Case Analysis of Bank of America: Mobile Banking Essay

1290 Words Apr 11th, 2012 6 Pages
Case Analysis of Bank of America: Mobile Banking

Marcus J. Durr
Professor Trittipo
AMBA 650 Section 9047
January 31, 2012

Abstract
During the tough time for the banking industry when many banks have gone into bankruptcy or have began add numerous fees to their service in order to stay afloat; Bank of American (BoA) has also experienced some of the effects of the financial crisis. In an effort to weather the storm BoA began to incorporate mobile banking. While its competitors were implementing their own mobile banking through mobile apps, mobile web, and short message system (SMS), BoA focused on the mobile app and mobile web only. This case analysis takes a look at some of the major strategic issues and problems, such as BoA
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However, it is very important to be sure to reach their target market in the most cost effective way. Bank of America, just like any company must care about their customers and try their best to accommodate all of them to the best of their abilities. However, I feel that not adopting the SMS technology was a weakness that was presented to the company and it left some of their non-Smartphone users out in the cold which could have altered their loyalty to the BoA brand. Furthermore, the initial decision of making the mobile banking service only available to customers that already had online banking could have a negative effect on current customers.
With the strengths and weakness being clearly identified, the external environment of opportunities and threats must be analyzed. As discussed by Kotler and Keller (2009) “Marketing opportunity is an area of buyer need and interest that a company has a high probability of profitably satisfying” (p. 30). Judging from the mobile banking user forecast, the mobile banking market is believe to continue to grow over the next few years, to over 35 million users. This would suggest that this is a highly desired market due to the advancement of technology. Other opportunities that were available to Bank of America are the many ways that a consumer to could utilize the mobile banking. There are many options of mobile payments that would help BoA by expanding its partnership with other companies by drawing

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