Webinar Mobile Banking Market Overview Tiffani Montez, Principal Analyst June 20, 2012. Call in at 12:55 p.m. Eastern time

Agenda The mobile banking imperative Creating a unique mobile banking experience How to pick the right mobile banking vendor Vendor overview

Agenda The mobile banking imperative Creating a unique mobile banking experience How to pick the right mobile banking vendor Vendor overview

Mobile banking has moved from downstream to mainstream . . . fast. Image source: Rapids Riders (http://www.rapidsriders.net/)

. . . while late bloomers are rushing to reach competitive parity. Leaders are exploiting the channel to deliver new differentiated services . . . Image source: Rhine Lake Retreat (http://rhinelakeretreat.org/) . . . while late bloomers are rushing to reach competitive parity.

Smartphone subscriptions will more than double in five years FIVE-YEAR US FORECAST OF MOBILE DEVICE ADOPTION (IN MILLIONS) Smartphones Tablets eReaders 2010 2011 2012 2013 2014 2015 2016 Source: Forrester Research Consumer PC And Tablet Forecast, 2011 To 2016 (US), Forrester Research eReader Adoption Forecast, 2011 To 2016 (US), and Forrester Research Mobile Adoption And Sales Forecast, 2012 To 2017 (US)

Mobile banking continues to grow at a similar rate to online banking PROPORTION OF US ONLINE ADULTS WHO ARE MOBILE BANKERS Base: US online adults; Source: Forrester’s North American Technographics® surveys, 2006 to 2011

The ROI of mobile banking is clear

Smartphone owners largely are mobile bankers Total mobile phone owners 92% Mobile bankers 78% of mobile bankers have a smartphone. 35% of smartphone owners use mobile banking. Smartphone owners 36% Base: US online adults with a mobile phone; Source: North American Technographics® Online Benchmark Recontact Survey, Q3 2011 (US, Canada) Note: Mobile banking is defined as checking account balances, transferring funds, or paying bills on a mobile phone.

Mobile bankers access information through many different touchpoints

Mobile is more than a device; it is a digital touchpoint with unique attributes Image source: JPMorgan Chase & Co. (https://www.chase.com/)

Agenda The mobile banking imperative Creating a unique mobile banking experience How to pick the right mobile banking vendor Vendor overview

Current mobile banking solutions can limit the ability to develop a unique customer experience Source: Bank of America iPhone app, Scotiabank iPhone app, and Bank of Montreal iPhone app

Supporting multiple devices is key in providing best-in-class sales and service

Today’s mobile enrollment process is dependent on online banking Source: September 21, 2010, “The State Of Consumers And Technology: Benchmark 2010, US” Forrester report

Agenda The mobile banking imperative Creating a unique mobile banking experience How to pick the right mobile banking vendor Vendor overview

Consider the changing landscape; many vendors are going out of business or are being acquired Image source: Actuary Info Blog (http://actuary-info.blogspot.com/)

For example: Monitise acquires Clairmail Image source: Clairmail (http://www.clairmail.com/)

Identify how fast you need to go to market Image source: The Boating Guru (http://theboatingguru.info/) versus

Plan your company’s strategic road map, then select a technology provider Back-end integration Agility Remote deposit capture “What do we need in our mobile banking solution?” Image source: VisualPhotos (http://www.visualphotos.com/) Lunch

And consider what professional services you’ll need Marketi ng Development Design Technical skill Integration

Agenda The mobile banking imperative Creating a unique banking experience How to pick the right mobile banking vendor Vendor overview

Vendors evaluated in the market overview

Other vendors reviewed as a part of our analysis

Categories of mobile banking vendors Core-banking aligned vendors Mobile banking package vendors Mobile banking application platform vendors

Standard vendor products and features vary slightly Source: June 7, 2012, “Market Overview: Mobile Banking Solutions 2012” Forrester report

More variation is seen in mobile functionality and payments Source: June 7, 2012, “Market Overview: Mobile Banking Solutions 2012” Forrester report

Account features: 2-way messaging 1 2 4 3 5 Source: Bank of America text banking

Payments: P2P Image source: Discover iPhone app

Mobile enrollment Image source: Bank of America iPhone app Source: April 26, 2012, “2012 US Mobile Banking Functionality Rankings” Forrester report

Next steps Assess your mobile banking strategy. Select a mobile banking vendor that meets your company’s needs. Assess your mobile banking architectures’ readiness. Recommendations

Tiffani Montez +1 617.613.8813 tmontez@forrester.com