More Power to the ATM

More Power to the ATM | Diebold Nixdorf Blog

When you think “ATM,” do you think “cash dispenser”? You probably realize that today’s self-service terminals can do so much more than just the old “cash and dash” routine, but what do your consumers think? Have you educated them on that fact or encouraged them to try new transactions at their favorite self-service device?

The truth is, consumers really do have an appetite for additional functionality at the ATM. In “ATM Future Trends 2015,”  ATM Marketplace outlines the transactions at the top of consumers’ wish lists for self-service:


Meanwhile, consider the top five teller transactions sorted by overall teller costs:


Look at the ways this data correlates. For starters, if you offered check cashing functionality at self-service machines, you would have the opportunity to migrate 26.6% of your teller transactions to a much more cost-effective channel – and fulfill consumers’ #2 self-service request.

Now, take a look at the percentage of teller costs dedicated to withdrawals – if your terminals offered additional denomination options, you could save even more – it’s pretty simple actually. This is by far the option your consumers crave most at the self-service device, so imagine how many consumers would conduct more withdrawals through the self-service channel if they could select the denomination(s) they want.

So how do you get there?

The simple answer is one step at a time. Transaction migration and branch transformation is a journey. We recommend a phased approach that takes into account the work and time required to motivate your employees – and your consumers – to understand new processes, new transaction capabilities and new technology. As our branch transformation expert, Raja Bose, outlined in a previous post, the design of your branch has a strong influence on the experience your consumers will have in your branch. You’ll need to determine layout changes strategically and train your staff on how to make the most of the new layout and new technology. Introducing new technology alone will not lead to a successful transformation … people and processes are critical. They can’t be an afterthought!

Once your branch personnel are on board, they can encourage and motivate consumer behavior changes. You should also consider marketing campaigns that highlight your new channel for more “teller-like” transactions – making it very clear you’re not trying to get them to use the same old ATM they’re used to. Instead, you are empowering them to be more independent and improve their experience. Whether you’re upgrading the functionality on an existing terminal, or introducing new technology, the key is to emphasize that this is a brand new kind of experience.

We collaborate with many financial institutions to help them better understand the functionality they can enable or add to their existing infrastructure; many times FIs can leverage existing systems, and implement manual processes that help validate adoption and the ROI at a low cost of entry. Once you’ve experimented and validated the business case and evaluated the changes or enhancements, you can consider further automation and/or integration options that continue to expand your self-service transaction set by building on what you’ve done… again, a phased approach.

No more one size fits all… we design for you and your consumers:

With tailored software and hardware solutions, you can have the ability to choose which system authenticates, processes and posts the transaction – the standard ATM network versus the branch system – to develop an approach that works best for your unique priorities. The awesome thing about this is the flexibility to deliver enhanced and complex transactions to your consumers in the self-service channel while not increasing – and potentially even decreasing – the cost of the transaction. Move transactions customarily performed only by the teller to the self-service channel by leveraging existing branch systems rather than depending on the switch/processor to make the changes. Move one or move them all, it’s up to you.

Then, you can start to dive into the bigger opportunities, things like multi-channel capabilities and omnichannel consumer experiences. Consider how it would differentiate your brand if your consumers could start a transaction on their smartphone, then head to a self-service terminal to retrieve their cash. What about allowing consumers to use their online banking credentials to authenticate themselves at the ATM instead of their debit card and PIN, or offering multiple transaction sets like depositing a paycheck with some cash back and paying a bill at the same time, all through a full-function self-service device?

I’m not trying to underestimate this endeavor. Branch transformation and transaction migration are big, broad topics that need to be grounded in your own institution’s current-state reality. But don’t let challenges stop you from making incremental steps toward providing better consumer experiences. You may be surprised at how small tweaks to your ATM fleet can drive a huge ROI in the form of more engaged, more satisfied consumers. Most importantly, you aren’t navigating this journey alone … Diebold can help design and implement the solution that fits YOUR needs and the needs of your consumers. We have the solution that is perfect for you and can take you on the journey … let’s make that journey together! 

Want to talk about more ways we can advise you on incremental changes that could make a big difference for your FI? See what our Consulting Services team can do for you, and reach out to us here. Let’s start a conversation.