I. Problem Statement: implement an appropriate mobile Strategy to create an added value to the customer to increase loyalty and brand awareness and at the same timegenerating profit for BoA.
II. SWOT Analysis:
* Strengths: BoA is the largest U.S. bank holding company. More than 100 years of experience. Recognized brand with a reputation as one of thenation’s strongest and best managed banks. BoA’s market covered 82% of the U.S. population. Leadership position in 23 top metropolitan areas. 6,000 banking centers & 18,000 ATMs. #1 position inonline and mobile banking with 35% share of the market.
* Weaknesses: Conservative culture of a large national bank.
* Opportunities: Increasing mobile banking market that could potentiallylead to a higher income and increased customer retention (Expected to grow to 37 million consumers by 2014). Expanding mobile payment services market. Mobile banking projected to be one of the leastcostly banking channels.
* Threats: Competitors implementing the same mobile strategies or developing even better apps. Users considering limited value of mobile banking, security concerns and costof data access. Slow adoption of the new technology. Rapid evolving technology which demands BoA to be adapting to it.
III. Alternatives: A. Mobile Messaging B. Mobile Internet C. Apps D. Mix ofSMS, Internet and Apps.
IV. Alternatives Evaluation:
A. Mobile messaging (SMS): Advantages: help customers to check account balances or setup text message alerts regarding account activity,deposits or transfers. Works across all wireless operators and required no software installation. 85% of users have regular phones. Disadvantages: text based and limited to 140-160 characters permessage. Increase cost since mobile operators for each SMS have to be paid.
B. Mobile Internet: Advantages: provides and effective connection of mobile users to a bank’s online website. Easiest...