Analyses, Commentary, Perceptions

In the CME industry, the evolving usage patterns of consumers have been prompting operators to come up with the proposition of a tiered model of pricing. The industry was all eyes when Time Warner launched its ‘pay more to use more’ – consumption based billing scheme. Other players might have got more cautious when this scheme boomeranged, as customers revolted this change. Subsequently, it was shelved. Nevertheless, AT&T Inc. and Comcast Corp. are now contemplating similar moves to address what Internet service providers see as the biggest challenge to their networks -- more so now, as video viewing is becoming increasingly popular among net users.

Vehicle leasing and fleet operational management service providers are having a tough time with the current economic downturn. On one side they are facing operational challenges within their business. On the other, they are tackling severe price pressure from the clients -- since the clients are always on the lookout for means to reduce logistics costs. Fleet management companies are in the race to grab the best chunk of the profitability pie, utilizing lesser cost. This, of course, poses the real challenge for them within the industry. The trend has definitely brought forth the necessity for a change in the way fleet management companies do their business.

Green is associated with regeneration, fertility and rebirth for its connections to nature. For most bankers, 'Green' also refers to the color of money. Understanding the values of Green not only helps banks reduce the carbon footprint but also reduce operational costs. How?

Despite implementing the best CRM, customer intelligence and sales/service tools, banks are finding it difficult to break through the customer satisfaction barrier and remain a winner in the new economic arena. The reason? Banks are caught in the ‘silo-based’ web of IT infrastructure. This restricts them from having a product-centric approach, ignoring customer relationships in the process. Profitability of the relationship or the overall customer relationship is compromised, in such cases, since pricing disciplines and profitability are constrained towards a specific product.

The economic turmoil has made the banks back-track on their strategic initiatives. As they stall several plans for advances in their product and operational portfolio, they are also trying to go back to the basics, and deliver basic-level banking products to customers, in an effort to save operational costs. Though “Back to basics’ is their motto, it may be still possible for banks to explore technological advancements for operational gains amid financial crisis. Direct Banking helps them achieve this end.