Looking to Offer New Online Banking Functionality? Consider These Emerging Value-Added Services, IDC Says

FRAMINGHAM, MASS – JANUARY 22, 2001 – Bigger online banking services aren't necessarily better. According to IDC, while many banks are considering services such as wireless access and online account aggregation, other value-added services exist that are less expensive, easier to implement, and possibly more beneficial to consumers.


"Online banking managers who are continuously looking for fresh approaches to online banking programs now have a wide variety of emerging value-added Internet services from which to choose, including virtual safe deposit boxes, expense management services, and financial planning and advice tools," said Ian Rubin, director for IDC's Online Financial Services Research programs. "Not only are these services offered in ASP models, but they complement existing Web-banking services and have elements of revenue generation for the bank."

According to FDIC estimates, 65% of all U.S. banks with at least $3 billion in assets offer online banking. IDC expects this percentage to rise dramatically as more midsize and community banks begin offering Internet services. With rising competition, banks will need to add new online services to differentiate their banking programs from those of their competitors.

IDC's eBanking group recently published What Have You Done for Me Lately: Emerging Value-Added Services for Online Consumer Banking (IDC #B23714). This bulletin examines the following emerging value-added services for online consumer banking: virtual safe deposit boxes, expense management services, and financial planning and advice. This bulletin discusses the products, vendors, and banks implementing these services. To purchase this bulletin, contact Demetra Georgakopoulos at 1-800-343-4952, extension 4496, or at 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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