Connect with us

Top 10

DOGECOIN MADNESS

Published

on

by Nathalie Janson, Associate Professor at NEOMA Business School

 

After the unstoppable increase of Bitcoin (BTC) since January – it added 10 000$ to its price every month since January reaching 60 000$ in April 2021  – it is now the turn of the Dogecoin to be the next cryptofrenzy.

This crypto created in three hours by Billy Markus as a joke to make fun of the Bitcoin community back in 2013 had no specific use except federating crypto geeks sharing the same sense of humor. Its capitalization quickly reached 60 million USD back then. This is why until Tuesday, April 13th 2021, its price was closed to 0 since cryptos value derives from their usefulness.

The Dogecoin belongs to the family of Altcoins using proof of stake to validate transactions – more flexible and fast compare to Bitcoin and Ether based on proof of work – but essentially not as decentralized and secured.  So far Dogecoin has mainly been used for  tipping creators of content or more interestingly to noble causes. These include raising funds for the bobsleigh Jamaïcan team to send them to the Winter Olympic Games in 2014, paying back victims of Dogecoin hack in the early days after its creation,  and raising funds to provide access to drinkable water in Africa.

 

Dogecoin… a billionaire maker joke

How comes the DogeCoin price surged in such irrational manner? Is this move another proof of market madness? A sign that we might be close to the next burst of the crypto bubble? Who knows? … Why is it so difficult to understand the pricing dynamic of cryptocurrencies?  You might think that what we experienced is the paroxysm of futility. In a week, some Dogecoin holders become billionaires, the price of the Dodge coin increasing from almost 0 to 43 cents at its highest. How mad that sounds? Similar to what happened to Gamestop, we are dealing with a community with a strong identity – the Dogecoin joined by new members like Snickers – the sweet bar and more importantly by Elon Musk – who wants to set a record and claiming April 20th being DogeDay with the clear goal to push Dogecoin up to $1. They are encouraging each other to buy more of the coins. Given the limited size of the market dominated by “whales” – five “whales” are said to control 40% of the market – the increase in purchases of Dogecoin leads to significant rise in price given the low liquidity.

The Dogecoin case is an emblematic case showing how subjective value is in economics. Indeed, like Bitcoin, the price of Dogecoin only depends on its acceptance that in itself depends on the size of its network that suddenly increased.

Why now? First, Elon Musk started to show his interest in the Dogecoins by tweeting about it. Why does Elon Musk opinion matter? Because he symbolizes the success story of a man who is a visionary. After all, if Elon Musk invests in Bitcoin and supports Dogecoin it must be for a reason, and he may be right like he has been right about the industrialization of electric cars as the success of the Tesla demonstrates. He performs a role similar to leading investors in traditional financial markets like Warren Buffet.

Secondly, the Coinbase initial public offering contributed to a rally in the cryptocurrencies market, with no exception for the Dogecoin. Over the week-end, the major cryptocurrencies – BTC and Ethereum dropped for technical reasons due to a sharp decrease in the hash rate after an electricity shortage in the Xinjang province in China. When that happens, it usually benefits altcoins.

More broadly speaking, the crypto market is frenetic since the beginning of the year. This frenzy is a symptom of a global economy that is still suffering from severe restrictions in some activities but at the same time is also experimenting acceleration in others. Combined with overgenerous monetary policy feeding liquidity in search of profitability away from traditional markets because of low interest rates and over rated stock markets, this is a perfect combination for investors to try anything new to boost their portfolio return if you add on the top of that, growing concerns about the return of inflation in the US.

In this context how long will the Dogecoin rally last? This essentially relies on the determination of its fans to support it but after a while, it will need to be more than a symbol!

 

Finance

2021: THE YEAR THE FINANCIAL SERVICES SECTOR WILL ENTER THE ERA OF BOUNDLESS CUSTOMER ENGAGEMENT

Published

on

By

Steve Bell, VP EMEA Solutions Consulting, Verint Systems

 

It can feel like businesses lurch from one disruption to another. From macro-economic collapse to aggressive competitors, changes to regulations, political uncertainty, being slow to innovate; all these and more can undo the years of hard work that has been spent building up a viable, profitable company.

Yet dig beneath the surface of those issues, and despite the apparent variations there is a fundamental truth in all of them – that the reason for failure is an inability to change. History is littered with the names of once industry-leading companies that did not change their business model to reflect the evolving needs and demands of the market. Some have gone completely; others are shadows of their former selves.

 

Accelerated consumer demands

It’s likely that we will see more names follow them in the coming months and years. As we’ve seen in previous crises, not even storied banks are too big to fail. The pandemic will be blamed for much of it, and it will be a significant factor. But in all likelihood, all it will have done is accelerated what was already going to happen – just as it has done for digital transformation. We’re at a point now where consumers are expecting much more intuitive experiences and services from the brands they buy from, and that includes financial service providers.

Steve Bell

From new channels and ways of purchasing, to heightened expectations of what good looks like, banks are having to do much more with, in many cases, a workforce that is dispersed, disengaged, and underequipped to meet customer demands.

That means they need to adapt. They need to be able to offer self-service, social-media based customer interactions, mobile, ecommerce, and they need to be able to offer it at the same standard as innovators, all with a remote workforce. It doesn’t matter whether you’re selling mortgages or fridges, whether you’ve been in business 12 months or 50 years – consumers are taking their experiences from other sectors and expecting everyone they interact with to be at the same standard. Put another way, financial service providers are no longer just judged against their sector competitors.

Decision-makers know this – a new study from Verint found that understanding and acting on rapidly changing customer behaviours was a top concern for 71% of financial service professionals. Their top challenges highlighted concerns relating to remote workforces, with maintaining established relationships with clients, a lack of physical interaction between employees and customers and inefficiencies in managing urgent client matters all causes for concern.

 

Ushering in a new era of customer engagement

It all points to creating a new approach to customer engagement. Banks and other financial service providers need to recognise that they have to deliver an always-on experience, irrespective of channel, while at the same time taking into account the fact that their workforce isn’t going to scale to meet the challenge.

What’s the solution? The answer combines culture and technology to create an approach known as boundless customer engagement.

It’s cultural because it demands a mindset change. One that sees the entire organisation as responsible for delivering an exemplary experience, not just customer service, or a subsection thereof. Where key performance indicators and objectives across all functions are dialled into how that department or team supports the delivery of better customer experiences. It’s also about empowering workforces to act appropriately and deliver the best response to customers, allowing the entire organisation to adapt and act faster.

 

Combining technology and culture

It needs to be cultural, because culture defines how the next part is used. Technology is inherently neutral – it is only through its deployment and adoption that it becomes either a force for good or simply a quicker root to short-term margin improvement. If the right cultural mindset is in place, then the technology that underpins it all will deliver boundless customer engagement.

It will do this through enabling the right balance of automation and human touch, allowing teams to scale without leaving customers feeling as if they are at the mercy of an impersonal algorithm. With artificial intelligence, everything from front-end chatbots to back-end knowledge management systems serving up the right information at the right time, can be deployed to meet accelerated customer expectations.

 

2021 – the year of boundless customer engagement

By combining a culture shift with the deployment of technology, financial service providers will be able to break down the barriers that disrupt better customer experiences and meet demand. And they’ll be able to do it without having to massively scale up or put teams under intolerable pressure.

Whatever else happens, the consumer experience in 2021 is going to be one characterised by speed, by intuition, and by a vast array of touchpoints. For financial service providers to be able to deliver on this promise without dramatically undermining their own employees will take a new approach – one that connects the realities of work today with data and experiences to build enduring relationships through boundless customer engagement. In doing so, banks, wealth managers and other finance organisations will drive real business outcomes that cements ongoing performance, irrespective of the wider economic climate.

 

Continue Reading

Business

HOW TO UP YOUR EMAIL MARKETING GAME IN THE FINANCIAL INDUSTRY

Published

on

By

Sam Holding, Head of International, SparkPost

 

The secret to a successful marketing campaign, no matter the industry, comes down to a well-oiled email programme.

In the financial industry, high volumes of emails are being sent every day, and it is vitally important that customers trust the sender and understand the information that is being shared through the email. And in the financial industry, this is even more true. But ensuring that emails are being received correctly, both in terms of deliverability and content, is much easier said than done. How can organisations ensure that their emails are reaching customers and prospects successfully, and sending the right message?

While financial services firms certainly need to consider the content and branding of their emails, they must also prioritise the foundational elements of email, namely deliverability, in order to make email the ROI machine it can be. That said, deliverability, content, and branding are the combined ingredients necessary for financial services to fully realise the potential of their email programs.

For high volume senders, even a seemingly nominal decrease in deliverability rates can represent a huge decline in how many customers are actually seeing their emails. More than that, with financial institutions, the value of each converted customer can be quite high meaning that even a 1% decrease in inboxing rates can mean major losses. Once financial organisations understand the pounds and pence of deliverability, it’s time to start implementing tactical best practices to avoid the pitfalls of declining deliverability rates.

 

Step 1. Improve your reputation as a sender

For financial organisations, using email to help boost their credibility and reputation is essential. Actions such as sending on new IP addresses with unproven reputations, can seriously impact an organisations reputation with current and potential customers, therefore it is vital that email activity is set up to improve a company’s reputation and not the other way round. It is important that anything considered personally identifiable about a customer (or PII), like their phone number, account number, or address, are properly protected and only shared with the customer themselves. On the other hand, another way to build customer trust is by letting them know information that you will never ask for over email, so that they can easily identify any suspicious communication that occurs, without finding out the hard way.

Also, when it comes to building a solid sending reputation financial firms shouldn’t send too much, too soon, from a new IP address.

 

  1. Relevant email sending is key

Once the more technical aspects of email sending are in place, organisations must next ensure that the content they are sending in their emails is truly relevant to the recipients. No matter how engaging and interesting an email is, if it is not relevant to the recipient, it simply will not yield success. The more relevant the emails are, the more likely they will be well received by consumers.

Financial institutions should be mindful when building lists for sends and use data like past purchases, traffic logs, and on-site search to inform who they’d like to send to, avoiding the temptation to blanket their whole audience with a single email in the name of efficiency. In order to get the most out of email communications, sending highly targeted messages will be much more effective in not only building reputation, but building out a strong and engaged list.

 

  1. Produce high quality content

Once the relevant audiences have been defined through segmentation, the next task is to decide on the content of the emails. When it comes to sending out marketing messages, financial institutions should consider the kind of information their recipients find valuable and produce content that is in line with their needs. One way of ensuring marketing emails resonate with the audience is through promotions. Who doesn’t love a good offer? Customers need to be able to see the value in subscribing to emails, and offering valuable educational seminars and content and special offers tailored to their financial picture via email is a simple way to do that.

Another best practice for financial institutions is to pay close attention to writing great subject lines. Since many customers won’t see more than the first few words — especially on mobile – senders should put the most relevant and targeted terms up-front, making the value to the customer immediately clear. With smart content informed by great segmentation, financial firms can really leverage the power of email in their marketing strategies.

 

  1. Use strong branding to boost integrity

The last foundational ingredient to a great financial services email strategy is branding.

To ensure brand integrity, it is essential that every aspect of an organisation’s messaging — visual identity, voice, value proposition — is consistent and compelling. A common pitfall is to use different systems or third-party providers for automated transactional emails, marketing emails, and other types of messages. This can lead the look and feel of the messages customers receive to vary widely, creating a confusing brand experience. By managing all messages through a single system, financial firms can build a stronger connection with customers and make each email they receive feel part of a coherent and valuable relationship.

As part of a financial services organisation’s branding strategy, it’s a good idea to use the brand name in the “from” field that shows up in the recipient’s inbox. Some marketers use an individual’s name with the belief that it will seem more personal, but this can also make it seem like spam. Instead, use a name customers will expect to see, then stick with it consistently across all emails to build recognition and trust. Using a solid and consistent brand is a best practice for any brand that sends email!

When it comes to your email marketing strategy, different approaches will work for different organisations, and will depend on the intended outcome. For large volume senders, like financial organisations, this is particularly true, and it is even more important that you know why you are sending your email and who it is intended for in order to get the most success possible. By following best practices, and taking care in your approach, email can be the gateway to a higher reputation and more loyal customer base.

 

Continue Reading

Magazine

Trending

Business1 day ago

HOW TO ENHANCE THE CUSTOMER EXPERIENCE IN YOUR RETAIL STORE

Do you own your own retail store? Are you hoping that 2021 is the year you are able to grow...

Finance1 day ago

THREE STEPS TO ENSURE RECOVERY OF COVID LOANS GOES SMOOTHLY

In the wake of the pandemic, the government acted quickly to provide financial Covid support packages to help struggling businesses....

News1 day ago

SALESFORCE EXPANDS ITS FINANCIAL SERVICES OFFERINGS WITH NEW PRODUCTS FOR CORPORATE AND INVESTMENT BANKING

Tailored tools integrated into Financial Services Cloud support the industry’s transition to digital-first, helping deals get done from anywhere New...

Finance1 day ago

FOUR STEPS TO INTEGRATING INTELLIGENT AUTOMATION IN THE FINANCE DEPARTMENT

Marieke Saeij, CEO of Visma | Onguard   It’s clear that Intelligent Automation (IA) is still very much an emerging...

Technology1 day ago

READING BETWEEN THE BUZZWORDS: DISCOVERING THE POWER OF INTELLIGENT AUTOMATION?

by Yad Jaura, Product Marketing Manager at Netcall    The nature of automation means that new technologies, ideas and solutions are frequently...

Finance1 day ago

FOR THE FINANCIAL SERVICES INDUSTRY TO THRIVE POST-COVID-19, AUTOMATION WILL BE KEY

By Anubhav Mehotra, VP and Head of Infrastructure and Cloud Services for Financial Services at HCL Technologies   The economic...

News1 day ago

CROWN AGENTS BANK ACCELERATES INNOVATION AND GROWTH PLANS WITH THE APPOINTMENT OF HEAD OF FINTECH AND CHIEF COMMERCIAL OFFICER

Industry leaders David Mountain and Joe Hurley appointed to Crown Agents Bank’s Executive Committee The new hires will drive forward...

Finance2 days ago

WHAT IS THE MOST IMPORTANT TECHNOLOGY TREND FOR 2021?

While our world seems to be undergoing lots of economic uncertainty, the world of decentralization is blossoming. And this does...

Finance3 days ago

A BRIEF GUIDE TO TRADING IN CRYPTOCURRENCY SECURELY

Trading in cryptocurrency is becoming increasingly popular in the financial world. Crypto’s huge rises in value over recent months has...

News3 days ago

CHECKMARX APPOINTS ROMAN TUMA AS CHIEF REVENUE OFFICER

Veteran security leader to oversee Checkmarx’s go-to-market strategy and drive demand for developer-centric AST solutions   Checkmarx, the global leader in developer-centric application...

News3 days ago

CASHFLOWS ANNOUNCES GLOBAL PARTNERSHIPS WITH IMX SOFTWARE AND EDYNAMIX TO OPTIMISE PAYMENTS ACROSS A WIDE RANGE OF INDUSTRIES

Each new partner will integrate Cashflows’ acquiring solutions to expand their payment methods, access data in real time to speed-up...

News3 days ago

LINE AND PT BANK KEB HANA INDONESIA LAUNCH LINE BANK IN INDONESIA

The launch of LINE Bank in Indonesia signals a significant expansion in LINE’s fintech business, following the successful launch of...

Business3 days ago

A GLOBAL ESG STANDARD IS ON THE HORIZON. IS UK INDUSTRY READY?

Richard Wall is the Founder and CEO of Emex, which provides ESG and EHS software solutions to businesses    Fifteen...

Finance3 days ago

2021: THE YEAR THE FINANCIAL SERVICES SECTOR WILL ENTER THE ERA OF BOUNDLESS CUSTOMER ENGAGEMENT

Steve Bell, VP EMEA Solutions Consulting, Verint Systems   It can feel like businesses lurch from one disruption to another....

Business3 days ago

HOW TO UP YOUR EMAIL MARKETING GAME IN THE FINANCIAL INDUSTRY

Sam Holding, Head of International, SparkPost   The secret to a successful marketing campaign, no matter the industry, comes down...

News5 days ago

ETRADING SOFTWARE’S DIGITAL TOKEN IDENTIFIER FOUNDATION ESTABLISHES TASK FORCE WITH ASSOCIATION OF NATIONAL NUMBERING AGENCIES ON DIGITAL ASSET STANDARDS

To examine synergies between the DTI and ISIN standards   Etrading Software (ETS), global provider of technology-led solutions designed for...

Finance5 days ago

WHY FINANCIAL SERVICES NEED TO ADOPT LEAN AND AGILE PRINCIPLES

By Philip Farah, AVP Head Digital Transformation Services, Global Accounts at World Wide Technology (WWT)   The financial services industry...

Finance5 days ago

HELP YOUR TEENAGER MANAGE MONEY BETTER

By Kerry Sutherland, certified financial planner at Alexander Forbes   Helping your teenager start good money habits now will serve...

Banking1 week ago

BANKS OF THE FUTURE WILL BE ASSEMBLED, NOT BUILT: HOW BANKS CAN EXPAND AND INNOVATE BY RETHINKING THEIR PARTNERSHIPS

Author: Kelly Switt, Senior Director, Financial Services Strategy, Ecosystem and Strategic Partnerships, Red Hat   The financial services business ecosystem...

Top 101 week ago

SKILLING AND METROPOLITAN X PARTNER TO OFFER ADVANCED TRADING EDUCATION PROGRAM

Skilling, a Scandinavian fintech providing online trading on a wide range of world markets, has announced a strategic partnership with...

Trending