All articles by Dan Jones
Dan Jones
The evolution of consumer credit
David Lavelle, head of strategic planning at online payments firm Bill Me Later, spoke to Dan Jones about the companys plans following its acquisition by eBay. Online marketplace eBay purchased BillMeLater.com, an increasingly significant competitor to eBays own market leading e-payment business PayPal, for $945 million in November 2008
Indicators for the global economy
Despite healthier investment banking earnings, first quarter retail banking figures from US banking groups indicate further problems to come in the country
Protecting market share
In their domestic market, new regulations for 2009 could also have a big impact on retail banking profitability, with rules to make account switching easier, products transferable and banking fees more transparent
BofA asks customers to Add It Up
The product is a new rewards programme that provides cash rebates to online banking customers who purchase goods from a range of selected, high-profile internet retailers
75% of contact is via direct channels’
Dan Jones talks to Carlo Giugovaz, head of multi-channel direct banking at UniCredits retail division (UniCredit Retail Italy) He says the banks goal of selling more than two million net new retail products online in 2009 is part of a concerted attempt to boost its cross-sell ratio, currently at 3.4 products per customer, by 10%.
Subscribe to our Newsletter
Get industry leading news, data and analysis delivered to your inbox
An ambitious plan for a troubled Japan
Dan Jones analyses plans by Japans fourth-largest banking group, Resona, to become an unrivalled leader in retail financial services But as the economy falls into a deep recession, all banks in the country face the same problems selling loans, credit cards and investment products to a society wedded to cash, and low returns. Though Resona is often grouped with the three Japanese megabanks Mitsubishi UFJ (MUFG), Mizuho and Sumitomo Mitsui its retail banking capabilities have remained relatively limited in comparison to its larger peers (if such a phrase can be applied to a group with 13 million retail deposit accounts)
Putting the retailer in retail banking
Renzo Viegas, head of retail banking at Malaysias RHB Bank, tells Dan Jones that the banks significant card partnership with UK-based Tesco, the worlds third-largest retail chain, should help his bank boost retail profits and cross-selling opportunities in 2009 and beyond.
Serving customers across 11 time zones
Russias Rosbank, a subsidiary of Socit Gnrale, has announced significant increases in the take-up of its direct banking services a trend that is likely to continue as the countrys leading banks hone their multi-channel strategies and customers begin to understand the options available to them, says Dan Jones.Rosbank, the Russian bank in which Frances Socit Gnrale (SocGen) holds a 50 percent plus one share stake, has reported a 115 percent increase in online banking customer numbers for 2008 a sign, perhaps, that direct banking is finally beginning to take off in the region
A cross-sell ratio of 1.4 is not high enough’
Despite group profit up 19 percent, the UK-headquartered but Asia-focused banking group saw its global consumer banking earnings fall 33 percent, with Hong Kong underperforming in particular.If 2007 was the year of HSBC, then 2008 may have been the year of Standard Chartered (StanChart), given the remarkable resilience of the Asia-focused banks full-year results StanChart saw pre-tax profit rise by 19 percent to $4.8 billion across the year; that may result in the banks share price trading at a premium to its peers in much the same way that HSBCs did for the majority of last year (it is now the second largest UK-listed bank by market capitalisation at £15 billion), but a closer look at StanCharts results reveal many of the same retail banking issues that characterised HSBCs full-year figures (see HSBC prepares for tougher 2009).
A rich and poor strategy for Mexico
Dan Jones talks to Adrian Aguirre, head of retail products at BBVA Bancomer, Mexicos largest retail bank It reported a strong set of results for 2008, with net profit rising to 1.93 billion equivalent to almost 31 percent of BBVAs total profit Underbanked segments and rich expatriates are two target groups for 2009.BBVA Bancomer, the Mexican unit of Spains BBVA, is looking to build on an impressive performance in 2008 by targeting either end of the Mexican retail market unbanked Mexicans and wealthy foreigners eager to retire to the country