Dovetail research highlights the real-time payments challenge for banks
15 April 2016
Parsippany, New Jersey, Research recently completed by Dovetail with the majority of leading US banks has highlighted the challenge all banks are trying to address – namely introducing real-time payments as a competitive imperative, across multiple clearing systems, while making a compelling business case. The research, undertaken by Dovetail in the first three months of 2016 with 20 US banks, established that almost all banks agree that they need to introduce more competitive payment options if they are to successfully fend off competition from non-bank service providers. However, very few banks have yet to build a compelling business case, especially given the number of multiple real time mechanisms that are available and required to provide the reach necessary for commercial benefit and opportunity. Nevertheless, over 80% of banks have already committed to having a real-time payments program, of some sort, in place by the end of 2016. These programs vary significantly in scope, some with a purely retail focus and others commercial, with the vast majority (90%) only planning on receiving real-time payments (at least initially).
Martin Coen CEO of Dovetail commenting on the research findings said, “It really is a challenging situation for banks – they are being forced to make some pretty fundamental decisions about their systems. Helping banks to make these decisions as easy as possible is key.
At Dovetail we focus on providing banks with a range of progressive enablement options from ‘basic’ real-time payments, through our gateway solution, to the implementation of a complete modern payment system, with a full suite of value added services. Our deployment process is then based on providing complete proven working solutions that facilitate the rapid development of full business and configuration requirements – minimizing the project risks and maximizing the benefits. Finally, our approach is always to work in close co-operation and partnership with key stakeholders, including active participation on the key industry working groups, which ensures we have a thorough understanding of industry and individual bank requirements.
Our client banks globally are already seeing the benefits of this approach, enabling their customers to take advantage of real-time payments as these options become available, so get the choice right and banks can successfully address the challenge.”
Dovetail provides market ready payments and liquidity management solutions that deliver business agility. These solutions enable banks to differentiate their payments offerings, optimize their liquidity and to provide their customers with a more consistent, efficient and effective payments experience. The solutions are scalable, up and down, across functional and volume needs and offer a high level of personalization. Significantly, they are based on a single architecture that leverages common investment for the whole Dovetail community. Dovetail’s solutions, processes and people enable banks globally to achieve a measurable return on investment, cost control and regulatory compliance, while at the same time address legacy technology challenges.