Mobile in Banking & Finance “ What Make Sense and What Not” 4 th February 2004, Kuala Lumpur The 4 th Mobiles Malaysia - 2005

Introduction

Shifting the Productivity Frontier Broader service offerings & higher asset quality Productivity Frontier (Future state of Best Practice)‏ Limited Services To Limited Number Of Customers: Unprofitable How? Generating Growth: Through profitable marketing strategies Improving Asset Quality: Through enhanced risk management Increasing Operating Efficiency: Through technological innovation Lower unit costs per transaction or service

Financial Technology Technology Architecture Wide Area Network Local Area Network Mainframe/Parallel Simplex Branch Architecture Call Centre ATM POS SWIFT/MERVA Wireless Mobile Banking Call Centre POS ATM Branch Banking Application Architecture Bank Program & Project Mngt. Change Mngt. Service Mngt. Recovery Mngt. Quality Mngt. Technological Organization & Key Processes Security Mngt. Operations Mngt.

Issues in Mobile Internet

Mobile Internet Service Evolution Instant message Ring tone download Directory service Music download Ticket reservation information On-line betting E-Salary Advertising Auction Broking Shopping banking Video communication VOD AOD Game Content-based service Transaction-based service Multimedia service mCommerce Application Wireless infrastructure technologies SMS SIM Tool kit WAP GPRS EDGE UMTS 1998 1999 2000 2001 2002 2003

M-Commerce Value Chain OS MICROBROWSER ME/WAP HSCSD GPRS EDGE UMTS MIDDLEWARE (GATEWAY)‏ News Sports Game Stock Traffic CONTENTS PACKAGING MOBILE PHONE COMMUNICATOR Dominant Role Mobile Portal Providers Infrastructure &Equipment Vendors Technology Platform Vendors Application Platform Vendors Application Developers Content Providers Content Aggregators Mobile Network Operators Mobile Service Providers Handset Vendors Service Carriers Financial Facilities

Barriers to M-Commerce Market Aspect Customer Dissatisfaction Inconvenience According To Mobility Weak Profit Structure Compared To Infra Investment Poor Quality Of Content High Price Technology Aspect Security And Privacy Terminal User Interface Reliability Of Network Poor Standardization Bandwidth

People With Mobile Internet Access ( In Millions)‏ 2000 2003 2005 USA 20 120 224 Africa 4 34 78 Asia/Pacific 29 151 282 Western Europe 101 324 409 Rest of the World 7 64 159 World Total 184 737 1,187

House Holds with Mobile/Pc/TV Millions Mobile Subscribers TV Households PCs

1996 1998 2000 2002 2004 0 200 400 600 800 1,000 (millions)‏ Wireline Wireless Internet Seamless Communication

Top Mobile Services - 2005 Users want Financial Services as a core offering in their portfolio source: ARC Group 1268M navigation 469M 206M 614M 775M 785M messaging e-commerce intranet internet entertainment financial services 798M

Ingredients of Success

The Story so Far: Some Clicked some got Kicked

Conclusion – Lessons Learned

Business Plan - Tool Development Process for new Products & Services No Yes No Yes Market Pull Technology Push Business modelling Concept definition of the product/service Business analysis Marketing plan Definition and use of market analysis Business plan Stop Sustainable ok? Sustainable ok? Market analysis (interest, sustainability, competition, competitive advantage)‏ Service development and investment analysis

Thank You Presentation By:- Deepak Pareek Resource4Business +91 98982 69489 [email_address]