Dear Corillian, Financial Fusion, S1, Digital Insight,
Online Resources, Netzee, et al.:
I have enjoyed watching the conception, birth, growth and maturation of your companies. But as satisfying as this experience has been, I hope I won’t soon be reading your obituaries in the Wall Street Journal or American Banker.
You are probably asking yourself why a rational person would forecast the death of a dot com survivor. In truth, I never entertained the possibility until I met recently with senior banking technology executives from 22 banks between $2 billion and $16 billion in assets, most of which have been clients for nearly 10 years.
This bright, rational, effective, and cost conscious group of executives was discussing the issues they have with their Internet banking vendors. And what they revealed in our meeting simply stunned me.
They reported the following:
Sure, these comments are easy to write off as whining by a small number of unhappy customers. Perhaps, but what stunned me about these discussions was not the revelation of the issues but the banks’ envisioned solution: to develop their own Internet products!
Several of the banks have already deployed custom solutions. They reported these results:
These rational individuals with a history of using packaged products are now going down the development path. Although it was a minority that reported having actually developed a product, I know the idea resonated in the group by the plentiful note-taking and the break time conversations. My long-term concern is that we are ignoring the nightmares custom development caused during the Y2K experience.
For Digital Insight, Financial Fusion, Corillian, S1, to name a few, let me end with a few thoughts.
Perhaps I’m all wet about this, but the group I met with was dead serious. It just seems strange to me that a few months’ development time will produce an acceptable product and you, the vendors, have failed to produce a better product after thousands of staff months of effort.
Good luck in the future. I think you are going to need it.