As part of an innovation consulting project at Haas, the first stage of our work consisted of collecting actionable insights into retail banking.

1. Haas@Work
Insights Briefing
Feb 26, 2018
CONFIDENCIAL
Bank
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2. Our Team
Adrien
Stern
Felix Tong
Assistant
Coach
Jason
Zhixuan
Dai
Baris
Dogruoz
Samarth
Gupta
Darren
Le
Zachary
Garrett
Tokay
Zeynalov
Soravis
Prakkamakul
Lourdes
Amayo Rohan
Kapuria
Dipti
Ranjan
Sahoo
Clark Kellogg
Instructor &
Team Coach
Ryan Dingler
Project
Manager

3. Why are we here?
Define
Wells Fargo’s
Banking as a Platform
Valued digital platform and ecosystem for
customer’s complete financial journeys

4. Where we are now?
Discover
Insights
Generate
Concepts
Improve
Ideas
Phase 1
Identifying key insights
and framing the problem
Phase 2
Identifying new concepts
and possible solutions
Phase 3
Experiments to prove
or disprove key
assumptions
Today

5. Today is about sharing insights (not solutions)
• Opportunity for you to share in our insights
• Opportunity for us to listen to your feedback
What it is not • We have specifically resisted developing solutions
Fresh perspective from the foundation of a innovation process
What it is

6. Research
Our team performed in-person & telephone interviews, read market
landscape reports, and analyzed competitors offerings
Interviews conducted:
Continents covered:
Age range of interviewees:
65
4
16 - 65
North America
South America
Europe
Asia
Research reports, annual
reports, and surveys read:
53

7. Recap of the current project stage
Agenda
Insight briefing from all 5 lenses
Next Steps
- Customer Insights
- Orthodoxies
- Discontinuities
- Core Competencies
- Industry Mapping & Whitespaces

8. 1Core beliefs and behaviors
regarding banking
Customer Insights
Leveraging customer insights ensures the
development desired products

9. What is a bank?
Core banking is a commoditized service
As long as I can get my
money when I want, I don’t
care who has it.
I don’t care about
0.25% interest.
“
““
“

10. Like marriage, for better or worse... always better
Bank as a life
companion
Supported like
friends or family
Banking is a
family affair
Heard,
understood and
appreciated
Part of my life
decisions
Like any relationship, banking is one that requires ongoing care.

11. Banks should be
chameleons
I would be open to sharing
my data to get personalized
and intelligent
recommendations.
When firms hold customer data, customers expect services to be tailored
I pay for the service, the bank
should adapt to me.
“ “
“ “

12. Researching for
suitable investment is
painful, listening to
someone is not.
I judge products
based on reviews from
others’ experience.
I get financial advice from
friends more than official
sources.
I like sharing my thoughts
about finance &
investment strategies.
Trust is contagious
The power is with the people, customers control the brand
“ “ “
“
“ “ “ “

13. My money, my call !
Customers have strong desire to maintain visibility and control
I want full visibility
into what I earn and
what I’m charged.
“ “
Convenience should
not remove my control
from the decision
process.
“
“

14. Let me love you
Customers want their banks’ values to align with their own
My bank doesn’t care
about me, or at least
they don’t show it.
If I knew they were doing
good things… but it seems
they’re just in for the profit.
“ “
“ “

15. It’s a tech world
An empowering UX lays the foundation for customer loyalty
• Banking applications are
compared to all other
applications
• The UX is more important
than the brand to drive
loyalty
• Complexity does not
empower customers

16. 2Established beliefs and practices
Industry
Orthodoxies
What conventions or paradigms are
potentially “rocks worth overturning”?

17. Relationships start
at branches
of relationships start
online
30%
Mobile on-boarding process is not
a pleasant journey today, and can
be drastically improved
1. Source: Aite Group, 2016
1.

18. Only customers deserve help
Many people need financial
advice before they even
become a customer
When does a banking
relationship begin?

19. We don’t ask our customers to help us grow
I need to open a bank
account.
If my family trusts the
bank then I trust the
bank.
How can banks use this trust better?
Banks don’t incentivize existing customers to help grow their business
Which banks does my
family trust?

20. No history, no credit
Credit history is siloed by geographical regions
I am likely to earn a six figure salary in
two years and yet cannot get a education
loan in the US.
“ “

21. 3Changes that are already
happening
Discontinuities
Identifying and acting on discontinuities can
help mitigate disruption

22. Trust is moving
from people to software
people are expected to use
Robo-Advisors to manage
their money by 20221
1. Statista estimate January 2018 – defined as automated online portfolio
management of private assets
122million

23. From reactive to proactive
Machine learning is allowing companies to provide personalized
contextual advice for each customer

24. From privilege to mass-market
Democratization of luxury1
Who needs that
second home in
Hawaii anyway
Personally curated
fashion advice… done
Daily tax loss harvesting
previously only for
clients with net worth
$5M+
1. Language from FJORD – Design and Innovation Accenture

25. From banks to …
Lending DepositsPayments
Personal
Finance
Wealth
Management
ü
ü ü ü ü
ü ü ü
Competition is coming from companies that don’t
look like banks
ü

26. From closed system to open developer platforms
Leveraging developers across the world for ideas

27. 4Company’s deep and differentiated
know-how
Core Competencies
How might strengths be
leveraged in new areas?

28. What is a Core Competency?
Creates
Value
Unique Sustainable Important
The organization’s deep, leverageable and differentiated “know
how” or strengths that could be leveraged
into new areas
Can be
leveraged

29. The Bank has advanced credit risk capabilities
We employ over 13,000
people in corporate risk
department.
.. disciplined, modern and complex
credit risk management
capabilities.”
The Bank emerged unscathed post 2008.“
“
““

30. The Bank’s National Distribution
Capability to distribute product and services to 70 million
customers in person
1 CNN Money
Deep brick and mortar
penetration, even in unusual
places
CONFIDENCIAL
Bank
Branch
Map

31. Ability to cross-sell complex financial products
Digital banking origination
can be limited due to product
complexity
Consumers prefer a “conversation”
when buying more complex
financial products

32. Turnaround and integrate acquired businesses
2008200719981996
Long history of acquisitions gives rich expertise in
integration and change management
CONFIDENCIAL
Bank
Acquisitions

33. 5Potential industry dimensions to
determine where we might compete.
Identifying
White Spaces
What new spaces are emerging based on
unmet or unarticulated needs?

34. Meet people where they are and empower them
Enabling and empowering consumers builds loyalty
Some consumers prefer to have
their finances taken care of …
… others enjoy building
their own financial future

35. Connect banks’ and consumers’ values
Consumers are
increasingly skeptical of
banks’ motives, business
models and incentives
Consumers are
increasingly aware of
companies’ values
I feel that banks’ incentives and values are
fundamentally opposite to mine.
“ “
OUR
VALUES

36. Live at the intersection of serious and fun
Opportunities to make “serious business“ ,
well – fun!
Bank interactions are considered as a
“serious business“
Younger consumer segment associated dealing with a bank
with feelings of anxiety, time waste and urgency

37. Money is
increasingly virtual
Change of
perceptions
Deposit = Investment
Changing lenses on deposits to match consumer expectations
creates new product opportunities
Depositing is investing not just safekeeping

38. Home away from home
I want foreign exchange before I leave U.S.
Making the customer feel taken care of when travelling
Being in a foreign country I don’t have the same banking
convenience as at home.
“ “
“
“

39. Questions
& Discussion

40. Recap of the current project stage
Agenda
Insight briefing from all 5 lenses
Next Steps
- Customer Insights
- Orthodoxies
- Discontinuities
- Core Competencies
- Industry Mapping & Whitespaces

41. Phase 2: Identifying new concepts and solutions
Phase 1
Identifying key insights
and framing the problem
Phase 2
Identifying new concepts
and possible solutions
Phase 3
Experiments to prove
or disprove key
assumptions
Today Gallery of Ideas
Discover
Insights
Generate
Concepts
Improve
Ideas

42. What lies ahead in the second phase?
Ideation
(Lens Crashing)Discover
Insights
Generate several
hundred ideas
Gallery of
Ideas
Idea clustering,
elaboration &
selection
10 – 12 ideas
3 ideas

43. Thank you
CONFIDENCIAL
Bank
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