact Stacy Berman at CEB TowerGroup
MOBILE BANKING SOLUTIONS Technology Abstract*
December 2013
CEB TOWERGROUP
RETAIL BANKING
Jason Malo Research Director, Retail Banking
Vendor Assessment and Quantitative Teams
*For full copies please contact Stacy Berman at CEB TowerGroup
RETAIL BANKING
Executive Director
Aaron Kissel
Managing Director
Jaime Roca
Research Director
Jason Malo
QUANTITATIVE INSIGHT TEAM
Project Manager
Carolina Valencia
Research Analyst
Ed MacDonald
VENDOR ASSESSMENT TEAM
Project Manager
Magda Rolfes
Senior Research Analyst
Virginia Hines
Research Analyst
Lauren Chin
COPIES AND COPYRIGHT
As always, members are welcome to an unlimited number of copies
of the materials contained within this handout. Furthermore, members
may copy any graphic herein for their own internal purpose. CEB
requests only that members retain the copyright mark on all pages
produced. Please contact your Member Support Center at
+1-866-913-6450 for any help we may provide.
The pages herein are the property of CEB. Beyond the membership,
no copyrighted materials of The Corporate Executive Board may be
reproduced without prior approval.
LEGAL CAVEAT
CEB TowerGroup has worked to ensure the accuracy of the information
it provides to its members. This report relies upon data obtained from
many sources, however, and CEB TowerGroup cannot guarantee the
accuracy of the information or its analysis in all cases. Furthermore, CEB
TowerGroup is not engaged in rendering legal, accounting, or other
professional services. Its reports should not be construed as professional
advice on any particular set of facts or circumstances. Members
requiring such services are advised to consult an appropriate
professional. Neither CEB nor its programs are responsible for any
claims or losses that may arise from a) any errors or omissions in their
reports, whether caused by CEB TowerGroup or its sources, or b)
reliance upon any recommendation made by CEB TowerGroup.
© 2013 The Corporate Executive Board Company. All Rights Reserved. 2
EXECUTIVE SUMMARY
TECHNOLOGY ANALYSIS SCOPE & METHODOLOGY
In response to feedback from our membership, CEB TowerGroup developed this technology analysis product to identify key components of a
mobile banking technology investment decision and effectively compare vendor technology products. Our methodology comes from the knowledge
that investment decisions center around the benefit to the individual and enterprise of a technology rather than the feature set alone.
This analysis is tailored to reflect the needs of the end user, in this case the retail banking executive, to diagnose the technology attributes
particular to a firm, and to effectively identify mobile banking solutions that align with the firm’s needs. To that end, CEB TowerGroup conducted a
series of interviews and surveys with financial services executives, industry experts, and vendors regarding mobile banking technology. The results
of this research formed the basis of our diagnostic anatomy and informed the proprietary five point rating system on which we scored individual
products.
CURRENT MARKET & FUTURE INVESTMENT
Mobile banking adoption is hindered by consumer preference, but spurred by near-term value. Though consumers are typically satisfied when
performing mobile banking transactions, branch channels are still preferred for more complex transactions. This indicates that digital channels have
not yet become a preferred channel for consumers. Executives are, in part, adopting mobile banking solutions to achieve a competitive advantage,
provide consumer-desired technology, and reach emerging markets.
Security is an implementation challenge for executives, and a barrier to adoption for consumers. Despite an increase in mobile users and
transaction volumes, both financial institutions and consumers are hesitant to adopt mobile banking technology for security reasons. Executives are
worried about ensuring data and software security, while consumer concerns tend to center around fraud management.
Investment in mobile banking systems expected to increase rapidly at 13.4% a year globally until 2017. The highest annual growth will occur
in the Middle East and Africa, where mobility provides a new way for retail banking executives to reach the unbanked population. Firms planning
to invest are particularly interested in mobile security and information security, which remains a primary barrier to adoption for both customers and
banks.
© 2013 The Corporate Executive Board Company. All Rights Reserved. 3
EXECUTIVE SUMMARY
VENDOR LANDSCAPE AND RANKINGS
Mobile banking solutions facilitate consumer transactions through secure mobile device channels. The selection process centered around those vendors with
mature products, globally recognized innovation, and multiple large-scale installations with major financial institutions. In particular this report looks at both
regional and global mobile banking systems. Many vendors featured in this report have significant experience supporting mobile banking for universal banks,
however, for inclusion, all solutions must have active retail banking clients.
This technology analysis includes ACI Worldwide, D+H, Digital Insight, FIS, Fiserv, Infosys, Kony Solutions, Misys, Monitise, Mshift, Oracle, SAP, and Temenos.
CEB TowerGroup also had conversations with SunGard and Wipro, however both solutions fell outside of the scope of this research.
By combining our qualitative and quantitative data from interviews with industry experts, financial institutions, and vendors, CEB TowerGroup identified 21
attributes that define a “best-in-class” mobile banking solution. These attributes are grouped into four categories that highlight a firm’s user and enterprise
needs. Vendor rankings are based on our proprietary five point rating methodology that scores each product on the 21 “best-in-class” attributes. The top
vendors were designated as “best-in-class” performers based on their composite scores in each of the technology categories below.
BEST-IN-CLASS TECHNOLOGY CATEGORIES
Retail banking executives investing in mobile banking technology should use the Diagnostic Anatomy to select the vendor that best aligns with their firm’s business
objectives and investment needs.
CUSTOMER EXPERIENCE includes those attributes that assess customer-facing and device-related features.
Leaders include Infosys’ Finacle Mobile Banking and 3 other vendor products.
INTERFACE DEVELOPMENT includes those attributes that affect the design and deployment of the system to the client.
Leaders include Infosys’ Finacle Mobile Banking and 4 other vendor products.
INTEGRATION & MANAGEMENT includes those attributes that help the firm mitigate risk and assist with management and oversight.
Leaders include Infosys’ Finacle Mobile Banking and 4 other vendor products.
ENTERPRISE SUPPORT includes those attributes that influence the enterprise’s tactical fit and strategic alignment with the vendor.
Leaders include Infosys’ Finacle Mobile Banking and 3 other vendor products.
© 2013 The Corporate Executive Board Company. All Rights Reserved. 4
Current Market
Future Investment
Vendor Landscape
Product Ranking
TECHNOLOGY ANALYSIS OVERVIEW
Mission Statement: CEB
TowerGroup Technology
Analysis process provides a
customer-driven,
transparent, and unbiased
review designed to drive
informed business decisions.
Current Market: Provides a
view of industry and customer
changes, and best practices for
technology investment and
implementation.
Future Investment: Forecasts IT
spending and identifies
emerging technologies and
innovations.
Vendor Landscape: Provides an
overview of key vendors,
product features, and market
position.
Product Rankings: Highlights
“best-in-class” attributes and
shows a comparative
perspective of leading
products.
Technology Analysis Presentation Roadmap
Market Drivers:
Assess changes in the
industry and customer
behavior
Spending Forecasts:
Benchmark global and
regional mobile
banking IT spending
List of Players:
Identify key technology
firms and their products
“Best-in-Class” Products:
See the top products
based on our anatomy
categories
Emerging Technology
Landscape:
Pinpoint emerging
technologies and
innovations
Diagnostic Anatomy:
Choose your investment
priorities with our
proprietary framework
Ranking Methodology:
Review the key
components of an
investment decision
Feature Audit:
Compare the relative
feature offerings by
vendors
Vendor Profiles:
Understand the key
differentiators between
products
© 2013 The Corporate Executive Board Company. All Rights Reserved.
Source: CEB analysis.
5
ROADMAP FOR THE PRESENTATION
Current Market Future
Investment
Vendor
Landscape Product Rankings
© 2013 The Corporate Executive Board Company. All Rights Reserved. 6
$4.04 $4.00
$0.61 $0.19 $0.17 $0.09
Call center Branch ATM Mobile Interactive voice response Online
MOBILE AND ONLINE MORE COST EFFECTIVE AS CHANNELS GROW
Mobile banking adds
another low-cost, desirable
access option for customers.
Transactions through mobile
channels are expected to
overtake branch channel
transactions sometime during
2014.
Executives are decreasing
overhead expenses by shifting
to mobile transactions which
cost, on average, 21 times less
than a branch transaction, and
offer additional value and
convenience to banking
customers.
Online Branch Mobile Contract Center
40,000
35,000
30,000
25,000
20,000
15,000
10,000
5,000
0 2015E 2014E 2013P 2012 2011
Delivery Channel Transaction Volumes In The United States
In millions, 2011-2015
Source: CEB TowerGroup, Full View of Mobility, 2012.
Source: CEB TowerGroup, 2012.
Cost Comparison For Transaction Channels
Cost per Transaction
© 2013 The Corporate Executive Board Company. All Rights Reserved.
Δ = 21x
7
SECURITY REMAINS TOP OF MIND
59%
41%
24%
21%
44%
19%
30%
30%
17%
14%
Ensuring security for data and software
Need to support multiple devices
Mobile application
Development platform maturity
Integration with other enterprise applications
Lack of mobile application
Development skills within the organization
Changing and uncertain needs of users
Requirements mobile device
Shortcomings (i.e. screen size)
Despite an increase in use,
executives and consumers
both voice concern about
mobile security.
n = 752
Source: CEB 2013 Technology Adoption & Investment Survey.
© 2013 The Corporate Executive Board Company. All Rights Reserved.
Security And Information Remain A Primary Concern For Financial Institutions
Percentage of Global Respondents, 2013
Top Reasons Customers Have Not Adopted Mobile Banking
Percentage of Respondents, 2013.
n = 1,709
Source: Federal Research Board of Governors.
1%
5%
5%
5%
6%
10%
11%
14%
40%
47%
49%
54%
Bank charges for mobile banking
I don't do the banking in my household
It's difficult or time consuming to set up
Other
I don't have a banking account
It is too difficult to see on phone's screen
The cost of data access is too high
I don't trust the technology
I don't have a smartphone/phone for mobile banking
I don't see any reason to use mobile banking
I'm concerned about the security of mobile banking
My banking needs are being met
8
ROADMAP FOR THE PRESENTATION
Current Market Future
Investment
Vendor
Landscape Product Rankings
© 2013 The Corporate Executive Board Company. All Rights Reserved. 9
FORECASTING GLOBAL TECHNOLOGY SPEND
Global Mobile Banking Technology Spend
In Millions USD, 2012 (E) – 2017 (P)
$1,551
$1,693
$1,987
$2,269
$2,546
$2,909
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
$4,000
$4,500
2012 E 2013 P 2014 P 2015 P 2016 P 2017P
Note: E indicates estimated values; P indicates predicted values; CAGR: compound annual growth rate.
CAGR = 13.4%
By 2017, fifty percent of
surveyed financial
institutions intend to adopt
or replace their mobile
banking solution.
As retail banks look for better
ways to engage with customers,
the compound annual growth rate
for mobile banking solutions is
predicted to be 13.4% over the
next five years.
Nearly two-thirds of financial
institutions affirm that mobile
banking solutions provide high or
very high value to their company.
© 2013 The Corporate Executive Board Company. All Rights Reserved. 10
EMERGING TECHNOLOGY LANDSCAPE FOR MOBILE BANKING RO
I PO
TEN
TIA
L
DEFINITIONS
ROI Potential: Measures the relative
returns an institution can expect to
receive from an investment in the
technology
Technology State: Measures the
technology’s level of development
User Impact: Measures the level of
benefit the technology will have on the
Mobile Banking user
Minimal Medium High
USER IMPACT
Market-Ready In Development
Low
H
igh
TECHNOLOGY STATE
PAYMENTS TOOLS CUSTOMER TOOLS APPLICATION FEATURES
P2P Payments: Feature that enables customers to send
money through the mobile banking application.
Personal Financial Management (PFM): Tools to help
customers save towards personal goals and set budgets. Biometric Security: Security feature that identifies users by
characteristics and traits such as voice and fingerprint.
Social Payments: Social technology that links back-end
account information with user credentials on social media
sites to make personal payments.
Financial Advisor Insights: Interactive feature that allows
customers to engage in communications with banking
representatives with financial concerns.
Augmented Reality: Feature that integrates locational
services and device peripherals to populate data for
applications such as real estate.
ATM Virtual Card: Feature that generates a OTP in
combination with PIN to withdraw money from ATMs. Rewards Programs: External merchant rewards programs
and offers for customers based on locational services. HTML5: Open programming language that allows for
consistent consumption by computers and devices.
Mobile Top Up: Feature that allows customers to add
money to a mobile phone. Push Notifications: Feature that sends user- and bank-
defined alerts to customers through preferred channels. Multi-Device Support: Ability to authenticate multiple
customers using a single device.
Mobile POS Payment: Mobile technology that allows
customers at POS to make payments using their phone.
Pre-Login Features: Non-sensitive information such as
account balance that is accessible before logging in.
Virtual Wallet: Feature that allows customers to make
online or mobile payments.
Moderate
© 2013 The Corporate Executive Board Company. All Rights Reserved.
P2P Payments
Social Payments
Mobile Top Up
ATM Virtual Card
Mobile POS Payment
Virtual Wallet
PFM Tools
Loyalty Programs
Push Notifications
Advisor Insights
HTML 5
Augmented
Reality
Biometric Security
Pre-Login Features
Multi-Device Support
Note: All emerging technologies are positioned within the context of features or tools offered directly on the mobile banking solution.
11
ROADMAP FOR THE PRESENTATION
Current
Market
Future
Investment
Vendor
Landscape
Product
Rankings
© 2013 The Corporate Executive Board Company. All Rights Reserved. 12
MAPPING THE VENDOR LANDSCAPE
2 0 0 0
Mobile Banking Systems
By System Release Date
Featured Mobile Banking Vendors
CEB TowerGroup identified vendors for this analysis based on expert
opinion, product maturity, size of installations, and technological innovation.
Finacle Mobile
Banking
(2010)
Mobiliti
(2002)
Mobile Channel
Manager
(2002)
Mobile Banking
Suite
(2004)
FIS Mobile
(2007)
Retail Banking
(2011)
BankFusion
Mobile Banking
(2008)
(2003)
AnyWhere Mobile
(1999)
FLEXCUBE
(2008)
Mobile Banking
(2010)
© 2013 The Corporate Executive Board Company. All Rights Reserved.
Cavion Mobile Banking
(2008)
Source: CEB analysis.
Connect Mobile
(2010)
2 0 1 0
13
6 5 4 3 2 1
9
10
11
7
8
13 14 15 16 17 18 12
20
19
MOBILE BANKING SOLUTIONS DIAGNOSTIC ANATOMY
System Integration
The solution allows for
integration across various
information and service
systems and supports
single sign-on for all users.
Administration
The solution allows the bank
to manage administrative
permissions, customer
settings and activity
reporting.
Marketing
Banks can leverage the
solution to share financial
product information,
rewards, and other
marketing communications.
Banking Functions
The solution allows the
user to interact with the
full range of retail
banking functions.
Consumer Security
The solution supports
user-managed and risk-
based security as well as
multifactor
authentication.
Customer Support
The solution integrates
with customer support
information, contact
methods, and processes.
Multichannel Support
The solution allows the
user to perform functions
across banking channels.
Device Peripherals
The solution may utilize
the mobile devices'
integrated peripherals.
Solution Configurability
The solution’s feature set
and presentation is
configurable to user
preferences and market
segmentation.
Software Development
The solution supports
development by both
vendor and customer
using the most current
methodologies.
Deployment Options
The solution includes
management and deployment
of various banking capabilities
for multiple software
deployments.
Software Support
The solution provides
ongoing monitoring for
issues, patch
management, and
facilitates updates.
Solution Security
The solution provides
comprehensive security
measures to protect data
being transmitted as well as
resident everywhere on
devices.
Data Management
The solution integrates with
front and back end solutions
across lines of business with
little or no customization
from vendor.
Routing & Prioritization
The solution supports
transaction routing to
appropriate workflow queues
depending on perceived risk,
payment channel, or bank
defined hierarchy.
Customer Reporting
The solution provides
ongoing data collection
and reporting on customer
adoption and usage.
Geographic Coverage
The vendor provides
multilingual and multicurrency
capabilities to support
operations in multiple
localities where the bank
operates.
Pricing Flexibility
The vendor offers multiple
pricing options with
flexibility for additional
on-going support
packages.
Product Maturity
The vendor offers a
product with industry-
leading technology, and a
growing market share and
client base.
Technology Innovation
The vendor has a market-
leading product strategy
to incorporate emerging
technologies and
capabilities.
Current Effectiveness Potential Impact
5 = Superior Capability We or our vendor offer this regularly,
systematically, and at the highest
standard.
5 = Very High
Impact
Our firm considers this attribute mission
critical when performed at the highest
standard.
4 = Strong Capability We or our vendor offer this regularly
and systematically.
4 = High Impact Our firm considers this attribute highly
important when performed at the highest
standard.
3 = Adequate
Capability
We or our vendor offer this regularly
but in an ad hoc manner.
3 = Moderate
Impact
Our firm considers this attribute moderately
important when performed at the highest
standard.
2 = Marginal
Capability
We or our vendor offer this irregularly
and in an ad hoc manner.
2 = Low Impact Our firm considers this attribute somewhat
important when performed at the highest
standard.
1 = Weak or not at all We or our vendor do not do this at all. 1 = No Impact Our firm does not consider this attribute
important when performed at the highest
standard.
Attribute Grading
HOW TO USE ANATOMY
The anatomy is designed to assist retail banking executives to better assess and prioritize components of their technology
investment. As you use this anatomy, please consider your firm’s business strategy and current technology maturity.
1. Rate the impact of each attribute to your business and your firm’s effectiveness on a 1-5 scale using the grading scale
below and tally the results using the scorecard.
2. Map the results on the scorecard to identify areas that are most important, but where your firm is least effective. Vendor Stability
The vendor has an
established industry
presence and can provide
long term support for
institutions.
21
Customer Experience
Integration & Management
Enterp
rise S
upp
ort
Inte
rface
Deve
lopm
ent
© 2013 The Corporate Executive Board Company. All Rights Reserved. Source: CEB analysis. 14
MOBILE BANKING SOLUTIONS SCORE CARD
Retail banking executives
should complete the
scorecard using the Mobile
Banking Solutions Diagnostic
Anatomy tool.
Categories Attributes Current Effectiveness Potential Impact
Customer 1. Marketing
Experience 2. Banking Functions
3. Consumer Security
4. Customer Support
5. Multichannel Support
6. Device Peripherals
Interface 7. Solution Configurability
Development 8. Software Development
9. Deployment Options
10. Software Support
11. Solution Security
Integration & 12. Administration
Management 13. Data Management
14. System Integration
15. Routing & Prioritization
16. Customer Reporting
Enterprise 17. Geographic Coverage
Support 18. Pricing Flexibility
19. Product Maturity
20. Technology Innovation
21. Vendor Stability
© 2013 The Corporate Executive Board Company. All Rights Reserved.
Source: CEB analysis.
15
MOBILE BANKING SOLUTIONS SCORE CARD
Retail banking executives
should map their attribute
scores from rating their
impact and effectiveness on
this matrix to identify the
most important areas to their
vendor selection.
Pote
ntial
Impact
5 =Very High
4 =High
3 = Moderate
2 =Low
1 =No Impact 1
=W
ea
k
2 =
Ma
rgina
l
3 =
Adequa
te
4 =
Stro
ng
5 =
Sup
erio
r
Current Effectiveness
Areas of Focus
© 2013 The Corporate Executive Board Company. All Rights Reserved.
Source: CEB analysis.
16
FEATURE AUDIT
Feature Infosys
Percent of Vendors
Offering as a
Native Feature
SECURITY
Finacle
Mobile
Banking
PCI Compliance l 85%
App Data Monitoring l 92%
Penetration Testing l 92%
Customer Password Support l 92%
MULTIFACTOR AUTHENTICATION
Biometrics – Visual l 0%
Biometrics – Voice l 0%
One-Time Passcode l 85%
Device Recognition l 77%
Location-based Security l 46%
Risk-Based Authentication l 77%
SMS l 85%
ALERTING
Consumer Alert Preference Setting l 100%
Account Management Alerts l 100%
Risk-based Alerting l 92%
Bill Pay Alerts l 92%
Marketing Alerts l 69%
© 2013 The Corporate Executive Board Company. All Rights Reserved.
Feature Infosys
Percent of Vendors
Offering as a
Native Feature
DEPLOYMENT OPTIONS
Finacle
Mobile
Banking
iOS Smartphone app l 100%
iOS Tablet app l 92%
Android Smartphone app l 100%
Android Tablet app l 77%
Blackberry smartphone app l 54%
Blackberry Tablet app l 23%
Windows smartphone app l 38%
Windows Tablet app l 38%
HTML5 Web app l 85%
Hybrid app l 62%
Text banking l 85%
BANKING FUNCTION SUPPORT
Mobile Banking Enrollment l 85%
Remote Deposit Capture l 62%
Remote ID Capture l 23%
Photo Bill Pay l 15%
Bill Pay l 85%
Add Payee l 69%
ATM/Branch Locator l 100%
Transfer Between User’s Accounts l 100%
Transfer to Account Within the Bank l 92%
Transfer to Account at Different Bank l 85%
Initiate Customer Support Call l 100%
l Currently Offered Native Feature l Currently Offered Premium Feature l Third Party Premium Feature
m Plan to Offer in 12 Months m Plan to Offer in 24 Months
17
Source: CEB TowerGroup Analysis & Vendors
FEATURE AUDIT - CONTINUED
Feature Infosys
Percent of Vendors
Offering as a
Native Feature
NON-BANKING FUNCTION
SUPPORT
Finacle
Mobile
Banking
Account Rewards Management l 23%
Financial Product Information l 92%
Consumer App Support/Help l 92%
Location-based marketing l 31%
Privacy Policy Support l 92%
App Feedback l 69%
SOLUTION MANAGEMENT
Usage Reporting Dashboards l 92%
Software Development Toolkit (SDK) l 62%
Customer Segment-Based Enablement l 85%
Feature Deprecation m 77%
App Store Management m 77%
Regression Testing l 100%
l Currently Offered Native Feature l Currently Offered Premium Feature l Third Party Premium Feature
m Plan to Offer in 12 Months m Plan to Offer in 24 Months
© 2013 The Corporate Executive Board Company. All Rights Reserved. 18
Source: CEB TowerGroup Analysis & Vendors
Company Overview
Infosys is the third largest India headquartered provider of consulting, technology and outsourcing solutions. Infosys has more
than 25 years of experience in providing technology solutions to financial institutions. Infosys offers Finacle Universal Banking as
a comprehensive solution in more than 80 countries worldwide.
Product Overview
Infosys launched Finacle Mobile Banking in October 2010 . Finacle Mobile Banking is a platform, device, and access mode
agnostic solution which offers mobile banking capabilities across Android, iOS, Java, Windows, and RIM platforms, across
downloadable application, mobile web, SMS and USSD modes.
Product Highlights
• Mobile Advisor: Banking customers can access a mobile advisor directly from their mobile device. Banking customers have
the option to talk to a designated relationship manager through video chat, chat, SMS, email, or call without going to a
branch location.
• In-App Marketing: Infosys offers advanced in-app marketing capabilities as an add-on feature to the native application.
Banks may elect to use a rewards system that allows banking customers to view and select their rewards from within the
app. The bank can promote external offers, such as coupons, as well to targeted audiences.
• Multi-User Devices: With Finacle Mobile Banking, multiple users can access the same tablet or smartphone application using
different credentials, whereas some mobile banking applications only offer a one-to-one login relationship. From a user
perspective, this adds a measure of convenience for lost or stolen devices, or if a banking customer has more than one device
they want to access their accounts on.
CEB TowerGroup View
Finacle Mobile Banking is a customer service oriented mobile solution designed to address the needs and concerns of the
bank customer in a mobile age. The application features a configurable, user-friendly UI that allows end users and banks
to pin important items to their landing page and view information in a consolidated way. The mobile application,
optimized for both tablet or smartphone use, includes configurable tiles that allow users to view the information most
important to them upon login, quickly address and clear alerts, view account information, and see graphical depictions of
budgets and other account operations. Infosys has only recently released Finacle Mobile Banking for North America and
Europe and therefore faces high competitions from software providers entrenched in these areas, though they rolled out
multilingual and multicurrency capabilities for these regions prior to its release. Additionally, having a mobile advisor
directly available from the app helps provide competitive customer service options that can encourage banking customers
to perform more banking functions on the mobile application.
FINACLE MOBILE BANKING INFOSYS
KEY STATISTICS
Company Type: Public
Year Founded: 1981
Headquarters: Bangalore, India
Number of FT Employees: 156,700
FY 2013 Revenue: $7.4B
GLOBAL BANK SUPER-REGIONAL BANK COMMUNITY BANK REGIONAL BANK CREDIT UNION Source: CEB analysis; Infosys.
iOS Android BlackBerry Windows
l l l l
0 – 4% 20-39% 60-79%
5 – 19% 40-59% 80-100%
Distribution of Clients by Region
© 2013 The Corporate Executive Board Company. All Rights Reserved.
Native Operating Systems Covered
19
ROADMAP FOR THE PRESENTATION
Current Market Future
Investment
Vendor
Landscape Product Rankings
© 2013 The Corporate Executive Board Company. All Rights Reserved. 20
© 2013 The Corporate Executive Board Company. All Rights Reserved.
CREATING OUR “BEST-IN-CLASS” PRODUCT RANKINGS
Customer Experience
Those attributes that
assess customer-facing
and device-related
features.
Interface Development
Those attributes that
affect the design and
deployment of the
system to the client.
Integration &
Management
Those attributes that
help the firm mitigate
risk and assist with
management and
oversight.
Enterprise Support
Those attributes that
influence the enterprise’s
tactical fit and strategic
alignment with the
vendor.
“Best-in-Class”
Customer
Experience
“Best-in-Class”
Enterprise Support
“Best-in-Class”
Integration &
Management
“Best-in-Class”
Interface
Development
ATTR
IBU
TES
Mission
Critica
l Banking Functions
Consumer Security
Multichannel Support
Solution
Configurability
Solution Security
Administration
Data Management
System Integration
Technology
Innovation
Str
ong
Priority
Marketing
Customer Support
Software
Development
Software Support
Routing &
Prioritization
Customer Reporting
Geographic
Coverage
Product Maturity
Vendor Stability
Pro
duc
t
Diffe
rent
iato
r
Device Peripherals Deployment Options Pricing Flexibility
CA
TEG
OR
IES
Phase 1
Utilizing qualitative and
quantitative data, CEB
TowerGroup identified 21
attributes that define a “Best-in-
Class” Mobile Banking Solution,
which are grouped into four
categories.
Phase 2
Recognizing that all attributes are
not equally important, CEB
TowerGroup divides them into
tiers to reflect their level of
importance as mission critical,
strong priority, or differentiators.
Phase 3
Certain products are recognized
as “Best-in-Class” after scoring
each product based on its
performance at an attribute level.
Source: CEB analysis.
21
PRODUCT RANKING MATRIX
• Vendor rankings are based on
our proprietary 5-point rating
system for each of the 21
attributes in our mobile banking
systems anatomy.
= Best-in-Class in Anatomy Category
Retail banking executives
should use the ranking matrix in
combination with the Mobile
Banking Diagnostic Anatomy to
select the vendor that best
aligns with their firm’s needs.
Source: CEB TowerGroup Research
Vendor Product Customer
Experience
Interface
Development
Integration &
Management
Enterprise
Support
Infosys Finacle Mobile Banking 4.84 4.57 4.83 4.28
ACI Mobile Channel
Manager N/A N/A N/A N/A
D+H Cavion Mobile Banking N/A N/A N/A N/A
Digital Insight Mobile Banking Suite N/A N/A N/A N/A
FIS FIS Mobile N/A N/A N/A N/A
Fiserv Mobiliti N/A N/A N/A N/A
Kony Solutions Retail Banking N/A N/A N/A N/A
Misys BankFusion Mobile
Banking N/A N/A N/A N/A
Monitise Mobile Money N/A N/A N/A N/A
MShift AnyWhere Mobile N/A N/A N/A N/A
Oracle FLEXCUBE Mobile
Banking N/A N/A N/A N/A
SAP Mobile Banking N/A N/A N/A N/A
Temenos Connect Mobile N/A N/A N/A N/A
© 2013 The Corporate Executive Board Company. All Rights Reserved.
Source: CEB analysis.
22
Category Scoring Analysis
Customer Experience
• Customer Support: Finacle Mobile Banking’s support options are an important part of
the product package, and underscore the necessity to tie the Internet-enabled and
voice-enabled capabilities of mobile devices. Infosys has a three-level customer
support structure, offering 24x7x365 customer support available within the bank, at
regional call centers, and at global call centers. The system presents customers with a
fast and effective way to resolve their issues.
Interface Development
• Solution Configurability: Finacle Mobile Banking allows for rapid bank and end-user
configurability. Through the app builder tool, administrators can configure the look
and feel of the app based on the bank's branding, set default language settings, and
customize banner ads. Solution features may be manipulated by customer segment.
Customers can also configure features themselves, including some navigation features
as well as time zones, and preferred currency and language while in the application.
Integration and Management
• Administration: Finacle Mobile Banking’s administrative console is a cornerstone
feature of the solution. The module logs internal activity, creating a transparent and
seamless workflow environment that fosters collaboration amongst employees. An
integration with Jasper Reports helps users report on both technical and business KPIs,
and reports created are configurable for any end user skill level.
Enterprise Support
• Pricing Flexibility: Infosys utilizes both traditional license pricing models for on-
premise installations and pay-per-use pricing models for SaaS/cloud deployments in
order to serve a broad range of financial institutions. Though most clients opt for the
traditional license-based model, Infosys recognizes the trend towards multi-tenant
cloud systems with its varied pricing models.
Infosys received “Best-in-
Class” achievements in all 4
categories: Customer
Experience, Interface
Development, Integration
and Management, and
Enterprise Support.
• Customer Experience includes
those attributes that assess
customer-facing and device-
related features.
• Interface Development includes
those attributes that affect the
design and deployment of the
system to the client.
• Integration & Management
includes those attributes that
help the firm mitigate risk and
assist with management and
oversight.
• Enterprise Support includes those
attributes that influence the
enterprise’s tactical fit and
strategic alignment with the
vendor.
“BEST-IN-CLASS” ACHIEVEMENTS FOR INFOSYS
Source: CEB analysis.
© 2013 The Corporate Executive Board Company. All Rights Reserved. 23
6 5 4 3 2 1
9
10
11
7
8
13 14 15 16 17 18 12
20
19
MOBILE BANKING SOLUTIONS METHODOLOGY ANATOMY
System Integration
The solution allows for
integration across various
information and service
systems and supports
single sign-on for all users.
Administration
The solution allows the bank
to manage administrative
permissions, customer
settings and activity
reporting.
Marketing
Banks can leverage the
solution to share financial
product information,
rewards, and other
marketing communications.
Banking Functions
The solution allows the
user to interact with the
full range of retail
banking functions.
Consumer Security
The solution supports
user-managed and risk-
based security as well as
multifactor
authentication.
Customer Support
The solution integrates
with customer support
information, contact
methods, and processes.
Multichannel Support
The solution allows the
user to perform functions
across banking channels.
Device Peripherals
The solution may utilize
the mobile devices'
integrated peripherals.
Solution Configurability
The solution feature set
and presentation is
configurable to user
preferences and market
segmentation.
Software Development
The solution supports
development by both
vendor and customer
using the most current
methodologies.
Deployment Options
The solution includes
management and deployment
of various banking capabilities
for multiple software
deployments.
Software Support
The solution provides
ongoing monitoring for
issues, patch
management, and
facilitates updates.
Solution Security
The solution provides
comprehensive security
measures to protect data
being transmitted as well as
resident everywhere on
devices.
Data Management
The solution integrates with
front and back end solutions
across lines of business with
little or no customization
from vendor.
Routing & Prioritization
The solution supports
transaction routing to
appropriate workflow queues
depending on perceived risk,
payment channel, or bank
defined hierarchy.
Customer Reporting
The solution provides
ongoing data collection
and reporting on customer
adoption and usage.
Geographic Coverage
The vendor provides
multilingual and multicurrency
capabilities to support
operations in multiple
localities where the bank
operates.
Pricing Flexibility
The vendor offers multiple
pricing options with
flexibility for additional
on-going support
packages.
Product Maturity
The vendor offers a
product with industry-
leading technology, and a
growing market share and
client base.
Customer Experience
Integration & Management
Enterp
rise S
upp
ort
Inte
rface
Deve
lopm
ent
21
Scoring Methodology
To arrive at a vendor ranking, CEB TowerGroup developed a proprietary scoring metric outlined by the
attributes within this anatomy that highlights the major elements of an enterprise investment decision. This
metric assumes that every element is not equally important, and therefore assigns a higher level of
importance to those attributes critical to a Mobile Banking solution. The remaining attributes are then
divided further into two tiers to reflect their level of importance, highlighted below.
Tier 1 Attributes –
“Mission Critical”
Tier 2 Attributes –
“Strong Priority”
Tier 3 Attributes –
“Product Differentiators”
Banking Functions
Consumer Security
Multichannel Support
Solution Configurability
Solution Security
Administration
Data Management
System Integration
Technology Innovation
Marketing
Customer Support
Software Development
Software Support
Routing & Prioritization
Customer Reporting
Geographic Coverage
Product Maturity
Vendor Stability
Device Peripherals
Deployment Options
Pricing Flexibility
Vendor Stability
The vendor has an
established industry
presence and can provide
long term support for
institutions.
Technology Innovation
The vendor has a market-
leading product strategy
to incorporate emerging
technologies and
capabilities.
© 2013 The Corporate Executive Board Company. All Rights Reserved. Source: CEB analysis. 24
UNDERSTANDING OUR SCORING METHODOLOGY
CEB TowerGroup develops a
unique and proprietary
scoring methodology that
highlights the key priorities
for an executive’s
investment decision.
Every vendor product featured in
this report is scored on each of
the 21 attributes outlined in the
Mobile Banking Diagnostic
Anatomy on a standardized1-5
scale.
We calculate the weighted
average of a product’s attribute
scores in each of the 4 categories
of the anatomy to arrive at an
overall category score.
Sample Technology Analysis Internal Anatomy Scoring Guide
Illustrative
Anato
my
Category Customer Experience Interface Development
Attribute Title Customer Support Solution Configurability
Attribute
Definition
The solution integrates with customer support
information, contact methods, and processes.
The solution feature set and presentation is
configurable to user preferences and market
segmentation.
Sco
ring M
etr
ic
5
The solution includes intra-app support for issues related
to app or account support including guides that include
FAQs, visual cues, as well as the ability to initiate and
inform a support request to customer service via email,
chat, or phone.
Administrators can manage the user experience and
app presentation, including adding new modules,
turning features on and off for configurable segments,
and this does not require a software update to
implement.
4
The solution provides FAQs or pre-determined
troubleshoots for customer issues and offers users the
option to pursue other customer support options on their
mobile device.
Administrators can manage the user experience and
app presentation, including turning features on and off
for pre-defined customer segments, and this does not
require a software update to implement.
3
The solution redirects the user to help options or a
customer support process outside of the application, but
these options are not directly integrated into the
application.
Administrators can manage the user experience and
app presentation, including turning features on and off
for pre-defined customer segments, but this requires a
software update to implement.
2 Customer support information and out-of-app contact
methods are offered, but the user must pursue options
independent of the application.
Administrators can assign different user experiences
and app presentation settings, but this requires a
software update to implement.
1 The application offers no support for technical or account
issues.
The solution can be branded with the financial
institution logo and colors, but no other configuration is
available.
Attribute Score: 5.0 3.0
© 2013 The Corporate Executive Board Company. All Rights Reserved.
Source: CEB analysis.
25