12 Coolest Brands in Banking 2017 Page 4
7. Starbucks: Not Your Bank’s Payments App
The coffee giant (or technology company that happens to sell coffee) has gone through some major changes recently.
Probably the most significant change has happened in its executive ranks: longtime CEO Howard Schultz stepped down past December, turning his focus to “innovation, design and development of Starbucks Reserve Roasteries,” the company’s new upscale brand, as an executive chairman. Thirty-year tech veteran and current COO Kevin Johnson will be assuming the CEO role effective April 3, 2017, so expect Starbucks to keep pushing the digital borders of its app and transforming into a tech powerhouse.
Already, the coffee giant rolled out a pilot for its voice payments feature, something banks are only beginning to consider – specifically, Santander and CapOne, for now.
In addition, mobile adoption is on an all-time high, according to Schultz. During the earnings release last month, the company reported it has almost 13 million active Starbucks Rewards members in the U.S., up 16% from the same period a year ago. Mobile Order & Pay represented more than 7% of total transactions last quarter, double the number from last year. The mobile-first strategy, according to Schultz, put the coffee giant on track to be “the real winner” among the retailers in the digital world:
When you look at the $2 billion loaded on cards that are sitting on the balance sheet for Starbucks, I mean, is there a company – is there a retail company, a retail brand, that is in this kind of position?
8. N26: Taking German Fintech to the Top
After receiving its bank license this year, the Berlin-based digital bank–or neobank, whichever is prefered–kept up the momentum by expanding to 17 European countries outside of its native Germany (utilizing one of the perks of having a European banking license).
Formerly known as Number26, N26 has made several innovative moves unusual for a neobank. Prominent among them is the launch of a premium account, N26 Black, which includes extra protection as well as optional insurance for health if you get sick, and emergency cash “if you get mugged up to 4 hours after withdrawing with your N26 Black card.” (!)
As reported, mobile banking made huge strides across the world in 2016, making 2017 the perfect time for the rise of mobile-first or mobile-only banks. N26 is knitting together its mobile-only strategy by allowing its users the flexibility of other services, such as transferring money through TransferWise, and combining that flexibility with the speed of its own features, like the five-minute credit line.
Still no word on when this nifty little banking app will make its way to North America, but fingers crossed.
