How good is the USA at banking?• Average savings of a 50 year old $43K, • % over 65 who rely completely on Social Security: 35• % of households who do not meet conservative retirement savings

goals: 90• Student Debt $1,3tn

$172,000 65yr $6,800 CC $1.3TN SDMore than 90 percent of working households do not meet conservative retirement savings targets for their age and income

Wealth Management• People arrive at retirement with no money • Wealth management companies only want the customers who need them less

• PROBLEM– The people who need help cant get it– Wealth companies cant afford to help/acquire anyone else

Planner Salary $250,000

Overheads $110,000

Total FTE Costs $350,000

FUM Target $250,000

Fees 1% = $2.5K

Required # Customers140 ( 350K/2.5K)A day and half per customer, preparing, meeting plus admin)

Today’s Wealth Manager Business Model

Insurance

EY 2014 Global Consumer Insurance Survey

• High Turnover and low trust signal serious relationship issues• Insurers have so few interactions with customers every one is critical• Its an annual compete on price• Consumers want more frequent, meaningful and personal communications• As consumers embrace digital, insurers must rethink distribution

• It must be digital and it better be engaging

Calls to the U.S. Consumer Financial Protection Bureau about debt collectors in 2014

Country Number of POS Terminals

Number of small businesses

Number of Charities

Number of Schools

New Zealand 140,000 459,300 97,000 2,500

Australia 1,000,000 2,037,157 600,000 9,393

USA 14,000,000 28,000,000 1,500,000 98,817

UK 1,700,000 5,400,000 185,000 24,372

India 1,200,000 48,000,000 1, 285,576 1,379,932

Success depends on a business model shift

Apply for Loan

Receive Loan

Pay off Loan

Bank definition of success

Customer definition of success

• Where do you place success?• Where do your KPIs see success?• Where do your team’s KPI’s see success?

Customer Centric – Liquidity Focussed

Product Centric – NII Focussed

43.78 CR

235.87 DR

123,367.78 DR

10,143.78 CR

18,43.78 CR 18,43.78

0.00

43.78

8,43.78

We’re capturing huge amounts of data.

IBM estimates that 90 percent of all data generated by devices such as smartphones, tablets, connected vehicles and appliances is never analysed or acted on.

As much as 60 percent of this data begins to lose value within milliseconds of being generated.

Lets go Crazy!- Take the data and use it to give fun feedback and connect it socially

If ya can’t beat ‘em ..– Pinch their ideas– Make it Fun– Make it Social

What to Do?

• Fun • Social • Education• Reward • Purpose

To compete at the thumb you must deliver

http://www-03.ibm.com/press/us/en/pressrelease/46453.wss?cm_mc_uid=79787574938914549779403&cm_mc_sid_50200000=1454977940

2016Thumb Fighter

You’re certified to demand making banking

FUN to USE