Innovation in Banking: The In‐Home Computerised Banking Example

Abstract

Banks have turned to technology in search of a competitive edge in a dynamic and sometimes hostile environment. Unfortunately, technical feasibility rather than market need has motivated them, giving no lasting advantage. An apparently profitable in‐home banking system, using Prestel, is here explored, offering customers of the Nottingham Building Society a full range of facilities. The factors making this a good opportunity for innovation are examined, together with problems that may be encountered. This introduction of the Homelink programme is seen as only the first stage in an entry into a home banking market which will depend on strategy implementation market evolution, competitive response and technological change.