❖ Rohan Das
❖ Roll no: 2
❖ Questions: 25 to 35 (i)
Q25.) Explain the Role of Social Networking approaches to increase the business of
Insurance & Banking Industry.
Answer
Social media is a rapidly and constantly evolving environment and, as a result, banks will need
to keep one eye on the horizon to ensure that they are staying on top of the latest trends and
taking advantage of the greatest opportunities. To help broaden minds and open eyes. One
must recognize and appreciate the power of social networks: the ability to interact with
customers through the channel of their choosing; to respond to complaints and feedback in real-
time; even to develop and promote new product offerings by crowd-sourcing from our networks.
As a result banks will need to adopt social media in some form or other in order to stay
competitive in the
marketplace and remain relevant to their customers.
Banking on social media: The secret to FNB’s success
–By Michael Jordaan, CEO of FNB
At First National Bank (FNB), we firmly believe that innovation is central to securing our future
success. Constant innovation ensures that we remain aligned to the changing needs of our
customers and enables us to be better positioned to respond to emerging changes in the
business environment.
Pioneering a new frontier
Social media is a critical part of FNB’s strategy. It allows us to build and reinforce
ongoing relationships with both existing and potential customers right across the
business: marketing uses social media to drive awareness, deliver valuable
information and enable discovery;
customer support leverages social channels to enhance education, solicit feedback and respond to
complaints; our sales departments increasingly look to social media to support our customer
acquisition strategies.Moreover, social media allows our bank to reinforce our core brand value of
helping our customers achieve success and positions our organization as Africa’s most
approachable, trustworthy and technologically-savvy retail bank.
The basics of success
To succeed in this space, we recognized early on that our social media strategy needed to grow
organically. Indeed, Banking on social media: The secret to FNB’s success By Michael
Jordaan, CEO of FNB as social network communities and platforms evolve, so too
must our approach towards managing them. We also decided that our actions
had to be primarily driven by the needs and demands of our communities and
customers rather than our brand or risk managers.
For FNB, developing a consistent social media ‘persona’ has been key to our success. We
created an online personality called RBJacobs that has quickly become a highly
credible and
approachable representation of our band (you can find him on Twitter, Facebook, and LinkedIn).
RBJacobs allows our social media team to maintain a single style and tone of voice that has now
become synonymous with FNB’s social media presence.
Overcoming barriers
Of course, there have also been a number of challenges. For one, creating the capability to rapidly
and proactively respond to customer needs with relevant and valuable content has
required us to instill behavioral change within our organization, particularly in all business areas
where customer support is required. We have also faced significant challenges in developing the
processes and tools that enable disparate parts of our organization to create, access and share
a single view of our customers. And while this has required our organization to evolve our
internal processes and approaches, it has also delivered unprecedented dividends in customer
acquisition, retention and service.
A winning strategy
Today, FNB’s social media presence provides our customers with an ‘always on’
channel that is able to meet most customer needs across marketing, sales and
support. As a result, we now enjoy overwhelmingly positive online consumer
sentiment that far outstrips any other financial services provider in South Africa.
What is more, our program has converted thousands of once passive consumers
into a legion of socially connected and active brand ambassadors for FNB. Social
media has also enabled our organization to collect rich data about our
communities and customer segments that – in turn – has allowed us to develop more effective
communications and marketing strategies, valuable process improvements and targeted product
development that meets the future needs of our key customer segments.
CEO and Serial Tweeter
I am proud of our pioneering approach to social media and am confident that our program will
continue to deliver competitive advantage for our organization for many years to come. In fact, I
am so convinced about the benefits of social media that I’ve personally been tweeting
about it since July 2009 (@MichaelJordaan). I encourage you to add both
RBJacobs’ feed and my own to follow FNB’s progress in social media.
Q26.) What are the Challenges of Online Insurance Policy & Online Banking?
Answer
Payment-related difficulties: Problems such as money getting deducted from your bank
account but no reference ID popping up, or money getting deducted from your account but not
reaching the insurance company, or double deduction of payments can sometimes crop up.
No acknowledgement from the insurer: Sometimes even after the payments are made,
customers do not hear from the company. As a rule, if the premium has been paid, the customer
is supposed to receive the insurance policy within 15 days from the date of issuance.
Handset Operability: There are a large number of different mobile phone devices and it is a big
challenge for banks to offer mobile banking solution on any type of device. Some of these
devices support Java ME and others support SIM Application Toolkit, a WAP browser, or only
SMS.
Security: Security of financial transactions, being executed from some remote location and
transmission of financial information over the air, are the most complicated challenges that need
to be addressed jointly by mobile application developers, wireless network service providers and
the banks’ IT departments.
Q27.) What do you understand by m-commerce? Discuss in Indian & global perspective?
List and explain the infrastructure needed for mobile commerce.
Answer
Definition:
M-commerce (mobile commerce) is the buying and selling of goods and services through
wireless handheld devices such as cellular telephone and personal digital assistants (PDAs).
Known as next-generation e-commerce, m-commerce enables users to access the Internet
without needing to find a place to plug in.
M-commerce in India: M-commerce is adding significant value to the businesses in India.Key
drivers of M-commerce include widespread adoption of mobile phones and smartphones, rising
affluent middle class consumers. These factors have increased the appetite for M-Commerce in
India it has lead to newer opportunities for the businesses to grow and for the M-consumers to
obtain benefits in terms of convenience, freedom and speed of work. . With the help of mobile
commerce one can get the entire word knowledge on their smartphones, can access & manage
their bank accounts, save time, avoid parking problem without going to bank;Entertainment,
healthcare, education, traffic problems,ERP, inventory tracking & dispatching, traveling and
ticketing are some of the area wheremobile commerce is giving so many benefits in our lives. It
is worth mentioning that M-commerce is facing teething problems and some of these are based
on technical, regulatory,social and political issues. In times to come, the M-commerce is
expected to become more secure as government and companies alike are investing on security
