Like me, you have probably seen many contrasting and therefore confusing opinions about the 'future of banking'. Recently I received an email from one of my financial service providers — "Would you like your own branch in your pocket?". This is just the latest suggestion about technological solutions for banking which have caught my attention as a customer:-- The Sunday Times 2017 October 24 - "The private banker in your pocket". - BBC 2018 May 22 — "Could smartphones replace bank branches?' - The newspaper advertisement reproduced in Study Unit One — "More ways to Bank" advising customers that the bank in question offers online, mobile, telephone, video; etc etc HOWEVER, there are other perspectives — not all of which are as positive about 'banking on technology' as those above:-- A new branch in Cardiff - "Customer choice under pressure at Britain's banks" - 'TSB investigated over IT meltdown"In Study Unit One I refer to the measurement of customer satisfaction —indicating that the UK Competition and Markets Authority would be reporting soon on the results of their extended survey of customers of UK banks — both personal and business customers. Those results have now been published and we will review them in the lectures. In summary the banks that scored highest for online and mobile banking, overdraft provision, and in-branch service are not the traditional, legacy banks but those who are challengers/new entrants or legacy providers whose constitution focus on 'customer-first'.
The Mini Project this semester requires you to critically analyse new entrants to the sector in which your chosen organisation operates — to determine the benefits that customers might receive, but also to consider the challenges of responding to new solutions.
FYI: I have chosen Bank of America so complete based on this organization, its customers competitors. innovations, etc. FYI: I have written the first part of this assignment which is introduce the current situation of my chosen organization (Bank of America), what products its offers and to which customer segments as well as the current channels it uses to interact with its customers.
Part 1. Then review changes in competitors in the last 10 years in those sectors in (finance/banking) above — were these new entrants or existing providers?, what did they offer that was different to existing providers?, who were the target customers?, and how did your chosen organisation initially respond? [600 words]
Part 2. How did the customer perceive these new introductions? — what benefits did customers receive, and what sacrifices did they have to make. (600 words)
Part 3.How have these innovations survived in the marketplace?, have they been widely adopted by customers and competitors in the industry?, what further innovations have occurred? (600 words)
Part 4. Where does your chosen organisation currently stand in the segments in which it operates? — if there is an industry-wide survey like the one reported in the introduction above then use it as a base, if there is not then what do the organisation's own measurements say about levels of customer satisfaction and trends over time?, how effective has been the organisation's initial response in (part 1) above?, what challenges were experienced in adjusting the organisation?, what remains to be done? (allocate the remaining word count roughy 1500 words - this is the main question)
Sample Solution