TRANSFORMING

the Digital Banking Experience

Digitization continues to transform the financial industry, and there is

intense pressure on financial institutions to provide solutions that meet
changing customer preferences and deliver a consumer-first experience.
A recent web seminar hosted by American Banker delved into the factors
shaping this transformation and how financial institutions need to respond.
Mark Ranta, head of digital solutions at ACI Worldwide, the webinars
sponsor, opened the discussion by identifying four macro trends that are
driving the adoption of consumer-facing digital technology in all industries,
not just financial institutions:

By 2019, one-third
of IT budgets in
US banking will be
dedicated to achieving
digital-transformation.

1. Consumerization of the user experience, Ranta explained, means

maximizing online ease of use and navigation in line with consumer
expectations. Examples include responsive web design, which
automatically renders display to accommodate the size of the screen on
different devices, and filters that allow the consumer to search for specific
events or transactions, such as a cancelled check or a loan agreement.

IDC Financial Insights

Sponsored by

Consumerization Of The User Experience

USER EXPERIENCE IS DRIVEN BY BEST IN CLASS WEBSITES

INTERACTIVE

MODERNIZED

FEWER

ANALYTICS

two way experience

design

clicks

driven

60%

of
digital content
access is from
mobile devices.

2. Omni-channel expectations,
Ranta continued, reflect consumers
desire for a consistent experience,
regardless of which channel theyre
using to conduct a transaction or to
access a service. For example, if a
customer begins applying for a loan
online, that customer should be able to
phone into a call center to continue the
process and then walk into a branch to
sign on the dotted line, without having
to start over or re-do any paperwork.

3. Usage of mobile, tablets and wearables continues to grow at double digit rates in the
U.S., and the majority of digital media is now consumed using a mobile device. This, Ranta
observed, makes mobile an increasingly vital channel for banks seeking to grow existing
customer accounts and capture new ones.
4. The Millennial generation will make up three-quarters of the workforce by 2025. Millennials
have not only become the numerically largest generation, they are also the first generation to
come of age in the Internet era and are characterized by a digital first mind set. With Millennials
now coming into their own in terms of spending power, Ranta argued that understanding and
servicing their needs will be a major factor shaping banks marketing strategies going forward.
Many of Rantas points were reinforced by Tanan Miles, director of electronic banking delivery
at Ent Federal Credit Union of Colorado Springs, an ACI customer since 2009.
RESPONSIVE DESIGN AT ENT
Ent, a financial institution with $4.2 billion in assets and 260,000 members, has seen 64 percent
year-over-year growth in customers who interact with the credit union solely through their mobile
device. The credit union attributes this success to the combination of its Android, iOS and tablet
form factors based on a single code base, which was also recently enhanced with a single
responsive design. A version of the design for desktops will be rolled out sometime in early 2016.
While the experience is not identical from phone to desktop, our members dont have to
relearn our site as they come to interact with us through various channels, Miles explained.
Certainly it does meet them where they are, and allows us to be economical and efficient in our
development.

DASHBOARDS FOR DCCU MEMBERS

Michael Tranum, vice president of information
technology at DuPont Community Credit Union,
described how the $980 million Virginia-based
credit union used a flexible approach to responsive
design to increase credit and debit utilization and
generate awareness of under-utilized checking
account features by developing dashboards for
its account holders.

Online Banking Development

Member
dashboards
developed
by DuPont
Community
Credit Union

The dashboards provided the DCCU members

with real-time account data. They also allowed
them to track the points they were receiving as part
of an awards program, created by the credit union
to encourage account utilization and promote
awareness of different checking account features.

By 2025,
Millennials
will make up

The overall solution, Tranum said, was designed to do three things: We wanted to effectively
communicate checking account benefits and tangible value to the membership; give members
access to real-time data to make purchasing decisions, and to do that by providing a graphical
view of data that encourages product usage.

of the workforce.

CFES DIGITAL BILLBOARD CAMPAIGN

Tranum was followed by Tameka Hylick, marketing manager for CFE Federal Credit Union, a
$1.5 billion financial institution serving central Florida. Hylick explained how CFE undertook a
concerted effort to lower the average age of its members by targeting Millennials.

75%

Current Digital Channels & Future Enhancements

Electronic
IN-BRANCH
SIGNAGE

MYCFE.COM
Online and
Mobile Banking

EMAIL MARKETING
& SOCIAL MEDIA

DIGITAL BILLBOARDS

RESPONSIVE
SITE

OPTIMIZE
SEO

OMNICHANNEL

Approaches taken by CFE Federal Credit Union to attract Millennial customers

Recognizing that Millennials are more technology savvy than other generations, CFE made
extensive use of digital channels to appeal to this segment, while shifting to a more digital-centric,
omni-channel strategy overall.

Ent has seen

64%

year-overyear growth in
customers who
interact with
the credit union
solely through
their mobile
device.

The credit union stepped up its online marketing efforts, including a greater emphasis on SEO,
email marketing, social media and digital signage.
To help illustrate its efforts, Mike Ferrara, an electronic marketing specialist at CFE, described a
successful digital billboard campaign that the credit union recently concluded.
The goals of the campaign were twofold: to create awareness and engage with CFE customers
using social media in ways the credit union had never attempted before, and to show support
for the University of Central Florida, with which the credit union had recently entered a major
public partnership.
To generate good will and buzz around the universitys football team, the credit union
brainstormed a hashtagUFC fanand then tracked it using various social media tracking
software. Fans and followers were invited to post their photos and thenwithin five minutes of
being approved by the credit unionthe submitted photos were prominently displayed on the
credit unions high profile digital billboards.
For the credit union, Ferrara, said, this was a new way of interacting with its members and earned
it substantial awareness and brand recognition among fans of the UCF football team and within
the university community.
Looking to the future, ACIs Ranta wrapped up the discussion by describing what he sees as
the biggest digital marketing challenge still facing financial institutions. This, he said, will be
determining how to personalize the consumer experience.
I think the virtual experience hasnt been as tailored and as individualized as the physical
experience that weve traditionally offered in branches, he concluded. Unlocking that piece
and really figuring out how to deliver a customized experience to each individual consumer,
I think thats the nut that we need to crack.

ABOUT ACI
ACI Worldwide, the Universal Payments company, powers electronic payments and banking for more than
5,600 financial institutions, retailers, billers and processors around the world. ACI software processes
$13 trillion each day in payments and securities transactions for more than 300 of the leading global
retailers, and 18 of the worlds 20 largest banks. Through our comprehensive suite of software products
and hosted services, we deliver a broad range of solutions for payment processing; card and merchant
management; online banking; mobile, branch and voice banking; fraud detection; trade finance; and
electronic bill presentment and payment. To learn more about ACI, please visit www.aciworldwide.com.
You can also find us on Twitter @ACI_Worldwide.