Finextra's annual survey of retail financial institutions and their technology strategies and spending plans for 2005.
The results are drawn from a universe of 76 respondents, representing a broad cross-section of retail finance institutions. The key findings of the report are:IT budgets set to rise
There has been a large increase in the number of retail finance organisations expecting a rise in IT budgets for next year, with more than half looking to invest more in 2005. Taking an average across the sampled group, Finextra expects an average budget rise of 12.5%.Now hiring
Contractors are gradually being allocated a greater share of available work, but almost half of all organisations are also looking to expand their internal IT teams.Customer focus
The major drivers for business strategy are about winning new customers with products that meet their demands, and generating more revenue from existing customers. This is reflected in the allocation of IT budgets, with channels and customer-facing technology receiving about half of all investment.Ubiquitous use of the internet
The major areas of focus within channels and customer-facing technology revolve around the internet, with online account management and product applications considered important. Mobile devices were seen as much more important than in previous years.Focus on anti-money laundering
While Basel II remains a key consideration, it has been surpassed by anti-money laundering (AML) as a compliance priority. This reflects the process that organisations have made toward complying with the former, where necessary, and the vigour with which regulators are pursuing those not complying with new AML requirements.
The full report is available for order online, priced at £150.
Order your copy of the report: Retail Financial Technology Strategies 2005