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Banking, Finance, Location and Business Intelligence

I was just reading an article about some research from Avaya and BT about The Autonomous Customer. It reiterates a lot of inmation you already know but should perhaps be reminded of.

  • 60% of respondents said they change their contact channel with brands based on context, i.e. where they are and what they are doing.
  • 51%, the autonomous customers, cut organisations out of the loop altogether but trust the advice of unknown others on forums, review sites etc.
  • 46% regard customer loyalty as a thing of the past

I found this research through an article at thewherebusiness.com which discussed research about how people are managing their money. Where they bank, how they decide to borrow money and the influence in location on those factors. It makes for interesting reading and whilst New Zealand is a small country and has few banks, one element that shone through with high relevance was the willingness of people to share their location with their bank or credit card company.

The relevance for New Zealand of course is that 4 Canadian people have just been arrested for putting skimmers (devices that copy the information from the magnetic stripe on your credit or EFTPOS card) and subsequently allowing people to draw money from at least 60 people’s accounts over Easter 2012 from ATM machines in Canada. The story says that these skimmers had apparently been installed in Parnell, Ponsonby, Orewa, Takapuna and Howick and allowed the theft of account information from at least 500 people.

If the banks embraced location based technology with Smartphones (before Google Wallet, Paypal or a telco takes over m-commerce) people who allow their banks to know where they are through their mobile could be protected. Effectively if the bank knows I am in New Zealand, then I am unlikely to be in a position to withdraw money from an ATM in Canada with my card.

Of course there is a lot more gold (pardon the pun) in location based intelligence for banks. Banks probably all have a GIS person on board who has the ability to prepare reports for Business Analysts to make decisions about where to put branches, based on where their customers live, work and play. However, the problem with GIS is that unless you have personal access to it in real time and can do modelling with ease (requiring software and skills) and without long delays or having to wait for someone else to run queries on what they think you asked for, it can easily end up in the too hard basket.

In today’s world where a large percentage of people do not carry cash, but want to borrow and spend money, finance houses and banks need tools like BIonaMAP to be able to understand what their customers are doing and where. Tools that are secure, but can be accessed via a web browser within the intranet can allow the modern banker to stay a step ahead of their competitors. If you can’t assume loyalty, you need to understand your clients and their needs and be ready to adapt quickly.

According to this 3 News Story today, Credit Card Fraud Proceeds Surpass the Drug Trade. That must be a good motivator for banks to start talking to location based service companies like GeoSmart.

According to this Australian story from Today Tonight, it takes just 60 seconds for someone to convert a retail EFTPOS terminal to steal information from all of the cards that are swiped through it and the customers would have no idea their identities had been stolen. What does this cost the industry and what stress does this cause to consumers? BAU Business As Usual can’t be the way forward for the finance industry. I’m sure we don’t want to go back to carrying cash. Would you be happy to let the banking system know where you are so that they can confirm that the person using your card is you?

April 10, 2012 Posted by | Business Analytics, Business Intelligence, Data Mining, geosmart, GIS, location based services, new zealand, proximity based marketing, Retail, Uncategorized | , , , , , , , , , , , , , , , , , , | Leave a comment

Business Intelligence for Security and Alarm Companies

I just read a story about an application in the US which I posted on our Facebook Page about an alarm company which is providing an application for people who use their home alarm systems, which uses geofences (a line around an area, such as your property)  drawn with a mouse on a map to send a notification to people’s mobiles when they have left home, but haven’t set the alarm.

Of course the first thing I thought of was why didn’t someone in New Zealand think of that. The answer is probably that alarm and security companies in New Zealand are probably too focussed on BAU (Business As Usual) although I’d love to be proved wrong.

Of course GeoSmart has the technology to enable a solution like this. It would be easy to do and could be a huge value add to the purchase of a home burglar alarm. I’d probably go a step further and enable the possibility of arming the alarm remotely when you realise you have dones this and you have already left, or the ability to disarm it if you have someone at home that doesn’t have the code and has just set the alarm off.

I had previously thought that the security industry could use our BIonaMAP application as well, but have focussed on industries where we already have client demand. As you can see on the web page above, BIonaMAP allows you to see your customer locations on a map and run queries from your business data and view it on a map. This could include:

  • Show all customers on a map who have a particular type of alarm
  • Show all customers whose alarm needs a preventative maintenance visit
  • Show all customers who hasn’t ad a visit or sales call within a certain period of time
  • Show all customers in an area by the number of security guard visits
  • Show scheduled visits by security guard run on different nights of the week, different staff in different colours
  • Show results of sales calls including yes, no, maybe or by competitor brand
  • Show domestic clients by demographic
  • Find new clients by demographic statistics e.g. household income right down to street addresses within a mesh block

As an example, this picture illustrates using BIonaMAP to find areas where the people have lived in their homes for between 5 and 9 years AND have a household income of over $80,000 p.a. which could possibly be a good target market to purchase monitored home burglar alarms. BIonaMAP can even provide street addresses for the houses within those shaded areas.

March 28, 2012 Posted by | Auckland, Business Analytics, Business Intelligence, Business Tools, geosmart, GIS, iphone, Mapping Applications, new zealand, sales territory, Uncategorized | , , , , , , , , , , , , , , | Leave a comment