Wincorf Nixdorf Expects Banks To Focus On Security In 2011
Wincor Nixdorf recently announced the top three trends that it expects U.S. retail banks to focus on this year.
“The various regulatory changes in 2010 have resulted in an increased number of banks looking to cut costs and become more profitable through channels such as the ATM,” said Alan Walsh, the executive vice president for Wincor Nixdorf’s U.S. Banking Division. “This year, the retail banking industry will make strategic investments in more sophisticated ATMs to offer their customers more features and functionality as well as the advanced protection against ATM fraud.”
Wincor Nixdorf predicts the following trends will shape the retail banking and ATM industry this year:
- Automation: As the retail banking industry grapples with the loss of revenue from overdraft charges, automation is becoming a necessity. According a recent Wincor Nixdorf survey, consumers continue to demand more features and functionality at their ATM. Therefore, there has never been a better time for banks to embrace technology such as envelope-less cash/check deposit which significantly reduces costs related to cash handling. Retail banks that offer this will realize a competitive advantage, as well. The survey also revealed that, if all else was equal, and one bank offered envelope-less cash and check deposit and another didn’t, consumers prefer the bank with this functionality.
- Security: As the ATM increasingly becomes one of the primary interaction points between retail banks and their customer base, banks will need to protect their customers by investing in more sophisticated security measures. This will not only protect ATM users, it will reduce the risk of the bank loosing both money and customers. With more sophisticated security software, retail bank managers can monitor and control their ATM networks anytime, anywhere. This will significantly reduce the time and costs spent on securing the ATM and will provide managers with assurance that their ATMs are less vulnerable to fraud.
- Flexible Software: Banks will look to adopt more innovative and flexible software this year to fully leverage the ATM channel. Flexibility allows the bank to enhance their ATMs and constantly improve their offerings to engage, communicate and remain at the forefront of the customer’s financial needs. Advanced software will also allow retail banks to have a more personalized interaction with their customers, with customized fast-cash withdrawal amounts or even targeted promotions such as a mortgage rate for 30-year-olds or a college savings account for middle-aged users. Innovative software will be embraced this year more than ever because the ATM will increasingly become a central hub for all of the customer’s financial needs such as person-to-person payments or bill payments, as well as applying for loans and opening new accounts.