Monthly Archives: January 2012

It’s already happening


Only a few days after this post where Social Media adoption by the Banking industry is analyzed, it is already happened. A Bank has taken the step forward to truly start providing banking services to their customers on Facebook.

ICICI Facebook Banking application

ICICI Facebook Banking application

Digital Life

Whether we like it or not, our customers’ digital life happens in the Social Media. They live and interact there, not in our online banking platform. Therefore it was only a matter of time that someone overcame the resistance and found a way of blurring the boundaries and integrating with their customers’ digital life.

As anticipated, security was -and still is- the main concern both for Financial Institutions as well as Customers when approaching Banking services on the Social Media. Other industries and online services are clearly adopting Social Media profiles as a universal form of authentication, in which your Facebook ID or your Google+ profile become your Digital identity. If Facebook and Google+ are a representation of your real life as an individual, your identities in such platforms should be sufficient proof of identity of your Digital existence.

ICICI’s approach is to make the customer go through a registration process which creates a personalized password. Usage of the application also implies a second factor of authentication, so the customer experience will look quite similar to that of the existing online banking, but at least within your Facebook environment. It will be interesting to see how new approaches to securing Banking services on Social Media will help blur the boundary even more, to a point where there will be virtually no separation between your friends’ posts and your account statements, maybe just a step-up with a strong two factor authentication to protect sensitive data, but avoiding registration processes that somehow impact the illusion of full integration. This would have an interesting consequence: If many sites allow you to log on using your Facebook ID, why should your bank be different?. Why not simplify the process and just use your Facebook ID with a second factor of authentication?.

Anyhow, a very interesting and innovative movement by ICICI which will surely be followed by competitors very soon, and will help gauge the appetite of customers for Banking Services integrated in their very own Digital space.

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Born Social vs Learnt Social


Citi rewards facebook app

Citi rewards facebook app

Following the previous post on Scoot, and how they are a truly born social company, it is interesting to compare how their evolution is in Social Media as compared to more established companies that are learning how to become social and adopting it on their way.

It is becoming more and more clear that Social Media is not only going to be the way to gain a more close and personal relationship with your customers, but also a full service channel that will probably start moving business out of your current electronic platforms. Some industries will be earlier adopters than others, and some examples of this can be found on the airline industry, where Malaysia Airlines is already offering flight search, booking and check-in can be done in a facebook app.

Security and privacy concerns will slow down the adoption for certain industries, namely the Financial Services, but yet there is already space for certain features to be offered in Social Media. Citibank recently launched a new facebook app that allows their customers group their reward points they obtain for purchases and use them for charity or a group gift. Rewards seems to be quite the right transaction for Banks to start servicing customers over Social Media, as its level of risk is far lower than traditional financial transactions.

It will be interesting to see and compare the adoption curve for established companies, specially on highly risk aware industries like Banking as compared to companies born social like Scoot, who have adopted Social Media in a very natural manner for literally every single internal process they are facing in the journey of setting up the airline: Recruiting, selecting their slogan and offering promotions. It will not be surprising to see that Facebook -their Google+ page is yet to be seen- will become their main sales and servicing channel when they start operating.

Will this be the trend followed by other industries and therefore, will Social Media replace -at least partially- online banking? I make my bet!

The anomaly in progress – part I


Building Concorde

Building Concorde

Often progress and technological evolution is seen as a continuous and relentless process. Some industries progress faster than others, and every now and then, there are huge steps that create a huge gap with the precedent technology. But extremely rarely, evolution goes backwards and progress is inverted, creating an anomaly in progress, a situation in which something that was technically possible is not possible anymore.

This is the case of Commercial Supersonic Travel and the incredible machine that made it possible for 27 years. Concorde.

The more I look into the history of how this beautiful craft was designed and built, the more admiration I develop for the huge, quantum leap that designers and engineers managed to make using 1950’s and early 1960’s technology. Interestingly, some of the techniques and technologies developed for Concorde are still being introduced gradually into modern airliners, like fly by wire. Now widely adopted (Airbus first introduced it after Concorde in 1988 on the A320 family, whilst Boeing waited until the 777 was introduced in 1994), it was an example of how Concorde was way ahead of its time.

A controversial machine, though, environmentally unfriendly for the noise its four Rolls Royce Olympus engines generated, and its generous fuel burning, yet an incredible breakthrough in progress, so big, it constituted one of the very few anomalies in progress. Nearly a decade after it was withdrawn from commercial service, there is no sign that Commercial Supersonic Travel will be possible again in the near future.