2012 is shaping up to be the year of payments transformation

2012 is shaping up nicely to become remembered as the year when banks started reviewing their cash management and payment platforms to gain the upper hand in customer engagement and brand loyalty. During 2011 more than 200 global banks replaced their payment solutions. Why? Well, according to a recent survey, 76% of corporations that switched banks did so because of poor service or system restrictions.

So it seems likely that by the end of 2012, it will be seen as a year of payments transformation. Corporate banking is widely regarded as being of strategic importance to most global banks. In fact independent research by IBID suggests that 64% of banks plan to invest significantly in these areas, so it seems reasonable to expect quite a few system replacements by the end of the year.

Some banks have already invested heavily to build world-class solutions; others have worked closely with technical partners to build online portals that combine rich functionality with an engaging user experience. Some have yet to wake up to the new age and they will have a lot of catching up to do to meet rising customer expectations.

So what do corporate customers actually want from their banks? The list is potentially endless, but functional requirements fall into three broad categories: improved customer service, improved solution usability and improved access to critical information. In essence, banks need to give their corporate customers easy access to accurate and timely information so they can save money and earn revenue. Let’s see if the next six months sees this happen.