Team ACER Presents a PPT on

Introduction of Biometric ATM’s In India by using finger print

technology (Thumb Impression)

Everything is there in your thumb itself

Presented by:JAYADATTA S

Jagruthi ATM Machine

Jagruthi Bank Ltd.,

Authorised Signature

eÁUÀÈw ̈ ÁåAPï °.,

ATM Card Front side

ATM Card Back side

Card reader chip

Authorized Thumb (Sign)

Withdrawal Format

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0C l r C a n c e l

Rs. Thumb Reader

Introduction• AUTOMATED TELLER machines (ATMs) are now the heart of banking.

Usages of ATMs have substantially increased in India and it is not uncommon to see huge queues of people in ATMs, especially during off business hours and holidays. ATMs have brought down the work pressure substantially from cash tellers in bank branches, and many a branches may have deserted looks due to increasing usage of ATMs.

• While in recent time, banks in India have phenomenally increased the numbers of ATMs. Now in town and cities, the new bank branches are opening along with ATMs. But still, ATM usage is very limited in small towns and rural areas. Besides the myopic views of banks on strength and opportunity in rural banking which, over a period, has waned substantially, unavailability of user friendly ATMs particularly for illiterate rural masses are great hindrance in enhancing the popularity of ATMs in rural India.

• In an effort to increase the popularity of ATMs, banks are going all out in providing user-friendly banking solutions. ATMs with biometric devices are the latest such solution in the ongoing effort to offer banking services to the rural and illiterate masses. 

An insight into Use of Biometric ATM’s using fingerprint thumb impression technology

• Typically an ATM has two types of devices:• Input Devices: Which are card reader and keypad • Output Devices: Consists of display monitor screen, cash dispenser,

receipt printer and speaker • The limit in usage is greatly being hurdled in using keyboard for entering

password. Biometric technology can be used in breaking the hurdles of keypad usage to help the rural and illiterate people

• Finger print recognition is most popular and commonest method of using the biometrics. In the finger print technology, the uniqueness of epidermis of fingers is utilized for identification of user. The user has to keep his thumb on a sensory pad, which reads the ridges of epidermis of finger and try to match it with available data of the finger with the bank.

• Identification of individuals is a very basic societal requirement. Electronic verification of a person’s identity is of great importance as more interactions take place electronically. Biometric fingerprint identification is a technique used to change the physical attribute of a person i.e.; his finger print into electronic processes. Until recently electronic verification was based on something the person had in their possession like a password. But the problem is that these forms aren’t very secure because passwords can be forgotten or taken away. In biometric finger print identification a scanner is used to get the image of the finger. When a user places his or her finger on the terminals of scanner the image is electronically read, analyzed and compared with a previously recorded image of the same finger, which has been stored in finger scan data base

4P’s of rural marketing for Biometric ATM’s

PRODUCT: 1. Small unit size and low priced 2. New product designs- sturdy products3. Brand name-Jagruthi

Major Factors which we have considered while designing the product: Specific requirements of Rural consumers. Habits of usage and purchase Income levels Customs, beliefs and taboos.

PRICE:

The villagers due to their limited resources are very price sensitive by nature.

Pricing Strategies –Market penetration pricing is used and each ATM card costs 300Rs.

Large Volume –low merging Overall Efficiency And passing on benefits to consumers. low cost/ value for money product Low volume-low price.

PLACE: A village as a place for promotion, distribution, and consumption is very different

from town or cityi. Place Strategy –Mainly concentrated on rural & semi urban areas like Hobli

and towns.ii. Segmentation iii. Coverage of villages with 2,000 and above population iv. Direct Contact with rural Retail

PROMOTION: Promotion aspect always creates a challenge in rural markets because of the

fact that village have thin population density and are widely spread over large remote areas.

• Television• Radio• Print media• Cinema• Hoarding/ Wall Painting • Rural van

Setting an example for rural marketing mix Using Biometric ATM’s in rural India

• By using finger print technology the ATM can operate by biometric authentication. Also Jagruthi ATMS are battery operated so that power failure is not an issue. JAGRUTHI FAST CASH

Jagruthi Bank Ltd.,eÁUÀÈw ̈ ÁåAPï °.,BIOMETRIC ATM CENTER

Benefits of using Biometric technology

• Since biometric technology can be used in the place of PIN codes in ATMs, its benefits mostly accrues to rural and illiterate masses who find it difficult to use the keypad of ATMs. Such people can easily put their thumbs on the pad available at ATMs machines and proceed for their transactions.

• The biometric ATM replaces personal identity number (PIN) with thumb impression. The fingerprint scanner fitted in the machine only recognizes the customer's thumb impression. These Kisan ATMs are designed for the rural farmer and incorporate video & voice animation system coupled with single-touch application that makes things not only easier but also safer for farmers who no longer have to depend on others to withdraw money from the bank.

• In computerized world, people are forced to remember several passwords. Biometric technology will help users by restricting their headache to remember another password of ATMs. In usage of conventional ATMs, if you have forgotten password and given the trial of hitting wrong password for more than three times, then chances are there that your account will be blocked for the day for use at ATMs. Besides, generating a new password request also puts burdens to ATM users.

Foreseeing the future for Biometric ATM’S in India

• Though use of biometric technology has its high cost implications to banks, several other costs of conventional ATMs like re-issuance of password, helpdesk etc will be reduced, which will be a positive factor for banks to go for biometric ATM’s.

• If cost can be minimized, banks can think of using more than one method of identification such as combination of PIN and thumb impression to make the ATM transaction full proof. Now since many banks are increasing withdrawal of cash limit from ATMs, use of combination of more than one identification technique for high value of transactions will restrict the fraud and minimize the risk to the banks as well as customers.

• The ATM market in India is not yet saturated. Though the concentration of ATMs is greater in metros, the demand is increasing for other cities and even rural areas. ATM's per million people approximately is 33 units is very low. Experts forecast that the growth rate (CAGR) is expected to grow 18 percent up by 2013. Banks going into a self service model can have huge saving potential for banks and may also increase the convenience for the customers

Challenges for using Biometric ATM’S

• Yes, online banking is generally secure, but it certainly isn't always secure. Not all online setups are an extension of a brick-and-mortar bank. Not all online transactions are immediate. Using online banking effectively requires some basic computer literacy and familiarity with navigating the Internet.

Challenges faced by banks: Challenges faced by banks may be Long implementation periods, Return on investment, Technology absorption rate at India’s rural branches, Connectivity High costs , Legacy systems, technical problems.

Conclusion

• Banks in India have started introducing biometric automatic teller machines (ATMs) as it seems to be an effective way of preventing PIN theft and is also a channel to expand a bank's reach to the rural & illiterate masses, according to Bank net India's Report on Indian ATMs.

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