Research paper on assessmet of sales potential of cloud-based mobility solutions for financial institutes

1. ASSESSMENT OF SALES POTENTIAL OF CLOUD-BASED MOBILITY
SOLUTIONS FOR FINANCIAL INSTITUTES IN PUNE REGION
1.
Dr.Satish Pawar
2.
Mr.Amit Zaware
1.
Professor at Sinhgad Institute Of Management, Vadgaon, pune.
2.
Reserach Student at Sinhgad Institute Of Management, Vadgaon, pune.
Email-id: 1.satishpawar@sinhgad.edu, 2.zaware_amit@yahoo.com
ABSTRACT:
The basic objective of the project is to
identify mobility solutions used in
financial institutes and bank and potential
demand for the OPENHOUSE’s mobility
solutions in market. Moreover, to know
the needs of the market in regards to
products, services, deliverable, pricing and
how value additions can be done for the
customer requirement. It was important to
know the opinion of the end user about the
usability and if there are any shortcomings
in service provided. On intense study of
various facets, it is being felt that there is
good acceptance for OPENHOUSE’s
mobility solutions in the market.
Comparing to other mobility solution
providers OPENHOUSE provides highly
secure and affordable solutions to finance
sector. In the future OPENHOUSE’s
mobility solutions are emerged as most
acceptable solutions. Taking these things
into consideration there are lots of
opportunity for the Mobility Solution
Providers which already exist and which
are due to enter in the Indian market.
Key Words: financial institutes and
banks, OPENHOUSE mobility, end user.
[1] INTRODUCTION:
A 'perfect storm' of trends are combining
to provide businesses with a wealth of new
opportunities to engage with their
customers and employees over a wide
-range of mobile channels
The key drivers which continue to shape
the business are:




Increased desire to engage over
mobile
Emergence of mobile focused
offerings
Consumerization of IT creates
opportunities for employers.
Business are embracing cloud
computing.
Financial Institutes can retain existing
customers and acquire new customers by
empowering their mobile workforce and
customer with their real time information.
Mobile enablement helps enterpriser to
reach out and interact in real time.
As trend is changing and individual
customers are changing their mind,
financial institutes have to change in adopt
current scenario. We have analysed
problems faced by financial institutes and
tried to reduce their most of service
problem that they faced in surveying
customers. Our searcher found that
individual
financial
institute
have
problems such as communication with
customers,
knowledge
acquisition,
promotions of new schemes, providing
transaction details to customer, customer
engagement with company, feedback

2. collection, sales force tracking, new
mobile based Applications back office
work and many more. As a solution to
them concept of Mobility Solutions came
into existing. We surveyed 100 financial
advisors and solved their problems.
Customer engagement became easy
for financial institutes because of Mobility
Solutions provided by OENHOUSE
overall support by IMImobile’s cloud
based technology makes their business
more expandable sitting in one roof.
The purpose of this project is to describe
the available mobility solutions by
OPENHOUSE for financial institutes and
their functioning. This project will ensure
that actual practices followed in
Assessment of sales potential of mobility
solutions provided by OPENHOUSE for
Financial Institutes in Pune region.
[2]CONCEPTUAL BACKGROUND
Mobility to an organization means
balancing business demands for mobile
flexibility while being able to manage the
mobile
environment
with
their
standardized IT environment. Simplify
enterprise mobility with an integrated end
to end mobile solutions designed to make
business, employees and customers more
effective by enabling businesses to gain
insight and control. Enterprise mobility
management is the set of people, process
and technology focused on managing the
increasing array of mobile device, wireless
networks and related services to enable
broad use of mobile computing in business
context.
OPENHOUSE’s four point advantages
1. OPENHOUSE technology already
integrated
with
several
network
operators, eliminating the complex and
long process such as having to establish
these connections as well as handle
multiple teams, approvals and proprietary
technologies.
2. Resources are easily accessible through
a cloud based self service environment.
3. Enable a very wide range of
solutions that you develop, including
customer self-service, product promotions,
employee communication and audience
engagement and also provide tools to
manage enterprise media, set up portals
and launch campaigns, surveys and
contests.
4. Help reduce the ‘time to market’ since
all solutions are self-managed and involve
minimal
external
dependence.
OPENHOUSE is a simple, secure and
accessible of freeing the potential of your
business from every restriction.
2.1 Overview of Mobility Solutions
Provided by OPENHOUSE
SMS broadcast (m-Communicate):
Deliver message to thousand of recipients
and send them automated, personalized
responses when their response is received.


Promotional SMS broadcast
Transactional SMS broadcast
TATA Sky is one of the largest DTH
Service provider in India. Integrated Text
SMS alerts in their CRM system using
IMImobile SMS Gateway APIs. User gets
various automated alerts for channel
subscription, payment reminders, and
payment confirmation.
On an average TATA Sky pushes two to
three Lakh text SMS alerts per day.

3. Voice broadcast (m-Communicate):
Create
interactive
campaigns
that
automated bulk voice calls to mobile or
fixed-line users and play pre-recorded
message.
Mahindra is an Indian multinational
pioneering in utility vehicles, tractors, IT,
Financial and Tourism. Their tractors
division has been using IMImobile Voice
SMS Service to communicate with the
existing customers as well as farmer
community in their local language. They
communicate regarding free service
camps, auto shows, festive offers etc.
They communicate with approximately 10k
to 15k farmers daily. Communication
using mobile medium has increased their
campaign response rate by 90%.
CUSTOMERS
CAN
INITIATE
COMMUNICATION (m-Engage)
Missed Call to SMS: Customer can place
a missed call to a given number at no cost
to them and receive SMS in response.
Using multiple voice numbers, you can
even run opinion polls. This service is
usually used to capture potential leads
when the target audience doesn’t have
internet access or Smartphone.
Missed Call to Call : Customer can place
a missed call to given number to receive an
immediate
call-back.
This
service
integrated with our Call Flow Designer
and is useful when the customer needs to
go through a validation process. This
service is usually used to capture potential
leads when the target audience doesn’t
have internet access and Smartphone.
SMS to Call: Customer can send an SMS
to given number to receive an immediate
call-back.
Several
IMImobile
OPENHOUSE customers have used this
service during the launch of a new product
and service. This service is usually used to
capture potential leads when the target
audience doesn’t have internet access and
Smartphone.
Click to Call: The Click to Call
application enables business to turn web
foot-fall into lead-generating phone calls.
Download a web widget from IMImobile
OPENHOUSE and place it on your
website. Customer browsing the site can
enter their mobile number to receive a call
back. The Click to Call widget place an
out-bound call to the site visitor and the
number you choose and patches both the
calls in a call conference.
Interaction through SMS
Short-codes: Short-codes are special
mobile numbers that are short and non
geographic and therefore easy to
remember. They are a cost-effective way
of interacting with your customers. e.g The
short-code 57827 is frequently used for
various customer engagement campaigns
by IMImobile.
Long-codes: Long-codes are ten-digit
virtual mobile numbers that can used for
both SMS and voice communication and
are globally accessible.
Keywords: Keywords allow your business
to establish a cost-effective, two-way SMS
communication channel while creating
unique identity for business.
Star TV is one of the biggest
Entertainment and News media in India.
IMImobile manages their all India short
code 57827; which they use for various
customer engagement activities like
Contest, Polling, and Voting etc. Star TV

4. configures various real-time activities
using “SMS studio” and also have access
to live results. Star TV interacts with
millions of audience on a day to day basis.
Interactive Voice Response System
(IVRS): IVR service enables automated
voice applications, so you enterpriser can
connect with customers in cost effective
and convenient way. Using the intuitive
Call Flow Designer, enterpriser can build
voice
applications
without
any
programming.
[3] LITERATURE REVIEW
3.1 The future of mobile payments: New
online players competing with Banks by
“DEUTSCHE BANK”
For a number of years the financial sector
has been coming under increasing pressure
in one of its core business segments:
accounts and payments. The rapid
developments in technological and webbased applications and products are
confronting traditional banks with major
challenges. Because of the increasing
regulatory obligations as well as cost
pressure mounting many banks are at risk
of becoming less innovative.
The market for innovative mobile
payments is still in a very early stage.
Even in the US, which is – next to Japan –
clearly the frontrunner, business models
are only about 1-2 years old. Thus, the
future development is highly uncertain.
In Germany the number of internet users
has risen to more than 75% in 2013, at the
same time the growth rate has slowed over
the last few years. This corresponds
roughly to the EU-27 average of 73% in
2011, although the average masks
considerable differences among the
European countries. The rising number of
internet users also means that the routine
use of web-based technologies will
continue to increase and that the internet
savvy of consumers will rise further due to
their mounting online experience.
In the period 2006 to 2011 the number of
bank branches in Germany fell by 6.6% to
a total of 39,643, whereas the UK saw
5,525 branches close (-19.8%) according
to the Bank for International Settlements.
According to DB Research projections, in
2030 a total of nearly 44 million Germans
are expected to be familiar with online
banking services. By comparison, the
figure in 2010 was only slightly over 27
million.
3.2 The Mobile Cloud: When Two
Explosive Markets Collide- Cisco IBSG
Research uncovers new opportunities
for SPs to prosper in this rapidly
growing and evolving market.
Almost half (45 percent)of survey
respondents owned smart-phones. Even
more remarkable, up to 60 percent of U.S.
mobile phone subscribers could be smartphone users by the end of 2013. Voice
calling ranked as the fifth-most-used
function by business users. Both business
users and consumers are much more
interested in using their smart-phones for
texting and taking photos, which ranked
first and second, respectively. In addition,
business users, given their frequent use of
smart-phones for both their work and
personal lives, are the largest adopters of
more advanced types of hybrid (business
and personal) services, such as apps,
playing games, mapping, videos, and
social networking. And, of course,
business users are the largest users of more
work-centric features such as productivity

5. tools,
business
conferencing.
applications,
and
3.3 Mobility Solutions in EnterpriseSized Businesses: Quantifying the
Return on Investment by Microsoft
Corp.
IDC’s ROI Methodology: IDC uses a
three-step process to measure benefits and
costs and calculate the ROI.
1. Measure the impact of the solution on
the organization. IDC looked at the
benefits generated by the mobile LOB
application:




Reduction of IT costs: IT labour,
telecommunications services and
infrastructure,
hardware
and
software.
Increase in IT productivity: Ability
to grow the environment without
adding overhead.
Increase in user productivity:
Increase the time to do useful
work.
Increase in business benefits:
Includes reducing administrative
staff, user travel costs, paperwork
costs, and downtime as well as
increasing revenue realization
2. Ascertain the investment. IDC
captured the initial and annual costs of the
following:





Software- application and wireless
Hardware- back-end server and
mobile device
IT labour- installation and annual
management
Servicesmobile
data
and
telephone and consulting
Training - user and IT staff
3. Project the investments and benefits
over a three-year period and calculate
the ROI and payback for the deployed
solution. IDC uses the discounted cash
flow method to calculate the NPV, ROI,
and payback period over three years. As a
standard, IDC uses a 12% discount rate.
[4] About IMImobile Pvt. Ltd.:
IMImobile is a global technology partner
for operators, media companies and
enterprises. The IMImobile products and
services portfolio is built on a core
modular service platform called the
DaVinci Evolved Service Platform. The
platform provides an integrated and
flexible range of CRM, messaging, rich
media content and advertising solutions. It
also provides a series of interfaces to
enable a mobile marketplace and an
ecosystem of application developers.
[5] RESEARCH METHODOLOGY:
In this project research methodology used
by researchers is Cross Sectional
Descriptive conclusive design. Primary
data used such as Questionnaire filled by
Representative of Financial Institutes. Data
is also collected through informal
interview with Branch Manager of Banks,
LIC, Brokerage firms and CAs. Secondary
data used through Research paper on
Mobility Solutions. Researchers have used
sample unit as Financial Institutes
considering
sample
size
100
Representatives of F.I. in Pune region.
Sampling method used is non-probability
convenience sampling.
5.1 OBJECTIVES OF THE STUDY:
The project was conducted for following
objectives:

6. 1. To analyze presence of mobility
solutions used in Financial Institutes of
Pune region.
2. To find out key drivers and barriers for
financial institutes to use mobility
solutions in the business.
3. To understand criteria while selecting
mobility solution partner by financial
institutes.
4. To measure potential adoption of cloud
based OPENHOUSE mobility solutions
technology by financial institutes.
Feedback Collection
7%
Sales Meeting Tracker
9%
Productivity tracker
12%
Employee Attendance…
21%
Location Mapping
23%
Mobile Website
Video Calling
m-Banking App
Customer Portfolio App
34%
45%
54%
65%
Voice Response…
71%
78%
Transactional SMS
5. To analyse Financial Institute’s top
mobile priorities in the next one year
Meeting Scheduler
82%
Emailing
96%
Promotional SMS
98%
5.2 SCOPE OF THE STUDY
1. The whole project was based with the
agenda to analyse sales potential for
mobility solutions provided by cloudbased OPENHOUSE for Financial
Institutes and determining expansion of
Mobility Solutions provider OENHOUSE
in Pune region with help of such practice
.In depth analysis of individual financial
institute and customised mobility solutions
for the company.
2. The area of the project work is Pune city
and its location where the survey has been
undertaken those are Financial Institutes,
Banks, CAs firm and Tax Consultant in
Camp, Kothrud, Swargate, Shivaji Nagar,
Aundh, Hadapsar, Vimannagar.
[6] DATA COLLECTION
INTERPRETATION:
AND
Researcher have collected a data through
questioner and interpreted facts that
financial institutes should consider.
From above response given by financial
institutes, it is clear that 98% of F.I. uses
promotional SMS as mobility solutions. In
F.I. mobility solutions are majorly used for
promotional activities. Customised mobile
applications are not much familiar to F.I.
6.2 Key Drivers to use mobility solutions
Figure 2: Key Drivers
Customer acquisition and
retention
Increase the use of Smartphones
Need to innovate & grow
business
82%
80%
77%
Customer Demand
72%
Brand Positioning
72%
Meeting Challenges from
competitors
69%
Security
65%
Control over employee
56%
Easy to access
50%
Cost Saving
6.1 Familiar Mobility Solutions in F.I.:
Figure 1: Mobility Solutions used by F.I.
Regulation
35%
10%

7. 82% of F.I. believes key driver to use
mobility solution in business is customer
acquisition and retention. Also 80%
adopted it because of increase the use of
smart-phone and tablets. Institutes are
ready to bring technology changes in
business.
m-Data collection tool
m-Employee…
Video Conferencing
Sales Force Tracker
Location mapping
Mobile Banking
6.3 Key Barriers to use mobility
solutions
Portfolio Management…
Opinion Poll(Short…
Figure 3: Key barriers
USSD services
Feedback collection
Data is highly
confidential
70%
Attitude to change
68%
Dependent on solution
provider
Interactive services to…
Text & Voice Messages
0% 20% 40% 60% 80%100%
65%
Security Concern
60%
High initial investment
56%
Interested
Not Interested
In Future
70% of financial institutes find highly
confidential data is key barrier to
implement mobility solutions in business.
68% finds difficult to switch from
traditional approach and 65% faces
dependability on solution provider as key
barrier. These key barriers are restricting
F.I. to adopt mobility solutions in business.
89% of F.I. interested in using cloud based
text and voice messaging service. More
than 60% of institutes are ready to adapt
cloud based solutions like video calling,
Sales force tracker App, m-Banking and
portfolio management App. More than
40% of F.I shows interest in future
adoption of solutions like data collection
tools and m-employee management App.
48% of institute doesn’t show interest in
USSD services. From the above data
analysis we get clear idea that maximum
number of F.I. interested in cloud-based
mobility solutions and remaining wants to
adapt this technology in future time. Very
less portion is covered with not interested
response.
6.4 Market Potential for cloud based
Mobility Solution
6.5 Criteria for
solution partner
Figure 4: F.I. interested in cloud-based
mobility solution.
Figure: Selection Criteria
Constraint by regulation
& legacy system
Interoperability across
service provider
40%
32%
Restriction on market
access
22%
Need for Standardisation
21%
selecting
mobility

8. Competitive
differentiation
Vertical Specific
Expertise
Pricing model and
flexibility
93%
91%
90%
Minimum down time
87%
24*7 Service support
Increased employee…
76%
Faster customer issue…
69%
Improved customer…
68%
Faster internal issue…
62%
87%
Increased sales revenue
58%
Reduced sales cycle time
Network Security
83%
Existing client list of
provider
Up gradation of
technology
81%
80%
Vehicle Area Network
78%
45%
Increased worker…
36%
Improved brand…
32%
Reduced inventory cost
23%
Competitive…
21%
Same provider of
competitor
48%
Improved employee…
12%
Geographic Location
46%
It’s too soon to tell
10%
93% of financial institutes keep
competitive
differentiation
through
specialization criteria while selecting
mobility solution partner and 91%
emphasises on vertical specific expertise.
Between 80 to 90% of financial institutes
look for pricing model, rebalance of mix of
product & service, minimum down time,
24*7 supports, easy to access, network
security, network security. Around 80% of
F.I. has same criteria while selecting
mobility solution partner.
6.6 Benefits experienced as a result of
deploying mobility solutions
Figure 6: Benefits of mobility solutions
From the above data, 76% of F.I.
experienced benefit in increase employee
responsiveness and decision making
whereas 68% gets benefit of faster
customer issue resolution and improved
customer satisfaction.
6.7 Top mobile priorities in next 1 year.
Figure 7: Mobile priorities
Help implements business
mobile marketing…
54%
Provide more support for
customers
52%
Support more connected
mobile handheld…
47%
Implement/improve mobile
security
45%
Support more mobile
applications for…
42%
Implement corporate
mobility strategies or…
40%
Extend internal systems for
mobile access
38%
Provide more support for
mobility applications for…
R&D on new issues with
third party solution provider
Hire IT professionals to
support mobility solution
35%
21%
12%

9. 54% of F.I. wants to improve in mobile
marketing and 52% wants more customer
support through mobile solutions. 40 to
47% of F.I. targeting priorities as corporate
mobility strategies, more mobility support
for employees, mobile security and more
customer device connections. There is
great opportunity for mobile solution
partner to do business with in finance
institutes.


[7] FINDINGS:







Almost all financial institutes are
aware of mobility solutions and
willing to adopt technology change
in business.
Currently text/voice messages and
emails are most widely used
mobility solutions.
There is large scope of adoption
for customised mobile applications
in financial sector.
Researcher found that around 80%
of financial institutes have similar
key driving factors to use mobility
solutions in business.
Financial institute shows more
willingness to use cloud-based
mobility solutions which increase
customer satisfaction and easily
communicate with customer. Also
financial institutes want mobile
solution to increase sales revenue
and simplify business operations.
Researcher found that there is
chance of 55% financial institute
adopt
cloud-based
mobility
solutions in business and 31%
willing to adopt in future period.
While selecting mobility solution
partner 90% of financial institutes
emphasis
on
competitive
differentiation
through


specialization and vertical specific
expertise.
More than 50% of financial
institute has mobile priority as
business mobile marketing and
more customer support in next one
year.
High data confidentiality and
dependence on mobility solution
partner is the key barriers for
financial institute to implement
mobility solutions in business.
Financial institutes experienced
maximum benefits by using
mobility
solution
in
responsiveness of employees and
decision making speed and also
increased in customer satisfaction.
Major costs saving areas are
Human
resource,
Business
operations, sales and promotion
activities.
[8] CONCLUSIONS:
On the basis of research done during the
60 Days summer training, analysing the
data that was collected through a
questionnaire
and
face-to-face
conversation with the people I conclude
this project work with the words that- In
spite of the bleak and grim outlook the
future of cloud-based Mobility Solutions
market is growing at a very high pace.
IMImobile’s OPENHOUSE technology
has emerged a very strong player in the
field of cloud-based mobility solution
provider. It is giving stiff competition to
all players. If the progress of
OPENHOUSE goes in the same way then
it will emerge as a major player in the
mobility solutions. They have much more
potential to expand their business in Pune
region. Cloud-based mobility solution of
IMImobile Pvt. Ltd. is the best possible
way for financial institutes to run their
business.

10. [9] RECOMMENDATIONS


On intense study of various facets,
it is being felt that there is good
acceptance for OPENHOUSE’s
mobility solutions in the market but
IMImobile should more focus on
reaching to small enterpriser.
The segment based pricing strategy
will be more helpful in competitive
market.

Provide competitive differentiation
through specialization and vertical
specific expertise.

Other vital things are maintaining
good customer relationship by
promotional schemes, giving ad-on
services that is being offered to
consistent clients.

IMImobile may use multilevel
level marketing strategy or chain
marketing
to
reach
small
enterpriser of region. It will avoid
unnecessary investment on Human
Resource and give profit sharing to
every level marketing pyramid.
[10] BIBLIOGRAPHY
[a].Research Methodology - C.R.Kothari
[b].The Network as a Service for Mobile
Engagement (OPENHOUSE for Business
Whitepaper) September 2012.
[c].Sales Toolkit Provided by IMImobile
Pvt. Ltd.
[d].The expanding role of mobility in
workplace (Custom technology adoption
profile commissioned by Cisco System) by
Forrester Consulting February 2012.
[e].The power of cloud driving business
model innovation: IBM Global Services
Executive Report by Saul Berman, Lynn
Kestrson-Townes, Anthony Marshall and
Rohini Shrivastava, June2013.
[f].Enterprises Mobility Solutions, Q1
2013 by Liz Herbert, February 2013.
[g].The future of mobile payments: New
online players competing with Banks by
“DEUTSCHE BANK” by Thomas F.
Dapp, Antje Stobbe, Patricia Wruuck,
December 2012.
[h] www.imimobile.com
[i]. www.openhouse.com
[j]. www.slideshare.com