What do customers need in a mobile wallet?

Financial Institutions may have the greatest advantage in creating a mobile wallet. They have the resources and existing relationships with customers and merchants to bring about real change.

There are, indeed, many things working against financial institutions in their quest to develop cutting-edge solutions. Being risk adverse and focused on short-term return on investments can act as disadvantages.

However, let’s focus on what financial organizations do have. They have years of experience in developing relationships with customers who trust them with their financial resources. This cannot be underestimated. Some people think the industry should be concerned with telecommunications companies developing a rival solution. Odds are, though, that customers have had a problem with their telcom statement during the past year. Can you remember the last time that you had a problem with a bank statement?

Another asset that banks have working for them is a loyalty value proposition that can be leveraged to encourage customers to change payment behavior. Every large bank that is working on a mobile wallet right now has the ability to extend that wallet to include merchant offers or redemption opportunities.

I think banks are missing an opportunity by not developing a wallet that allows customers to store gift cards and travel itinerary that they can later redeem. Or better yet, allow merchants to opt into special offers based on a combination of merchant type and current location. Banks could also allow customers to link their online review site to the wallet. Imagine a wallet that truly extends customers’ shopping experience.

Making a payment is not the “ah ha” moment for any customer. Receiving a personalized offer or redeeming a gift card gives customers a reason to go shopping and continue to engage a credit card brand. Banks that are able to link their loyalty assets together with their wallet experience will immediately win the hearts and minds of their customers.

What additional services do you think banks should include in their mobile wallets? Join the discussion.