News Feeds

International money transfers hit $613 billion this year — here's what young, tech savvy users value most about them

Mon, 02/18/2019 - 9:04pm  |  Clusterstock

This is a preview of a research report from Business Insider Intelligence, Business Insider's premium research service. To learn more about Business Insider Intelligence, click here. Current subscribers can read the report here.

Remittances, or cross-border peer-to-peer (P2P) money transfers, hit a record high of $613 billion globally in 2017, following a two-year decline.  And the remittance industry will continue to grow, driven largely by digital services.

Several factors will fuel digital growth globally, such as increased smartphone penetration, greater demand for digital transactions, and an overall need for faster cross-border transfers. And with the shift to digital comes an audience of younger, digital-savvy customers using remittances — a segment that companies are looking to target.

As a result, the global remittance industry is becoming increasingly competitive for firms to navigate, with incumbents like Western Union and MoneyGram competing for the same pool of customers as digital upstarts like WorldRemit and Remitly. And in order to win, companies across the board will need to prioritize the four areas consumers value most in remittances: cost, convenience, speed, and safety.  

In The Digital Remittances Report, Business Insider Intelligence will identify what young, digitally savvy users value in remittances. We will also detail the concrete steps that legacy and digital providers can take to effectively capture this opportunity and monetize digital offerings — the primary growth driver — to emerge at or maintain their presence at the forefront of the space. 

The companies mentioned in the report are: MoneyGram, Remitly, Ria, Western Union, WorldRemit, TransferWise, and Xoom, among others.

Here are some key takeaways from the report:

  • The global remittance industry recovered from a two-year decline in 2017 to reach a record $613 billion in transfer volume. That growth will continue and will be fueled by digital remittances, which Business Insider Intelligence expects to grow at a 23% CAGR from $225 billion in 2018 to $387 billion in 2023.
  • There’s a new segment of customers that both legacy and digital firms are competing to grab share of. Young, digital-savvy consumers are the customer segment that all firms are vying to reach, which is creating a highly competitive dynamic. The needs of those consumers will precipitate transformational change in the industry.
  • We’ve identified several tangible steps firms can take to improve in four key areas — cost, convenience, speed, and security — to not only attract but also maintain this customer segment to align with their preferences and ultimately win in the space.

 In full, the report:

  • Outlines the global remittance landscape and sizes the opportunity that the industry presents. 
  • Identifies the new audience for remittances and future drivers of the remittance space going forward. 
  • Discusses four key areas that providers can focus on — cost, convenience, speed, and security — to improve offerings and ultimately capture that shifting audience. 
To get this report, subscribe to a Premium pass to Business Insider Intelligence and gain immediate access to: This report and more than 275 other expertly researched reports Access to all future reports and daily newsletters Forecasts of new and emerging technologies in your industry And more! Learn More

Or, purchase & download The Digital Remittances Report directly from our research store

SEE ALSO: These were the biggest developments in the global fintech ecosystem over the last 12 months

Join the conversation about this story »

[Report] Future of Life Insurance Industry: Insurtech & Trends in 2018

Mon, 02/18/2019 - 7:02pm  |  Clusterstock
  • Life insurance is fundamentally hard to sell; it’s morbid to think about, promises no immediate rewards, and often requires a lengthy paper application with minimal guidance.
  • Despite the popularity of personalized products in other areas of finance and fintech, life insurance largely remains unchanged.
  • A small, but growing pocket of insurtech startups are shaking up the status quo by finding ways to digitize life insurance and increase its appeal.

Life insurance is a fundamentally difficult product to sell; it requires people to think about their deaths without promising any immediate returns.

And, despite tech innovations and the development of personalized services in other areas of finance, life insurance remains largely unchanged.

Luckily, there is a small but growing pocket of insurtech startups looking to modernize it. These companies are finding ways to digitize life insurance to  appeal to consumers — and they’re giving incumbents the opportunity to revamp traditional offerings, either by partnering with them or using their technology.

Business Insider Intelligence, Business Insider's premium research service, has forecasted the shifting landscape of life insurance in the The Future of Life Insurance report. Here are the key problems insurtechs are tackling:

  • Lack of education: Forty percent of US consumers told the Life Insurance and Market Research Association (LIMRA) that they feel intimidated by the life insurance application process, often drastically overestimating its cost and facing uncertainty about how much or which type of coverage to buy.
  • Inconvenient application process: It can take weeks or months for coverage to take effect because of the sheer number of meetings and parties combing through paperwork in each round of the application process. The risk for the insurer often warrants reviews from the carrier, a team of underwriters, a broker, and even a medical examiner.
  • Low customer loyalty: Life insurance tends to be a “set it and forget it” type of purchase, with very few people revisiting it after buying. Insurers and consumers therefore have limited contact for most of the relationship — with the exception of an annual bill, of course.
  • Inefficient data management and processing: The aggregate data life insurers rely on is typically fed into algorithms that make broad assumptions about particular populations, and often incorporate outdated medical documentation — all of which can delay applications and result in unnecessary rejections.

Want to learn more?

The need for modernization in life insurance is clear: Overall sales are slowing and policy ownership is hitting record lows. And because it’s such a tightly-regulated space, innovation from incumbents has stagnated — but they’re not helpless. Consumer-focused and insurer-focused startups have emerged to offer new technologies and process improvements.

The Future of Life Insurance report from Business Insider Intelligence looks at the two main strategies life insurtechs are adopting to drive change in this market, for the benefit of both buyers and sellers. In full, the report discusses best practices incumbents and startups should adopt to steer clear of the risks attached to applying emerging technologies to such a tightly regulated product.

Insurtech startups will soon set new industry standards and consumer expectations around this complex product. That, in turn will serve as a catalyst for innovation among legacy players.

Companies included in this report: Ladder, Haven Life, Getsurance, Tomorrow, Fabric, Atidot, AllLife, Royal London, Polly,, Legal & General, Vitality, Discovery, John Hancock, Dai-ichi Life.

Get The Future of Life Insurance

Join the conversation about this story »

Apple made a mistake by killing the iPhone SE (AAPL)

Mon, 02/18/2019 - 4:35pm  |  Clusterstock

  • The above image shows Apple's current iPhone lineup, which includes the iPhone XS, iPhone XS Max, and iPhone XR.
  • Apple quietly discontinued a few older iPhones to make room for the new models, including most notably the iPhone SE.
  • The iPhone SE was Apple's last 4-inch iPhone, and the only phone made at an incredibly accessible price point of just $350.

SEE ALSO: 9 reasons you should buy an iPhone XR instead of an iPhone XS

At the same September event where it unveiled three new iPhones, Apple quietly killed off one of the best smartphones it's ever made: the iPhone SE.

At $350, the iPhone SE was one of the best "budget" smartphones you could buy.

It didn't have a big, flashy high-definition screen like so many modern smartphones, but it had great performance in an adorable package.

See the rest of the story at Business Insider

These are the top 15 US banks ranked by the mobile banking features consumers value most

Mon, 02/18/2019 - 4:06pm  |  Clusterstock

This is a preview of a research report from Business Insider Intelligence, Business Insider's premium research service. This report is exclusively available to enterprise subscribers. To learn more about getting access to this report, email Senior Account Executive Chris Roth at, or check to see if your company already has access

New data shows that mobile features have become a key factor that customers weigh when choosing a bank. 

In Business Insider Intelligence's second annual Mobile Banking Competitive Edge study, 64% of mobile banking users said that they would research a bank's mobile banking capabilities before opening an account with them. And 61% said that they would switch banks if their bank offered a poor mobile banking experience.

For channel strategists, the challenge in attracting mobile-minded customers is knowing when to bet budgets and political capital on developing emerging features. It's complicated by most flashy features — such as voice assistants, smartwatch banking, and bank-offered mobile wallets — being deemed a "must" by analysts, media, and rival banking executives. 

The Mobile Banking Competitive Edge Report uses data to inform channel investment decisions by highlighting which mobile banking features are most valuable to customers. Our study has data on consumer demand for 33 in-demand mobile capabilities across six key categories. 

Using that consumer data, the study benchmarks the largest 20 banks and credit unions in the US by whether they offer the cutting-edge mobile features that customers say they care about most. What sets our benchmark apart is that it weights every feature according to customer demand data — not subjective analyst opinion.  

Channel strategists within financial institutions use our report to see which innovative features they should prioritize in development pipelines and to find out how they compare with rival banks and credit unions in offering those features.

Business Insider Intelligence fielded the Mobile Banking Competitive Edge Study to members of its proprietary panel in August 2018, reaching over 1,200 US consumers — primarily handpicked digital professionals and early-adopters, making our sample a sensitive indicator of emerging features. 

Here are a few key takeaways from the report:

  • Citi snagged first overall. The bank led the account access section, tied for first in account management, and ranked highly in all the other categories of the study. Wells Fargo took second place, leading in security and control and transfers. USAA came in third, NFCU was fourth, and Bank of America rounded out the top five.
  • Demand for security features is sizzling. Following a year of huge breaches being announced at companies like Facebook and Google, consumers' security concerns jumped to become the most important category. The category included the No. 1 feature overall: the ability to turn a payment card on or off. 
  • Digital money management features are also highly demanded. Chase and Wells Fargo may be onto something with their millennial-focused banking apps, Finn and Greenhouse, as the generation had sky-high demand for the six features in the category. The most popular feature in the category was the ability to separate recurring payments, such as Netflix and gym memberships.

 In full, the report:

  • Shows how 33 mobile features stack up according to how valuable customers say they are.
  • Ranks the top 20 US banks and credit unions on whether they offer each of those features.
  • Analyzes how demographics effect demand for different mobile features.
  • Provides strategies for banks to best attract and retain customers with mobile features.
  • Contains 63 pages and 30 figures.

The full report is available to Business Insider Intelligence enterprise clients. To learn more about this report, email Senior Account Executive Chris Roth (  

Business Insider Intelligence's Mobile Banking Competitive Edge study includes: Ally, Bank of America, BB&T, BBVA Compass, BMO Harris, Capital One, Chase, Citibank, Fifth Third, HSBC, KeyBank, Navy Federal Credit Union, PNC, Regions, SunTrust, TD, Union Bank, US Bank, USAA, and Wells Fargo.

SEE ALSO: These are the trends creating new winners and losers in the card-processing ecosystem

Join the conversation about this story »

5 terms to look for instead of 'penthouse' if you're on the hunt for a luxury apartment with a unique layout, high ceilings, or outdoor space

Mon, 02/18/2019 - 12:30pm  |  Clusterstock

  • The penthouse apartment is not necessarily the most luxurious apartment in a building.
  • Several other types of properties offer similar features and value.
  • If you're looking for elements such as unique layouts, high ceilings, and outdoor space, keep an eye out for terms such as "maisonette," "garden apartment," and "sky loft," among others.

The term "penthouse" is synonymous with prestige and luxury, but it's actually not always the best apartment in a building. And some say the penthouse has lost some of its allure, as Business Insider previously reported.

Reba Miller, a broker at Berkshire Hathaway HomeServices, said penthouses aren't necessarily the "trophy property" anymore.

Read more: Luxury apartment buildings in NYC are locked in an 'amenities war,' and it's highlighting a major problem in the housing market

"You can go to many buildings, buy on a lower floor, and feel like you bought the penthouse," she told The Real Deal.

Alex Lavrenov, an agent at Warburg Realty, told Business Insider that "there are a number of properties that can show the same value as a penthouse would, or attract the same kind of clientele."

Here are five other terms you should be looking out for if you're not set on a penthouse.

SEE ALSO: A luxury real-estate broker and 'Million Dollar Listing' star says a penthouse isn't what you think it is anymore

DON'T MISS: Billionaire Ken Griffin just bought a $238 million penthouse — and it's the most expensive home ever sold in the US

1. Condo townhouse

"Generally these are condominiums that are just as much like a single family home," Lavrenov said. "They mix an apartment and townhouse together."

A four-bedroom home on Manhattan's Upper East Side listed by Corcoran for $4.95 million includes a private entrance like a townhouse would, in addition to condo-like amenities such as a doorman and fitness facility that comes with a Peloton bike

Condo townhouses are also called "maisonettes," and in Lavrenov's view, the two terms are interchangeable. 

2. Maisonette

"Maisonette" is the marketing term more often used these days for a condo townhouse, according to Lavrenov, typically referring to a unit on two stories of a larger building that has its own private entrance.

The Wall Street Journal previously noted maisonettes were being rebranded into "coveted real estate" and described them as "townhouse-like spaces with building services."

In Manhattan, for instance, a six-bedroom, two-level co-op near Central Park for sale for $7.7 million is being marketed as a "maisonette" and includes amenities such as a private entrance, a 24-hour doorman, a live-in resident manager, gym, bike room, laundry, and storage, according to the listing.

Real estate database StreetEasy says the private entrances maisonettes typically offer are ideal for "celebrities or recluses" because of the "easy and anonymous in-and-out access," Laura Vecsey wrote.

3. Garden apartment

Instead of looking at the very top of a building for luxury, you might want to look at the very bottom.

"A lot of time ground floor apartments can be really unique," Lavrenov said. " ... Sometimes you'll see certain listings and certain condos will be marketing their first floors as 'Garden A' or 'Garden B.' That usually means that there's some sort of outdoor space attached to the property, there's a patio of some sort."

Often these properties go underground, making them duplexes.

"So sometimes there you get a really unique layout," Lavrenov said.

See the rest of the story at Business Insider

Why are Apple Pay, Starbucks’ app, and Samsung Pay so much more successful than other wallet providers?

Mon, 02/18/2019 - 12:03pm  |  Clusterstock

This is a preview of a research report from Business Insider Intelligence, Business Insider's premium research service. To learn more about Business Insider Intelligence, click here.

In the US, the in-store mobile wallet space is becoming increasingly crowded. Most customers have an option provided by their smartphone vendor, like Apple, Android, or Samsung Pay. But those are often supplemented by a myriad of options from other players, ranging from tech firms like PayPal, to banks and card issuers, to major retailers and restaurants.

With that proliferation of options, one would expect to see a surge in adoption. But that’s not the case — though Business Insider Intelligence projects that US in-store mobile payments volume will quintuple in the next five years, usage is consistently lagging below expectations, with estimates for 2019 falling far below what we expected just two years ago. 

As such, despite promising factors driving gains, including the normalization of NFC technology and improved incentive programs to encourage adoption and engagement, it’s important for wallet providers and groups trying to break into the space to address the problems still holding mobile wallets back. These issues include customer satisfaction with current payment methods, limited repeat purchasing, and consumer confusion stemming from fragmentation. But several wallets, like Apple Pay, Starbucks’ app, and Samsung Pay, are outperforming their peers, and by delving into why, firms can begin to develop best practices and see better results.

A new report from Business Insider Intelligence addresses how in-store mobile payments volume will grow through 2021, why that’s below past expectations, and what successful cases can teach other players in the space. It also issues actionable recommendations that various providers can take to improve their performance and better compete.

Here are some of the key takeaways:

  • US in-store mobile payments will advance steadily at a 40% compound annual growth rate (CAGR) to hit $128 billion in 2021. That’s suppressed by major headwinds, though — this is the second year running that Business Insider Intelligence has halved its projected growth rate.
  • To power ahead, US wallets should look at pockets of success. Banks, merchants, and tech providers could each benefit from implementing strategies that have worked for early leaders, including eliminating fragmentation, improving the purchase journey, and building repeat purchasing.
  • Building multiple layers of value is key to getting ahead. Adding value to the user experience and making wallets as simple and frictionless as possible are critical to encouraging adoption and keeping consumers engaged. 

In full, the report:

  • Sizes the US in-store mobile payments market and examines growth drivers.
  • Analyzes headwinds that have suppressed adoption.
  • Identifies three strategic changes providers can make to improve their results.
  • Evaluates pockets of success in the market.
  • Provides actionable insights that providers can implement to improve results.
Subscribe to an All-Access membership to Business Insider Intelligence and gain immediate access to: This report and more than 250 other expertly researched reports Access to all future reports and daily newsletters Forecasts of new and emerging technologies in your industry And more! Learn More

Purchase & download the full report from our research store


Join the conversation about this story »

SoftBank's high leverage is another warning sign on the growing corporate debt crisis

Mon, 02/18/2019 - 12:01pm  |  Clusterstock

  • Two major credit ratings agencies have opted not to upgrade SoftBank's debt and may well instead downgrade the already below investment grade company.
  • It's another blow to the company's high leverage ratio and a very high level of net debt which stands at $96 billion as of the end of December. 
  • Companies with high debt piles have been on a mission to cut levels in 2019 with warnings about poor quality debt becoming starker. 

SoftBank, the giant fund behind investments including Uber, Slack, and WeWork, is under pressure from analysts with a negative sentiment on the company's net debt and leverage. 

Founded by Masayoshi Son, SoftBank is well known for its large scale investments in tech companies — particularly through its involvement in the Saudi Arabian funding vehicle Vision Fund. However, one of the company's key rating metrics, loan-to-value, has been a negative for credit rating analysts at Moody's and S&P, as reported by Bloomberg.

The company's loan-to-value metric (the amount of exposure to a borrower a company has through its funding) is seen to be between 25 and 35 according to Moody's and S&P, far higher than SoftBank's own figure of 14.

The metric has taken on greater meaning since the company floated its telecoms business in a $23.5 billion IPO last year. 

The major difference between the calculations comes down to the higher estimation of SoftBank's net debt with ratings agencies including the company's commitments as part of the $100 billion Vision Fund. High leverage has been a major factor in company's thinking of late with warnings about the high debt levels of companies such as GE and AT&T. 

SoftBank is currently rated one notch below investment grade and its debt heavy strategy could be seen as a concern for analysts and potentially investors. Last month the company significantly scaled back planned investment into WeWork amid questions about the viability of the loss-making office space company. 

"Mr. Son says he intends to monetize the portfolio more actively, but the company has yet to establish a track record of that," said Motoki Yanase, Tokyo-based vice president and senior credit officer at Moody’s, said in a phone interview Wednesday with Bloomberg. “It would be a very challenging step to upgrade this company to investment grade.”

Research firm CreditSights also recently suggested cutting back on exposure to the company's bonds as a result. 

SEE ALSO: Here's how the risky behavior of debt-heavy corporate giants like GE and AT&T could spark the next financial crisis

Join the conversation about this story »

NOW WATCH: Michael D'Antonio reveals Donald Trump's 'strange' morning ritual that boosts his ego

The US has been facing the same employment problem since the 1920s, and now it's looking to Switzerland for help

Mon, 02/18/2019 - 11:45am  |  Clusterstock

  • The US government has been working with the Swiss government since 2015 on developing apprenticeship programs.
  • The US is facing a "skills gap," where jobs that don't require a college education but more than a high school education are going unfilled. These types of jobs will grow increasingly necessary over the next two decades.
  • Local and state governments are experimenting with Swiss-style apprenticeships, and they have wide-ranging bipartisan support.
  • This article is part of Business Insider's ongoing series on Better Capitalism.

Americans take the concept of high school for granted, but it wasn't until the early 20th century that the importance of high school as a path to a job took root, and the majority of Americans began attending.

States experimented with programs that served students best, and vocational training accompanied academic learning. In 1920, University of Chicago professor Paul H. Douglas wrote a study on "American Apprenticeship and Industrial Education," and concluded that America's apprenticeship model needed to be updated to accommodate changes in technology and society. A century later, many experts are reaching the same conclusion. This time, we're looking to Switzerland for help.

When Douglas was writing, vocational and academic training were already splitting, with educators increasingly associating the former with lower achieving students. The thinking was, if you couldn't perform in the classroom, then you could learn a trade, and it would have much lower standards.

This resulted in a stigma that was only intensified after World War II, when the combination of the GI Bill and rapid industrial progressions started transforming four years in college from a privilege for the elite into what it is today: essentially a requirement to get a shot at a decent-paying career.

Now, America is in the early stages of yet another significant technological shift, and potentially millions of jobs will disappear to automation. But that's not as bleak as it sounds. The real problem is that, even today, there is a "skills gap." Unemployment for 16 to 24-year-olds last July (9.2%) was more than double average unemployment (3.95%),  There are plenty of good jobs that do not require a college education, but they need more than a high school education.

That's where European countries like Switzerland and Germany, which have perfected this middle ground through their apprenticeship programs, come in.

In Switzerland, 4-year college isn't the only acceptable path

"In Switzerland, vocational and professional education and training and higher education together form an innovative system capable of keeping up with developments in society and the economy," former Swiss president and federal councillor Johann N. Schneider-Ammann wrote in a 2017 report on US-Swiss collaboration.

In a recent report from the management consulting firm Bain, titled "Making the Leap," Bain partners Chris Bierly and Abigail Smith deem the Swiss model "the gold standard," and explain how they and their colleagues helped the governments of Denver and Washington state develop similar programs, to promising results.

Read more: US state governments are looking to Switzerland to build an apprenticeship model that could provide millions of Americans with good jobs

In Switzerland, the average student will have an idea of which field they are interested in pursuing, and at 15 or 16 they will begin a three-year apprenticeship (70% of students enroll). At 19 or 20, they will have a federally recognized apprenticeship diploma as proof of the skills they learned. Enrollment has students learning in the classroom and on the job, and most students will have the option of turning the apprenticeship into a full-time job upon completion. Students who go through the apprenticeship program are paid for their work, and it gives them real-world experience that establishes a foundation either for their career or the pursuit of college degrees.

It corrects the problem that American experts like Douglas recognized a century ago but that the educational system let get ahead of itself: Apprenticeships, and vocational training in general, should be held to high standards because it improves the workforce and the national economy.

Apprenticeships are gaining bipartisan support in the US

At Business Insider's World Economic Forum conference panel in Davos, Switzerland in January, Wharton professor Adam Grant said it's the idea that college should be a requirement for a decent life has run its course. He clarified that as a professor at the University of Pennsylvania, he takes a rigorous academic education seriously, but said it's vital to recognize that for some graduates, accruing a mound of debt is not worth it. After all, he said, a college degree is "a certification that you went to school; it's not a certification that you have the capabilities that an employer needs."

Aside from state, local, and corporate experiments with apprenticeships, the US federal government has been working with the Swiss government with 2015 on apprenticeship models. And unlike virtually anything else, the collaboration carried over smoothly from the Obama to Trump administration, and has received bipartisan support from Republicans like Texas governor Greg Abbott and Democrats like Washington governor Jay Inslee.

Read More: Wealthy investor Nick Hanauer says the US economy mints billionaires while many Americans are struggling, and there's no excuse for it

When American state politicians developed their high school systems in the early 20th century, they studied what European countries did. Ohio's government even recruited the German inventor of the part-time "continuation school" alternative to high school to develop a similar program for its state. Necessity has brought back old lessons in a new context, and the US is once again looking to Europe for ideas, with the aim of bringing respect and rigor back to college alternatives.

"I'm convinced that Switzerland has a lot to offer to advanced economies such as the United States when it comes to vocational education and training," Schneider-Ammann wrote in the apprenticeship report. "We can contribute solutions by presenting our educational system and by promoting awareness of the inherent strengths of our dual system. Also, we can learn from our exchanges with our American partners. I look forward to seeing the United States and Switzerland continuing to intensify their cooperation in this area — we already have very close economic ties."

SEE ALSO: US state governments are looking to Switzerland to build an apprenticeship model that could provide millions of Americans with good jobs

Join the conversation about this story »

NOW WATCH: Reddit cofounder Alexis Ohanian on robots taking over jobs: 'There is no way a robot is replacing my barber'

Soon nearly a third of US consumers will regularly make payments with their voice

Mon, 02/18/2019 - 11:08am  |  Clusterstock

This is a preview of a research report from Business Insider Intelligence, Business Insider's premium research service. Click here to learn more.

A revolution in payments and banking is beginning as virtual assistants like Siri and Alexa gain the abilities of cashiers, personal shoppers, and bank tellers.

Already, Siri can help users make peer-to-peer (P2P) transfers with Venmo, Alexa can pay off Capital One credit card bills, and Google Assistant can let users shop with their voice from nearby stores. 

This is just the beginning. Today, 18 million US consumers have made a voice payment, and Business Insider Intelligence projects that figure will quadruple over the next five years. 

In a new report, Business Insider Intelligence explores how and why financial services providers such as PayPal and Bank of America are positioning for voice interfaces to take off. The report includes actionable recommendations that draw on interviews with executives spearheading voice initiatives, as well as exclusive survey data from our proprietary research panel. 

Here are some of the key takeaways from the report:

  • Voice payments are catching on — 8% of US respondents to a 2017 Business Insider Intelligence survey said they used voice commands to buy something, send money to a friend, or pay a bill.
  • Adoption is set to grow from 8% to 31% of US adults by 2022. Three factors will fuel this growth: an explosion of voice-enabled devices, generational gains in AI, and a strong consumer value proposition for voice payments.
  • Payments providers are moving in: Amazon, Apple, Google, and PayPal are part of the growing list of companies making these next-generation payments possible.
  • Banks are betting on AI, too. Bank of America, Capital One, USAA, and more are rolling out conversational interfaces to their customers.
  • Next-generation voice assistants will blow the current generation away. Voice payments will evolve from clunky and poorly scripted sessions to interactions as natural as one might have with a personal shopper or bank employee.
  • Getting to the next generation will not be easy, but the payoff will be large. Grounded in realistic expectations of adoption in the years ahead, providers of voice payments and banking experiences stand to accumulate early advantages by moving in early.

 In full, the report:

  • Shares current and projected adoption of voice payments.
  • Outlines voice payments and banking integrations on the market.
  • Examines growth drivers and barriers to consumers' voice payments adoption.
  • Provides strategies for successfully deploying voice interfaces.
Get The Voice Payments Report

Join the conversation about this story »

Delta is the first US airline to fly the new Airbus A220 jetliner. Here are its coolest features. (DAL)

Mon, 02/18/2019 - 10:10am  |  Clusterstock

  • Delta Air Lines is the first carrier in the Americas to operate the new Airbus A220 airliner.
  • The Airbus A220, which began life as the Bombardier C-Series, is a state-of-the-art, 100-to-150-seat, single-aisle airliner.
  • Business Insider had the chance to experience the Delta A220's economy and first-class cabins. We were thoroughly impressed by its style, comfort, roominess, and in-flight amenities. 

This month, Delta Air Lines became the first airline in the Americas to operate the new Airbus A220 airliner.

The A220, which began life as the Bombardier C-Series, is a state-of-the-art, 100-to-150-seat, single-aisle airliner. The Canadian jet is a clean-sheet design that incorporates the latest in commercial aviation technology, like a carbon-composite fuselage and fuel-sipping geared turbofan engines from Pratt & Whitney.

The plane, which entered service with Swiss in 2016, has earned praise from its operators for its exceptional fuel efficiency.

The A220 is currently assembled in Mirabel in Quebec, Canada. However, Airbus broke ground on a new A220 final assembly line in Mobile, Alabama, last month. That plant is expected to be completed in 2020. 

Read more: Boeing started a trade dispute with Canada, but Airbus and Alabama ended up being the winners.

For Delta, the A220 will serve primarily on short- and medium-haul domestic routes. The airline launched service with flights from New York's LaGuardia Airport to Boston and Dallas. Depending on the route, the Airbus will replace everything from small regional jets to 160-seat McDonnell Douglas MD-88s. 

Business Insider had the chance to experience the Delta A220's economy and first-class cabins. We were thoroughly impressed by its style, comfort, roominess, and in-flight amenities. 

Read more: We flew on the new Delta Airbus jet, which Boeing tried to keep out of the US, to see if it lives up to the hype. Here's the verdict.

A handful of the Delta Airbus A220's amenities stood out. In a commercial airliner, some features are attributable to the aircraft, such as the size of the overhead bins and the size of its windows, while others, such as the seats and the entertainment systems, are down to the airline.

Here's a closer look at the Delta Air Lines Airbus A220's coolest features: 

SEE ALSO: The $446 million Airbus A380 superjumbo is the largest and most expensive airliner in the world. Take a look inside.

FOLLOW US: On Facebook for more car and transportation content!

1. Wide economy seat: Delta's A220s boast some of the roomiest economy-class seats in the business at 18.6 inches wide. That's roughly two inches wider than the seats on some of Delta's MD-88s.

Delta's A220 economy cabin also boasts 32 inches of seat pitch, which is the space between two rows.

2. One middle seat: The middle seat is the least desirable place to be on a plane. Fortunately, the A220's economy cabin features only five seats per row in a 3-2 configuration.

See the rest of the story at Business Insider

Honda set to close UK car plant with 3,500 jobs at stake in another Brexit blow

Mon, 02/18/2019 - 9:40am  |  Clusterstock

  • Japanese car manufacturer Honda is said to be preparing to shut one of its UK plants with 3,500 jobs on the line. 
  • Honda is set to announce a closure to its Swindon plant in 2022. 

Japanese automaker Honda could be set to cut 3,500 jobs from the UK in plans to close one of its plants. 

Honda could close its plant in Swindon by 2022, according to Sky News. The plant is the company's only manufacturing operation in the EU with production of its Honda Civic model topping 100,000 a year. 

The company is still expected to keep its European headquarters in Bracknell as well as its Formula One racing team in the UK but the blow is another major problem for the British car making industry. 

Sky's report suggests that Brexit is not the only factor in the decision to close the plant.

Fellow automaker Nissan recently announced that it was cancelling plans to build its X-Trail SUVs in Sunderland despite previous assurances from the British Government. 

Honda's decision is the latest in a line of Japanese companies moving operations away from the UK since the Brexit vote with Panasonic and, recently, Sony opting to move their operations to Amsterdam. 

SEE ALSO: Brexit isn't even here yet, but here's a list of the damage that's already been done

Join the conversation about this story »

NOW WATCH: North Korea's leader Kim Jong Un is 35 — here's how he became one of the world's scariest dictators

A former Google exec has used a simple framework every time she's decided to switch jobs for the last 20 years

Mon, 02/18/2019 - 9:30am  |  Clusterstock

  • Making a career change can be intimidating.
  • Gusto COO and ex-Googler Lexi Reese uses the same approach every time she switches jobs: Am I doing what I love, what I'm good at, and where I see a big need?
  • Reese said it can be tough to decide, but ultimately you have to listen to your gut.

Talk about a non-linear career path.

Lexi Reese started out making documentary films, then worked in the sex crimes unit at the Manhattan district attorney's office, before moving on to management positions at American Express and Google.

Today, Reese is the COO of human-resources software company Gusto.

Each time Reese thought about making a career move, she used the same framework to reach a decision.

"The most fulfilling journeys are ones where people are really honest with what they love, what they're good at, and where they see a big need," she said.

Reese said she loved both working on documentary films and being a legal advocate for victims of sex crimes. But "I wasn't particularly expert and I didn't see myself being able to be the best person or the most talented person in those fields, just based on my skill set." She added, "That's a tough thing to navigate."

A bonus just for you: Click here to claim 30 days of access to Business Insider PRIME

Reese's three-pronged approach to career changes sounds strikingly similar to Patty McCord's. McCord is the former chief talent officer at Netflix, and she previously shared with Business Insider a method for figuring out if your job is a good fit: You're doing what you love to do, what you're good at, and what the company needs.

(McCord said a manager can use the same method to figure out if they should keep an employee.)

Meanwhile, Facebook teamed up with Wharton psychologist Adam Grant to figure out why their employees quit. As they write in the Harvard Business Review, they learned that employees who stayed found their work enjoyable 31% more often and used their strengths 33% more often than those who left within the next six months.

It's not always easy to listen to your gut when it's telling you to move on

As for Reese's decision to leave Google after eight years, she said, "I loved the purpose of doing [work] to create a world where everybody had access to information." But "I saw myself doing more of the management of the business, as opposed to the building of the business." She asked herself: "How do I get back to serving a segment of the world that needs the service?"

Read more: Everyone wants to work at Google — but we found out how 15 ex-Googlers knew it was time to quit

At Gusto, Reese said, she's helping small to medium-sized businesses give their employees competitive benefits and allow those employees to thrive.

Reese cited "that internal voice that says, 'OK, I've done what I needed to do in this space and I feel like it's time for me to grow and do something different. And that is a real internal journey."

SEE ALSO: Experts say a counterintuitive management strategy used by top tech companies like Google and Facebook can yield major benefits

Join the conversation about this story »

NOW WATCH: We tried to buy people's lottery tickets for more than they paid — it shows why we overvalue something simply because we own it

Bitcoin 101: Your essential guide to cryptocurrency

Mon, 02/18/2019 - 9:02am  |  Clusterstock

Bitcoin is everywhere.

The cryptocurrency is seemingly in the news every day as investors and businesses try to understand the future of this digital finance.

But what is Bitcoin all about?

Why is it suddenly on every financial news program?

And what does it mean to you?

Find out the answers to these questions and more in Bitcoin 101, a brand new FREE report from Business Insider Intelligence.

To get your copy of the FREE slide deck, simply click here.

Join the conversation about this story »

The era of the all-powerful tech CEO has only just begun, even though Facebook and Snap show why that's a bad thing (SNAP, FB, DBX, ROKU)

Mon, 02/18/2019 - 9:00am  |  Clusterstock

  • At a growing number of companies, particularly in the tech sector, CEOs and other insiders have outsized control over their corporate decisions. 
  • The executives have that control through special shares that give them extra votes. Such arrangements used to be rare, but are becoming much more common.
  • Lyft and several other tech companies that are likely to hold their initial public offerings this year will likely debut with such dual-class stock structures.
  • Companies say such arrangements allow their executives to focus on their long-term success.
  • But because they insulate insiders from legitimate concerns, they can be detrimental to investors and society as a whole.

If anyone thought the problem of unaccountable tech CEOs was going to go away anytime soon, think again.

In reality, it's likely to get much worse before it gets any better, especially with a new wave of tech companies preparing to hit the public markets.

Last week, the Wall Street Journal reported that the founders of one of those companies — Lyft — are working on a plan that would give them near-majority control of the app-based car ride firm after its initial public offering.

The plan is a familiar one among those who have been raising concerns about unassailable tech executives — Lyft would create a new class of shares that would give John Zimmer, its president, and Logan Green, its CEO, extra votes. Those extra votes would give them far more power than their actual stake in the company, which stands at less than 10% of total shares combined, according to The Journal.

Zimmer and Green are likely to be among a sizeable group of tech executives at newly public companies that have disproportionate control over their firms. When they debut on the markets, Slack and Pinterest — among other companies — are both likely to include share structures that give extra votes to select insiders, The Journal reported.

Dual-class structures are becoming more common

Dual-class share structures have a long history, but until recently, they were rare. Investors, markets, and regulators all typically frowned on them. Google and Facebook both hit the markets with supervoting shares for their voters, but they were the rare exceptions to the general rule.

In 2004, when Google went public, for instance, it was one of just three tech companies and 13 firms overall that went public with a dual-class structure, according to data collected by Jay Ritter, a finance professor at the University of Florida. That year, 174 total companies had an IPO.

Read this: That this year's IPO market is considered a 'boom' shows how low our expectations are — and why we still haven't figured out the problem

In the last several years, though, dual-class share structures have become much more common, particularly among tech companies new to the public markets. In three of the last four years, more than a third of the tech firms that had an IPO had multiple classes of stock, according to Ritter's data. In each of the last two years, 13 tech firms debuted with such structures. Among those companies were Snap, Roku, Dropbox, and Spotify.

The dual-class structures give those holding the superpowered shares outsized say in corporate decisions. Frequently, the shares give insiders the ability to determine the outcome of any shareholder vote by themselves alone, or to choose by themselves the composition of their company's board.

Companies that have created such structures for their founders or executives generally argue that they allow those leaders to focus on their firms' long-term health and growth. But the structures also insulate leaders from shareholders' legitimate concerns and often allow them to run their companies with little check on their power.

Early investors are signing off on the arrangements

In theory, investors could veto such arrangements at the time of companies' initial public offerings. The institutional investors who buy shares in public offerings could push back against companies' plans to create dual-class stock structures or refuse to take part in any offerings that involve them.

But that hasn't been happening. Investors generally have been desperate to buy shares in fast-growing tech firms, investment bankers who work on tech IPOs have said. They've been more than willing to overlook dual-class structures if it means getting in early on growing company that can boost their returns.

The problem is that many of the companies that have launched with dual-class structures have done so without putting an end date on them. Their insiders will continue to have extra votes for as long as they want them. The vast base of shareholders can't overturn the structure, because they don't have the votes to do so.

That's created a kind of agency problem. The initial investors who sign off on the dual-class structures are agreeing to those terms on behalf of all those who will own shares of the company in the future. While some initial shareholders end up being long-term owners, many don't. Instead, in many cases, they use the IPO as a way to make a quick buck off a first-day trading pop. And while those initial shareholders may be comfortable with giving insiders extra votes, future investors may not be so happy with such an arrangement — but won't have any power to change it.

The early returns of Google and Facebook seemed to indicate that some companies can benefit from insulating their leaders from shareholder pressures, at least initially. But lately, there's been mounting evidence that such structures can be detrimental to investors and everyone else.

Over the longer term, investors lose out...

Last year, Robert Jackson, a member of the Securities and Exchange Commission, had his staff look at the stock market performance of companies with dual-class structures, comparing that had sunset provisions on their supervoting shares with those that would allow them to last in perpetuity. Within two years of an IPO, those with sunset provisions significantly outperformed those without them, according to Jackson's research.

Snap is a case in point about the danger to investors. For much of the time since its March 2017 IPO, it's traded below its $17 debut price, and it's consistently traded below $10 a share since September. The company has been struggling since late 2017 when it launched a disastrous redesign of its Snapchat app that CEO Evan Spiegel insisted on — and that ended up alienating users.

At a typical company, investors or Snap's board might have held Spiegel accountable for the company's poor performance. But that was impossible at Snap. The company has a structure that gives regular investors zero votes per share. Investor input is so meaningless to the company that Snap didn't even bother to hold an in-person shareholder meeting last year, instead holding a conference call that lasted all of three minutes.

...but so does everyone else

But it's not just investors that can lose out because of all-powerful CEOs. The rest of us can too, as Facebook has made clear.

By just about any measure, the company's last several years have been horrible. Its service has been hijacked repeatedly to spread propaganda and misinformation, some of which had led to deaths. It's been plagued by repeated scandals, many of them due to mismanagement. Last year, its stock fell 26%, and its growth slowed markedly. And it faced a growing threat that regulators would come down hard on it.

There's a good chance that any other company that had gone through what Facebook has experienced recently would have responded by firing its CEO and other top executives, if only to placate shareholders and regulators.

But not Facebook.

CEO Mark Zuckerberg decided he and Chief Operating Officer Sheryl Sandberg were the best ones to keep running the company. And because Zuckerberg has shares with supervoting powers that give him majority control of the company, his decision stood — no matter the cost to shareholders, users, or society in general.

Some investor groups and advocates have raising a fuss about dual-class shares, most notably the Council of Institutional Investors. But so far, their efforts haven't done anything to stop the growing trend.

It's not looking like much will. Corporate founders are unlikely to turn down the prospect of having perpetual power over their companies. Initial investors aren't balking at giving them that power. And everyday shareholders have no ability to revoke such arrangements once they're in place.

So the era of the all-powerful tech CEO is likely just dawning. God help us all.

SEE ALSO: Mark Zuckerberg’s tone-deaf declaration of victory in 2018 should make everybody worry about what’s going to happen with Facebook next year

Join the conversation about this story »

NOW WATCH: I quit texting for a week and it was harder than I expected

BMW's North American CEO reveals how the carmaker will continue to create passion and emotion for the luxury brand

Mon, 02/18/2019 - 8:40am  |  Clusterstock

  • Bernhard Kuhnt has been leading BMW's North American business since 2017.
  • He's presiding over a big launch of new and refreshed vehicles in 2019.
  • Kuhnt is also dealing with BMW's electric-vehicle strategy in the US.

Bernhard Kuhnt took over as CEO of BMW North America at a bit of a tough moment for the automaker. In 2016, BMW had just finished third in the US luxury-brand race, behind Mercedes-Benz and Lexus.

In 2017 BMW's total US sales dipped to 305,685 from 313,174 the previous year, but in 2018 sales recovered to 311,014. Mercedes sales fell 6.3%, to 315,959, and Lexus slid 2.2%, to 298,310, Automotive News Europe reported.

It was a second-place finish for BMW, but for Kuhnt, it was good to grow.

"We gained volume," he said in a recent interview with Business Insider. He added that BMW expects to see further growth in 2019, in the 1% to 3% range.

New and revamped older models will drive that growth. BMW finally has an entry in the full-size SUV sweepstakes with its X7 arriving this spring. With the X3 compact SUV and the X5 midsize SUV, the automaker's crossover portfolio is complete.

Read more: BMW claims its upcoming Tesla rival will have almost double the range of a Model 3

The 'heart and soul' of BMW

A redesigned 3 Series sedan will also land at US dealerships later in 2019, reinvigorating what Kuhnt called the "heart and soul" of the brand. The car dates to 1975 and has defined BMW's premium identity in America for decades. It's the original "ultimate driving machine" of the famous bimmer advertising tagline.

Touting a four-door in the age of the SUV — crossover sales have surged in the past few years, while passenger cars have collapsed — might seem odd, but BMW is committed to the horses that it rode to its lofty US market position among Ford, General Motors, and Fiat Chrysler.

"We believe in sedans!" Kuhnt said. "We're not giving up on sedans."

With the new 3 Series on the way, the new 5 Series putting up its best US sales numbers since 2015, the 7 Series being substantially refreshed — "nearly a new car," Kuhnt said — and a new 8 Series aiming for the top of the market, BMW clearly has a healthy respect for sedans, as Kuhnt put it.

"We will give consumers a tough choice to make," he joked about deciding between a BMW sedan or coupé and an SUV.

Conquesting new customers, and bringing BMW passion and emotion to EVs

Kuhnt expects 2019 to be a year in which BMW sustains its most loyal customers — the ones who have been buying or leasing 3 Series without interruption — and win over new buyers.

"To keep an existing customer is our goal," he said. "But we want to deliver a new 3 Series that's much better than the old one. The sedan's upgrade technology package will help BMW achieve that objective.

But Kuhnt said that competition is good.

"It keeps us on our toes, and with X7, we expect to conquest a lot. Early indications are that it will be a good path," he said.

BMW has also been selling all-electric and hybrid-electric/range-extended electric vehicles in the US for some time, but the numbers have been modest. As Tesla has grown, however, the competitive situation has intensified. Between now and 2025, BMW will roll out 25 electrified vehicles — 12 battery electric, the remainder plug-in hybrids.

"I raise my hat to Tesla," Kuhnt said. "They're a success story."

Yet he said that BMW has a core strength in its dealer network — Tesla has opted for a direct-sales approach in states that have allowed it, bypassing the franchise-dealer system. "We feel that we have an advantage," Kuhnt said. "Tesla had a period where they were in their own. But they'll find it increasingly competitive in the US."

Kuhnt acknowledged that BMW would encounter a spread of consumer reactions as it introduces new electric vehicles. But he said that, in his experience, new EV drivers are "blown away" by what happens behind the wheel.

That's critical, in Kuhnt's mind, because thrills are an integral part of the BMW DNA.

"We are the ultimate driving machine," he said. "What we're trying to do is create passion and emotion."

FOLLOW US: On Facebook for more car and transportation content!

Join the conversation about this story »

NOW WATCH: BMW just showed off the futuristic interior of its next-gen cars

The CEO of Charles Schwab Investment Management says there's a major challenge facing ETFs for buzzy do-good funds, and it's why the firm hasn't entered the market

Mon, 02/18/2019 - 8:17am  |  Clusterstock

  • Charles Schwab Investment Management is one of the few major asset managers that doesn't offer an exchange-traded-fund with a strategy that incorporates environmental, social, and governance factors. 
  • BlackRock expects the market for ESG ETFs to grow from $25 billion today to more than $400 billion by 2028.
  • Despite the projected growth, CSIM's CEO told Business Insider that products are challenging to design because investors don't agree on what ESG means. 

Doing good is Wall Street's current hot strategy to pick up big dollars – but one of the biggest asset managers is intentionally staying away from the space, at least for now.

Firms that play in both public and private markets have launched myriad strategies that include environmental, social, and governance factors as investors, particularly women and millennials, seek more than just a financial return on their money. BlackRock, for example, launched a suite of sustainable investing-focused exchange-traded-funds in October. The firm anticipates huge growth in the space, forecasting that ESG-themed ETF assets will increase from $25 billion today to more than $400 billion by 2028.

See more: A Rockefeller investor and ex-BlackRock vice chair are funding a fintech startup to tap into a $23 trillion market in the hottest area of investing

But Charles Schwab Investment Management – the fifth largest ETF provider in the US – has not yet come out with an ESG ETF, Marie Chandoha, the firm's CEO, said in a recent interview with Business Insider. 

It's not for lack of investor interest: In the businesses' weekly sales reports, Chandoha always hears demand for a fund. 

"The thing in ESG is what’s important to you may not be important to me," she said. "Designing something for a mass audience can be more challenging to pull off. We’ve been thinking about what that could look like, because if you design for the mass audience, people have to compromise on what that is. That’s why some of these products gain some assets but not a lot, because they don’t necessarily appeal to everyone’s expectations."

There's no standard definition for ESG, so some funds focus on removing certain industries, like tobacco or oil, from a portfolio, while others track benchmarks like the MSCI ACWI Sustainable Impact Index. 

Sign up here for our weekly newsletter Wall Street Insider, a behind-the-scenes look at the stories dominating banking, business, and big deals.

"Especially in dealing with a mass affluent client base, you have to find the product where you can get enough scale, especially for many millions of investors," Chadoha said. "With socially responsible investments, it’s hard to pin down what would be a product that would meet a lot of people’s needs in that kind of form." 

Instead of an ETF, she said a custom separately-managed account may be more appropriate for the strategy. High net worth and institutional investors can design portfolios based on their preferred ESG factors, from climate change to diversity.

However, many of Schwab's mass affluent clients don't have the investment sizes to meet the thresholds for that kind of strategy. For that group, Chandoha said the business is still working on a product. 

Join the conversation about this story »

NOW WATCH: A $265 billion investment chief says one of the most valuable economic indicators is signaling a recession in about 18 months

Here's the investor deck that helped real-estate startup Divvy raise a $30 million Series A led by Andreessen Horowitz

Sun, 02/17/2019 - 10:40pm  |  Clusterstock

  • Divvy provides alternative financing options for potential home buyers who don't qualify for traditional mortgages.
  • It does so by purchasing homes outright and allowing customers to pay it back in a series of monthly payments — 25% of which goes toward building equity and 75% toward paying "rent."
  • Last October, Divvy raised a $30 million Series A round led by Andreessen Horowitz, with participation from Caffeinated Capital, DFJ, and Affirm CEO, Max Levchin. 
  • Below is the investor deck that helped Divvy raise its $30 million Series A. 

Divvy is one of the many Silicon Valley startups working to change the way people buy homes. For Divvy, it's specifically interested in providing alternative financing options for potential home buyers who don't qualify for traditional mortgages.

It does so by purchasing homes outright and allowing customers to pay it back in a series of monthly payments — 25% of that payment goes toward building equity and 75% goes toward paying "rent."

"The customers do feel like they're owning a home and they are building up equity within in it," Divvy CEO Adena Hefets told Business Insider in an interview last November. "The difference is that we're doing it in a more manageable way."

Top venture capitalists have bought into Divvy's methodology as well.

Last October, Divvy raised a $30 million Series A round led by Andreessen Horowitz, with participation from Caffeinated Capital, DFJ, and Affirm CEO, Max Levchin. 

Hefets told us that in its first year, Divvy helped buy homes for over 100 customers, but that the company has much higher hopes. Divvy's official mission, she says, is getting 100,000 families their first homes.

"That's what we're trying to do in the next, no more than five years. We want 100,000 homes," Hefets said. "We want that to be the first home that a family can buy and we want it to be the stepping stone that allows people to transition from renting to eventually owning their own homes."

Here's the investor deck that helped Divvy sell its mission to VCs and raise a $30 million Series A (sensitive numbers have been redacted): 

See the rest of the story at Business Insider

THE DATA BREACHES REPORT: The strategies companies are using to protect their customers, and themselves, in the age of massive breaches

Sun, 02/17/2019 - 10:03pm  |  Clusterstock

This is a preview of a research report from Business Insider Intelligence, Business Insider's premium research service. To learn more about Business Insider Intelligence, click here.

Over the past five years, the world has seen a seemingly unending series of high-profile data breaches, defined as incidents in which unauthorized parties access and retrieve sensitive, secure, or private data.

Major incidents, like the 2013 Yahoo breach, which impacted all 3 million of the tech giant’s customers, and the more recent Equifax breach, which exposed the information of at least 143 million US adults, has kept this risk, and these threats, at the forefront for both businesses and consumers. And businesses have good reason to be concerned — of organizations breached, 22% lost customers, 29% lost revenue, and 23% lost business opportunities.

This threat isn’t going anywhere. Each of the past five years has seen, on average, 1,704 security incidents, impacting nearly 2 billion records. And hackers could be getting more efficient, using new technological tools to extract more data in fewer breach attempts. That’s making the security threat an industry-agnostic for any business holding sensitive data — at this point, virtually all companies — and therefore a necessity for firms to address proactively and prepare to react to.

The majority of breaches come from the outside, when a malicious actor is usually seeking access to records for financial gain, and tend to leverage malware or other software and hardware-related tools to access records. But they can come internally, as well as from accidents perpetrated by employees, like lost or stolen records or devices.

That means that firms need to have a broad-ranging plan in place, focusing on preventing breaches, detecting them quickly, and resolving and responding to them in the best possible way. That involves understanding protectable assets, ensuring compliance, and training employees, but also protecting data, investing in software to understand what normal and abnormal performance looks like, training employees, and building a response plan to mitigate as much damage as possible when the inevitable does occur.

Business Insider Intelligence, Business Insider’s premium research service, has put together a detailed report on the data breach threat, who and what companies need to protect themselves from, and how they can most effectively do so from a technological and organizational perspective.

Here are some key takeaways from the report:

  • The breach threat isn’t going anywhere. The number of overall breaches isn’t consistent — it soared from 2013 to 2016, but ticked down slightly last year — but hackers might be becoming better at obtaining more records with less work, which magnifies risk.
  • The majority of breaches come from the outside, and leverage software and hardware attacks, like malware, web app attacks, point-of-service (POS) intrusion, and card skimmers.
  • Firms need to build a strong front door to prevent as many breaches as possible, but they also need to develop institutional knowledge to detect a breach quickly, and plan for how to resolve and respond to it in order to limit damage — both financial and subjective — as effectively as possible.

In full, the report:

  • Explains the scope of the breach threat, by industry and year, and identifies the top attacks.
  • Identifies leading perpetrators and causes of breaches.
  • Addresses strategies to cope with the threat in three key areas: prevention, detection, and resolution and response.
  • Issues recommendations from both a technological and organizational perspective in each of these categories so that companies can avoid the fallout that a data breach can bring.
Subscribe to an All-Access pass to Business Insider Intelligence and gain immediate access to: This report and more than 250 other expertly researched reports Access to all future reports and daily newsletters Forecasts of new and emerging technologies in your industry And more! Learn More

Purchase & download the full report from our research store


Join the conversation about this story »

THE DIGITAL EVOLUTION OF WEALTH MANAGEMENT: How emerging technologies can improve the user experience, while cutting costs and boosting revenue

Sun, 02/17/2019 - 6:01pm  |  Clusterstock

This is a preview of a research report from Business Insider Intelligence, Business Insider's premium research service. To learn more about Business Insider Intelligence, click here.

An increasing number of wealth managers are using new technologies to make their operations more efficient and to increase customer satisfaction.

The technologies they are implementing include robotic process automation (RPA), chatbots, machine learning, application programming interfaces (APIs), and explainable AI.

In this report, Business Insider Intelligence analyzes how emerging technologies like RPA and AI are transforming the wealth management industry, on both the front and back end, by increasing efficiency and opening up the space to new demographics. We explain how both incumbents and startups are applying these technologies to different business areas, and how successful they've been at implementation. Additionally, we take a look at the challenges wealth managers are facing as they look to revamp their businesses for the digital age.

Here are some of the key takeaways from the report:

  • Startup wealth managers and digitally savvy technology suppliers are bringing emerging technologies to the fore to make wealth management more time- and cost-efficient. These include RPA, machine learning, and AI. Big players in the space are also beginning to wake up to those opportunities.
  • The technologies can improve consumer-facing elements of wealth management, like onboarding and customer service, to increase customer satisfaction.
  • Machine learning and APIs can help wealth managers improve functions like portfolio management and compliance, and help them better stay on top of regulations, and increase customer satisfaction by offering improved and additional services.
  • However, there are some challenges wealth managers are facing when implementing these tools, ranging from a lack of customer trust in emerging technologies to difficulty finding appropriate talent.

 In full, the report:

  • Outlines how the wealth management industry is implementing emerging technologies.
  • Details which technologies they are using, and what their specific benefits are. 
  • Discusses the potential challenges wealth managers are facing when implementing new technologies.
  • Highlights what wealth managers need to do to stay relevant in the field.
Subscribe to an All-Access pass to Business Insider Intelligence and gain immediate access to: This report and more than 250 other expertly researched reports Access to all future reports and daily newsletters Forecasts of new and emerging technologies in your industry And more! Learn More

Purchase & download the full report from our research store

Join the conversation about this story »

About Value News Network

Value is the only commonality in an increasingly complex, challenging and interdependent world.
Laurance Allen: Editor + Publisher

Connect with Us