In a previous blog post we have talked about different aspects of our digital banking research platform, . We have discussed our Perfect 1000 UX scoring system according to which we have evaluated our analyzed user journeys.
We also talked about how and why we analyze and continually update banks and fintechs through real and live bank accounts.
This time we will be sharing with you how we organize digital banking offerings. Specifically we will be speaking about what are the functionalities based on which we have performed various rankings such as between US Challengers, UK banks and Junior accounts in Challenger banks.
How we began thinking of Functionalities
When the Scientia team began analyzing banks all the way back to 2014, we came up with the term functionalities. To our team the term functionalities aimed to provide a word that includes each analyzed bank’s digital banking services and products that a user is able to utilize.
The term however has evolved since the inception of . As new ways of presenting and implementing functionalities have been introduced over the years, before we explain the term functionality, we should first discuss its necessity.
Term globalization in digital banking
Banks and fintechs around the world use various terms to describe a similar digital banking process. One of these processes is sending money from one bank account to another. This particular digital offering has been described by banks and fintechs with a variety of different terms. “Transfer", "Money Transfer", "Wire transfer", “Move Money", "Remittance", "Money Out" are few indicative terms of how this particular transaction has been named around the world.
However, when researching and creating bespoke reports of such a feature, FinTech Insights analysts quickly understood that the use of a single term, that included all these term iterations, was necessary. To measure, calculate, evaluate a digital banking process first it was important to house all the different terms for that process under a single inclusive term describing that function.
When we refer to “term globalization” in banking processes, in FinTech Insights, we are essentially talking about a single universally accepted term, which incorporates all wording iterations of one specific banking process.
That’s how the term Functionality came to be.
Definition of Functionality: A single term, inclusive of all different terms used for a specific digital banking process (e.g. transfer money to another account) under one name.
One Term to rule them all, One Term to find them, One Term to organize them all, and under common understanding bind them.
A functionality represents at its very definition by Scientia a very specific digital banking process that is common among banks and fintechs and described with one universal term. An example of a globalized term, a functionality, would be transferring money to another bank.
Functionalities in action
As we now have defined functionalities, let’s further explain them through the use of some examples.
Example of a Functionality
Fictional One Ring Bank offers debit cards. Through the One Ring Bank’s mobile app, users can see the details of their debit card, lock or unlock the debit card or modify the monthly spending limit of transactions that can be made with that debit card. We have then identified about 4 distinct Functionalities offered by One Ring bank. These are:
- View Debit Card Details: the user can see the details of their debit card. Details such as the debit card's number, expiry date and/or CVV.
- Block a Debit Card: the user can lock their debit card and any future card purchases will be declined.
- Unblock a Debit Card: the user can unblock a previously blocked debit card.
- Modify the Monthly Purchase Limit of a Debit Card: the user can increase or decrease the current monthly purchase limit of a debit card.
This example illustrates that fictional One Ring Bank has 4 distinct functionalities offered through their mobile applications. This is indicative of how
Functionalities ranking example
Finally let’s do a quick ranking of three banks comparing the number of functionalities, meaning the number of unique digital banking processes offered in through the iOS channel for Cards.
As can be seen in the graph above, we have calculated the total number of available functionalities for their Cards offered by US banks Chime, Current and MoneyLion. According to the graph, Current offers most functionalities (23), followed closely by MoneyLion (21) and then Chime (15). Thus, in this case Current, MoneyLion and Chime offer 23, 21 and 15 different digital banking processes for their Cards respectively.
Using the term Functionalities, FinTech Insights analysts, have managed to organize all different term iterations of a single process under one. This immensely helped us to analyze, compare and evaluate user journeys and digital offerings worldwide.