Entrepreneurs.my’s chats with mobile solutions giant, Tagit of Singapore – Recently nominated as one of the finalists for the SPH Emerging Enterprise Awards by The Business Times (attached), Tagit has been responsible for the mobile banking applications of local Singapore banks as well as other renowned banks in the region which include DBS and POSB Bank, Standard Chartered and UOB.
1) We have heard of applications provided by fellow competitor like MobileMoney to MobileWallet, however the adoption of mobile banking in Malaysia is quite slow compared to other more developed economies like Singapore. From your expert opinion, what do you think are the reasons that consumers are still unsure of using mobile applications to do their banking needs?
Adoption of mobile banking in Malaysia is still very much in its infancy, which can be attributed to consumers’ behavior in mobile in Malaysia. According to Nielsen, smartphone penetration rate is at 27% in Malaysia in Q1 2012. This implies a lower mobile engagement lifestyle which can impact how much consumers use their mobile phones for activities such as bill payments and making transactions.
In addition to this fundamental reason, the adoption of mobile banking technology in Malaysia is also attributed to the fragmented market and systems. Each bank and telco company offers their own mobile banking platform. The industry can benefit from one-stop integrated mobile services platform which can consolidate mobile services for customers’ convenience, which is a key consideration when subscribing to a specific application. A reliable infrastructure technology for the industry ecosystem is key when rolling out mobile services and ensuring that they are secure and reliable 24/7.
This brings me to a key concern which is foremost in the minds of consumers, security. With various banks and ATM fraud incidents across the region, the issue on security of online and mobile transactions and data privacy have never been more highlighted than today. Customers need peace of mind whenever they transact online or on their mobile devices. Addressing this main concern, our mobile platform solutions enable our customers to deploy highly secure and reliable mobile services, which have been proven and tested by our long-standing clients, many of whom are leading industry players. The fact that we have not had any security breach in our system since we started our operation says a lot about the integrity and stability of our products.
2) You have done a remarkable work for the mobile banking industry. How do you see businesses, especially startups with limited budget, can ride on the wave of providing their services via mobile banking? Aren’t such applications very expensive?
For Tagit, we help our customers deploy their mobile services through our mobility platform, which is a highly secure and scalable mobile middleware which enables financial institutions and enterprises to extend their existing web-based services on the mobile phone. This innovative technology can work on both Rich Client and Mobile Web, and is supported on hundreds of mobile phone models running on all the popular operating systems, such as Android, Symbian, Java, Windows, iOS, and BlackBerry.
The platform enables secure, scalable and seamless solutions integration with the backend system of any enterprise in a rapid and low-cost manner. Usually, the deployment of mobile platforms would take a huge amount of investment in resources, time, money, project executive hours. Tagit enables organizations to expedite deployment of mobile applications. What would typically take 6 months to a year in building the solutions from the ground up to implementation, we are able to undertake in a shorter period of time, depending on the complexity of the requirements. One of our achievements, for example, was the successful deployment of the mobile application of our customer, DBS Bank in Singapore, within a short period of 4 months.
3) People in Asia generally regard mobile banking as unsafe and risky due to frauds or identity theft that may occur. What or how the industry or mobile banking solution providers and developers like yourself ensure the consumers that their risks are mitigated? Can you list down some initiatives?
Consumers are open to mobile banking but still fear privacy or security issues. Banks can help ease the adoption of mobile banking by rethinking their trust relationships with consumers. Although many prefer Internet banking, they are still open to the idea of mobile banking.
Their main concerns are mostly security-related, and banks can proactively contribute to the adoption of mobile banking solutions among consumers, by educating users to those solutions and by building a trust relationship that acknowledges the changes brought by the web. At the end of the day it is about communicating with their end-users, equipping them with knowledge on the technology and how secure the platform is.
Part 2 of Interview on Friday, 6th of July 2012
Entrepreneurs.my would like to thank our PR partner in Singapore, Rice Communications and Tagit’s co-founder and CEO, Mr. Navtej Singh for sharing his vision about the future of mobile solutions for banking.
For more information about Tagit and the revolutionary solutions that they offer for businesses, banks and consumers, please visit their website at http://www.tagitmobile.com/
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