About Us | Contact Us
View Cart

Management Talking Points for Mobile Banking

By Dan Hadaway | Monday, June 7, 2010 - 2 Comments

Consider forwarding this to your management team!

As promised, I’m posting material that some of you already have (if you attended the Mega Conference). Because most smaller community-based banks are slow to adopt Mobile Banking, the following talking points could be shared with your management team to help them get on the same page about some facts related to the adoption of this technology.  This is a result of my research I conducted to “reduce new bank technology trends to the three most important.”

Management Team Talking Points for Mobile Banking:

Why we must develop a plan immediately:

  • Smartphones are the ultimate extension of the ongoing megatrend called “convergence.”  Provisioning for growth in smartphones is our most important, urgent technology planning job.  We must have a plan by the end of this quarter.
  • In June, 2007 Apple introduced the iPhone.  Three years later smartphones are the #1 technology trend across all industries.  Smartphones comprise 20% of all mobile phones today.  This penetration was predicted (in December 2009) by Apple Computers to reach 50% in three years, and is already outpacing that prediction.
  • In two years, smartphones will be the #1 device used to “browse” the Internet.  Currently, the average cell phone user spends 80% of the time making and receiving calls.  Currently, the average smartphone user spends 80% of the time using “web apps.”
  • Forty percent (40%) of business owners are currently using smartphones.  RIGHT NOW, our commercial accounts are wondering what’s wrong with our mobile banking approach.
  • We HAVE to be early adopters, rather than early majority adopters, of this technology.

Considerations for Mobile Banking Deployment:

  • The reason mobile banking is so much in demand is because it addresses Information Overload.  The average American currently processes 100,000 words per day.  The way to tackle Information Overload is to provide specific, meaningful information.  Mobile banking, if implemented properly, achieves meaning.
  • Mobile banking involves the use of “middleware” . . . . an application that is downloaded to your customer’s smartphone that communicates with more sophisticated software hosted by the mobile banking provider then integrates with the bank’s information system.  The applications currently available offer threshold alerting, balance checking, even billpay and other more sophisticated services.
  • Authentication is an important feature of mobile banking to investigate.  Smartphone users will not key in a password . . . . but there are other means of authentication including pattern and voice recognition methods.
  • Usability is a hallmark feature of successful smartphone applications.  The iPhone has 185,000 apps, all customizable to the user’s specific needs.  The iPhone has a 150+ page user manual that has never been read.  It’s easy to use . . . the phone is smart so the user doesn’t have to be.
  • There is VERY LITTLE tolerance in the Smartphone Apps world for getting things wrong.  The cost of a second chance is far more expensive than the cost of doing it right the first time.   We will be paying more than we would have to if we wait, but it will be worth it because:
    • Enrollment is key.  We must enroll our users before somebody else does.
    • When selecting a mobile banking provider, we should first determine who the dominant wireless carrier is in our market, and then determine which smartphone they are peddling.  Then we must find solutions that are designed for that particular smartphone.
    • See mega2010.infotex.com for list of mobile banking providers.

Let us know if you have additional information, thoughts, links,
or disagreements.   Simply comment on this article.

We will keep your comment private unless you give us permission to post it on the blog.


This has been a Dan’s New Leaf posting . . . . a weekly post about whatever happens to be on Dan’s mind at the time, related of course to IT Governance in banking.


2 Responses to “Management Talking Points for Mobile Banking”

Comment from Ali
Time 01/15/2015 at 1:42 am

The points are relevant and well thought out but lot of water has passed under the bridge since it was published. It needs to be updated.

Comment from Dan Hadaway
Time 02/26/2015 at 8:57 am

Good point. I’m adding it to my article list! (Sorry for the late reply . . . . too busy writing, I guess!)

Latest News
    A Webinar Movie This presentation is intended for those who are planning to participate in an infotex incident response test. Please let us know what questions you have, when we have our Plan Walkthrough and Test Plan Approval meeting!
    What you need to know for compliance coast-to-coast. Back in 2020 we posted an article containing links to data breach laws from each state, and it has proven to be one of our more popular posts.  Because laws surrounding the use (and abuse) of technology are always evolving, we thought it was worth taking another […]
    Another awareness poster for YOUR customers (and users).  Now that we have our own employees aware, maybe it’s time to start posting content for our customers! In the spirit of October and Halloween we have put together a gallery of our “spooky” Awareness Posters at halloween.infotex.com. Use them to help decorate for the holiday! Check […]
    With nearly three in four people using third-party payment services tied to their bank accounts, the risk isn’t limited to your own policies and procedures… An article review. When working on cybersecurity awareness messages for your customers you may be inclined to focus on your own systems, but a new study on security in digital […]
    PRESS RELEASE – FOR IMMEDIATE RELEASE BUSINESS NEWS NEW EMPLOYEE FOR INFOTEX infotex is excited to announce that Cody Smith has joined the team as the newest Data Security Analyst. Cody holds several industry certifications (including the most recent: SSCP) as well as a B.S in Cyber Security & Information Assurance from Western Governors University. […]
    It’s all about protecting Customer information . . . In 1999 the Gramm-Leach-Bliley Act (GLBA) directed the Federal Deposit Insurance Corporation (FDIC) and other federal banking agencies to ensure that financial institutions have policies, procedures, and controls in place to prevent the unauthorized disclosure of customer financial information.  The FDIC and other federal banking agencies […]
    A Ghoulish Gallery! Just a few scary-themed Awareness posters from our collection, which you can see at posters.infotex.com! Below you will find both the vertical and horizontal versions of each of the posters, all you need to do is “right-click > “Save link as…” to download! Vertical 8.5″ x 11″ Format   Horizontal 11″ x […]
    What to Expect in an Annual Information Security Report to the Board Webinar-Movie Information security ranks as a top risk to financial institutions, both in terms of likelihood and overall impact. It is important that boards receive annual comprehensive reporting from management about the information security risks and incidents, and the actions taken to address […]
    Another awareness poster for YOUR customers (and users).  Now that we have our own employees aware, maybe it’s time to start posting content for our customers! Check out posters.infotex.com for the whole collection! Download the large versions here: Awareness Poster (Portrait) Awareness Poster (Landscape)   You are welcome to print out and distribute this around […]
    With the potential to break all existing forms of encryption, quantum computing poses a unique challenge… An article review. While quantum computing has been a buzzword for some time now the technology remains largely theoretical, with small scale proofs-of-concept that still suffer from serious limitations.  That hasn’t stopped security researchers from worrying about the technology’s […]