IDC’s Internet Executive ePanel Finds Financial Institutions Are More Innovative Online Than Previously Thought

FRAMINGHAM, MA – DECEMBER 19, 2000 – According to IDC’s latest Internet Executive ePanel, a survey of more than 600 U.S. Internet executives, online financial firms lead the general online business population in terms of providing interactive customer support, personalizing content, and offering special content. In addition, they are more willing than other types of firms to offer competitors’ products on their Web sites.

 

As financial firms investing in online services work to overcome various challenges, many of those firms are setting the pace in terms of adoption of new business strategies. For example, the financial industry has been more aggressive with investments supporting non-PC access like wireless phones and personal digital assistants.

The financial services industry has long been tagged as being less-than-innovative with technology investments and business practices, but our ePanel results contradict this idea, said Ian Rubin, director of IDC’s Online Financial Services Advisory programs. Financial institutions are very innovative as they integrate customer service and CRM technologies into their Web sites. Also, the degree to which they are using nonconventional selling processes, such as dynamic pricing, is much higher than expected.

The new strategies financial institutions are employing typify the creativity and experimentation enabled by Web-based technologies, he added.

IDC’s new report Online Financial Services Benchmarks: Insights from IDC’s Third Internet Executive ePanel (IDC #B23220) outlines the online challenges that financial institutions have encountered. The report details their efforts with online service and sales tactics, host system integration, marketing affiliations and partnerships, the role of customer personalization, Web site cost, support, and maintenance, profitability, return on investment, and revenue generation. IDC’s eBanking, eInsurance, eInvesting, and eLending research programs review the strategies, opportunities, market positioning, and future direction of traditional and Internet-oriented financial companies offering online access to products and services.

To purchase the report, contact Demetra Georgakopoulos at 1-800-343-4952, extension 4496, or demetra@idc.com.

About IDC

IDC is the foremost global market intelligence and advisory firm helping clients gain insight into technology and ebusiness trends to develop sound business strategies. Using a combination of rigorous primary research, in-depth analysis, and client interaction, IDC forecasts worldwide markets and trends to deliver dependable service and client advice. More than 700 analysts in 43 countries provide global research with local content. IDC's customers comprise the world’s leading IT suppliers, IT organizations, ebusiness companies and the financial community. Additional information can be found at www.idc.com.

IDC is a division of IDG, the world's leading IT media, research and exposition company.

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