Internet Banking Vendors: Escaping the Doldrums

Create a vendor selection project
Click to express your interest in this report
Indication of coverage against your requirements
A subscription is required to activate this feature. Contact us for more info.
Celent have reviewed this profile and believe it to be accurate.
We are waiting for the vendor to publish their solution profile. Contact us or request the RFX.
Projects allow you to export Registered Vendor details and survey responses for analysis outside of Marsh CND. Please refer to the Marsh CND User Guide for detailed instructions.
Download Registered Vendor Survey responses as PDF
Contact vendor directly with specific questions (ie. pricing, capacity, etc)
29 October 2003


San Francisco, CA, USA October 29, 2003

Celent Communications examines the winds that will blow away Internet banking vendors doldrums: features and functionalities that clearly contribute to ROI. The doldrums should dissipate by 2005 when Celent predicts IT spending will break the US$1 billion mark.

Internet banking has entered into a mature phase, for better and worse. On the plus side, technological improvements have made applications increasingly reliable, scalable, flexible, and customizable, causing bank and consumer satisfaction to steadily increase. However, the flow of RFPs has notably slowed and the competitive field continues to be crowded. In addition, for much of the banking market, a single point-solution is no longer interesting on its own. Consequently, for solution providers to survive, they must adapt to banks demands for solutions that extend beyond retail Internet banking.

According to

Alenka Grealish, author of the report and manager of the banking group at Celent, "The Internet banking vendors that will escape the doldrums are those whose solutions fulfill banks ROI demands, which are extending beyond simple cost-to-serve equations and direct revenue models. Banks demands currently include lowering cost-to-serve through self-service features with broad appeal (e.g., check image access and e-statements) and improving customers online banking experience through effective support features (e.g., online chat). Behind the customer-facing scene lie additional opportunities to lower costs. For large banks, a payment warehouse offers a means to defray the cost of offering online bill payment. For all banks, consolidation of applications across businesses and channels onto a single platform holds promise."

The report profiles and grades eleven vendors along three dimensions: financial viability, self-service features, and customer support features. Table 1 displays the vendors earning an "A" grade.

A is available online.

of Celent Communications' Retail Banking research service can download the report electronically by clicking on the icon to the left. Non-members should contact for more information.

Send mail to with questions or comments about this Web site.