This article in Banking Tech argues that ATMs will ultimately deliver a range of services to consumers, including credit and insurance products but unfortunately wanders off course and instead argues that analytics can make ATMs more reliable. It starts out ok arguing new services will be delivered via the ATM:
“The humble ATM is no longer a single physical touch point. With the right technology and support it can act as something that provides customers with value added services (such as credit and insurance products) improving their brand experience; whereas for vendors and the banks they sell to, it offers a chance to foster customer loyalty and a competitive point of difference – a highly relevant and important consideration in today’s competitive environment.
With around 300-400 hits on an ATM on an average every day, the potential is clear. And being able to use those screens to interact with customers and offer products which will be able to meet their unique requirements will be key to the evolution and survival of this service.”
But then the article switches gears and identifies the data that can be collected from ATM operations andanalyzed to improve ATM reliability:
“Source information, such as terminal ID, geography or branch locations; transaction rates, including the number of errors, completed, failed, declined transactions; transaction amounts & the number of concurrent transactions; response times, including authorisation or completion rates, third party response times; volume ratios between various transaction groups; such as the number of third party Vs own transactions & card types; the types of transactions, such as withdrawals, deposits, reversals, incomplete transactions and security are all prime considerations.
The key to understanding the complicated ATM jigsaw is to be aware that each element of it can be viewed as a data set, and consequently either: descriptive (what happened?), diagnostic (why did it happen?), predictive (what will happen?) and prescriptive (what should I do & how do I support it?).”
While there will certainly be new capabilities deployed through ATMs that can drive customer engagement and profitability, it is unlikely credit and insurance will be sold through the ATM. Instead it is likely these products will remain in the realm of eCommerce and mCommerce.
Overview by Tim Sloane, VP, Payments Innovation at Mercator Advisory Group
Read the full story here