INNOVATION POLICY IS THE DRIVING FORCE OF AMERIABANK’S DEVELOPMENT
ARKA
12/01/2010 17:06
Interview of Arthur Hambardzumian, head of Ameriabank’s Innovation
and Quality Department, to ARKA news agency
ARKA: Some of Armenian banks offer Internet banking services to their
clients. What has made Ameriabank offer this service too?
Arthur Hambardzumian – There are two major factors that have made us
introduce on-line banking technologies, including Internet banking.
One is the quick development of information technologies and Internet’s
penetration into new areas of banking activity, forcing them to work
harder in order to comply with the spirit of the time and provide their
clients with new tools to manage their bank accounts from any corner of
the world. The second factor is that Internet banking helps our clients
to reduce significantly their transport and other expenses, saving them
also from visiting their banks. Internet banking reduces concurrently
the primary cost of many banking products, as a result banks have to
reduce the cost of their service as they do not need larger personnel
to provide the so-called classical banking services. In the long run,
banks benefit from introduction of innovation technologies and so do
their clients.
Regarding Ameriabank, our strategy is to offer our clients a
comprehensive package of services, including distance services,
such as Internet banking.
ARKA: – Could you specify the content of Internet banking services?
Arthur Hambardzumian – The priority task is to shift from the so-called
classical way of offering main banking services to distance services,
which allow customers to manage their accounts without visiting
banks. Online banking system enables our customers to receive
information about the balance on their bank account and its movement,
make local and international remittances, convert foreign currencies,
pay utility fees, credit interests, receive information about deposits
and bank cards as well as send and receive protected messages,
get information about currency exchange rates and other concomitant
information. Having in mind that Internet banking is a new service
in Armenia we are collecting all the offers and proposals of our
clients to have them in mind while upgrading and revising Internet
banking in order to ensure a most convenient and effective service
to our clients via Internet.
ARKA: What are the main advantages of Internet banking and whether
this system is well protected?
Arthur Hambardzumian – As I have said above, Internet banking is a new
technology at the Armenian market and our customers are just getting
used to it. This makes security issues a priority. To ensure safe
authentication and identification we use the so-called token devices
generating one time keys used by clients to confirm their messages
and transactions. Armenian banks use the tokens devised by Digipass
and VASCO Data Security. On the other hand to ensure confidentiality
and security we use SSL 128 bit key encoding system which is the
most protected version of information exchange system. Besides,
the web browsers used to offer Internet banking services have been
certified by VeriSign. Ameriabank has undertaken all possible measures
to protect its clients and the bank against unsanctioned access and
other threats. The system is safe and reliable.
Another important aspect of our activity is the price policy allowing
the clients to choose one of several options. For example, if an
individual client wants to receive only information without performing
transactions, i.e. to view only his accounts, to get information
about the deposits and balances, the service is free. For clients
wishing to perform transactions via Internet banking system, there are
competitive prices. We are planning to develop privileged prices for
all major banking operations performed via Intenret, which we think
will become another factor to prompt expansion of Internet banking.
ARKA: When was this service introduced and did it help Ameriabank
attract new customers?
Arthur Hambardzumian – The service was introduced in 2009 October,
however, we do not look at it as a main factor that can help us
attract new clients. It is only part of the package of services and
is a technology service rather than a banking service. Therefore, the
system targets in the first place our current customers to provide them
with an opportunity to get higher quality services. The availability
of distance services helps us win new clients. But here we are facing
a common problem -Armenians are quite conservative in what is related
to new banking services preferring classical face-to-face servicing,
which inspires them with confidence that the transaction will be
performed normally and in time. But the statistics shows that the
clients are quite quick to get used to new technologies.
ARKA: What segment of your clients tends to shifting to Internet
banking service?
Arthur Hambardzumian – We offer Internet banking service to both
individual and corporate clients. Most of our corporate clients still
use still usual bank-client system but we are working with them to
help them shift gradually to Internet banking system. I think some
time later all companies will pass to Internet-based technologies.
ARKA: -What kind of new services does Ameribank plan to launch in 2010?
Arthur Hambardzumian – We are completing the preparatory work for
launching a set of new services in early 2010. I would like to
single out structural products, particularly, a structural deposit
that will allow our clients to make profits at financial markets by
making transactions on gold and oil with guaranteed safety of their
investments. Besides, we are planning to introduce cash management
service for holdings, which need to manage their flows and have
consolidated balances on all accounts. We have also completed the
work for development of a service designed for opening and managing
so-called metallic accounts, particularly, on gold. There are, however,
some points that need to be reconciled. Technically, we are ready
but there are still some legislative problems which do not allow us
to work more actively in this direction.
ARKA: Ameriabank positions itself as a structure, which is not only
open to innovations, bit is seeking to take the lead, and challenge
its competitors. Could you cite examples to illustrate this?
Arthur Hambardzumian – There are many examples which confirm our
innovation policy, but we regard innovations in a broader spectrum –
not only as services but also technologies, management systems and a
new approach of how to work with our clients. I would like to mention
insurance of our individual clients’ deposits by Rosgostrakh-Armenia
insurance company, started in early 2009. Ameriabank also launched a
major project last year designed to help develop renewable energy. The
bank also started a small and medium businesses financing project
on very profitable terms. Under this project our clients have
the possibility to have their interest rates cut within the first
three years of maturity period. We also introduced pension schemes,
projects and services for assets management and a full spectrum of
investment-banking services. Regarding new technologies, we introduced
a more effective server and network equipment which allow to ensure a
most efficient and reliable operation. We also introduced CRM system
allowing us to use the most latest achievements and technologies in
organizing our work with clients and improving the quality of our
services. And eventually, we work constantly to improve the management
system in line with ISO 9001:2008, that was certified in April by a
German TUV Rhеil and Group certification.
ARKA: Will Ameriabank keep to its ambitious innovation policy this
year?
Arthur Hambardzumian -Ameriabank will go on with its innovation policy
because innovation is a key factor to our success allowing us to win
steady positions at the market. The bank plans to introduce a number
of new services and technologies in 2010 but our ambitious plans are
sometimes held back by legislative restrictions. However, we hope that
as a result of discussion of our initiatives with regulatory bodies,
appropriate legislative and regulatory acts will be passed to allow
us to quickly implement all our ambitious plans and offer our clients
new services which are not yet accessible at the local market.
ARKA: Is there a big demand for innovation technologies in Armenia?
Arthur Hambardzumian – There are two approaches to innovations in
services sector. The first is that the market itself dictates the need
for emergence of this or that service and the second is that they
and their advantages should be introduced to customers. In our case
both factors are present. In principle, there are well known banking
products, which are in great demand. Our bank has tried to fill in
these niches, particularly, by offering such services as leasing,
factoring which are offered by other banks as well. There are also
services which we need to introduce to our clients, to propagate and
show their advantages. In general, financial literacy of Armenian
citizens and their willingness to use innovation technologies are not
at high level. This is why the banks have to prepare their clients for
new banking products. Innovations are necessary but their introduction
is a complex task because you have to not only .develop a new product
but also the market for it.