UMB Client Research Robert Lindsay 2/28/11

UMB Bank Client Research History William Kemper was founder and president of UMBs predecessor City Center Bank, established in Kansas City, MO from 1913 until his death in 1919. There after his son R. Crosby Kemper Sr. took over implementing new features as drive up windows in 1928 and international services 1945. R. Crosby Kemper Jr took the reins from his father as president in 1959 and pursued a slow growth strategy over the next forty years with the acquisitions of regional competitors; the name change from City Center Bank to United Missouri Bank (UMB) also came under his tenure in 1971. UMB became one of the first Midwest banks to offer online banking in the 1995 and to establish mobile banking in. (Levick)

Company Vision: To be recognized for the unparalleled customer experience Mission Statement: With our position of trust and our tradition of integrity, our shared mission is to know our customers and anticipate their needs; advocate and advise; innovate and surprise

Location Headquarters UMB Financial Corporation 1010 Grand Boulevard Kansas City, MO 64106

Online and Mobile Banking Offerings Online 1. Ability to view any account under clients name including: Savings, Checking and long term CDs 2. Pay bills including utilities, car and house payments with the ability to set up reoccurring payments automatically from different accounts under the same user. 3. Transfer funds from different account instantly without charge. 4. View credit card activity and payments

Mobile Web Available at http://m.umb.com users with a smart phone can access all the tools available on their desktop, but specifically design with simpler UI that can be navigated on a 3.5 cellphone screen. Mobile Text Even without a smart phone any user with a cell phone that has SMS/Text messaging services can be used to view accounts, recent activity, transfer funds, find ATMs and pay bills using only text messaging commands. Standard text messaging rates apply Mobile App Designed to work seamlessly across an iPod touch, iPhone and iPad UMBs banking app gives the user all the same tools that are offered from UMB online tool set, while also implementing push notification that alert the user of any activity on their accounts. The banking app allows for faster access of a users accounts eliminating the need of web browsers. Online & Mobile Security Secured log ins are required before using either the browser or app based banking methods. All information sent between the users handheld device and account servers is encrypted and can only be accessible after correct log in verification. Account numbers and passwords cant be saved to your mobile device or web browsers cookies securing users information if devices are lost or stolen. Competitive Research Competitors located in Kansas City (alphabetically) All locations are within a 16 mile radius of downtown Kansas City including both the Missouri and Kansas side of Kansas City.
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Bank of America 20 Locations Online Banking Mobile specific U/I designed site

d.

iOS, Android app Brotherhood Bank & Trust 8 locations Online Banking Mobile specific U/I designed site No mobile specific U/I designed site Bank of the West 5 locations Online Banking Mobile specific U/I designed site iOS app Central Bank of Kansas City 5 locations Online Banking No mobile specific U/I designed site No iOS, Android app Commerce Bank 6 locations Online Banking Mobile specific U/I designed site No iOS, Android app Industrial State Bank 3 locations Online Banking Mobile specific U/I designed site no iOS, Android app

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7. a. b. c. d. 8. a. b. c. d. 9. a. b. c. d. 10. a. b. c. d.

Liberty Bank & Trust Company 3 locations Online Banking No mobile specific U/I designed site No iOS, Android app Premier Bank 2 location Online Banking No mobile specific U/I designed site No iOS, Android app Security Bank of Kansas City 10 locations Online Banking Mobile specific U/I designed site No iOS, Android app US Bank 18 locations Online Banking Mobile specific U/I designed site iOS, Android app

Top 3 Biggest Competitors

Bank of America Bank of America has the most locations throughout the 16 mile radius from downtown Kansas City and has a fluid and comprehensive online and mobile banking. Which includes applications for iOS, Android, Blackberry and Windows that gives the user the most accessibility and convenience to their accounts US Bank Similar to Bank of America US Bank is a National chain that has 18 locations within the 16 mile radius of downtown Kansas City. With both mobile banking that includes custom web pages for smart phones and SMS\text messaging for older cell phones. Apps designed to give the user a seamless experience with identical U/I across all platforms lead to more accessibility.

Commerce Bank A local bank with only 6 locations around the downtown Kansas City area Commerce lack power in numbers but will make it up by being portrayed as a grass root bank who can connect with local users and gain their trust opposed to US and Bank of America who portray corporate greed. Commerce lacks any mobile apps but has an easy to use smart phone website and online desktop banking site with built in tutorials.

Target Audience Research Generation Y Including persons born between 1982 and 2000 combining for an estimated 82 million people in the US today. Of this group 11% use online banking and are connected to their bank through social media including Facebook, twitter and foursquare. Another 45% of the 82 million who arent connected either with a laptop of smartphone via social media show high interest in doing so. The 13 to 21 year old segment of this generation is reported to have the highest influence on many of their familys household purchases, including 81% of apparel and 52% of cars

purchases. Targeting the Y Generation could therefore influence more hesitant older parent age groups including the 79 million baby boomers to adopt online and mobile banking.(Dymi) Generation X Including persons born between the early 1960s through 1981 the X Generation is surveyed to be the most active among variety of online and mobile toolsets used according to Wells Fargo. The study showed that the age group between 30 and 39 are more likely to use online banking tools to budget finances and check 401(k) or IRAs. Surveys completed by DHCU Credit union tallied that 36% of their customers fall between 35 and 54 years old, the largest active group. Generation X is the largest active group in the banking community and will have the most impact on whether different online/mobile banking tools work. It is important to target this group with online and mobile tools that go beyond viewing checking and savings account. (Dahl) Baby Boomers Including persons born between 1946 and 1964 baby boomers represent the second largest group of Americans with an estimated 79 million citizens. An ABA survey of over 2,000 residents showed that 62% of people 55 and older prefer online banking over brick and mortar stores for the first time ever. These surveys results have nearly doubled from just a year before (2010) when only 36% of adults 55 and older preferred online banking. Mobile banking showed the weakest interest in this demographic with only 1% of all surveys showing interest. Targeting Baby Boomers is important because of the immediate influence this large demographic can have on the banking industry. (Crosman) Banking Industry Research As a result of the housing market bubble bursting in late 2008 leading to a nationwide recession; large banking firms including Freddie Mac, Goldmans Sachs and Wells Fargo Co. were viewed by the public in a negative light because of the financial fraud that was occurring. Large banks lost credibility and the consumers trust that they had their best interests in mind; many consumers pulled accounts from their banks both large and local branches. The combination of a weak economy and recent legislation passed that forced banks to wave certain overdraft and credit card fees have left many banks in the red. (Fitzpatrick) This shifted the control of power from banks to consumers resulting in more consumers banking option with fewer fees in an attempt to when back consumers trust. This is evident when Bank of America tried to charge a monthly $5 fee for using a debit card; public outcry forces them

to cancel this fee only months after the idea was first introduced. (Fitzpatrick) Recent option that have been introduced include depositing checks from a smart phone and ATMs, more transparent access to banks including video chat for customer service. The common theme is to create more convenience outside of banks for consumers while giving them faster access to banks through social media.

Occupy Wall Street Starting October 11, 2011 the occupy wall street protest was in response to a combination of large banking firms being bailed out of debt with government aid including tarp and stimulus funds and large corporation not being forced to pay for billions in income taxes. When the other 99% of Americans are forced into bankruptcy and foreclosure, outrage for why the wealth hasnt been spread more evenly across the masses has led to bitter sentiment and unified protest across the country from New York, Kansas City and Oakland. (Goldberg) These public outcries have enforced and maintained that the shift of power from banks to people because of mass coverage from media outlets. Bank Advertising Research The common theme between most researched general banking advertisements is the attempt to humanize banks by featuring average people set in a common background of city streets or farmlands. This is to diminish the image that banks are unapproachable because they are run by rich old white guys who dont care about your investments. These advertisements play to many clichs showing a blue collar man in front of a corn field or a business woman in front of a city skyline. (Lamer) Online and Mobile banking also share many commonalties across different researched banks including: security, ease of use, and ability to use anywhere. Using similar clichd imagery of business men and women using cell phones in public, physically putting money in phones or hands representing your bank; these ads are heavy handed in the literal portrayal of the message they are trying to get across. The vehicles in which the messages are displayed in public vary from billboards, light poles, sidewalks and roofs. Many times the ambient placing of the advertisements is more important than the ads themselves because they would otherwise go unnoticed because of their clichd nature. (Lamer)