Infosys Strategic Vision

Gamification: Play Banking

By Sam Felix Pradeep Kumar, Lead Consultant, Consumer Banking Practice and
Tejasvi Addagada, Senior Associate Consultant, Consumer Banking Practice

anks have come a long way in shifting their focus from the traditional branch banking
channel to online banking. The initial websites were built for
banks to host static data and provide information. With the
onset of the banking transaction wave, an entire generation
of products and services were made available online, thereby enabling
customers to bank anytime, anywhere.
Presently, the banking industry is going through a paradigm
shift, with banks adopting social media not just to gauge
customer satisfaction, but as an alternate, prime banking
channel. What comes next is uncertain, but one significant
trend that is rapidly gaining traction is gamification.
WHAT IS GAMIFICATION?

Gamification is the concept of employing gaming

techniques in a non-game environmentlike banking
to drive user experience and, consequently, customer

satisfaction. For instance, there are multiple ways for a

customer to apply for a loan:
1. Visit the nearest branch and complete the application
2. Fill out a text-based online application
3. Fill out an online application in a gamified
environment with interactive, narrative content
Although the first two options are still in vogue, branch
banking is on the wane and, today, text-based online loan
applications are by far the most predominant method used
to apply for loans. However, what about user experience,

Figure 1: Potential uses of gamification in financial services

Bank
Gamification
domain dynamics

Scenarios

Financial
planning

Gamification can help customers determine how a product suits their real
needs. Further, sharing social content on the site provides customers with
opinions on how a product has helped other customers. Challenges and
rewards help customers exhibit rational behavior towards financial planning.

Educative videos
Social content sharing
Narrative approach
Rewards
Challenges

Consumer loan Points

applications
Progress paths


Online deposit Leader boards
accounts
Badges

Content sharing

Rewards

Trade platforms Content sharing

Leader boards

Badges

Points

Narrative approach

Back-office
Leader boards
user group
Points

Badges

Challenges

Rewards

14 | Global Finance | February 2013

Using gamification principles, the current scenario of an un-interesting webpage

for loan applications can be changed to help the customer see their progress
all along. This will induce stickiness while improving customer experience.
Banks can inculcate their customers with an inclination to saving by
implementing leader boards, so that the customer gets to know where they
stand against peers. Also providing rewards or badges on achieving saving
goals can be encouraging to the customer.
Gamification offers tremendous potential in the area of trade platforms.
Users can range in level from beginners to masters. Creating leader boards
or levels can help them understand their investing behavior as compared to
others. Content sharing by users or masters motivates them to share more
and helps novices. Narrative videos and avatars also play an important role
owing to the complexity of trade services offered by the bank.
Every bank employs back-office call center professionals to perform everyday
humdrum tasks, such as filling applications or assisting users with offline
work. Additions of aspects like leader boards, points and challenges can help
in boosting employee morale. Every bank has a rewards program or a coupon
program. Creating a connection with the levels or mastery of users can help
in improving motivation.

Use case: Take the issue of building (or re-building) customer trust through financial literacy and education.Trying to accomplish this through a deluge of word documents and spreadsheet calculators does not really help banks. In fact, it usually ends up
increasing distrust since customers, more often than not, see these documents as disclaimer statements.
Gamification, on the other hand, has the potential to make the same exercise simple, easy, fun and accessible.Your bank can offer
reward points for customers who master educational resources, which can then be redeemed for a discount on bank products. Such
initiatives serve the dual purpose of educating the customer and helping your bank position the right product to the right customer.

a potential game changer for banks? Consider a

scenario in which your customer has two options
to fill out an application use lengthy text-based
forms with multiple sections and fields or use
highly interactive, narrative touch screens. The
customers likely choice is obvious.
This is what gamification is all about
transforming otherwise mundane activities into
compelling, engaging user experiences.

Figure 2: Gamification system dashboard for financial planning

HOW CAN GAMIFICATION HELP

ENHANCE CUSTOMER EXPERIENCE?

During the early days, the thought of applying

game environment principles to business was
far away from consideration in any industry, let
alone banking. The online banking platform
transformation focuses more on functional and
transactional capabilities. By adding exciting
components to your online banking environment, you
stand a far greater chance of engaging your customer
and retaining their interest. Play Banking is increasingly
gaining conceptual interest, with a few banks already
moving in this direction.
Case study 1: Spanish bank BBVA inspires customers
to participate in their gamification efforts with their
BBVA Game portfolio. BBVA Game presents customers
with challenges divided into multiple milestones, which
they must accomplish to obtain badges, medals and points.
The points so earned can be exchanged to redeem prizes
or entered into lucky draws. Within two months of the
BBVA Game App launch, it attracted 37,000 users who
were lured by the rewards on offer.
Case study 2: The Commonwealth Bank of Australia
uses a proprietary game called InvestorVille. This online
simulator helps players attempt property investing in a
virtual environment without actually risking their equity.
Players can chose an investor profile and learn about
investment strategies, market interest rates, market values
and rental returns. The InvestorVille site witnessed 56,600
visitors, 13,660 registrants and 34 home loan applications
within the first six weeks of its launch.
WHAT ARE THE CHALLENGES INVOLVED?

The initial success stories at some banks are encouraging,

with strong reasons for other banks to emulate. Yet, there
are significant challenges that require proper consideration.

1. Regulatory compliance. Managing this aspect is

the most important challenge. Its critical to ensure that the
planned game strategy does not compromise your banks
information security.
2. Game design. This is another significant factor that
should be carefully planned in advance. Gartner predicts
that by 2014, 80% of gamified applications will fail to meet
their business objectives primarily because of poor game
design. A well-crafted game design that takes into account
your business objectives and the game environment is
what your bank should target.
3. Costs. Gamification requires constant updates to the
aesthetics and theme, which translates into costs. But with
a detailed cost-benefit analysis, needs identification and
strategic execution, you stand to gain optimal returns on
your gamification investments.
THE ROAD AHEAD

Gamification has gained significant attention in the recent

past with experts estimating the gamification industry
to be worth US$2.8 billion by 2016. With banking
customers exposed to multiple banking relationships and
with the decline in user experience satisfaction, your
bank should look at implementing game dynamics that
rewards, engages and excites customers. Gamification is
an evolving medium capable of helping your bank draw
new customers and build loyalty, ultimately translating into
profitability for your institution.

February 2013 | Global Finance | 15