Ranking the Vendors of Small Business Banking: Segmenting the Client Base
| Boston, MA, USA April 17, 2003
Banks See Revenue Opportunity in Small BusinessesCelent forecasts that 21% of small businesses will be banking online by 2005. This dramatic growth will be the direct result of better technology, increased comfort with the Internet, and a greater interest in this segment by financial institutions.
Most banks have always considered the small business segment difficult and costly to reach. They were often placed in the "no-man痴 land" between retail and corporate arenas, where neither banking solution could sufficiently meet their individual needs. As a result, small businesses rarely banked online. Today, however, banks are beginning to recognize the revenue potential of this once ignored customer segment. As banks increasingly look to deploy solutions that target small businesses, fierce competition has arisen as both retail and corporate banking solution providers battle for market share of this untapped sector.
In a new report, , Celent Communications analyzes the solutions of 11 vendors and ranks them. The ranking is based on seven criteria: number of successful deployments, depth of features and functions, financial viability of the vendor, customization/flexibility, client support/customer service, technology platform and ease of use. Table 1 summarizes the results of the study.
of Celent Communications' Wholesale Banking research service can download the report electronically by clicking on the icon to the left. Non-members should contact firstname.lastname@example.org for more information.