LAS VEGAS -
Robb Gaynor, VP and general manager of consumer solutions for Calabasas, Calif.-based Digital Insight, said credit union websites must move from using online banking as a "necessity," or defensive strategy, to making it a strategic advantage.
He suggested CUs follow the model of online retailers by tracking preferences and serving up content members most likely want to see.
"New technology offerings will be based on flexible, service-oriented architecture," Gaynor told attendees of the CUNA Technology Council's recent Summit here. "Technology will complement existing infrastructure, allowing intelligent cross-product integration."
Gaynor said he buys a lot of books at Amazon.com, and noted the company has developed a method of suggesting the next book he might want to purchase. "It is uncanny," he declared. Gaynor foresees new online banking offerings solving the most important everyday financial jobs in the easiest and fastest way possible.
"Members want to manage all their bills in one place, they want to always know their 'real balance' and they want to know where their money is going."
Next-generation online banking also will help CUs better reach and serve small business members, he continued. Gaynor said there are 22 million "small and simple" businesses with an average of just $65,000 in annual revenues. Online banking will help identify the small business owners and assist them by tracking income and expenses. Not only will this make daily financial management and tax time easier, small businesses can rely on their CUs for payroll solutions, the ability to create, send and track professional-looking invoices, and "virtual terminals" that will allow even the smallest business owners to accept credit cards.
"The benefit for credit unions is a fundamental change of the relationship between them and their members. It will bring in new members, increased share deposits, build deeper relationships and offer an increased value to members as the primary financial hub."
In the ongoing struggle for market share between CUs and banks, Gaynor said the oft-mentioned "level playing field" in technology is "for real."
"A credit union can have everything B of A has. Technology means credit unions can compete and win," Gaynor said.
The level playing field is a good thing, Gaynor added, because consumers are really demanding and "they're not tolerating much any more.
"This is truly an exciting time," he said.
