Money2020 Part 2

Money 2020 Summary Part 2:

Exploring the Future of Household Bill Payments (Panel: Matt Swain, InfoTrends(M) John Ballantyne, SunTrust Bank; Al Ko, Intuit; Eric Leiserson, Fiserv;  Rene Villa, Florida Power & Light)

According to the panel this is how people make their household payments:

62% pay online
16% pay via mail
 5%  pay online via mobile app
 2%  pay via mobile app

49% of people are open to switching their payment channel and want to manage their accounts through a single portal

Anything I can pay online, I do.  However, I still know quite a few people who pay via checks and snail mail.  They are still not comfortable with their personal information being online.  Some are quite conservative; others have been victims of stolen info.  For these people, only shoring up security will entice them to pay online.

Part 1 - Millennials and Financial Services – Charles Moldow, Foundation Capital

Millennials – Mainstream or Martians?

Millennials were born between 1984 – 1997.  They are the tastemakers!  They have a large amount of student loan debt.
Ages 18 – 34 have the largest debt to income ratio. They are living under a mountain of debt. 15% say monthly income spent on student debt / 32% say they are not saving enough for the future / 25% say debt is keeping me from making major purchases.  They are not your ideal customers if you are in the insurance, banking, retirement or wealth management business.
It’s difficult for this generation to buy cars.
This generation lives in a mobile first generation!
Apps world!
Millennials have more education than predecessors. They can’t live without Facebook and banking apps. They value online and mobile rather than personal service. They are not happy with banks and despise Sallie Mae!
Media reports conflicting information about millennials.  First media says millennials want to buy houses, next they say millennials have no interest in buying houses. Many examples of these conflicting reports.  To see the report, click the this link:

Part 2 - The Demographics of the Underserved (Panel: Tom Neri, GfK Custom Research North America; Tim Spenny, GfK Custom Research North America)

The underserved operate partially or completely outside the traditional banking system.  They are either unbanked or underbanked. 43% healthy / 29% vulnerable

They have a high mistrust of banks or simply have no access. 

Retailers, Technology & Innovation: Driving the New Shopping Experience (Panel: Robin Copland, ThoughtWorks (M)
Ken Moy, SUBWAY; Jill Renslow,  Mall of America; Kandis Yoakum, Zappos Labs)

I was very interested in this panel because I’m a huge fan of Zappos. Their customer service is outstanding. They under promise and over deliver. Many times when I’ve ordered from them I receive an email saying my item has shipped. Next thing you know, it’s been delivered.  I love that about them. Here is Zappos’ vision:

 So here is the vision:

  • One day, 30% of all retail transactions in the US will be online.
  • People will buy from the company with the best service and the best selection.
  • will be that online store.

We believe that the speed at which a customer receives an online purchase plays a very important role in how that customer thinks about shopping online again in the future, so at, we have put a lot of focus on making sure the items get delivered to our customers as quickly as possible. In order to do that, we warehouse everything that we sell, and unlike most other online retailers, we don't make an item available for sale unless it is physically present in our warehouse.

"Zappos and Amazon sitting in a tree..." - Tony Hsieh, CEO of, Inc.

I can buy shoes anywhere. With Zappos I almost can get them faster than making a trip to the local mall.  Most companies do not offer free shipping both ways. If you don’t like something, send it back. Free Shipping!  I’ve utilized this service and have been a VIP customer for quite a few years. If you want proof, just check my closet or look at my feet. I first became aware of Zappos while watching TLC’s What Not To Wear.  I’m a loyal customer ONLY because of the outstanding service.  Zappos is seamless. If I like something that’s out of stock, a pop up asks if I would like to be informed when the item is back in stock. I say yes and boom, I’ll be informed.  No leaving the page or massive fill in page. If all companies modeled themselves on Zappos success will ensue!