Grow Deposits with FIS DigitalAccount CreationLynn JordanMay 23, 2017
Expectations are risingThe CompetitiveLandscape is ChangingInstitutions are challenged with: Protecting customers from theemerging threat landscape Providing tailored, personalized experiences Delivering on expectations for real-time Creating data-driven connections andvalue across converged channels Driving new revenue streams Increasing engagement and loyalty
Our VisionProvide industry-leading digital solutions that keep our clientscompetitive and relevant with the top financial institutionsDrive Innovation and Expand Digital CapabilitiesGrow Sales and Increase EngagementEnhance Security and Reduce FraudExpand Real-Time OfferingsEnable Data-Driven Marketing and AnalyticsCreate Operational Efficiencies
Grow Deposits with Online/Digital Account Creation Account Creation: a deposit acquisitionplatform for the Digital Channels FIS client perspectivePhilip P. RichardsSVP – Operations & StrategyCassidy BeckstrandAVP – Online Banking Manager Discussion
Over 50% of Consumers use Digital Channels toOpen Deposit AccountsConsumers who shopin digital channels,expect financialinstitutions to provideall the information theyneed to chooseproducts and apply fornew accounts in digitalchannels.
Online/Digital Account CreationFull-featured solution for deposit acquisition in self-service channels Allows customers to easily apply, open and fund new depositaccounts through your public website Supports checking, CDs, savings, and money markets Applicant information is screened and verified for CIP information Applicant can be screened through debit bureau and creditbureau based on your requirements Customers can fund the new account through card transactions,electronic ACH transfer, check or direct deposit Includes a “Fast Path” for your current customers Significant level of integration with the FIS cores MISER,Bankway and HORIZON New Responsive Design User Interface expands your reachinto all Digital Channels6
Success in Digital Account Acquisition IncludesSales and Marketing StrategiesAccount Creation is the third step in the process7
Digital Marketing is a Critical Stage of the ProcessSuccessful FIs are investing more every year Your deposit acquisition strategy needs toinclude a digital marketing strategy. We recommend visiting a variety of FIwebsites to see how others arepresenting their product offers. Prospects should be directed to yourwebsite from a digital search. Google“checking account” for a state in yourfootprint to see your competition. If you are expanding into Digital AccountOpening with Responsive Design, yoursales pages on your public website willneed to be in Responsive Design forthose shoppers that come in on theirphones.
The Digital Account Opening ProcessUser experience is different from the branch account opening process The process needs to be different from branch account opening. Why?– The customer’s attention is easily lost– Using a laptop, or a tablet or a phone is different than sitting in a branch bank.Your prospective customer can easily slip away if: The process is too long or hard to navigate Questions seem intrusive or irrelevant The product offer seems overly complex They feel uncomfortable or confused by the process Regulations allow for a “paperless” process– Non-documentary verification of CIP information– eSign acceptance of disclosures– Signature cards not required when other processes are in place The most successful clients do not confine themselves to traditionalassumptions and processes but focus on building the best possible userexperience.
FIS Can Help You Design an Experience ThatWill Meet the Expectations of Your Prospects When you are implementing your Digital AccountCreation experience, it is important to make brandingand configuration choices that will provide astreamlined customer experience. Your public web site is critical to the sales process.You may need to refresh your public website to movethe customer easily into the digital account openingexperience.Forrester recommends, when designing the account opening process: “Reframe the discussion around the customerrather than internal operations. Use Journey Maps to help employees adopt an outside-in perspective and understandhow their individual actions can collectively result in good or poor customer experiences”
Why is it Important to Keep it Simple?11
The Account Creation ProcessStarts after the customer has selected a productInformationGathering Applicant enters information for application phase Selects product options – ATM cards, checks, overdraft protection, etc. Reviews and accepts disclosures electronicallyApplicantScreening Immediate identity verification (IDV) with OFAC screening Out-of-wallet questions (IDA) QualiFile screeningFunding theAccountAccountOpening ACH funding with immediate account validation or test transaction validation Check funding Card funding – credit and debit cards Customer record is created and account is opened in deposits New account information is given to the customer
Digital Account CreationIt’s here!The new Responsive Design User Experience expands your market reach to tablet and phone users.13
Deposit Account Opening on Account Creation PlatformUser experience options to support your sales strategiesOnline AccountCreationPCs and TabletBrowserDigital AccountCreationAll Device SizesBrowserMobileAccountOpeningPhone AppANDPilot 2017Complete applicationand accept disclosuresFull evaluation of theapplicant from identityverification to productqualificationFunding the account:multiple options andsafeguardsNew account openedand delivered online.Activation of online andmobile servicingSINGLE ACCOUNT CREATION ADMIN TOOL FOR ANY UXINTEGRATION TO Your FIS Core Deposit System FOR ONGOING SUPPORT14
Mobile app Account OpeningRoadmap: Mobile integration options (pilot 2017 Q2)Phase 1 (early 2017) Leverage mobile responsive UI from OACplatform wrapped in a mobile banking appPhase 2 (proposed TBD) SSO for existing customers to fast path OACuser experiencePhase 3 (2018 target) Add functionality that allows for data capturefrom a photo of the IDBankway, MISER andHORIZON Integration
FAQ: How Many New Accounts Can We Get?From Javelin Research– A large regional bank reports “tremendous year-over-year growthin online account opening” for checking after upgrading its digital accountopening capabilities, but “we’re not quite at the one-third mark.”– An FI’s size is a “horrible predictor” of digital account opening success.The most successful FIs are the ones that emphasize digital account opening.– Banks that succeed in online opening are the people who put a focus on it;one FI might be successful, while others struggle because marketing supportis weak. “You still have to drive awareness and interest before you get clicks.”FIS observations– Success in account acquisition in the digital channels is driven by the FIs ability tobring qualified, motivated people to the start of the process.– The most successful clients are those that work at it all the time, adjustingthe process to maximize their results.– Success metrics will be driven by the strategy and don’t look the samefor every FI.
FIS Digital Account Creation Client Panel17
Online Account OpeningOACFIS Info Share - May 2017Philip P. RichardsSenior Vice President - Operations & Strategy
IC Federal Credit UnionLocated in North Central MA 550 Million in assets7 Branch Locations35,000 MembersField of Membership - 6 countiesWorcester, Middlesex, Franklin, Hampden, Hampshire, and Norfolk
FIS Client Relations Miser Core Banking Application Consumer Banking (CeB) and Business Banking (BeB) – Including BillPayment People Pay, External Transfers, ACH and Wire Transfer Connections CRM Online Account Creation Pilot for OACDebit Card Auto-Fulfillment EFT-Debit Credit Cards – Card Base Web Services
Online Account CreationAdding6-Month CD1 Year CDand aMoney Market(in production now)
Application StatsAverage of 53 OAC Applications permonthAbandoned or Failed:-Summary 2016 thru March of 2017OACTo DateAverageCompleted14110In Progress373Abandoned27919Failed28921# of OAC Applications74653Abandoned (potential reasons why)Cannot save and resume applicationExisting Members need to verify last statement balanceFailed - largely due to efunds failureCompleted RateAbandoned RateFailed Rate24%37%39%
Online Account Creation Upgrade from OAC to DAC (Digital Account Creation)will offer an easier experience on any device. Expands market reach with responsive design formobile phones and tablets Fully digital with touch screen and orientationfunctionality Enhancement to CeB (Q4-17) with Account Openingthrough the platform that will provide currentMembers the ability to easily open new accounts.
Who is Applying Online30%22%15%8%0%18-2425-3435-4445-5455-6465
Relationship BalancesOAC Accounts & Relationships 2016 thru March 2017Opened with OACOther Product & Service BalancesTotal Acct Bal #AcctsDep BalLoan BalAverageOAC Product 177,258.0098 822,398.34 1,302,146.703Intelligent Checking 301,654.0833 379,109.63 545,534.003Intelligent Savings1,392.616 8,698.63 486,428.224Veterans Reward Checking 45.082 8,466.43 316,849.122Veterans SavingsGrand Total 480,349.77139 1,218,673.03 2,650,958.045.52
Future Road MapNew MemberAcquisition (planned forlate Summer/Fall)Communicate via emailto non-members withlink to hiddenpromotional pageTracking behindthe scenes with aspecial code from the“Open Account”button that passesthrough to OAC, thento our Miser Core andConnections
FIS Digital Account Creation Client Panel27
First National Bank of LaytonOnline Account Creation (OAC)
Bank Profile Open since 1905Northern Utah community bank7 branches 300 million in assetsLaunched OAC in January 2017
OAC Process Overview Checking, savings, money markets and CDsOnline products mirror branch productsQuestions go to customer service departmentAccounts are opened and serviced under branchesCustomers can fund through internal and external transfers,checks, and direct deposit
OAC ResultsJanuary through April 200 OAC applications 34% of all personal accountsopened
Strategies Actionable items for our digitalmarketing Promotions (CD special, bonus promo) Tech bar Abandoned applications
OAC AdviceImplementation Determine how your institution will use OAC Task force Use the documentation Test the ACH funding process thoroughly Use and review settings for IDV, IDA & eFunds Use the FOS fraud prevention letter Online banking (CeB) auto connection off
OAC AdviceLaunch Only move to production when ready Work closely with web team Email disclosures for compliance Website landing page information
OAC AdvicePost Launch Internal tracking and Acquire reports Get CDD follow up project implemented IDV passport and account generating with core
Overall Experience Simple user experience Good project management Look forward to using responsive Digital Account Creation
What’s NextVisit us in the Solutions ExpoDigital Account Creation kiosk
AVP –Online Banking Manager. Over 50% of Consumers use Digital Channels to Open Deposit Accounts Consumers who shop in digital channels, expect financial institutions to provide all the information they . Worcester, Middl