As NCR Corp. proceeds with the tech acquisitions it announced this week Digital Insight, an online and mobile banking provider, and Alaric Systems, a secure transaction switching and fraud prevention software vendor, linking the new software with existing solutions and helping employees and customer newbies feel comfortable with their parent brand are NCR's initial priorities, says Andy Heyman, senior vice president and general manager of NCR Financial Services.
The integration work will begin with NCR conversing with its new customers and identifying their tech needs to inform the 2014 roadmap.
There are many opportunities to intermix the company's existing software with the new technology to deliver the so-called omnichannel experience. Heyman shares two examples: NCR can let consumers pre-stage ATM transactions with their smartphones, for one, and video teller features could be built into mobile and online banking apps, for another. (m-Bank in Poland has already rolled out mobile video technologies and several NCR customers provide "video tellers" in their branches.)
The plan to radically expand NCR's reach into more digital delivery categories has been years in the making. Now, it's a matter of execution. The company views the new talent it has acquired as a coup to help deliver its transformation vision. "People are part of what we buy for," Heyman says. "This is about addition.
"People are the biggest asset long-term.... We want them to love the new home they got."
The company also gained hundreds of new customers. Digital Insight alone gives NCR 1,000 financial institutions with 12 million online banking customers.
To be sure, NCR already offers online and mobile banking - but it accounts for a "fairly small" amount of the business to date, he says.
Among the merits gained by its Digital Insight purchase, Heyman highlights: talent, infrastructure that works with legacy products and recently rearchitected software that can now accommodate a wider range of bank customers' demands.
Both purchases plunge NCR deeper into the software category and open up the company to more revenue possibilities. The company said the acquisitions will increase NCR's available market by $5 billion. And NCR says it is now better positioned to deliver omnichannel technology bank customers demand.
"We needed to change to help our customers," says Heyman. "This is an industry in transition."
The industry's transformation into a digital age comes at a time when banks are struggling with legacy technology issues, compliance burdens and low interest rates - to name a few friction points.
"The name of the game is customer loyalty and efficiency," says Heyman.