ABA Banking Journal - August 2007 - (Page 44)

Tech topics Citi Mobile to go strong with iPhone? T rendsetter CitiBank generated no small interest when it unveiled its mobile banking strategy earlier this year. And now, it’s time for phase two, as the bank’s already high-profile mobile marketing campaign is sure to get a bigger boost with pending support of the higher-profile iPhone. Still in early rollout in this country, financial services the “mobile way” could use the nudge of a well-regarded consumer device, notes Bob Egan, chief analyst with TowerGroup, Stamford, Conn., who is also responsible for the firm’s emerging technologies coverage. “Initially, I was a skeptic when it came to the iPhone,” he says. “But I’ve played with the device and the user interface lives up to the hype. Sure, there are some kinks to work out, but on the whole, it’s a great experience.” Citi Mobile, which is being heavily promoted in print, television, banner ads, and in cyber venues like YouTube, is interested in supporting the Apple product as part of a general strategy of embracing as “wide an array of devices as possible,” says Steven Kietz, head of e-commerce and direct banking for Citi’s retail distribution in North America. Advantageous, then, that key technology partner, mFoundry, Sausalito, Calif., Getting a grip indicated that it on billpay with would be supiPhone? Just maybe. porting a slightly strippeddown version of Apple’s Safari browser ASAP as part of its Spotlight Financial Platform. “We have a few technical details to work out, but are working with Safari currently and plan to create an AJAX (an enhanced version of Javascript) engine in their browser,” says mFoundry’s Drew Sievers. He notes that Citi’s “out front” promotion of mobile banking is positive for Citibank wants to support all devices and uses web the industry. “It’s a ‘raising all videos to help jump-start mobile banking. boats,’ seminal event for the retail banking industry,” says Sievers. Sievers points out that, as with And Citi is bullish on a multi-channel CitiBank’s Citi Mobile campaign, his strategy. “Currently, 50% of our checkcompany is pushing for broader industry ing customers use online banking,” and consumer acceptance, even to the Kietz says of the remote channel. The point of coopetition with providers like bank launched Citi Mobile on April 2nd VivoTech, which offers contactless service. and it is now available throughout the In that spirit, Sievers calls Citi’s interU.S. In addition to advertising, Citi is est in iPhone a smart strategy. “Apple also strongly promoting the service in has cult status and the interface is a its branches and on its ATM screens. really great-looking device,” he says. Taking things a step further, “This is the sort of [mobile] phone that the bank is scheduled to can help to push the mobile banking begin a pilot with Obopay service into the mainstream.” He said all on real-time, banks should begin to think of partnerperson-to-person ing with his firm or others to allow their payments somecustomers to use their iPhones, when time before yearthe inevitable demand arises. end, Kietz related. Other banks, says Sievers, have been With respect to fairly tepid in their support of mobile the iPhone banking compared to Citi. (Admittedly, itself, other analysts have said, there are mFoundry’s some fears around security with Sievers iPhone.) Moreover, in Sievers’ view, the explains that WAP technology adopted by most banks Spotlight is in this early phase of U.S. interest flexible, offering “just isn’t as good as what we offer— a write-once, cross- period.” While admittedly biased, platform solution that Sievers mentioned numerous benefits supports Java, BREW, of AJAX, including interactivity. Siever Windows Mobile, says that in terms of payments, his BlackBerry, and soon, company has a vision that includes iPhones. retail pay, as well as billpay, peer-toApple, which has put significant peer, and remittance payments currentmarketing muscle behind its phone, ly supported. And, Sievers also hinted expects to have about a million users by at a future where many of us are runyearend, despite some slow loading ning with our iPhones, sometimes makissues at present with Safari. ing payments. BJ Case In Point 44 AUGUST 2007/ABA BANKING JOURNAL www.ababj.com/subscribe.html http://www.citibank.com http://www.towergroup.com http://www.citi-mobile.com https://www.obopay.com http://www.mfoundry.com http://www.ababj.com/subscribe.html

Table of Contents Feed for the Digital Edition of ABA Banking Journal - August 2007

Contents Editor's Column The Unbankers Snapshot: Do Share Repurchases Signal More M&A Activity Sleight of Mind Goals Behind Proposed ABA/ACB Merger ABA Resources ABA Chairman's Position Should You Sell Those Nonperformers Pass the Aspirin Branch Design - Evoking a Sense of Place Two Banks Take the LEED Move Over, Buddy Service Feature: Bankers' Banks Directory Websites: What's State of the Art for Banks? Citi Mobile to Go Strong with iPhone? Date First, Marry Later Mailbox Banker's Mart To Advertise/Index of Advertisers The Economy

ABA Banking Journal - August 2007

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