Kids Love Cash: Insights from the COVID-19 Crisis

If digital transformation is sweeping financial services – and this trend has been accelerated by the global public health crisis, as we are often told – then what’s up with the huge and enduring demand for cash?

“I certainly would have expected, if you’d asked me prior to COVID: would COVID put a big dent in cash? I would have said “absolutely” because not only are people not going out, it has a dirty connotation to it,” Fiserv Senior Vice President David Keenan said during the Q&A portion of his recent webinar presentation, Looking Under the Hood of Today’s Payments Ecosystem.

“And yet if you look at the data,” he added, “that’s not what’s happening.”

This was one of many fascinating takeaways from Keenan’s research on payment trends in the COVID-19 era. That research was presented this week in a webinar that also looked at the rise of digital enablement in financial services and the inevitable transition to real-time payments. Keenan’s presentation is now available for viewing on an on-demand basis.

Toward the end of his discussion, which explained how and why companies need to be able to provide “the right options at the right time to create a winning payment experience,” we asked the Fiserv SVP why he began his presentation, which featured insights on digital enablement and real-time payments, with a discussion on the importance and endurance of cash.

Keenan said the decision to start with cash was deliberate – and given the program’s theme of “safe, fast, convenient payments” it is perhaps easy to understand why. For all of cash’s drawbacks – including the fact that paper money increasingly is seen as “dirty” in an ever-more touchless world – Keenan showed research from the Federal Reserve indicating that cash remains a preferred payment method in the U.S. – only trailing debit. Moreover, for about 85% of those surveyed, cash usage over the past 12 months had remained the same, or increased.

But perhaps most interestingly, this data also revealed that cash’s most passionate champions are under the age of 25. And this preference for paper money does not take away from GenZ’s appreciation of debit, which is on par with 25-to-34 year old, 35-to-44 year old, and 45-to-54 year old cohorts. Nor was credit usage impacted by GenZ’s preference for cash; GenZ credit usage was comparable with both 25-to-34 year old and 35-to-44 year old age groups. The main difference between GenZ and other cohorts was in the use of electronic payments, where its usage was typically half that of other groups surveyed.

A further note on the enduring preference for cash: while cash usage patterns have returned to trend after a brief, coronavirus-induced drop in March, the amounts of cash being used – which began increasing in March – have remained elevated.

Keenan speculated that what might blunt these accelerating cash trends could be a major response to the coronavirus – such as a vaccine. He said, “as long as we’re living in this one-step-at-a-time, back-to-the-new-normal, we believe cash is going to be an important part (of payments).”


Photo by Karolina Grabowska from Pexels

Webinar: Critical Steps to Accelerate Digital Transformation in Customer Support

Webinar: Critical Steps to Accelerate Digital Transformation in Customer Support

When COVID-19 hit, the financial services sector was faced with an abrupt realization that digital transformation needed to accelerate. While moving to a digital-first approach is a massive undertaking, it can be tackled over a period of time. Financial services can see impactful digital changes implemented in hours, not years.

Most importantly, digital transformation places clients at the center of business. An exceptional customer support experience distinguishes leading financial services from the rest, helping to retain clients well beyond these unprecedented times.

Watch Zendesk’s Alex Mack, Sr. Solutions PMM, and Bank Novo’s Head of Customer Success, Brian Kale, for a live webinar. They’ll discuss quick steps financial institutions can take to digitize their customer experiences at a time when scaling support operations is crucial.

They’ll walk through digital customer support initiatives that are quick to deploy and can deliver big results. Learn how to:

  • Express empathy and build trust through personalization
  • Scale customer support with help centers and AI
  • Move customer conversations to SMS, social, and third party messaging platforms
  • Empower remote collaboration to expedite requests

See how these customer-centric initiatives can help scale your support today while strengthening your client experience for the future.

Webinar: Loan Defaults are About to Surge – What Have We Learned from Past Crises?

As the Covid-19 pandemic continues to unfold, loan servicers are experiencing unprecedented call center and default volumes as customers struggle to stay above water. With a looming global recession in 2020, financial institutions are reevaluating their loan servicing operations across the board (mortgage, auto, commercial, and personal).

During the last financial crisis in 2008, the rate of foreclosures in the United States more than quadrupled over five years, reaching a high of 1.18 million homes as falling valuations and high unemployment pushed people into default. At the same time, 3.7 million homes were in serious delinquency.

Watch the DXC Technology discussion on what lessons can be drawn from previous downturns and how institutions can better prepare their operations, technologies, and customers for what’s ahead. Topics included:

  • Scalability
    How to rapidly scale capacity and quickly train internal resources and customers while maintaining customer satisfaction.
  • Self-service and a single source of truth
    How to give customers more control over the process
  • Speed to change
    How to proactively react in a matter of days– not weeks or months– in a dynamically changing environment.
  • Auditing
    How to maintain a consistent audit trail throughout the process

Featuring Bart Bailey, Head of Global Lending Product Management, DXC Technology and David Penn, Research Analyst, Finovate.

Finovate Webinar: Tech Giants in Payments and the Implications for Issuers

Tuesday, January 28, 2020  |   1:00 PM EST  |   Register now >>

Join us for this #FinovateWebinar, as Ondot gives an overview of what the Google Checking product is, how it compares to payment products from Apple, Facebook, and other tech giants, and what Google stands to gain.

We will be joined by Richard Crone from Crone Consulting, whose Apple Card insights have been featured in Bloomberg, Marketwatch, PaymentsSource, and The Financial Brand, to discuss what’s driving the opportunity from these tech giants and what is the opportunity or threat for banks and credit unions, as well as how financial institutions can respond.

Covered in the session:

  1. How is this different or the same from other tech company launches such as Apple Card?
  2. Why does Google see an opportunity and what’s in it for Google?
  3. Along with Apple Card and other tech giants, what are industry trends and consumer demands driving this change?
  4. What’s in it for banks and credit unions? Should financial institutions see this as an opportunity or a threat?

Featuring:

  • Richard K. Crone, CEO and Founder, Crone Consulting, LLC
  • Heidi Liebenguth, Managing Partner and Research Director, Crone Consulting, LLC
  • Vaduvur Bharghavan, CEO, Ondot Systems
  • Prasanna Narayan, VP of Product, Ondot Systems

Register now >>

Finovate Webinar: Accelerating the Speed to “Platform Ready” for Banks

In 2020, banks will spend about $2.3 billion on core modernization just to satisfy customers and keep fintechs at bay. In the age of apps and the platform economy, do you know how to ensure your bank is ready to compete?

Watch this on-demand webinar to explore:

  • The future of cloud-first strategies
  • The future of platform-as-a-service strategies
  • How banks can accomplish these and achieve transformation goals more cost effectively

Webinar: Move Banking from Product-Centric to Customer-Centric

Webinar: Move Banking from Product-Centric to Customer-Centric

Featuring:

Is your bank keeping pace with escalating customer expectations shaped by their mobile experiences? How are you addressing the perception that all banks are the same? 

It’s tough when you have a product focus and outdated technology is holding you back. You know you need to modernize to win and retain demanding, empowered, and fickle customers. Customer loyalty and company revenue are at risk if you don’t.

In this webinar, featuring OutSystems and guest speaker Alyson Clarke, Principal Analyst at Forrester, you’ll learn how leading firms like Amazon, Nordstrom, USAA, and Zappos have made the shift to customer-centricity and are delivering world-class customer experiences.

These insights will help your bank follow suit.

Webinar: Revolutionizing Credit Cards

Webinar: Revolutionizing Credit Cards

Thursday, October 17, 2019 | 2pm EDT | Register now

Technology advancements and the proliferation of consumer apps have created a new customer experience paradigm that is changing how people are using credit cards. Customers expect brand interactions to feel like a dialogue, one that is relevant, timely and personal to them; regardless of whether that’s online or offline.

Watch this webinar to learn more about:

  • The customer experience paradigm shift, from episodes to journeys
  • How to leverage the power of contextual marketing to enhance the cardholder lifecycle
  • How to optimize your cardholder lifecycle management 

Featuring Jason Davies, VP, Enterprise Innovation, FlyBits and Rebecca Engelberg, Marketing Intelligence Manager, FlyBits.

Finovate Webinar: How Bad Bots Impact Financial Services Customers

Finovate Webinar: How Bad Bots Impact Financial Services Customers

September 17, 2019 | 10am Pacific Time | Register now

What happens when you mix automation with a library of stolen user credentials? This toxic combination allows bad actors to launch sophisticated attack campaigns against your public-facing web, mobile, and API-based applications. Attacks such as account takeovers and fake account creation lead to fraud and theft. This, in turn, has both a financial and reputational impact on financial services organizations.

In this #FinovateWebinar, we will highlight how these automated attacks take full advantage of Bulletproof Proxies, a rapidly growing class of infrastructure providers that have taken the concepts of anonymity and availability found in Bulletproof Hosting and extended them to the delivery infrastructure required to launch automated bot attacks. Topics to be covered will include:

  • Common automated attacks targeting financial services
  • What a Bulletproof Proxy is and why it matters
  • How Bulletproof proxies came to be and their place in the cyber community

Featuring

  • Matt Keil, Director of Product Marketing, Cequence

Register now >>

Webinar: How Next-Generation Data Protection Accelerates Financial Institutions’ Innovation Cycles

RAccount holders should be able to trust their bank or credit union to protect their valuable financial data. However, the human presence within complex networks inherently creates privacy and governance vulnerabilities, particularly in the visibility, control, and protection over how, when, and where data is made available to the people who use it every day.
 
Though modern cybersecurity is inherently multi-layered, the deepest layer must include modern data security governance that protects against privileged access and human error.

Watch on-demand to hear Lou Senko, CIO of Q2, and Doug Wick, VP of Product and Marketing for ALTR, explore how a large, publicly traded financial experience (FinX) company is using innovative solutions to provide the ultimate failsafe to its customers, as well as:

•    Best practices for keeping sensitive financial data safe
•    How to gain transparent visibility and control over your data
•    How blockchain technology can support the restoration of digital trust.

Webinar: How to Close the Trust Gap in Retail Banking

Customer preferences and expectations are rapidly changing. For banks to remain relevant – or better yet – increase their relevance in customer’s eyes, they need to operate from an entirely different CX paradigm. Banks need to orchestrate increasingly complex systems of engagement and support a broad range of use cases along the shop-buy-use continuum. Beyond just sales and marketing, banks must develop and nurture customer relationships flexibly along the entire customer lifecycle with fewer in-person interactions.

In this webinar, Celent’s Bob Meara will review recent consumer research which suggests a significant and tangible gap between transactional and advisory trust among U.S. banked adults.

What was discussed?

  • Defining the Trust Gap in retail banking and illustrate its root causes
  • How leading banks are closing the Trust Gap through redefining the in-person and digital customer experience
  • How banks must re-tool to deliver excellent CX as engagement becomes increasingly digital
  • Practical next steps to take in improving your customers’ trust in your organization, regardless of where you are in your transformational journey

Webinar: Don’t Disrupt – Avoiding the Dangers of Transformation

Webinar: Don’t Disrupt – Avoiding the Dangers of Transformation

Challenger banks shouldn’t stand a chance. Incumbent banks have tens of millions of customer relationships, decades of risk-management experience, and petabytes of data.


Yet incumbent banks struggle to adapt to rising customer expectations quickly enough. This has encouraged well-funded, design-led, new market entrants to pose serious competitive threats. Incumbents struggle with rapid change because of the legacy systems, silos, and data volumes that exceed human capacity to analyze them.


In pursuit of disruptive innovations, banks have embarked on digital transformation programs and big data projects. But the low odds for success for these initiatives make them dangerous. Seventy percent of digital transformations fail, according to McKinsey. And 60% of big data projects fail, according to Gartner. These are investments with high risks and mostly uncertain return.


Watch this webinar, to learn about a new approach. You will learn how to:
• Leverage legacy systems and understand data across systems and silos
• Turn inhuman amounts of data into information for human decision-makers
• Reduce the cognitive burden on employees so they can use their unique skills
• Increase revenue and cost productivity while reducing risk
• Scale solutions with natural language processing and machine learning

Featuring:

John Finneran
Senior Product Marketing Manager, Financial Services
Sinequa

Finneran is the Senior Product Marketing Manager, Financial Services at Sinequa. He is responsible for go-to-market strategy and designing industry-specific use cases and solutions. Sinequa helps financial institutions become information driven. The platform extracts real-time relevant information and insights from large amounts of data across all formats. R

Finovate Live: Digital Week

Finovate Live: Digital Week

Welcome to FinovateLive! Tune in between 19 – 21 March to delve deeper into the biggest issues impacting the finance sector.

FinovateLive! will feature expert discussions via a series of interactive webinars, whitepapers and articles to shed light on the areas most ripe for innovation. The program will also highlight the technologies that have the potential to transform the entire banking, payments, insurance and investment industries. Catch the future of fintech in real-time from the comfort of your desk with our exciting agenda built around business challenges and innovative solutions.

Agenda

Tuesday 19 March

Hear from Jeremy Balkin, as he showcases how doing things differently adds value and truly transforms business. We also put forward the question: “Is innovation essential in banking?” and look to get Jeremy’s take on how to create touch points and deepen long term personalized human relationships in a highly technology driven environment.

Featuring: Jeremy Balkin, Head of Innovation, HSBC

 

Wednesday 20 March

In this webinar, Clara takes a practical approach to developing an AI strategy. She discusses why designing a long term AI strategy is essential, and why patchwork innovation with AI is not going to pay off. The discussion will draw from Clara’s direct experience working with decision makers, as well research lifted from her upcoming book on how AI is transforming financial services.

Featuring: Clara Durodié, Executive Chair, Cognitive Finance Group

 

Banks are in trouble. Every  modern bank dependent on branch revenue is in virtual survival mode, hoping for a miraculous reversal of emerging customer behavior. Brett King, discusses the future of banking and fintech, finally deciding which banks will make it, and which won’t.

Featuring: Brett King, CEO & Co-Founder, Moven

 

Thursday 21 March 

In this webinar we’ll focus on the findings of the just released 2019 Retail Banking Trends and Predictions research, published by the Digital Banking Report. The report is now in it’s 8th year and combines insights from a crowdsourced panel of more than 80 industry leaders and a quantitative survey of more than 300 financial services organisations worldwide.

Featuring: Jim Marous, Co-publisher, The Financial Brand

 

In the last webinar of #FinovateLive, we speak with JP Nicols, Managing Director at FinTech Forge about the fintech revolution, why banking hasn’t yet been ousted by apps and wearables, and what has been seperating the winners and the losers in fintech.

Featuring: JP Nicols, Managing Director, FinTech Forge

 

Webinars have been editorially curated by Adela Knox, Editor in Chief, Finovate Digital Week.

More than just webinars

During FinovateLive, we’ll also be bringing you expert insights and exclusive interviews.

The decisions your bank makes today could have major implications on how you stay competitive—for years to come. Developing one app or digitizing a process might appear to suffice, but that is just the tip of the iceberg. It’s time to align your bank’s digital transformation strategy with the entire customer lifecycle by providing a personalized omnichannel experience. The result? Your bank improves customer satisfaction, increases customer retention rates, and drives overall customer profitability.

OutSystems enables a genuine end-to-end digital transformation. With our versatile and flexible low-code platform, you can leave behind an organization based on product lines and build experiences that focus on the customer and give you a competitive edge.

Download this OutSystems report to find out how to move your bank from a product-driven organization to a customer-centric one. Interested for more?  Check-out the Outsystems Digital Banking video too >>

Don’t  miss our eye-opening interviews and thought-leadership from prominent women in the fintech landscape. Featuring April Rudin, Founder & CEO of The Rudin Group and Mary Wisneiwski, Consumer Banking and Fintech Reporter at Bankrate, we discuss the trends impacting the fintech landscape and hone in on what the industry can be doing better to attract, retain and advance female talent.

Join the conversation with #FinovateLive