The Future of E-Banking in Europe

TABLE OF CONTENTS

0.0 EXECUTIVE SUMMARY
1.0 CATALYST
1.1 INTRODUCTION
1.2 SCOPE OF THE REPORT

• PC banking
• Internet banking
• Interactive TV (iTV) banking
• Mobile phone banking

1.3 REPORT STRUCTURE
1.4 RESEARCH METHODOLOGY
1.5 DEFINITIONS
2.0 MARKETPLACE
2.1 BUSINESS ISSUES

• Introduction

2.2 E-BANKING EXPLAINED

• Why are banks moving on-line?
• Effect on existing distribution channels
• Is this the end of the branch?
• One bank - many faces

2.3 DRIVERS FOR ADOPTING ON-LINE BANKING SOLUTIONS

• The cost savings myth
• Customer loyalty and retention
• Customer segmentation
• Retaining competitive edge
• Creating Internet-only products and services

2.4 THE DECISION MAKING PROCESS

• Who are the key decision makers?
• Different customer - different approach?
• The return on investment considerations for banks
• Putting a value on Internet banking

2.5 CONVINCING THE CONSUMER TO GO ON-LINE

• Barriers to adoption
• Is security still an issue?

2.6 WILL EUROPE FOLLOW THE US MODEL?

• Attack from all sides
• New financial services organizations
• Virtual banks
• E-banking and e-brokerage
• E-banking portals
• The disintermediation of the traditional bank
• The changing landscape of the transaction processing cycle

2.7 BROADENING THE SCOPE OF E-BANKING INTERACTIVE TV BANKING

• France, Spain and the UK lead the way
• Standards holding back adoption
• ITV banking return on investment model confused
• Which customers are being targeted?
• Does the customer want to bank in his living room?
• Will penetration rates meet expectations?

MOBILE PHONE BANKING

• WAP solves the standards conundrum
• Ubiquity seems assured
• Mobile phones complement other e-banking channels
• Roll-out of WAP services has begun
• Customer inertia unlikely

2.8 TECHNOLOGIES BUY OR BUILD?

• Banks can do transactions
• In-house versus external
• Future-proofing - avoiding the mistakes of the past
• Building an architecture for third generation services
• External e-banking platforms - sufficiently robust?

E-BANKING ARCHITECTURES

• The rise and fall of the packaged solution?
• Back office integration is key
• Middleware
• Security
• Multi e-channel access
• Integration with existing channels

3.0 OPPORTUNITIES
3.1 RETAIL BANKING OVERVIEW
3.2 EUROPEAN OVERVIEW
3.3 CUSTOMER NUMBERS - 1999-2004

• European Internet banking customers
• European iTV banking customers
• European mobile phone banking customers
• Total European e-banking customers, 1999-2004

3.4 TECHNOLOGY EXPENDITURE 1999-2004

• European e-banking IT expenditure by source
• Internal
• Hardware
• Software
• Professional services
• Systems integration
• Outsourcing

3.5 COUNTRY OVERVIEW

FRANCE 1999-2004
• Internet banking customers
• ITV banking customers
• Mobile phone banking
• Technology expenditure by source

GERMANY 1999-2004
• Internet banking customers
• ITV banking customers
• Mobile phone banking
• Technology expenditure by source

ITALY 1999-2004
• Internet banking customers
• ITV banking customers
• Mobile phone banking
• Technology expenditure by source

NETHERLANDS 1999-2004
• Internet banking customers
• ITV banking customers
• Mobile phone banking
• Technology expenditure by source

SPAIN 1999-2004
• Internet banking customers
• ITV banking customers
• Mobile phone banking
• Technology expenditure by source

SWITZERLAND 1999-2004
• Internet banking customers
• ITV banking customers
• Mobile phone banking
• Technology expenditure by source

SWEDEN 1999-2004
• Internet banking customers
• ITV banking customers
• Mobile phone banking
• Technology expenditure by source

UK 1999-2004
• Internet banking customers
• ITV banking customers
• Mobile phone banking
• Technology expenditure by source

4.0 IMPLICATIONS
4.1 INTRODUCTION
4.2 VENDOR TYPES

• Hardware vendors;
• Packaged software providers;
• Systems integrators;
• Professional services;
• Outsourcing.

4.3 ESSENTIAL VENDOR QUALITIES FOR SUCCESS

• Do banks like what they are hearing?
• Setting the e-banking agenda - prerequisite or pitfall?

4.4 BANKS

• Traditional banks
• New entrants

5.0 COMPETITIVE INTELLIGENCE
5.1 VENDOR DYNAMICS

• IT services companies
• Application vendors
• Web integrators

5.2 OPPORTUNITIES FOR VENDORS

• Targeting traditional banks
• Equipping the new entrant
• Moving beyond transactions
• E-services opportunities

6.0 OPINION